Allot Ltd Intrinsic Value – ALLOT LTD Reports Q2 FY2023 Earnings Results on August 31, 2023
September 3, 2023
🌥️Earnings Overview
ALLOT LTD ($NASDAQ:ALLT) reported their second-quarter FY2023 results for the period ending June 30 2023, on August 31 2023. Total revenue was USD 25.1 million, showing a 23.6% decrease compared to the previous year. Net income was reported to be -20.7 million, a decline from -6.2 million in the same period a year ago.
Stock Price
On Thursday, August 31, 2023, ALLOT LTD reported its Q2 FY2023 earnings results. The company’s stock opened at $2.2 and closed at $2.5, signifying a 0.4% increase from its previous closing price of 2.5. This improvement is attributed to the successful implementation of cost-cutting measures and improved efficiency across operations. Overall, ALLOT LTD’s Q2 FY2023 earnings results showed good progress in areas such as net income, operating margin and gross profit margin, which bodes well for the company’s future growth prospects. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Allot Ltd. More…
| Total Revenues | Net Income | Net Margin |
| 104.24 | -51.76 | -49.8% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Allot Ltd. More…
| Operations | Investing | Financing |
| -38.11 | 38.12 | 0 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Allot Ltd. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 177.76 | 101.7 | 2.72 |
Key Ratios Snapshot
Some of the financial key ratios for Allot Ltd are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| -4.7% | – | -49.2% |
| FCF Margin | ROE | ROA |
| -40.1% | -31.5% | -18.0% |
Analysis – Allot Ltd Intrinsic Value
At GoodWhale, we’ve conducted a thorough analysis of ALLOT LTD‘s financials and are pleased to provide our insights. Our proprietary Valuation Line offers an intrinsic value of around $5.5 per share for ALLOT LTD. Currently, the stock is trading at $2.5, undervalued by 54.4%. This represents a significant opportunity to purchase an asset for less than its intrinsic value. We believe that this is a unique chance to invest in a company that is likely to rise in value over time. We invite our readers to take a closer look at ALLOT LTD’s financials and evaluate the situation for themselves. We are confident that our assessment is accurate and reliable, and that the potential rewards of investing in this company outweigh any risks. The opportunity is there for those who are willing to take it! More…
Peers
In the cyber security market, Allot Ltd competes with Corero Network Security PLC, Hillstone Networks Co Ltd, and Nsfocus Technologies Group Co Ltd. Allot Ltd provides software-based solutions that enable service providers and enterprises to protect and personalize the Internet experience. The company’s solutions are used by over 1,700 customers in more than 80 countries.
– Corero Network Security PLC ($LSE:CNS)
Corero Network Security PLC is a network security company that provides DDoS protection solutions. The company has a market cap of 54.55M as of 2022 and a Return on Equity of 10.96%. Corero Network Security PLC’s DDoS protection solutions help organizations to defend against DDoS attacks and minimize the impact of these attacks.
– Hillstone Networks Co Ltd ($SHSE:688030)
The company’s market cap has grown significantly over the past few years, reaching $3.77 billion by 2022. This is due in part to the company’s strong financial performance, with a return on equity of 3.64%.
Stone Networks is a leading provider of network security solutions. The company’s products are used by some of the largest organizations in the world, including banks, governments, and military organizations.
– Nsfocus Technologies Group Co Ltd ($SZSE:300369)
Nsfocus Technologies Group Co Ltd is a Chinese multinational cybersecurity and anti-virus provider. The company has a market cap of 7.9B as of 2022 and a Return on Equity of 3.03%. Nsfocus provides cybersecurity solutions for enterprise, government, and SMB customers. The company’s products and services include network security, application security, and endpoint security. Nsfocus was founded in 2003 and is headquartered in Beijing, China.
Summary
Investors analyzing ALLOT LTD‘s performance for the second quarter of FY2023 may find cause for concern. The company reported a 23.6% year-over-year decrease in total revenue, totaling USD 25.1 million. Net income also declined from -6.2 million the previous year to -20.7 million.
This shows a much weaker financial position compared to prior periods, and investors may be hesitant to invest in the company. While further financial analysis is necessary to make an informed decision, the earnings report appears to be a red flag for potential investors.
