Netskope (NASDAQ:NTSK) Hits New 1-Year Low After Analyst Downgrade

Netskope Inc. (NASDAQ:NTSK)’s share price reached a new 52-week low during trading on Thursday after KeyCorp lowered their price target on the stock from $17.00 to $15.00. KeyCorp currently has an overweight rating on the stock. Netskope traded as low as $8.81 and last traded at $9.11, with a volume of 8045419 shares trading hands. The stock had previously closed at $12.13.

Several other research firms also recently issued reports on NTSK. Deutsche Bank Aktiengesellschaft reaffirmed a “buy” rating and issued a $26.00 price objective on shares of Netskope in a research note on Friday, December 12th. FBN Securities started coverage on shares of Netskope in a research note on Wednesday, February 25th. They set an “outperform” rating and a $15.00 price target for the company. Oppenheimer cut their price target on shares of Netskope from $28.00 to $23.00 and set an “outperform” rating on the stock in a report on Monday, March 2nd. Royal Bank Of Canada reissued an “outperform” rating on shares of Netskope in a research note on Wednesday, February 11th. Finally, Robert W. Baird cut their target price on Netskope from $27.00 to $20.00 and set an “outperform” rating on the stock in a report on Thursday. One analyst has rated the stock with a Strong Buy rating, sixteen have given a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat, Netskope has a consensus rating of “Moderate Buy” and a consensus price target of $21.65.

Insider Buying and Selling

In other news, CRO Raphael Bousquet sold 3,823 shares of Netskope stock in a transaction on Monday, January 12th. The shares were sold at an average price of $16.66, for a total value of $63,691.18. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, CFO Matto Andrew H. Del sold 49,875 shares of the stock in a transaction on Tuesday, January 6th. The stock was sold at an average price of $17.16, for a total transaction of $855,855.00. Following the transaction, the chief financial officer directly owned 41,493 shares in the company, valued at approximately $712,019.88. This represents a 54.59% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 1,049,721 shares of company stock valued at $18,020,279 over the last 90 days.

Key Netskope News

Here are the key news stories impacting Netskope this week:

• Positive Sentiment: Q4 results beat estimates — GAAP EPS loss narrower than expected and revenue grew 32.2% year‑over‑year; ARR rose ~31% and Q4 operating cash flow was positive. This underpins the bullish reaction. GlobeNewswire: Q4 Results
• Positive Sentiment: Company set FY2027 revenue guidance of $870M–$876M (slightly above consensus) and EPS guidance that modestly improves on consensus ranges — guidance implies continued revenue growth driven by AI‑native product expansion. Seeking Alpha: FY2027 Revenue Target
• Positive Sentiment: Product momentum — Netskope unveiled “Netskope One AI Security,” positioning the company to capture demand for security solutions across the AI stack, a potential future revenue driver. Business Insider: Product Launch
• Neutral Sentiment: Brokerage consensus remains favorable (consensus “Moderate Buy”), but analysts are re‑setting targets after the quarter; the consensus rating supports investor interest but doesn’t remove execution risk. American Banking News: Consensus Recommendation
• Neutral Sentiment: Full Q4 earnings call and transcript / slide deck are available for details on bookings, margin outlook and product cadence — useful for investors to parse drivers behind guidance ranges. Seeking Alpha: Earnings Call Transcript
• Negative Sentiment: Multiple analysts lowered price targets despite keeping buy/overweight stances — Robert W. Baird $27→$20 (still “outperform,” ~64.9% upside vs current), Morgan Stanley $27→$18 (“overweight,” ~48.4% upside), BTIG $22→$17 (“buy,” ~40.1% upside). Target cuts can cap near‑term upside and signal more conservative expectations. Benzinga: Analyst Target Changes
• Negative Sentiment: Shareholder litigation investigation announced (Johnson Fistel) into executive conduct — potential legal overhang that can increase risk and volatility for the stock. GlobeNewswire: Litigation Notice

Hedge Funds Weigh In On Netskope

A number of institutional investors and hedge funds have recently made changes to their positions in the stock. New York Life Insurance Co. acquired a new position in Netskope during the 3rd quarter worth approximately $31,236,000. Federated Hermes Inc. bought a new position in shares of Netskope in the 3rd quarter worth $18,184,000. Massachusetts Financial Services Co. MA acquired a new stake in Netskope in the 3rd quarter valued at $72,463,000. TD Asset Management Inc bought a new stake in Netskope during the 3rd quarter valued at $5,005,000. Finally, Principal Financial Group Inc. acquired a new position in Netskope during the third quarter worth $27,239,000.

Netskope Stock Down 25.8%

The firm has a market capitalization of $3.54 billion and a PE ratio of -91.34. The company’s 50 day simple moving average is $13.50. The company has a debt-to-equity ratio of 5.17, a current ratio of 2.32 and a quick ratio of 2.32.

Netskope (NASDAQ:NTSK) last posted its earnings results on Wednesday, March 11th. The company reported ($0.04) EPS for the quarter, topping the consensus estimate of ($0.06) by $0.02. The business had revenue of $196.33 million for the quarter. The firm’s quarterly revenue was up 32.2% compared to the same quarter last year. Netskope has set its Q1 2027 guidance at -0.070–0.060 EPS and its FY 2027 guidance at -0.190–0.190 EPS.

Netskope Company Profile

We are redefining security and networking for the era of cloud and AI. The cloud and AI have completely revolutionized work. We are more dispersed, more productive, and more automated than ever before, and the rate of change is only accelerating. Not since the internet has there been such a transformative tectonic shift. But, with it has come collateral damage-traditional security and networking are now broken. We founded Netskope to address this revolution. We built Netskope One, our unified, cloud-native platform from the ground up to solve the challenge of securing and accelerating the digital interactions of enterprises in this new era.