JFrog (NASDAQ:FROG) Shares Gap Up Following Strong Earnings

Shares of JFrog Ltd. (NASDAQ:FROG) gapped up prior to trading on Friday after the company announced better than expected quarterly earnings. The stock had previously closed at $74.62, but opened at $94.99. JFrog shares last traded at $98.0660, with a volume of 1,152,613 shares traded.

The company reported $0.32 earnings per share for the quarter, beating analysts’ consensus estimates of $0.23 by $0.09. JFrog had a negative net margin of 7.35% and a negative return on equity of 2.71%. The firm had revenue of $179.17 million for the quarter, compared to analyst estimates of $165.92 million. During the same period last year, the firm posted $0.22 EPS. JFrog’s quarterly revenue was up 30.9% on a year-over-year basis.

Key JFrog News

Here are the key news stories impacting JFrog this week:

• Positive Sentiment: JFrog reported Q3 revenue of $179.2 million, up 31% year over year and above the $165.9 million analyst estimate. Non-GAAP EPS was $0.32, beating the $0.23 consensus and rising from $0.22 a year earlier. JFrog Announces Third Quarter 2026 Results
• Positive Sentiment: The company raised its FY 2026 revenue outlook to $680 million–$682 million and projected cloud baseline growth of 52%–54%, signaling stronger expected growth. The upbeat results and outlook prompted an after-hours rally. JFrog FY 2026 outlook
• Positive Sentiment: JFrog also announced expanded AI security capabilities designed to detect “Shadow AI” on developer workstations, potentially strengthening its product offering. JFrog extends AI security capabilities

Analysts Set New Price Targets

FROG has been the topic of several analyst reports. Needham & Company LLC reaffirmed a “buy” rating and issued a $115.00 target price on shares of JFrog in a report on Thursday, September 3rd. DA Davidson reissued a “buy” rating and set a $115.00 price target on shares of JFrog in a report on Friday, September 4th. Oppenheimer increased their price target on shares of JFrog from $115.00 to $125.00 and gave the stock an “outperform” rating in a report on Wednesday, October 28th. Benchmark raised their price objective on shares of JFrog from $100.00 to $120.00 and gave the company a “buy” rating in a research report on Friday, August 7th. Finally, Raymond James Financial set a $120.00 price objective on JFrog in a report on Friday, August 7th. Twenty-one research analysts have rated the stock with a Buy rating, one has given a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, the company has an average rating of “Moderate Buy” and an average target price of $111.57.

Insider Activity at JFrog

In other JFrog news, CTO Yoav Landman sold 45,000 shares of the company’s stock in a transaction on Monday, October 5th. The stock was sold at an average price of $97.27, for a total value of $4,377,150.00. Following the sale, the chief technology officer owned 5,109,038 shares of the company’s stock, valued at approximately $496,956,126.26. This represents a 0.87% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Shlomi Ben Haim sold 15,000 shares of the firm’s stock in a transaction on Wednesday, October 7th. The shares were sold at an average price of $97.52, for a total value of $1,462,800.00. Following the completion of the transaction, the chief executive officer owned 4,434,305 shares of the company’s stock, valued at approximately $432,433,423.60. This represents a 0.34% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 900,453 shares of company stock valued at $85,299,266 in the last 90 days. 11.80% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On JFrog

Several hedge funds have recently added to or reduced their stakes in FROG. Millstone Evans Group LLC raised its position in JFrog by 242.6% during the first quarter. Millstone Evans Group LLC now owns 603 shares of the company’s stock worth $28,000 after acquiring an additional 427 shares during the last quarter. Allworth Financial LP lifted its holdings in shares of JFrog by 83.1% in the second quarter. Allworth Financial LP now owns 648 shares of the company’s stock valued at $59,000 after purchasing an additional 294 shares in the last quarter. Western Wealth Management LLC acquired a new stake in shares of JFrog in the first quarter valued at approximately $30,000. Bessemer Group Inc. acquired a new stake in shares of JFrog in the first quarter valued at approximately $36,000. Finally, GK Wealth Management LLC acquired a new stake in shares of JFrog in the third quarter valued at approximately $74,000. 85.02% of the stock is currently owned by hedge funds and other institutional investors.

JFrog Trading Up 33.1%

The stock’s 50 day moving average price is $93.48 and its two-hundred day moving average price is $72.36. The firm has a market capitalization of $12.25 billion, a PE ratio of -266.32 and a beta of 1.31.

About JFrog

JFrog Ltd. is a software company that provides a platform for managing, securing and distributing software packages and releases throughout the application development lifecycle. Its technology is designed to help organizations move software reliably from development through production across cloud, on-premises and hybrid environments.

The company’s products include JFrog Artifactory, a repository for storing and managing software packages and container images; JFrog Xray, which provides security and compliance analysis for software components; and tools for continuous integration, continuous delivery, software distribution and release management.