DA Davidson maintains JFrog stock Buy rating, $40 price target

Published 06/05/2025, 12:00
© Shutterstock

On Tuesday, DA Davidson reaffirmed its Buy rating on JFrog stock (NASDAQ:FROG), maintaining a $40.00 price target. The firm’s analysts anticipate the upcoming earnings report on May 8th, after market close, to be unaffected by recent tariff uncertainties, as the first quarter ended on March 31st. They predict that future guidance may reflect increased economic volatility. The analysts regard JFrog as a strong defensive stock due to its sustainable growth and profitability. According to InvestingPro data, the company has demonstrated robust revenue growth of 22.47% and maintains impressive gross profit margins of 77.06%, supporting the defensive positioning.

In a statement, DA Davidson analysts shared their perspective ahead of the earnings release, noting, "With JFrog set to report results on May 8th after the close we provide our thoughts heading into the print." They addressed the potential impacts of recent economic changes, saying, "Recent uncertainty introduced by tariffs should not have impacted first quarter results which ended March 31st; however, we expect guidance will account for the increased volatility that was introduced into the economy." InvestingPro analysis reveals that JFrog holds more cash than debt on its balance sheet and maintains a healthy current ratio of 2.04, suggesting strong financial stability amid market uncertainties.

The analysts further emphasized the company’s resilience, stating, "We view FROG as a good defensive name in this environment with its combination of durable growth and profitability." This positive outlook underpins their decision to reiterate the Buy rating and price target for JFrog stock.

JFrog is also set to participate in DA Davidson’s Technology Conference, which will be held in Nashville from June 9 to June 11. The event will host over 70 companies, providing a platform for JFrog and others to showcase their offerings and discuss industry trends.

Investors and industry observers are now looking forward to JFrog’s financial results, which will provide further insight into the company’s performance and strategic direction in a shifting economic landscape.

In other recent news, JFrog Ltd. has announced a significant partnership with NVIDIA (NASDAQ:NVDA), unveiling an integration that focuses on enhancing the deployment of AI and machine learning models. This collaboration aims to streamline processes for developers by providing a unified solution with enterprise-grade security and governance controls. Meanwhile, JFrog’s board member Jessica Neal has resigned to avoid a potential conflict of interest, with Elisa Steele stepping in as the new Chair of the Compensation Committee. In terms of financial performance, DA Davidson has raised its price target for JFrog shares to $50, maintaining a Buy rating due to the company’s impressive end-of-year performance and strategic growth initiatives. Similarly, Needham has increased its price target to $46, highlighting JFrog’s strong quarterly results and optimistic revenue growth forecast for 2025. Cantor Fitzgerald also raised its price target to $46, pointing to JFrog’s robust fourth-quarter results and positive financial guidance for the upcoming year. These developments reflect growing confidence among analysts in JFrog’s market position and future growth potential.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.