JFrog Ltd. (NASDAQ:FROG) achieved a significant milestone on Saturday, reaching a new 52-week high of $60.68 during mid-day trading, following an upgrade from DA Davidson to a strong-buy rating. The stock ultimately closed at $60.00 with a trading volume of approximately 7,756,599 shares, a notable increase from its previous close of $47.26.
This surge in stock price comes amidst a wave of positive evaluations from various analysts. Robert W. Baird increased their price target for JFrog from $52.00 to $58.00, assigning an “outperform” rating. Meanwhile, Oppenheimer upgraded the stock from a “market perform” rating to “outperform,” setting a target price of $75.00. Other notable assessments include Cowen reaffirming a “buy” rating and Stifel Nicolaus raising their price objective from $45.00 to $53.00.
As it stands, JFrog has garnered a consensus rating of “Moderate Buy” from analysts, with an average price target of $62.69. Out of the total ratings, one analyst has issued a strong buy, fourteen have a buy rating, two have rated it as hold, and one has given it a sell rating.
Institutional Investment Activity
Recent movements among institutional investors indicate robust interest in JFrog. Beirne Wealth Consulting Services LLC entered into a new position valued at $367,000 during the third quarter. Notably, Vanguard Group Inc. increased its stake by 2.5%, now holding 9,143,178 shares worth approximately $432.7 million after acquiring an additional 224,513 shares.
The State of New Jersey Common Pension Fund D also raised its holdings by 3.0%, now owning 45,363 shares valued at $2.15 million. Furthermore, HighTower Advisors LLC increased its stake significantly by 452.1%, now holding 56,821 shares worth $2.69 million. Overall, institutional investors collectively own approximately 85.02% of JFrog’s outstanding shares.
Recent Financial Performance
JFrog’s recent quarterly earnings report reflected positive growth. For the quarter ending November 6, the company reported earnings per share (EPS) of $0.22, exceeding analysts’ expectations of $0.16 by $0.06. Revenue for the quarter reached $136.91 million, surpassing estimates of $128.28 million. Year-over-year, the company’s revenue increased by 25.5%, compared to the previous year when it reported an EPS of $0.15.
Despite these positive indicators, JFrog has a negative return on equity of -6.82% and a net margin of -15.88%. Looking ahead, the company has set its fiscal year 2025 guidance for EPS between $0.780 and $0.800, with fourth quarter guidance at $0.180 to $0.200. Analysts project JFrog will post an EPS of -0.33 for the current year.
About JFrog Ltd.
Founded in 2012, JFrog Ltd. provides a comprehensive hybrid software supply chain platform, with operations in the United States, Israel, India, and globally. The company’s offerings include JFrog Artifactory, a package repository for software management; JFrog Curation, which helps control package admission into organizations; JFrog Xray, which secures software packages; and JFrog Distribution for software package distribution.
As JFrog continues to gain traction in the market, it remains to be seen how these recent upgrades and financial results will impact its ongoing growth and investor sentiment.
