Wolfe Research Reiterates Outperform Rating on Radware (RDWR)

Wolfe Research analyst George Notter reiterated an Outperform rating and $32.00 price target on Radware (NASDAQ: RDWR)

The analyst comments "Maintain Outperform Rating… We still feel good about the risk/reward in Radware shares. The stock currently trades at 17.4x our CY’27 EPS estimate (ex-cash and the associated Interest Income). We think that’s too cheap for a best-in-class DDoS/Security provider with accelerating Cloud growth and increasing TAM in North America. Our newly-issued 2027 sales / EPS estimates are $346M / $1.30, respectively. Our $32 PT works out to 24x our 2027 EPS projection (ex-cash). Cloud ARR Acceleration Continues... Total ARR grew 7% Y/Y to $240M, adding another $5M during the quarter. Cloud ARR totaled $89M (up 24% Y/Y) – a further acceleration versus recent quarters. It’s impressive given they had previously expected a more gradual path to their long-term target for 25% growth. Of course, the addition of 2 new security centers during Q3 – and 3 more set to open next quarter – helps drive growth. The Cloud business is important for Radware shareholders – in our view, these types of subscriptions models are the best way for them to monetize their core technology and maximize customer lifetime value."

For an analyst ratings summary and ratings history on Radware click here. For more ratings news on Radware click here.

Shares of Radware closed at $25.99 yesterday.

You May Also Be Interested In

• Goldman Sachs Upgrades New Oriental Education (EDU) to Buy
• UraniumX raises $700,000 in oversubscribed private placement
• Goldman Sachs Upgrades New Oriental Education & Technology Group (9901:HK) (EDU) to Buy