Proofpoint, Inc. (PFPT) - NASDAQ
  • Wed, Jun. 8, 3:51 PM
    • Finjan (FNJN +13.9%) has settled its infringement suit against security software firm Proofpoint (PFPT +1.6%). As part of the deal, Finjan will receive $10.9M in cash via three payments: A $4.3M up-front payment, a $3.3M payment due on or before Jan. 4, 2017, and a $3.3M payment due on or before Jan. 3, 2018. Other deal terms are confidential.
    • With Finjan sporting a $35M market cap going into day, shares have soared on the news. The company has also sued a number of other security tech firms. A $39.5M jury award was obtained last year in a suit against security hardware/software provider Blue Coat.
    | Wed, Jun. 8, 3:51 PM
  • Fri, May 6, 2:17 PM
    • Palo Alto Networks (PANW -3.7%), Proofpoint (PFPT -3.6%), Rapid7 (RPD -2.1%), Identiv (INVE -7.5%), and Vasco (VDSI -3.1%) are selling off after security tech peers FireEye (down 18.8%), Imperva (down 25.2%), and CyberArk (up 1.5%) delivered their Q1 reports.
    • FireEye, likely the biggest culprit behind the selloff, posted mixed Q1 results (sales missed, EPS beat), offered light Q2 and full-year revenue guidance (full-year billings guidance was affirmed), and announced (as part of a larger management shakeup) Kevin Mandia is replacing Dave DeWalt as CEO. The company's product (hardware/software) revenue fell 16% Y/Y amid tough competition in the malware-prevention space from Palo Alto and Cisco - Palo Alto's WildFire malware-detection service has been growing like its name - while its services/subscription revenue grew 58% thanks to both organic growth and M&A.
    • Imperva beat Q1 EPS estimates and posted roughly in-line revenue, but offered soft Q2 sales guidance blamed on European execution and (to some extent) web app firewall weakness. The company promises it's fixing both issues.
    • CyberArk beat Q1 estimates and offered Q2/2016 guidance that was generally favorable to consensus. The company's license revenue growth slightly accelerated in Q1 to 38% from Q4's 35%.
    • The PureFunds ISE Cyber Security ETF (HACK -2.3%) is down 13% YTD.
    | Fri, May 6, 2:17 PM | 9 Comments
  • Sun, Apr. 24, 6:13 PM
    • via Credit Suisse, in order of # of small-cap funds who own the stock. Following the stock is the number of funds who own it, and the change vs. previous quarter:
    • IDTI - Integrated Device Tech 96 | 14
    • MSCC - Microsemi 86 | 10
    • MANH - Manhattan Associates 85 | 5
    • CBM - Cambrex 80 | 4
    • EEFT - Euronet Worldwide 80 | 8
    • POR - Portland General Electric 79 | 0
    • EME - Emcore 78 | 6
    • LAD - Lithia Motors 78 | 6
    • AMSG - Amsurg 78 | 0
    • JCOM - J2 Global 77 | 4
    • PFPT - Proofpoint 77 | 4
    • AHS - AMN Healthcare 74 | 2
    • EXPR - Express Inc. 74 | 3
    • ICUI - ICU Medical 73 | 0
    • LGND - Ligand Pharma 73 | 6
    • PVTB - Privatebancorp 73 | -2
    • PRXL - Parexel 72 | 5
    • AEL - Americal Equity Investment Life 71 | 3
    • TYL - Tyler Technologies 71 | 7
    • CRZO - Carrizo Oil & Gas 69 | 3
    • MENT - Mentor Graphics 69 | -9
    • MNRO - Monro Muffler Brake 68 | 0
    • WAL - Western Alliance Bancorp 68 | 8
    • AEO - American Eagle Outfitters 67 | 0
    • LOGM - Logmein 67 | -1
    • OZRK - Bank of the Ozarks 67 | 5
    • SHOO - Steven Madden 67 | -10
    • STE - Steris 67 | 20
    • WNC - Wabash National 67 | -1
    • Credit Suisse recommends reducing exposure in small-cap "darlings" due to less opportunity for differentiation; historical underperformance; and outflows.
    | Sun, Apr. 24, 6:13 PM | 5 Comments
  • Thu, Apr. 21, 4:09 PM
    • Proofpoint (NASDAQ:PFPT): Q1 EPS of -$0.09 beats by $0.05.
    • Revenue of $79M (+36.8% Y/Y) beats by $2.69M.
    • Shares +0.01%.
    • Press Release
    | Thu, Apr. 21, 4:09 PM | 4 Comments
  • Wed, Apr. 20, 5:35 PM
    | Wed, Apr. 20, 5:35 PM | 22 Comments
  • Mon, Feb. 8, 2:37 PM
    • Many tech stocks are seeing 6%+ losses as investors flee to safety yet again. The Nasdaq is down 3.4%, and the S&P 2.7%.
    • As was the case on Friday following Tableau and LinkedIn's disappointing guidance, a slew of enterprise tech stocks are seeing big losses, with cloud software and security tech names well-represented on the casualty list.
    • Also: Solar stocks are having another brutal day (TAN -6.7%) as energy stocks get routed amid fears Chesapeake Energy is close to bankruptcy. WTI crude oil is once more near $30/barrel.
    • Enterprise software decliners: Adobe (ADBE -9.6%), Paylocity (PCTY -19.1%), Salesforce (CRM -9.9%), Workday (WDAY -12%), Guidewire (GWRE -12.5%), ServiceNow (NOW -11.5%), Zendesk (ZEN -13.8%), Paycom (PAYC -13.4%), Marin Software (MRIN -10.3%), Castlight (CSLT -8.4%), Cornerstone OnDemand (CSOD -12.1%), Atlassian (TEAM -13.2%), inContact (SAAS -9.6%), and Bazaarvoice (BV -14.5%).
    • Enterprise security decliners: Palo Alto Networks (PANW -12.2%), FireEye (FEYE -9.8%), CyberArk (CYBR -11.5%), Proofpoint (PFPT -12.7%), Qualys (QLYS -8.9%), Imperva (IMPV -9.7%), Rapid7 (RPD -9.4%), and Barracuda (CUDA -8.4%).
    • Solar decliners: SunEdison (SUNE -11.3%), SunPower (SPWR -8.8%), JinkoSolar (JKS -7.6%), SolarEdge (SEDG -7.9%), Yingli (YGE -7.1%), TerraForm Power (TERP -10.7%), and TerraForm Global (GLBL -9.2%).
    • Other major decliners: Micron (MU -9.1%), Western Digital (WDC -10.5%), Arista (ANET -10.9%), Universal Display (OLED -10.6%), Rackspace (RAX -11.3%), Fitbit (FIT -8.7%), Nimble Storage (NMBL -11.3%), Sierra Wireless (SWIR -9.9%), Rocket Fuel (FUEL -9.8%), Knowles (KN -9%), Mitel (MITL -8.9%), and (ALRM -8.9%).
    • Previously covered: Yelp, Cognizant, Tableau, Globant, Ambarella, European tech stocks
    | Mon, Feb. 8, 2:37 PM | 28 Comments
  • Fri, Feb. 5, 11:01 AM
    • A long list of enterprise software and security tech names are off sharply after business intelligence/analytics software upstart Tableau (down 45.3%) reported slower-than-expected license revenue growth and issued below-consensus Q1/2016 guidance.
    • Also possibly weighing: LinkedIn (down 39.6%), which derives a large % of its revenue from cloud-based recruiting and sales tools for enterprises, issued weak Q1/2016 guidance.
    • Given the magnitude of the drops, margin calls and forced selling by funds could be playing a big role. The Nasdaq is down 2.2%.
    • Tableau suggested its growth slowdown has to do with softening IT spend and a need to improve sales productivity, but analysts have raised questions about competition from the likes of Microsoft, Amazon, and Qlik. LinkedIn forecast a growth slowdown for its field sales hiring solutions business, while blaming European/Asian macro pressures. The company also noted its display ad business continues declining amid weak industry growth.
    • Major enterprise software decliners include Splunk (SPLK -23.7%), Workday (WDAY -15.1%), Adobe (ADBE -7%), Zendesk (ZEN -15.2%), ServiceNow (NOW -13.6%), NetSuite (N -12.4%), Salesforce (CRM -11.2%), Paycom (PAYC -10.6%), Ellie Mae (ELLI -11.5%), Cornerstone OnDemand (CSOD -7.8%), Veeva (VEEV -7.7%), Ultimate Software (ULTI -9%), Luxoft (LXFT -7.5%), Manhattan Associates (MANH -8.5%), Box (BOX -6.6%), Guidewire (GWRE -13.6%), Demandware (DWRE -9.3%), Hortonworks (HDP -9.7%), and Tableau rival Qlik (QLIK -16.6%). The casualty list includes many cloud software firms, as well as several analytics software plays. Previously covered: New Relic, Atlassian.
    • Major decliners among security tech firms: Palo Alto Networks (PANW -12%), FireEye (FEYE -8.9%), Rapid7 (RPD -8.6%), CyberArk (CYBR -8.3%), Proofpoint (PFPT -8%), Imperva (IMPV -8.3%), Fortinet (FTNT -6.9%), and Vasco (VDSI -5.1%). The selloff comes in spite of an FQ3 beat and in-line FQ4 guidance from Symantec, which has been losing share to various upstarts.
    | Fri, Feb. 5, 11:01 AM | 19 Comments
  • Fri, Jan. 29, 5:10 PM
    • Proofpoint (NASDAQ:PFPT) beat Q4 revenue estimates (while posting in-line EPS) and reported billings of $97.5M - up 30% Y/Y, above guidance of $90M-$92M, and well above revenue of $74.9M.
    • However, both Proofpoint's Q1 and 2016 outlooks feature a mixture of soft EPS guidance and strong sales guidance. The company forecasts Q1 revenue of $75.5M-$76.5M and EPS of -$0.14 to -$0.15 vs. a consensus of $75.6M and -$0.09, and a 2016 revenue of $345M-$348M and EPS of -$0.21 to -$0.26 vs. a consensus of $343.2M and -$0.10. Q1 and 2016 billings guidance is respectively at $90M-$92M and $428M-$431M.
    • Heavy spending is weighing on EPS: GAAP operating expenses rose 42% Y/Y to $76.1M - $45.2M was spent on sales/marketing, $20.1M on R&D, and $10.8M on G&A.
    • "We continue to invest in new product development and expand our sales and marketing resources worldwide," said CFO Paul Anvil on the earnings call. He added Proofpoint doesn't expect to "deliver much, if any, improvement to our cash flow and profitability guidance over the course of the year," as it plans to reinvest any extra funds produced by revenue/billings upside.
    • Proofpoint's Q4 results, earnings release
    | Fri, Jan. 29, 5:10 PM | 1 Comment
  • Thu, Jan. 28, 4:08 PM
    • Proofpoint (NASDAQ:PFPT): Q4 EPS of -$0.11 in-line.
    • Revenue of $74.9M (+33.3% Y/Y) beats by $1.44M.
    • Press Release
    | Thu, Jan. 28, 4:08 PM | 1 Comment
  • Wed, Jan. 27, 5:35 PM
  • Thu, Jan. 21, 6:17 PM
    • Though FireEye (NASDAQ:FEYE) opened up strongly after pre-announcing Q4 sales/billings and disclosing it's buying threat intelligence services firm iSIGHT for $200M+, shares closed down 0.5%. The cybersecurity hardware/software/services provider is down 29% in 2016, and 49% since its Nov. 4 Q3 report.
    • Concerns about FireEye's 2016 commentary - in a PR quote, CEO Dave DeWalt said "we expect we can grow billings organically by 20 percent" in 2016 - appear to be weighing. Piper's Andrew Nowinski (target cut by $8 to $19) believes the Street billings growth consensus was at 28%. He now sees 26% total billings growth, after factoring $50M in expected iSIGHT billings.
    • Meanwhile, FBN's Shebly Seyrafi sees FireEye's e-mail security offerings (have boosted subscription revenue) facing tough competition from a new alliance between Palo Alto Networks (NYSE:PANW) and Proofpoint (NASDAQ:PFPT). Palo Alto's WildFire malware-prevention service (competes with FireEye's malware-prevention offerings, and integrates with Palo Alto's next-gen firewalls) will be paired with Proofpoint's core Targeted Attack Protection e-mail security software to protect against e-mail and social media-based malware attacks. End-to-end network, cloud, and endpoint security is promised.
    • On the bright side, reactions to the iSIGHT acquisition have been largely positive. Deutsche's Karl Keirstead: "We like this security segment and the deal rationale/economics seem reasonable." Stifel's Gul Talpaz: "In the near-term, we believe that feeding iSIGHT’s intelligence into FireEye’s existing products should improve their overall efficacy and reduce already low false-positive rates."
    | Thu, Jan. 21, 6:17 PM | 8 Comments
  • Wed, Jan. 13, 2:27 PM
    • On a day the Nasdaq is down 2.8%, Proofpoint (PFPT +0.9%) and Rapid7 (RPD +1.9%) have managed to stay green following a report stating security software peer CyberArk (up 20.5%) is in preliminary talks to be acquired by Check Point.
    • FBR recently argued Symantec could make a bid for Proofpoint. Prrofpoint's Q4 report arrives on Jan. 28, and Rapid7's on Feb. 10.
    | Wed, Jan. 13, 2:27 PM
  • Dec. 31, 2015, 7:03 PM
    • Cisco (NASDAQ:CSCO) could make a bid for storage array vendor NetApp (NASDAQ:NTAP) and threat-prevention hardware/software provider FireEye (NASDAQ:FEYE) in 2016, thinks FBR's Dan Ives. Cisco/NetApp speculation has been around for a while. Meanwhile, Cisco has made several security acquisitions in recent years, and appears to be up for more, but has also launched products that compete with FireEye.
    • Ives also thinks IBM could bid for machine/log data analytics software leader Splunk (NASDAQ:SPLK) and business intelligence/data visualization software firm QLIK. With a $7.6B market cap and high multiples, Splunk would be a costlier acquisition than IBM's traditional fare.
    • HP Enterprise (NYSE:HPE), meanwhile, is seen as a potential suitor for both Qlik and enterprise cloud storage/file-sharing leader BOX. And Oracle (NYSE:ORCL) a potential buyer of cloud ERP, HR, and e-commerce software firm NetSuite (NYSE:N). Larry Ellison owns a large stake in NetSuite (more SMB-focused than Oracle), and the company both competes and partners with Oracle.
    • Microsoft (NASDAQ:MSFT), which has made plenty of acquisitions in the Satya Nadella era, is seen as a potential buyer of database security software and Web app firewall vendor Imperva (NYSE:IMPV), as well as of cloud vulnerability management and compliance software firm Qualys (NASDAQ:QLYS). Symantec (NASDAQ:SYMC), which has signaled it will make security acquisitions after the sale of its Veritas unit closes, is considered a possible acquirer of e-mail/compliance security software provider Proofpoint (NASDAQ:PFPT).
    • Yesterday: FBR sees improving cybersecurity spend, likes several stocks
    | Dec. 31, 2015, 7:03 PM | 13 Comments
  • Dec. 30, 2015, 6:22 PM
    • "On the heels of another strong year for cybersecurity players, our recent field checks heading into 2016 suggest 'robust' deal momentum as enterprises and governments across the board upgrade to next-generation security platforms/software," says FBR's Dan Ives, reiterating his bullish stance on security tech upstarts.
    • Ives: "Based on our conversations with channel partners/customers over the last few weeks, closure rates look to be trending higher year over year, with seven-figure deals markedly up in the pipeline. This speaks to the massive firewall refresh that is underway, with hot areas of security (next-generation firewall, e-mail security, mobile/cloud) as the main beneficiaries."
    • He expects next-gen firewall leader Palo Alto Networks (NYSE:PANW) to be a major beneficiary. Others expected to benefit include firewall/security software vendor Check Point (NASDAQ:CHKP), privileged account security software leader CyberArk (NASDAQ:CYBR), unified threat appliance leader Fortinet (NASDAQ:FTNT), e-mail/compliance security software firm Proofpoint (NASDAQ:PFPT), and Web app firewall and data security software firm Imperva (NYSE:IMPV).
    • Ives is less bullish on malware and endpoint-protection hardware and software provider FireEye (NASDAQ:FEYE), citing execution and product-related headwinds. His note comes three weeks after Citi reported a CIO survey pointed to strong enterprise security spend. FireEye (upgraded), Palo Alto, Splunk, and Imperva were favorably mentioned.
    • ETF: HACK
    | Dec. 30, 2015, 6:22 PM | 7 Comments
  • Dec. 3, 2015, 2:28 PM
    • In a presentation (.pdf) titled "Rocket Powered Unicorn," Muddy Waters calls Proofpoint (NASDAQ:PFPT) "priced for perfection" at an EV/sales multiple of 11.9x, and deems descriptions of the SaaS e-mail security and data archiving software firm as a cybersecurity play misguided.
    • MW notes Gartner expects the secure e-mail gateway market (for which Proofpoint heads the "Leaders" quadrant) to see slow growth, and questions the size of the addressable market for its Targeted Attack Protection (TAP) offerings. Google and Amazon's cloud business e-mail offerings are seen as competitive threats, as are Cisco's e-mail/Web security solutions. "Platforms (esp. MSFT) have a long record of degrading and destroying businesses ... Existing players might have better products, but 'Good Enough' often wins the day."
    • It adds Proofpoint has been offering big discounts to keep large accounts from switching to rivals, and that a former sales rep was frustrated Proofpoint's Essentials offering was cannibalizing the company's primary SMB solution. Insider sales are also brought up.
    • The presentation follows more bullish Wednesday remarks from Wedbush's Steve Koenig, who called Proofpoint his top 2016 pick. Koenig cited strong TAP momentum, a recent Intel partnership - Intel is exiting e-mail security, and will transition its clients to Proofpoint - growing deal sizes, and high renewal rates.
    | Dec. 3, 2015, 2:28 PM | 1 Comment
  • Nov. 5, 2015, 12:47 PM
    • Fortinet (FTNT -4.2%), Barracuda (CUDA -3.9%), Vasco (VDSI -1.9%), Proofpoint (PFPT -4.6%), and KEYW (KEYW -6.3%) have joined the ranks of enterprise security tech firms selling off in the wake of FireEye's Q3 revenue/billings miss, soft Q4 sales guidance, and full-year billings guidance cut.
    • Other decliners include Palo Alto Networks, CyberArk, and Rapid7. FireEye itself is down 23%.
    • Also: PC/mobile security software firm AVG is down 17.7% after missing Q3 estimates and providing light Q4 guidance. Symantec is up slightly following an FQ2 EPS beat.
    • The PureFunds ISE Cyber Security ETF (HACK -3.1%) has fallen below $27. CyberArk reports after the bell.
    • Update: FBR's Daniel Ives is defending the group. "Importantly, we note that nearly every major cybersecurity player (Check Point, Imperva, Proofpoint, Palo Alto, Fortinet) recently has delivered strong results across the board with a healthy outlook ... We continue to strongly believe that FireEye's issues are much more company-specific as DeWalt & Co. are dealing with a plethora of execution/product headaches in the field, which are major overhangs on the FireEye story heading into 2016. We continue to see white-hot cybersecurity spending, which we view as a 30%+ growth area in a 2%–3% overall IT landscape as the threat landscape escalates. We would be strong buyers of the cybersecurity basket, with PANW, PFPT, and CHKP front and center."
    | Nov. 5, 2015, 12:47 PM | 5 Comments
Company Description
Proofpoint, Inc. is a pioneering security-as-a-service provider company, which focuses on cloud-based solutions for threat protection, compliance, archiving & governance and secure communications. The company's platform currently includes four solutions bundled for the convenience of its... More
Sector: Technology
Industry: Application Software
Country: United States