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Cautious Optimism for Intrusion: Hold Rating Amid Revenue Growth and Challenges

Cautious Optimism for Intrusion: Hold Rating Amid Revenue Growth and Challenges

In a report released today, Scott Buck from H.C. Wainwright maintained a Hold rating on Intrusion, with a price target of $2.50.

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Scott Buck has given his Hold rating due to a combination of factors that suggest a cautious yet optimistic outlook for Intrusion’s future performance. While the company has shown sequential revenue growth over the past quarters, the loss of a significant Shield contract has posed challenges. However, the potential availability of Shield on the AWS marketplace could significantly boost revenue starting in the second half of 2025, coupled with a streamlined operating cost structure and improved gross margins.
Despite these positive indicators, Buck maintains a Neutral stance, reflecting the current inability to fully monetize the Shield product and the risks associated with product concentration, industry competition, and technological changes. The improved balance sheet and increased marketing investments are promising, yet the company needs to demonstrate more substantial revenue growth to shift the rating. The price target has been raised to $2.50, acknowledging recent trading levels and potential future growth opportunities.

Buck covers the Technology sector, focusing on stocks such as Mogo Finance Technology, Intrusion, and Intellicheck Mobilisia. According to TipRanks, Buck has an average return of -10.3% and a 29.49% success rate on recommended stocks.

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