BTIG Upgrades A10 Networks (ATEN) After Strong Earnings and Outlook

A10 Networks, Inc. (NYSE:ATEN) is one of the most undervalued cybersecurity stocks to buy now. On August 6, BTIG upgraded their rating on A10 Networks, Inc. (NYSE:ATEN) from Neutral to Buy. The upgrade comes on the back of stellar Q2 results, which beat consensus. The cybersecurity company reported a revenue of $69.38 million, a growth of over 15% on a year-over-year basis. Analysts had penciled in a revenue of $69.38 million. The company’s EPS stood at $0.21 per share as against a consensus estimate of $0.193 per share. A10’s net margin remains elevated at 15.19%.

BTIG Upgrades A10 Networks (ATEN) After Strong Earnings and Outlook

A computer network engineer operating a control panel with a view of a server room in the background.

BTIG set the price target at $22, a 23% implied upside from the current price of $17.88. The analyst said that the company is growing confident that it will continue to grow at a decent pace. It’s revenue is expected to grow at high-single digits this year, and “the possibility of crossing double-digit territory”, the analyst said. The analyst also increased his revenue estimate for the company by 2 percentage points citing that better execution in the last 4 quarters.

A10 Networks, Inc. (NYSE:ATEN) provides security application delivery and network infrastructure for edge cloud computing, hybrid cloud and on premises environments.

While we acknowledge the potential of ATEN as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than ATEN and that has a 100x upside potential, check out our report about this cheapest AI stock.

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Disclosure: None.