And right now we are 2 minutes away from the end of the trading day. Romaine Bostick alongside Katie Greifeld, taking you through to the closing bell with a global simulcast. Carol Massar and Tim Stenovec, join us right now.Welcome to our audiences across all of our bloomberg platforms. The cameras right in front of you, Carol, as you welcome our audiences across all of our Bloomberg platforms, television, radio, our partnership with YouTube. It's Friday.Carol, a down day for the market, a flat day for the ...

We continue to take a look at names that are on the move on earnings and I'm joined now by Diane King Hall and we want to look first at Capital One and acquisition news. Good morning. >> Yeah, it's got a lot swirling around this uh one because the reported earnings, but baked into the earnings was this acquisition.So the shares are actually under pressure right now off the back of its quarterly report card and news of this acquisition because investors are trying to digest this make heads or tails of what t ...

Core Viewpoint - Rosen Law Firm has announced a class action lawsuit against Varonis Systems, Inc. for allegedly misleading investors about its business operations and annual recurring revenue projections during the specified class period from February 4, 2025, to October 28, 2025 [1][2]. Allegations - The lawsuit claims that Varonis provided investors with overly positive statements regarding its expected annual recurring revenue (ARR) for the 2025 fiscal year, expressing confidence in its ability to maintain ARR projections while transitioning existing customers to a software-as-a-service (SaaS) model [3]. - It is alleged that Varonis concealed material adverse facts about its capability to convert its existing customer base to the SaaS offering, which led to inflated security prices and ultimately caused shareholder losses when the truth was revealed [4]. Next Steps - Shareholders interested in participating in the class action must file motions to serve as lead plaintiffs by March 9, 2026. They can choose to remain absent class members without participating in the case [5]. Law Firm Background - Rosen Law Firm specializes in securities class actions and has a track record of recovering over $1 billion for shareholders, emphasizing its commitment to improving corporate governance and holding executives accountable [7].

Core Viewpoint - Rubrik, Inc. is currently viewed as an attractive investment opportunity due to its strong fundamentals and recent stock pullback, which has created a compelling entry point for investors [1][3][4] Group 1: Stock Performance and Analyst Ratings - Goldman Sachs has reiterated a "Buy" rating on Rubrik with a price target of $120, highlighting a robust ARR growth and improving FCF profile as key drivers [1][2] - The stock has experienced a ~17% pullback since post-F3Q earnings highs, which is seen as an opportunity for investors [2] - Despite the recent decline, the stock is trading slightly above pre-F3Q levels, indicating potential undervaluation by the market [3] Group 2: Market Dynamics and Comparisons - The market is currently discounting Rubrik's strong mid-30s ARR growth trajectory and improving FCF profile, with the stock trading at approximately 11x EV/S (NTM) compared to high-growth peers at 13x [4] - Lightspeed entities still hold an estimated 9-10 million shares, representing less than 7% of the current public float, which is equivalent to about three days of average daily trading volume [2]

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.

Riverwater Partners, an investment management company, released its “Micro Opportunities Strategy” Q3 2025 investor letter. A copy of the letter can be downloaded here. The strategy reported solid absolute returns in the quarter but lagged the benchmark as it did not keep pace with the strong rally. The strategy continues to focus on quality companies in the volatile environment. In addition, you can check the fund’s top 5 holdings to determine its best picks for 2025. In its third-quarter 2025 investor ...

15 December 2025 | 5:32PM EST Equity Research AMERICAS TECHNOLOGY IT Spending Survey: Downtick in spending intentions though indices remain in expansion territory IT spending intentions remain generally resilient in our November 2025 survey despite uncertainty in the global macroeconomic backdrop Our overall IT spending index decreased to 68.0 from 74.0, and our IT Capital Spending Index decreased to 65.5 from 67.0. For context, the average Overall IT spending index and IT Capital Spending Index figures sta ...

Financial Data and Key Metrics Changes - The company reported Q3 2025 revenue of approximately $1.55 million, consistent with the first two quarters of the year, but down roughly $600,000 compared to the previous year due to timing of larger customer orders [4][14] - Year-to-date revenue for 2025 was slightly under $5 million, reflecting a decrease largely attributed to quarter-to-quarter variability [4] - The net loss for Q3 2025 was $965,000 or $0.15 per share, compared to a net loss of $739,000 or $0.39 per share in Q3 2024 [16] Business Line Data and Key Metrics Changes - License fee revenue decreased to $918,000 in Q3 2025 from $1.4 million in Q3 2024, while service revenue increased slightly to $268,000 [14] - Hardware sales declined to approximately $364,000 in Q3 2025 from $436,000 in Q3 2024 due to timing of shipments [15] Market Data and Key Metrics Changes - The company experienced strong demand in the defense sector, with two of the top four largest global defense agencies using its technology [10] - The company is focusing on expanding its market reach in Europe, the Middle East, and Africa, particularly through channel sales efforts [7] Company Strategy and Development Direction - The company is advancing its channel sales efforts and has engaged an external marketing firm to enhance its marketing strategies and website content [7] - A significant update to the PortalGuard identity platform is expected to be released in late Q1 or early Q2 2026, which represents a major modernization of the platform [8] - The company is focusing on reducing its break-even levels and supporting positive cash flow and profitability [12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the growth prospects for the upcoming year, citing a strong pipeline of opportunities and the potential for significant contract renewals [12][39] - The company noted that the recent U.S. government shutdown did not impact its business operations [37] Other Important Information - The company raised approximately $3 million net of fees through a warrant exercise transaction, enhancing its cash liquidity [13] - Current assets as of September 30, 2025, were $3.7 million, including $2 million in cash, compared to $1.9 million in current assets at the end of 2024 [17] Q&A Session Summary Question: Was the Bank of Egypt win a recurring revenue deal? - Management confirmed it was an initial deployment with expectations for expanded deployment [19] Question: Are margins lower on the Bank of Egypt project due to partnership? - Management stated that gross margins on software remain above 90% [20] Question: What is the current ARR? - Management indicated that the ARR is growing and estimated to be in the $6 million-$7 million range [25] Question: What led to the decision to provide formal guidance? - Management cited confidence from a solid pipeline of opportunities and results from investments in the partner network [33] Question: Did the U.S. government shutdown impact business? - Management confirmed there was no impact from the shutdown [37] Question: Are there any major upcoming renewals in 2026? - Management indicated that there are several renewals and expansions on the horizon [40] Question: What is the status of the Channel Alliance program? - Management emphasized the focus on quality partnerships rather than quantity, with significant players in local markets [41][42]

Financial Data and Key Metrics Changes - The company reported Q3 2025 revenue of approximately $1.55 million, consistent with the first two quarters of the year, but down roughly $600,000 year-over-year due to timing of larger customer orders [4][15] - Year-to-date revenue for 2025 was slightly under $5 million, reflecting a decrease compared to the previous year [4] - The net loss for Q3 2025 was $965,000 or $0.15 per share, compared to a net loss of $739,000 or $0.39 per share in Q3 2024 [17] Business Line Data and Key Metrics Changes - License fee revenue decreased to $918,000 in Q3 2025 from $1.4 million in Q3 2024, while service revenue increased slightly to $268,000 [15] - Hardware sales declined to approximately $364,000 in Q3 2025 from $436,000 in Q3 2024 due to timing of shipments [16] Market Data and Key Metrics Changes - The company experienced strong demand in the defense sector, with two of the top four largest global defense agencies using its technology [11] - The company is focusing on expanding its market reach in Europe, the Middle East, and Africa, particularly through channel sales efforts [7] Company Strategy and Development Direction - The company is finalizing a major website overhaul and developing new marketing messaging to enhance its market presence [8] - A significant update to the PortalGuard identity platform is expected to be released in late Q1 or early Q2 2026, which will modernize the platform and improve deployment capabilities [9] - The company is expanding its partner network to enhance market penetration and drive growth [22][37] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the growth prospects for 2026, citing a solid pipeline of opportunities and the potential for expanded deployments with existing customers [33][36] - The company is focused on reducing its break-even levels and achieving positive cash flow and profitability [13][44] Other Important Information - The company raised approximately $3 million net of fees through a warrant exercise transaction, significantly improving its cash liquidity [14] - Operating expenses decreased by over 10% through the first nine months of 2023, reflecting cost management efforts [13] Q&A Session Summary Question: Was the National Bank of Egypt deal a recurring revenue deal? - Yes, it was an initial deployment with expectations for expanded deployment in the future [20] Question: Are margins lower on the National Bank of Egypt project due to the partnership with Raya? - No, gross margins on software remain over 90% [21] Question: What is the current ARR? - The current ARR is estimated to be in the $6-$7 million range [26] Question: Will the company provide formal guidance for 2026? - The company is confident in its position and may provide guidance as it becomes more predictable [31][34] Question: Did the U.S. government shutdown impact the business? - No, there was no impact from the government shutdown [35] Question: What is the status of the Channel Alliance program? - The program is growing, focusing on quality partnerships that can deliver significant value [38][39]

Group 1 - The core viewpoint of the articles highlights a significant sell-off in artificial intelligence stocks, particularly affecting Nvidia, which is under pressure to deliver strong earnings amid market volatility [1][4]. - Nvidia's stock experienced a decline of 3.6%, approaching its 50-day moving average, coinciding with a broader market downturn where the Nasdaq composite fell by 2.3% [1]. - The overall market has seen a substantial loss in value, with the AI stock bubble reportedly destroying $1.8 trillion in market capitalization [4]. Group 2 - Analysts on Wall Street are expressing confidence in Nvidia's ability to recover and regain momentum ahead of its earnings report [2]. - The market is closely monitoring Nvidia's performance, especially in light of supply constraints and the upcoming earnings report, which is expected to be a critical indicator for the AI sector [4]. - The recent market trends indicate a sharp decline in major stocks associated with AI, including Tesla and Palantir, contributing to a significant drop in the Dow Jones [4].