JFrog (FROG) AI Stock Analysis

• Market Cap: $7.90B
• Dividend Yield: N/A
• Average Volume (3M): 2.06M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.01
• Revenue Growth: 22.69%
• EPS Growth: -32.47%
• Country: US
• Employees: 1,600
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): 0.22
• Shares Outstanding: 118,312,836
• 10 Day Avg. Volume: 2,718,743
• 30 Day Avg. Volume: 2,056,653
• PEG Ratio: -6.87
• Price to Book (P/B): 4.17
• Price to Sales (P/S): 7.53
• P/FCF Ratio: 29.93
• Enterprise Value/Market Cap: 0.62
• Enterprise Value/Revenue: 9.77
• Enterprise Value/Gross Profit: 12.91
• Enterprise Value/Ebitda: -95.44
• 1Y Price Target: $71.76
• Price Target Upside: 7.41% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 19
• EPS Forecast (FY): 0.79
• Revenue Forecast (FY): $524.61M

• Rating: 73 Outperform
• Price Target: $72.00 ▲(7.77% Upside)

JFrog's overall stock score is driven by strong technical momentum and positive earnings call highlights, including robust revenue growth and strategic investments in AI. However, the negative P/E ratio and lack of profitability weigh down the valuation score, presenting a risk. The company's financial performance shows potential for future stability, but current profitability challenges remain a concern.

Positive Factors

Revenue Growth

The strong revenue growth indicates JFrog's successful market penetration and product adoption, which supports long-term business expansion.

Enterprise Customer Expansion

The expansion in enterprise customers reflects JFrog's ability to scale its solutions for larger clients, enhancing revenue stability and growth potential.

Innovation in AI and Machine Learning

Investments in AI and ML enhance JFrog's product offerings, positioning it to capitalize on emerging technology trends and drive future growth.

Negative Factors

Profitability Challenges

Ongoing profitability challenges may limit JFrog's ability to reinvest in growth and innovation, affecting long-term financial health.

Longer Sales Cycles for Security Solutions

Extended sales cycles could delay revenue realization and impact cash flow, posing a risk to achieving projected growth targets.

Challenges in Cloud Adoption

Hesitancy in cloud adoption may slow JFrog's growth in the cloud segment, affecting its ability to capitalize on this strategic area.

JFrog Business Overview & Revenue Model

Company Description

JFrog Ltd. provides DevOps platform in the United States. The company's products include JFrog Artifactory, a package repository that allows teams and organizations to store, update, and manage their software packages at any scale; JFrog Pipelines, an integration/continuous delivery tool for automating and orchestrating the movement of software packages; JFrog Xray, which scan JFrog Artifactory; and JFrog Distribution that provides software package distribution with enterprise-grade performance. Its products include JFrog Artifactory Edge that utilizes and leverages metadata from JFrog Artifactory to facilitate the transfer of the incremental changes in software packages from their previous versions; JFrog Mission Control, a platform control panel that provides a view of moving pieces of an organization's software supply chain workflow; JFrog Insight, a DevOps intelligence tool; and JFrog Connect, a device management solution that allows companies to manage software updates and monitor performance across IoT device fleets from anywhere in the world. The company's products also comprise JFrog Pro, JFrog Pro Team, JFrog Pro X, JFrog Enterprise, JFrog Enterprise X, and JFrog Enterprise Plus products that offer ongoing updates, upgrades, and bug fixes, as well as cluster configuration, multi-site replication, and SLA support. It serves technology, financial services, retail, healthcare, and telecommunications organizations. JFrog Ltd. was incorporated in 2008 and is headquartered in Sunnyvale, California.

How the Company Makes Money

JFrog generates revenue primarily through a subscription-based model for its software products, which are offered in various tiers to accommodate different organizational needs. Their key revenue streams include licenses for JFrog Artifactory, JFrog Pipelines, and JFrog Xray, as well as premium support services. The company also benefits from strategic partnerships with major cloud service providers, which enhance its visibility and integration capabilities, thereby attracting more customers. Additionally, JFrog may earn revenue through professional services and training for clients seeking to optimize their DevOps practices.

JFrog Financial Statement Overview

Summary

JFrog demonstrates strong revenue growth and efficient cost management, as seen in its high gross profit margin. The balance sheet is robust with low leverage, though profitability remains a concern with negative net income and return on equity. Cash flow metrics are improving, indicating potential for future financial stability.

Income Statement

JFrog's revenue growth has been consistent, with a TTM growth rate of 5.87%. However, the company is still operating at a loss, with a negative net profit margin of -15.88% and a negative EBIT margin of -11.24%. The gross profit margin remains strong at 75.42%, indicating efficient cost management in production.

Balance Sheet

The company maintains a low debt-to-equity ratio of 0.013, reflecting minimal leverage and a strong equity position. However, the return on equity is negative at -9.79%, indicating challenges in generating profits from shareholders' investments. The equity ratio is healthy, showing a solid asset base supported by equity.

Cash Flow

JFrog shows a positive trend in cash flow, with a free cash flow growth rate of 1.52% and a strong free cash flow to net income ratio of 0.98. The operating cash flow to net income ratio is 0.39, suggesting that the company is generating cash effectively despite net losses.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	502.61M	428.49M	349.89M	280.04M	206.68M	150.83M
Gross Profit	380.29M	330.19M	272.84M	216.95M	164.86M	122.38M
EBITDA	-51.44M	-69.64M	-60.24M	-62.73M	-59.62M	-10.53M
Net Income	-79.81M	-69.24M	-61.26M	-90.18M	-64.20M	-9.40M
Balance Sheet
Total Assets	1.27B	1.13B	972.56M	871.22M	852.53M	689.23M
Cash, Cash Equivalents and Short-Term Investments	651.06M	522.01M	545.01M	443.20M	421.13M	598.06M
Total Debt	11.15M	13.98M	22.23M	23.96M	27.31M	0.00
Total Liabilities	406.11M	356.38M	293.43M	246.45M	213.95M	135.34M
Stockholders Equity	859.42M	773.53M	679.12M	624.77M	638.58M	553.89M
Cash Flow
Free Cash Flow	140.90M	107.78M	72.17M	16.80M	23.67M	25.94M
Operating Cash Flow	144.15M	110.92M	74.16M	21.43M	27.90M	29.46M
Investing Cash Flow	-162.41M	-165.36M	-53.48M	-53.34M	-125.55M	-311.80M
Financing Cash Flow	33.59M	21.23M	18.37M	11.03M	1.44M	406.13M

JFrog Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 66.81
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FROG, the sentiment is Positive. The current price of 66.81 is above the 20-day moving average (MA) of 64.62, above the 50-day MA of 57.28, and above the 200-day MA of 45.14, indicating a bullish trend. The MACD of 2.66 indicates Positive momentum. The RSI at 63.93 is Neutral, neither overbought nor oversold. The STOCH value of 50.43 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FROG.

JFrog Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CWAN	79 Outperform	$6.51B	14.54	32.91%	―	50.91%	54812.50%
BILL	74 Outperform	$5.61B	―	0.30%	―	11.63%	50.72%
FROG	73 Outperform	$7.90B	-95.66	-9.88%	―	22.69%	-32.47%
ZETA	67 Neutral	$4.33B	-154.95	-3.92%	―	35.87%	85.20%
GTLB	62 Neutral	$6.40B	-146.38	-5.17%	―	27.35%	18.18%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
COMP	61 Neutral	$5.95B	-93.71	-9.39%	―	24.27%	73.11%

JFrog Corporate Events

JFrog Appoints Sigal Zarmi to Board of Directors

On September 19, 2025, JFrog Ltd. announced the appointment of Sigal Zarmi to its Board of Directors, effective November 1, 2025. Zarmi, a seasoned CIO and digital transformation executive with experience at companies like Morgan Stanley and PwC, is expected to drive strategic enterprise growth in the areas of DevOps, DevSecOps, and MLOps. Her appointment comes amid significant shifts in the enterprise software market, and her expertise is anticipated to bolster JFrog’s position as a leader in the software and AI-driven world.