Core Insights - ServiceNow is in advanced discussions to acquire cybersecurity startup Armis for up to $7 billion, with an announcement expected soon [2] - Armis, founded by veterans of Israel's military cyber intelligence, specializes in identifying and tracking security threats across various industries [3] - The acquisition aligns with a trend of increasing mergers and acquisitions in the cybersecurity sector, driven by the rising use of AI to combat cyber threats [4] Company Overview - Armis has achieved $300 million in annual recurring revenue, up from $200 million in 2024, indicating significant growth [3] - The company recently raised $435 million in a pre-IPO funding round, valuing it at $6.1 billion, with plans to reach $1 billion in annual recurring revenue [4] Industry Trends - The cybersecurity industry is experiencing a surge in AI adoption, with a significant increase in the use of AI-powered automated cybersecurity management systems among chief operating officers [5] - Research indicates that 55% of COOs have implemented AI systems for cybersecurity, up from 17% in May 2024, highlighting the growing reliance on AI for threat detection and risk management [5][6] - Despite the increased use of AI, 77% of chief product officers using generative AI for cybersecurity still emphasize the need for human oversight, indicating a balance between AI capabilities and human intervention [6]

Core Insights - ServiceNow is in advanced discussions to acquire cybersecurity startup Armis for up to $7 billion, which would mark its largest acquisition to date [1][8] - The deal is expected to be announced soon, although there is a possibility it could collapse or attract other bidders [1][8] Company Overview - ServiceNow provides software solutions for automating and organizing IT and personnel operations, establishing itself as a dominant platform for enterprise workflow [2] - Armis, founded by Israeli military veterans, specializes in identifying and tracking security threats across various industries, including defense, financial services, and medicine [3][4] Financial Performance - Armis reported an annual recurring revenue of $300 million in 2025, up from $200 million the previous year, and is considering an initial public offering (IPO) in 2026 [4] Previous Acquisition Attempts - In 2020, Armis was previously set to be acquired for $1.1 billion by Insight Partners and other investors, including Alphabet's CapitalG [5] - Thoma Bravo was also in discussions for a potential deal with Armis, indicating strong interest from multiple investors [5] Industry Context - The tech industry is increasingly focused on enhancing cybersecurity portfolios, with major players like Microsoft and Salesforce integrating generative AI and cybersecurity features into their products [6] - Recent acquisitions in the sector include Alphabet's purchase of Wiz Inc. for $32 billion and Palo Alto's acquisition of CyberArk Software for approximately $25 billion [7]

Group 1 - The article discusses the investment strategy of a boutique family office fund led by Amrita, focusing on sustainable, growth-driven companies that maximize shareholder equity [1] - Amrita has a background in high-growth supply-chain start-ups and has experience working with venture capital firms, which has contributed to her investment acumen [1] - The newsletter "The Pragmatic Optimist," co-founded by Amrita, aims to simplify financial literacy and macroeconomic concepts for a broader audience, enhancing understanding of investment strategies [1] Group 2 - The article mentions a long position in Zscaler (NASDAQ: ZS) as part of the investment strategy, indicating confidence in the stock's potential [2] - The disclosure emphasizes that the opinions expressed are personal and not influenced by any business relationships with the companies mentioned [2]

Core Insights - The article discusses the decline of the American Dream and the potential for a new investment wave termed "American Dream 2.0" aimed at revitalizing the U.S. economy through significant infrastructure investments [5][27]. Investment Opportunities - The American Dream 2.0 Summit outlines an anticipated $11.3 trillion investment bonanza focused on transforming America into a global powerhouse, with funds allocated for AI data centers, research, and manufacturing [8]. - Celanese Corp. (CE) is highlighted as a promising investment opportunity, with expectations of revenue growth in 2026 after a period of decline, driven by stabilization in the automotive sector and a surge in construction demand [13][14]. - Analysts predict a 17% increase in gross income for Celanese, projecting a return to profitability after two years of losses, with shares currently trading at a significant discount to their justified value [15][16]. - Akamai Technologies Inc. (AKAM) is identified as a hidden leader in the compute space, with analysts forecasting revenue growth due to its transition from a content delivery network to a comprehensive cloud and cybersecurity provider [23][22]. Economic Context - The article contrasts the current economic challenges faced by many Americans with the prosperity experienced by those born in the 1940s, where 90% of children out-earned their parents, compared to only 50% for those born in the 1980s [3][5]. - The nostalgia for past economic conditions is prevalent among millennials and Gen-X'ers, prompting a focus on policies aimed at restoring well-paying manufacturing jobs and investment in American infrastructure [6][27].

Group 1 - ServiceNow is in advanced talks to acquire cybersecurity startup Armis, which was last valued at $6.1 billion [1] - The potential deal could reach a total value of $7 billion, making it ServiceNow's largest acquisition to date [1] - The acquisition announcement could occur as soon as this week, although there is a possibility that the talks may not conclude successfully [1] Group 2 - Armis specializes in securing and managing internet-connected devices, protecting them from cyber threats [2] - The company recently raised $435 million in a funding round and has indicated plans for an eventual IPO [2]

Core Insights - Armis, a privately-held Israeli cybersecurity company, is in discussions for a potential sale to US-based ServiceNow for up to $7 billion, with an announcement expected soon [1] - ServiceNow is a leading platform for enterprise management and automation, boasting a market capitalization of nearly $180 billion [2] - Armis has recently surpassed an annual revenue of $300 million, growing by $100 million in less than a year, indicating strong demand for its cybersecurity solutions [3] Company Overview - Armis focuses on securing critical assets for large organizations, including airports and oil and gas infrastructure, and has expanded its offerings to address cyber vulnerabilities [5] - The company was previously controlled by Insight Partners, which acquired it in 2020 for $1.1 billion, making them significant beneficiaries of the potential sale [4] - Armis's founders have a history in cybersecurity, having previously worked at Adallom, which was acquired by Microsoft for $320 million in 2025 [5] Investment and Future Plans - The company is considering an IPO, targeting a flotation in late 2026 or early 2027 [3] - Other notable investors in Armis include Goldman Sachs, Google's Capital G, and Brookfield Asset Management, indicating strong backing from prominent financial entities [4]

Core Viewpoint - ServiceNow is in advanced discussions to acquire Armis, a cybersecurity startup, with a potential deal valuation of up to $7 billion [1] Company Summary - Armis was planning for an initial public offering (IPO) next year before the acquisition talks began [1] - The acquisition reflects ServiceNow's strategy to enhance its cybersecurity offerings through the integration of Armis's technology [1]

Earnings Overview - SentinelOne reported a 23% year-over-year increase in annual recurring revenue, reaching $1.05 billion, with total revenue up 23% to $258.9 million [3][5] - Non-GAAP operating margins improved to 7%, a 1,200 basis point increase, while non-GAAP net income margins reached 10%, up 1,000 basis points [3] - GAAP operating margin was negative 28%, and GAAP net loss margin was negative 23%, indicating significant losses [3][5] - Analysts predict SentinelOne will not achieve GAAP profitability until 2032, which may be acceptable to investors if growth and free cash flow remain healthy [5] Snowflake Performance - Snowflake's product revenue grew by 29% year-over-year, totaling $1.16 billion, with remaining performance obligations (backlog) increasing by over 37% to $7.88 billion [5][7] - Non-GAAP operating margin expanded by 450 basis points year-over-year to 11% [6] - Analysts forecast Snowflake will reach GAAP profitability by 2031, indicating a long wait for investors [8] Competitive Landscape - SentinelOne competes directly with CrowdStrike in the endpoint security market, emphasizing the importance of continued investment for growth [3][4] - Snowflake is recognized for its strong business fundamentals and strategic partnerships, although it faces high valuation concerns and slowing revenue guidance [7][8] - Both companies are investing heavily in AI, which may impact short-term profitability but is expected to drive long-term growth [8] Netflix and Warner Brothers Discovery Deal - Netflix has agreed to acquire Warner Brothers Discovery in a cash and stock deal valued at $72 billion, while also assuming over $10 billion in debt [12] - The acquisition is seen as a strategic move to strengthen Netflix's position in the streaming market, potentially enhancing its content library and subscriber base [14][16] - Analysts express mixed feelings about the financial burden of the deal, with concerns about increased debt levels for Netflix [16][17] Market Reactions - Paramount Skydance has made a hostile bid for Warner Brothers Discovery, offering a premium cash deal that could complicate Netflix's acquisition plans [21][22] - The competitive landscape is heating up, with potential implications for both Netflix and Paramount in terms of market positioning and regulatory scrutiny [22][23]

and Net Scope falling uh despite reporting revenue beat after strong fullear guidance. Uh despite the dip, the stock still up from its IPO in September. Joining me now in a CNBC exclusive is Net Scope founder and CEO Sanjay Barry.Sanjay, good to see you. >> Yeah, great to see you again, John. >> So, uh 34% year-over-year rise in annualized recurring revenue, more than a thousand customers.what's driving the adoption of your various products uh in the latest quarter. >> Ultimately, as people adopt more cloud ...

Core Insights - Mitek Systems' earnings exceeded expectations, leading to a significant increase in stock price, closing up 8.87% after reaching a peak of 21% during the day [1] Financial Performance - Mitek's total revenue for the fiscal fourth quarter rose 4% year over year to $44.8 million, driven by a 19% increase in SaaS revenue to $21.3 million [3] - Despite revenue growth, Mitek's EBITDA declined 16% to $12.9 million due to growth investments, although adjusted earnings per share of $0.24 surpassed Wall Street's expectations of $0.18 [6] Strategic Outlook - Management provided a bullish forecast for fiscal 2026, projecting total revenue between $185 million and $195 million, with adjusted EBITDA margins of 27% to 30% [7] - CEO Ed West emphasized the focus on unifying identity, authentication, and fraud solutions to enhance SaaS adoption and customer value, aiming for durable, profitable growth [4][7]