Navan's stock climbed 3.1% in mid-day trading following the company's announcement that it has reached a definitive agreement to acquire Smartrips, a Brazilian corporate travel management company founded in 2017. The acquisition is Navan's first since it listed publicly and is aimed squarely at Brazil, a market the company estimates represents about 40% of business travel spending across Latin America.
Navan frames Brazil as part of a broader addressable opportunity it values at $185 billion. The transaction is slated to close in the second quarter of fiscal year 2027, and the company said the deal carries no material impact to the guidance it issued on June 10, 2026.
The announcement builds on momentum created by Navan's strong start to fiscal 2027. In the company's first quarter, revenue accelerated 40% year-over-year to $220 million, while gross booking volume rose 50% to a record $3.1 billion. Those results spurred multiple analyst firms to raise price targets, with upgrades and target increases reported from Morgan Stanley, Needham, BofA, BTIG, BMO Capital, and Citizens, and the street consensus noted as a "Strong Buy."
Navan said the Smartrips purchase expands its international footprint into Latin America for the first time. Prior cross-border expansion by the company included acquisitions in Germany, India, and the United Kingdom. Management and investors appear to view the Smartrips transaction as a strategic extension of that international growth playbook.
On the ownership front, Dragoneer Investment Group disclosed a new position in NAVN, signaling fresh institutional interest in the company. Offsetting this development to some degree, a company director, Arif Janmohamed, sold roughly $40.8 million of Navan shares on June 12 and June 15; the market appears to have largely absorbed that selling activity.
Market conditions provided a constructive backdrop for the news. The Nasdaq composite was up 1.3% and the S&P 500 was up 1.0% in a broad risk-on session that helped lift growth-oriented technology names. Those broader gains, combined with the deal announcement and the lingering effects of the strong Q1 results and analyst revisions, helped push Navan's shares higher on the day.
Investors tracking the stock will note that Navan is trading well above its 52-week low of $8.11 and moving closer to its 52-week high of $24.50. The company characterized the Smartrips deal as complementary to its existing strategy and reiterated that the transaction should not materially alter previously provided guidance for the near term.
Summary - Navan's mid-day gain followed confirmation of a deal to buy Smartrips, expanding the company's international reach into Brazil and Latin America without materially changing its prior guidance. The move arrived on the heels of a strong Q1 FY2027 performance and several analyst price-target increases.