TYSONS CORNER, Va. and PETAH TIKVA, Israel, Jan. 21, 2026 /PRNewswire/ -- Cellebrite (NASDAQ: CLBT), a global leader in premier Digital Investigative solutions for the public and private sectors, today announced it will report its fourth-quarter and fiscal year 2025 financial results before the U.S. markets open on Wednesday, February 11, 2026. Later that same morning, Cellebrite will host a live conference call and webcast to review the Company's financial results for the fourth quarter of 2025 and discus ...

Summary of the 2026 Year Ahead Outlook: Securing The Agentic Wave Industry Overview - **Industry**: Security Software - **Key Analysts**: Brian Essex, CFA; John Lee; Alex Isaac from J.P. Morgan Securities LLC Core Insights 1. **Favorable Outlook for Security Software in 2026** - The demand backdrop is healthy with reasonable expectations and attractive setups for better-than-expected execution - Top picks include PANW, CLBT, NTSK, and ZS, while FTNT is moved to Underweight due to competitive disadvantages [13][25] 2. **Market Dynamics in 2025** - 2025 was marked by macro uncertainty, leading to a slight contraction in average multiples across the coverage - Security software benefitted from a rotation towards stronger thematic names, particularly those with AI tailwinds [14][22] 3. **Budget Pressures and Spending Trends** - IT Security budgets are expected to grow at a slower pace compared to previous years, with a lower percentage of IT spending allocated to Security - Most budget pressure will impact headcount-related spending, while software spending remains healthy [22][62] 4. **AI's Impact on Security** - AI has increased the volume and sophistication of threats, necessitating a focus on Network Security, Endpoint, and Identity - Demand for SASE (Secure Access Service Edge) remains elevated, driven by AI adoption [23][24] 5. **Platformization and Vendor Performance** - Spending is expected to favor platform vendors that can consolidate across multiple high-priority categories - Established platforms are well-positioned for margin expansion and free cash flow growth [24][27] Key Company Insights 1. **Top Picks for 2026** - **PANW**: Comprehensive end-to-end platform with strong share consolidation capabilities; expected FCF margin expansion to 40% or better [27] - **CLBT**: Positioned for reacceleration driven by government demand; attractive valuation for potential 20%+ y/y growth [28] - **NTSK**: High-growth vendor with improving market traction; well-positioned for demand in Network, Data, and AI security [29] - **ZS**: Benefitting from a shift in Network Security spending; expected to gain from an expanding attack surface [30] 2. **Underweight Ratings** - **FTNT**: Facing challenges as a platform consolidator; current market conditions are unfavorable for stock performance [25] Additional Insights 1. **Consolidation Trends** - M&A activity is expected to accelerate, with private companies driving innovation in the security software space - Notable acquisitions include CyberArk by PANW and several others across the industry [105] 2. **Emerging Threats and Security Needs** - Cyber risks remain a top concern for C-suite executives, with a growing need for solutions to secure AI and machine identities - The market for securing AI is fragmented but expected to grow as larger players invest in this area [145][148] 3. **Growth Projections** - Security software is projected to remain a high-growth sector, with significant opportunities in Cloud Security, Data Privacy, and Endpoint Security - Expected CAGRs from 2024-2029 include Cloud Security at 24% and Data/Privacy at 13% [83] 4. **Valuation and Fundamentals** - Average multiples have contracted, but high-growth vendors are beginning to see multiple appreciation as interest rates stabilize - Companies that can reaccelerate growth while improving profitability will be favored in the market [111][116] This summary encapsulates the key points from the 2026 Year Ahead Outlook for the Security Software industry, highlighting the anticipated trends, company performances, and market dynamics.

Market Overview - The Law Enforcement Software Market was valued at USD 18.86 billion in 2025 and is projected to reach USD 40.82 billion by 2033, growing at a CAGR of 10.13% from 2026 to 2033 [1]. Growth Drivers - The expanding use of digital tools for public safety management, crime prevention, and investigation is driving growth in the law enforcement software market [2]. - The adoption of automated platforms and digital technologies is enhancing operational efficiency in police and public safety organizations [4]. Market Segmentation By Component - The solutions segment dominated the market with over 68.25% market share in 2025, driven by the need for operational efficiency and advanced tools [5]. - The services segment is expected to grow at the highest CAGR of 10.57% during the forecast period due to the demand for continuous support and training [5]. By Deployment - The cloud segment represented more than 71.48% of the market share in 2025, favored for its scalability, cost-efficiency, and accessibility [7]. - The on-premises segment is anticipated to grow at a CAGR of over 10.63%, offering customizable solutions for agencies [7]. Regional Insights - North America accounted for more than 36.23% of the law enforcement software market in 2023, integrating advanced technologies like AI and Big Data analytics [8]. - The Asia Pacific region is experiencing the highest growth rate with a CAGR of over 12.25% from 2026 to 2033, driven by urbanization and demand for advanced public safety solutions [9]. Key Players and Developments - Notable companies in the market include Axon, Motorola Solutions, Tyler Technologies, IBM, and Oracle, among others [12]. - Recent developments include Axon's introduction of new AI-powered tools and Oracle's enhancements to its Public Safety Suite with officer-worn cameras and real-time analytics [12].

Company Overview - Cellebrite DI Ltd. is a global provider of digital intelligence solutions, enabling legally sanctioned investigations across law enforcement and enterprise sectors [5] - The company utilizes proprietary technology to assist clients in collecting, analyzing, and managing digital evidence from a wide range of devices and sources [5] - Cellebrite's market position is supported by a comprehensive product suite and a broad international presence, serving critical investigative needs in both public and private sectors [6] Financial Performance - As of December 9, 2025, Cellebrite's share price was $18.34, with a market capitalization of $4.48 billion [4] - The company reported revenue of $455.9 million and net income of $76.3 million for the trailing twelve months (TTM) [4] - Cellebrite experienced an 18% revenue growth in its latest quarter, with most sales being sticky and recurring [11] Market Position and Competitive Advantage - Cellebrite is the leading end-to-end digital forensics platform, utilized by public safety departments across all 50 states, all 15 U.S. Cabinet-level executive departments, and 72 Fortune 100 companies [10] - The platform addresses a significant need, as 68% of investigative teams admit they cannot review and analyze all their data on time, offering significant time-saving benefits through its emerging AI capabilities [10] Investment Activity - Norwood Investment Partners initiated a new equity position in Cellebrite, acquiring 230,671 shares valued at $4.27 million as of September 30, 2025 [2] - This new position accounts for 3.7% of Norwood's reportable assets under management, which total $116.27 million across 15 positions [2][3]

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Core Thesis - Cellebrite DI Ltd. (CLBT) is experiencing a bullish sentiment due to impressive Q3 earnings, strong operational execution, and a promising outlook for future growth [2][5]. Financial Performance - CLBT's shares rose by 20% following the Q3 earnings report, reflecting strong execution and resilient operations [2]. - The company reported an EBITDA margin of 29.9%, indicating solid operating leverage despite significant investments in cloud infrastructure and FedRAMP compliance [2]. Product and Market Expansion - The Guardian platform has shown remarkable growth, increasing by 100% year-over-year, which enhances CLBT's presence in defense and intelligence sectors, with potential NATO contracts on the horizon [3]. - This growth represents a strategic shift from its traditional commercial base, positioning the company for long-term recurring revenue [3]. Challenges and Guidance - Structural delays in U.S. federal contracts have limited near-term growth, with the company projecting an annual recurring revenue (ARR) range of 17-19% and weaker net revenue retention [4]. - Q4 guidance is cautious due to ongoing federal contracting challenges, although 2026 is anticipated to be a year of more significant growth [4]. Valuation and Investment Outlook - The stock is valued at approximately 25 times the 2025 free cash flow, suggesting it is reasonably priced even with potential delays in federal contracts, with expected growth of 15-20% [5]. - The combination of strong private sector growth, strategic expansion of the Guardian platform, and eventual realization of federal contracts presents a compelling risk/reward scenario for investors [5].

Company Overview - Cellebrite is a digital investigations market leader with approximately 20 years of history and is publicly listed on NASDAQ [2] - The company originated in Israel, where its core research and development remains, and operates internationally with 55% of its business in the United States and 45% in other regions [2] Mission and Impact - Cellebrite's mission is to assist in exonerating innocent individuals and aiding law enforcement in apprehending criminals, including terrorists, murderers, and human traffickers [3] - The company collaborates with municipalities, police forces, private enterprises, and intelligence agencies in countries that uphold high standards for human rights and privacy, contributing to a safer world [3]

Cellebrite DI (NasdaqGS:CLBT) 2025 Conference December 02, 2025 04:15 PM ET Company ParticipantsSteve Pettigrew - Head of Software Investment BankingTom Hogan - CEODavid Barter - CFOSteve PettigrewGuys, thank you for joining today. My name's Steve Pettigrew. I lead the software investment banking business at UBS. Pleased to have with me today David Barter, Chief Financial Officer, and Tom Hogan, Chief Executive Officer of Cellebrite. For those of you who don't know Cellebrite, the digital investigations mar ...

The addition of Corellium’s leading virtualization technology to the Cellebrite platform delivers unmatched capabilities that transcend digital forensics, investigations, analytics and intelligenceTYSONS CORNER, Va. and PETAH TIKVA, Israel, Dec. 02, 2025 (GLOBE NEWSWIRE) -- Cellebrite (NASDAQ: CLBT), a global leader in AI-powered Digital Investigative and Intelligence solutions for the public and private sectors, today announced it has substantially expanded its capabilities through the acquisition of Corel ...

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