Should You Buy This IT Security Company: Tufin Software Technologies Ltd (NYSE: TUFN)
Tufin Software Technologies Ltd develops, markets, and sells software-based solutions that help organizations visualize, define, and enforce a unified security policy across complex, heterogeneous network environments. Its solutions increase business agility, eliminate errors from manual processes, and ensure continuous compliance through a single console. The company’s sales of products and services worldwide are made through a global network of distributors and resellers, which sell the products and services to their end-user customers. It derives revenues from licensing of software, sales of hardware, providing maintenance and technical support, and sales of professional services.
Highlights
Recent Global Recognition
- March 24, 2022 – company pioneering a policy-centric approach to security and IT operations, today announced that Tufin Technical Support won a Bronze Stevie® Award in the Customer Service Department of the Year – Computer Software category in the 16th Annual Stevie Awards for Sales & Customer Service.
- March 15, 2022 –company announced today that the Tufin Orchestration Suite™ was named a 2022 Gold Winner in Network Security and Management by the Globee Awards 18th Annual Cyber Security Global Excellence Awards®.
Positive Fourth Quarter and Full Year 2021 Results
- Fourth quarter revenue of $35.8 million increased 16% year-over-year
- Fourth quarter GAAP operating loss of $3.1 million and non-GAAP operating income of $0.1 million
- Full year revenue of $110.9 million increased 10% year-over-year
- Full year GAAP operating loss of $36.3 million and non-GAAP operating loss of $22.4 million
Quick Look at last 3 years Revenue & Earnings
Better than Expected EPS
Tufin Software (TUFN) came out with a quarterly loss of $0.04 per share versus the Consensus Estimate of a loss of $0.06. This compares to loss of $0.03 per share a year ago. These figures are adjusted for non-recurring items.
Over the last four quarters, the company has surpassed consensus EPS estimates three times.
Tufin posted revenues of $35.84 million for the quarter ended December 2021, surpassing the Consensus Estimate by 3.82%. This compares to year-ago revenues of $30.95 million. The company has topped consensus revenue estimates three times over the last four quarters.
The sustainability of the stock’s immediate price movement based on the recently released numbers and future earnings expectations will mostly depend on management’s commentary on the earning call.
Quick Look at company’s key Numbers
Stock Chart
Stock has been less volatile showing a strong average support level of $9.50 USD over last 6 months period.
Stock Recommendation: Considering the technical factors & current entry point into the stock, MarketFacts gives a “Buy” rating on the stock at the Opening Price of $8.73 USD as of April 1st, 2022.
| OMP (USD) (1st April 2022) | $8.73 |
| Target Price (USD) | $13.50 |
| Recommendation | Buy |
