Craig-Hallum upgrades A10 Networks to Buy following better Q1 results

As previously reported, Craig-Hallum upgraded A10 Networks (ATEN) to Buy from Hold with a $20 price target following better Q1 results and reiterated confidence in high-single digits topline growth this year. The firm says the company’s enterprise business continues to show strength, up 18% year-over-year in Q1, and service providers were up 3% year-over-year as the company continues to see stabilization of customers spending. While the current environment creates some cautiousness from customers which could impact order timing, management reiterated that the company’s solutions are increasingly non-discretionary and high priority spends that cater to capacity and security needs, Craig-Hallum adds.