An investment analysis has recommended buying shares in cybersecurity firm Netskope.
The recommendation highlights the company's cloud and AI-focused security tools as offering strong growth prospects. Netskope trades at less than 5 times forward sales while projecting 23 percent annual revenue growth. Gross margins are expected to reach 80 percent as the firm expands its NewEdge network and achieves positive free cash flow. The stock shows signs of technical stabilization with reduced short interest and better annual recurring revenue retention. However the analysis notes that Netskope is not yet profitable and lacks dedicated public sector sales capabilities.
