Key PointsJFrog plummeted 12% after solid results and is setting up for the next leap higher. Growth is solid but slowing and aligns with forecasts, providing no catalyst for rallying today. Analysts trim targets but maintain a Moderate Buy rating and see a 20% upside at consensus. 5 stocks we like better than JFrogJFrog NASDAQ: FROG is a small DevOps platform shaking up an industry projected to grow at a 20% CAGR for the next five years. Its Enterprise+ package provides an end-to-end software supply chain ...

Financial Data and Key Metrics Changes - Total revenues for Q1 2024 were $100.3 million, representing a 26% year-over-year increase [20] - Cloud revenue reached $36.9 million, growing 47% year-over-year, exceeding guidance [20][9] - Gross profit was $85.3 million, with a gross margin of 85.1%, up from 82.9% in the previous year [21] - Operating profit for Q1 was $14.1 million, reflecting a 14% operating margin, an improvement from 3.4% in the prior year [7] - Net dollar retention rate was 118%, consistent with guidance for high-teens retention in 2024 [6][23] - Earnings per share were $0.16, compared to $0.06 in the prior year [129] Business Line Data and Key Metrics Changes - Self-managed revenues on-premises were $63.4 million, up 16% year-over-year [6] - Revenue contribution from Enterprise Plus subscriptions grew 39% year-over-year, accounting for 49% of total revenue [128] Market Data and Key Metrics Changes - Customers with Annual Recurring Revenue (ARR) greater than $1 million increased to 40, up from 21 a year ago, reflecting a 90% growth [1] - The number of customers with ARR greater than $100,000 grew to 911, a 16% increase year-over-year [145] Company Strategy and Development Direction - The company is focused on integrating DevOps, DevSecOps, MLOps, and MLSecOps into a unified platform to meet market demands [122][150] - There is an emphasis on expanding the partner network and channel strategy to enhance market reach [148] - The company anticipates continued growth in cloud migration projects and customer usage throughout 2024 [3][17] Management's Comments on Operating Environment and Future Outlook - Management noted that customers are currently in a digestion phase after significant consumption in Q4 2023, with expectations for project spending to increase in the latter half of 2024 [29][40] - The company remains optimistic about the growth potential in the MLOps and GenAI markets, although it does not expect immediate impacts on 2024 guidance [86][150] Other Important Information - The company ended Q1 2024 with $579.6 million in cash and short-term investments, up from $545 million at the end of 2023 [22] - The JFrog Security Research team is noted for its significant contributions to the industry, providing early insights into vulnerabilities [94] Q&A Session Summary Question: What is the current spending environment and customer willingness to invest? - Management indicated that customers are cautious and focused on budget stabilization, with larger project discussions expected to ramp up in the second half of 2024 [13][38] Question: How is the cloud business performing in terms of efficiency and optimization? - The cloud business is growing faster than on-premises, with customers increasingly focusing on optimization efforts [27][32] Question: What are the trends in MLOps and customer conversations regarding JFrog's offerings? - Customers are looking for comprehensive solutions for MLOps, with JFrog Artifactory being considered as a model registry [30][138] Question: Can you elaborate on the digestion phase observed in Q1? - The digestion phase was anticipated, with customers reassessing budgets and project priorities, leading to a more cautious spending environment [40][60] Question: How is the competitive landscape evolving in the security sector? - The competitive landscape is changing, with a trend towards consolidation around best-of-breed platforms, but the need for comprehensive security solutions remains consistent [79]

JFrog Ltd. (FROG) reported $100.31 million in revenue for the quarter ended March 2024, representing a year-over-year increase of 25.7%. EPS of $0.16 for the same period compares to $0.06 a year ago.The reported revenue represents a surprise of +1.70% over the Zacks Consensus Estimate of $98.63 million. With the consensus EPS estimate being $0.14, the EPS surprise was +14.29%.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Stre ...

JFrog Ltd. (FROG) came out with quarterly earnings of $0.16 per share, beating the Zacks Consensus Estimate of $0.14 per share. This compares to earnings of $0.06 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 14.29%. A quarter ago, it was expected that this company would post earnings of $0.13 per share when it actually produced earnings of $0.19, delivering a surprise of 46.15%.Over the last four quarters, the company has s ...

Trusted delivery with content control Regional Clouds Model & Dependency Version Control DEPLOYMENT ENVIRONMENT MONETIZATION 8/10 Uber Manual processes were causing inefficient delivery and release of software to global teams, costing Nokia time and money | --- | --- | --- | |---------------------------------|--------------------------------------------------------------------------------------------------------------------|-------------------------------------------------------| | EXISTING OFFERINGS | WHY ...

Exhibit 99.1 JFrog Announces First Quarter 2024 Results • Revenue for the first quarter of 2024 equaled $100.3 million, up 26% year-over-year. • GAAP Gross Profit was $79.7 million; GAAP Gross Margin was 79.5%. • Non-GAAP Gross Profit was $85.3 million; Non-GAAP Gross Margin was 85.1%. • GAAP Operating Loss was ($16.6) million; GAAP Operating Margin was (16.6%). • Non-GAAP Operating Income was $14.1 million; Non-GAAP Operating Margin was 14.0%. • GAAP Net Loss Per Share was ($0.08); Non-GAAP Diluted Earning ...

Wall Street analysts forecast that JFrog Ltd. (FROG) will report quarterly earnings of $0.14 per share in its upcoming release, pointing to a year-over-year increase of 133.3%. It is anticipated that revenues will amount to $98.63 million, exhibiting an increase of 23.6% compared to the year-ago quarter.The current level reflects no revision in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial p ...

SUNNYVALE, Calif. & PARIS--(BUSINESS WIRE)--(KubeCon + CloudNativeCon Europe) — JFrog Ltd. (“JFrog”) (NASDAQ: FROG), the Liquid Software company and creators of the JFrog Software Supply Chain Platform, today released the findings of its annual Software Supply Chain State of the Union report 2024, which identifies emerging development trends, risks and best practices for securing enterprise software supply chains. “DevSecOps teams worldwide are navigating a volatile field of software security, where inno ...

SUNNYVALE, Calif.--(BUSINESS WIRE)--JFrog Ltd. (“JFrog”) (Nasdaq: FROG), the Liquid Software company and creators of the JFrog Software Supply Chain Platform, today announced a new technology integration with Qwak, a fully managed ML Platform, that brings machine learning models alongside traditional software development processes to streamline, accelerate, and scale the secure delivery of ML applications. “Currently, data scientists and ML engineers are using a myriad of disparate tools, which are mostl ...

JFrog Ltd. (NASDAQ:FROG) Q4 2023 Earnings Conference Call February 14, 2024 5:00 PM ET Company Participants Jeffrey Schreiner - VP, IR Shlomi Ben Haim - CEO and Co-Founder Ed Grabscheid - CFO Conference Call Participants Sanjit Singh - Morgan Stanley Rachit Agrawal - JPMorgan Mike Cikos - Needham and Company Koji Ikeda - Bank of America Ittai Kidron - Oppenheimer Miller Jump - Truist Marc Bachner - Stifel Kingsley Crane - Canaccord Yi Fu Lee - Cantor Fitzgerald Rob Owens - Piper Sandler Nick Altmann - Scoti ...