JFrog (NASDAQ:FROG) Announces Earnings Results

JFrog (NASDAQ:FROG) posted its earnings results on Thursday. The company reported $0.32 EPS for the quarter, beating the consensus estimate of $0.23 by $0.09, FiscalAI reports. The company had revenue of $179.17 million during the quarter, compared to analyst estimates of $165.92 million. JFrog had a negative return on equity of 1.58% and a negative net margin of 3.29%. The business’s revenue was up 30.9% compared to the same quarter last year. During the same period in the prior year, the company earned $0.22 earnings per share.

Here are the key takeaways from JFrog’s conference call:

• Q3 revenue rose 31% year over year to $179.2 million, exceeding the high end of guidance. Cloud revenue grew 60% to $101.5 million, while total revenue from Enterprise Plus subscriptions increased 42%.
• AI-driven usage and broader adoption of security and governance helped drive larger customer commitments, including a $76 million multi-year SaaS agreement with a major telecommunications company. JFrog said no single customer accounts for more than 3% of revenue.
• Expansion metrics strengthened: trailing four-quarter net dollar retention was 124%, gross retention was 97%, and remaining performance obligations grew 60% year over year to $812 million. Customers with more than $1 million in ARR increased 58% to 112.
• Profitability and cash generation improved, with a 22.7% operating margin and $66.5 million in free cash flow. JFrog raised full-year 2026 revenue guidance to $680 million–$682 million and baseline cloud growth guidance to 52%–54%; Q4 revenue is forecast at $183 million–$185 million.

JFrog Price Performance

Shares of NASDAQ FROG traded up $26.36 during midday trading on Friday, hitting $100.98. 7,028,737 shares of the company’s stock were exchanged, compared to its average volume of 2,064,903. The stock’s 50 day moving average price is $93.42 and its 200-day moving average price is $72.58. The firm has a market cap of $12.45 billion, a P/E ratio of -561.00 and a beta of 1.31. JFrog has a twelve month low of $34.05 and a twelve month high of $105.76.

Insider Transactions at JFrog

In related news, Director Barry Zwarenstein sold 1,250 shares of the firm’s stock in a transaction that occurred on Tuesday, October 20th. The stock was sold at an average price of $90.10, for a total value of $112,625.00. Following the sale, the director directly owned 29,187 shares in the company, valued at $2,629,748.70. This trade represents a 4.11% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CRO Tali Notman sold 18,794 shares of JFrog stock in a transaction on Tuesday, September 8th. The shares were sold at an average price of $86.98, for a total value of $1,634,702.12. Following the sale, the executive directly owned 668,678 shares in the company, valued at $58,161,612.44. The trade was a 2.73% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 900,453 shares of company stock worth $85,299,266 over the last quarter. Insiders own 11.80% of the company’s stock.

Key Stories Impacting JFrog

Here are the key news stories impacting JFrog this week:

• Positive Sentiment: JFrog reported third-quarter adjusted EPS of $0.32, above the $0.23 consensus, while revenue of $179.2 million beat expectations of $165.9 million and grew 31% year over year. JFrog Shares Rally on Outlook Boost, 3Q Beat
• Positive Sentiment: AI-driven coding activity is boosting demand for JFrog’s software tools. Reports highlight cloud revenue growth of about 60%, reinforcing the view that the company is benefiting from wider adoption of AI coding agents. JFrog Cloud Revenue Surges 60% Amid AI-Driven Software Growth
• Positive Sentiment: The company raised its 2026 revenue outlook to $680–$682 million and projected cloud baseline growth of 52%–54%, signaling continued momentum beyond the quarterly beat. JFrog Projects 2026 Revenue and Cloud Growth
• Positive Sentiment: Several firms raised price targets and kept bullish ratings: RBC to $121, Truist to $120, KeyCorp to $118 and Canaccord to $110. These revisions reflect stronger analyst expectations after the results. Truist Raises JFrog Price Target
• Negative Sentiment: Piper Sandler raised its target from $90 to $95 but maintained a neutral rating; the target remains below the stock’s recent trading level, suggesting some analysts see limited near-term upside after the rally.

Analyst Ratings Changes

FROG has been the subject of a number of analyst reports. Barclays restated an “overweight” rating and set a $110.00 price objective on shares of JFrog in a research report on Friday, August 7th. Truist Financial increased their target price on JFrog from $115.00 to $120.00 and gave the stock a “buy” rating in a research report on Friday. UBS Group set a $115.00 target price on JFrog in a research note on Friday, October 23rd. Guggenheim raised their target price on JFrog from $115.00 to $125.00 and gave the company a “buy” rating in a research note on Friday. Finally, Weiss Ratings reissued a “sell (d-)” rating on shares of JFrog in a report on Thursday, October 15th. Twenty-one research analysts have rated the stock with a Buy rating, one has given a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus price target of $112.19.

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.