In a report released yesterday, Shrenik Kothari from Robert W. Baird maintained a Buy rating on JFrog (FROG – Research Report), with a price target of $40.00.
Shrenik Kothari has given his Buy rating due to a combination of factors that indicate a favorable outlook for JFrog. The company is set to report its earnings with a constructive setup, supported by conservative guidance and strong execution. JFrog benefits from trends like DevSecOps consolidation and AI-driven security, which are expected to enhance its performance in the upcoming quarters. Additionally, the company’s minimal exposure to federal risks further strengthens its position.
JFrog’s channel checks reveal positive momentum in large enterprise deals, particularly in areas like software supply-chain security and integration with Kubernetes. This is complemented by a strong demand execution, as evidenced by projected billings and revenue figures that align with or exceed market expectations. The company’s strategic positioning in secure delivery pipelines and software supply-chain integrity makes it a structural beneficiary of ongoing vendor rationalization and security-first transformations. These factors, combined with a compelling risk-reward profile and reasonable valuation relative to peers, underpin Kothari’s Buy rating.
According to TipRanks, Kothari is a 5-star analyst with an average return of 22.3% and a 68.72% success rate. Kothari covers the Technology sector, focusing on stocks such as CyberArk Software, Tenable Holdings, and Check Point.
In another report released on May 2, J.P. Morgan also maintained a Buy rating on the stock with a $40.00 price target.