
Cognyte Software (CGNT) Stock Forecast & Price Target
Cognyte Software (CGNT) Analyst Ratings
Bulls say
Cognyte Software Ltd is well-positioned for growth due to the significant increase in cybersecurity threats, with a 40% year-over-year rise in disclosed vulnerabilities, indicating a heightened demand for security analytics solutions. The company's focus on improving its revenue mix towards recurring revenue suggests a strategic shift that can enhance financial stability and predictability. Additionally, a sustainable acceleration in revenue growth is expected to lead to a favorable re-rating in valuation, reflecting investor confidence in Cognyte's ability to meet the evolving needs of its customers.
Bears say
Cognyte Software Ltd has experienced a notable decline in its revenue mix, with Software Revenue decreasing to 87.5% in FY25 from 88.9% in FY24 and further dropping to 85.9% in 1QFY26. Additionally, Recurring Revenue has fallen below 50% of Total Revenue for the first time since 2QFY24, indicating a trend of diminishing stability in its revenue sources. Despite guidance forecasting a 12% year-over-year growth in Software Revenue for FY26, concerns persist due to the erratic revenue mix and the continuous decline in Recurring Revenue as a percentage of Total Revenue since 1QFY25.
This aggregate rating is based on analysts' research of Cognyte Software and is not a guaranteed prediction by Public.com or investment advice.
Cognyte Software (CGNT) Analyst Forecast & Price Prediction
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