A10 Networks Inc. Common Stock (ATEN)

FairStock Score: 28/100 — RISKY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

Warren here. I look for a business I can understand, with durable economics, honest accounting, and a price that leaves room for error. A10 Networks sells secure application and network infrastructure, a necessary but competitive corner of technology. The latest filed results show fiscal Q2 2026, the quarter ended 2026-06-30, revenue of $80.1M and net income of $8.9M, or diluted EPS of $0.12. That compares with fiscal Q2 2025 revenue of $69.4M, net income of $10.5M, and diluted EPS of $0.14. So sales are advancing, but profits are shrinking. For FY2025, filed figures show revenue of $290.6M, net income of $42.1M, and diluted EPS of $0.57, down from FY2024 net income of $50.1M and EPS of $0.67. That pattern gives me pause. FairStock labels it a stalwart: 18.8% annual profit growth over five years and 5.2% revenue growth. But the recent profit trend and FairStock's ROCE of 5.00% suggest the moat is not as wide as I would like. The balance sheet has debt-to-equity of 0.95, an Altman Z-score of 3.22, and Piotroski score of 5/9, middling, not fragile. Free cash flow is $60.9M, but at $2.1B market cap that is only a 2.9% FCF yield. At the 2026-10-13 close of $28.49, FairStock's P/E is 49.12, P/B is 8.69, EV/EBITDA is 26.48, and Graham Number is $6.54, leaving a -335.63% margin of safety. FairStock Score is 28/100. I would want a much lower price or clearer profit inflection before calling this a bargain.

In plain English: A10 Networks sells security and networking software to businesses. Its sales grew in the latest reported quarter, but profit fell, and the shares look expensive compared with the company's profits and what it owns on its books. The business has some financial strengths, but it is not obviously cheap.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer