CGNT Stock Analysis: Cognyte Software | NASDAQ
Software - Infrastructure | NASDAQ, USA | Market Cap: 614m USD | 12M Return: -9.5% | Charts, Fundamentals & Technical Analysis
Avg Turnover: 8.27M
Qual. Beats: -1
Rev. Trend: 99.9%
Qual. Beats: 1
Warnings
Tailwinds
No distinct edge detected
Seasonality 5.4 years of data
Average return per month, with how dependable it is below — did the month move the same way every year (high) or randomly (low). Above 60 is a pattern worth trusting; under 40 is noise.
Cognyte Software Ltd. (NASDAQ: CGNT) is a software-driven technology company that delivers investigative analytics solutions to government agencies worldwide. Its product portfolio spans network intelligence, threat intelligence, decision intelligence, and operational intelligence analytics, targeting the security and operational needs of national, regional, and local public-sector customers.
The company operates a hybrid revenue model that combines software licenses (subscription or perpetual), appliances, cloud-based SaaS subscriptions, and professional services such as installation, integration, custom development, consulting, and training. This mix of products and services is characteristic of enterprise software vendors serving government clients, where deployments typically require extensive customization and long-term support commitments.
Headquartered in Herzliya, Israel-a region recognized for its concentration of cybersecurity and intelligence technology firms-Cognyte sits within the Application Software sub-industry of the broader Information Technology sector. The company was incorporated in 2020 and serves a customer base concentrated almost entirely in the government vertical, a market segment known for lengthy sales cycles, high regulatory scrutiny, and elevated switching costs once contracts are awarded.
- Government agency spending on investigative analytics expands
- Recurring subscription revenue mix improves gross margins
- Geopolitical conflicts accelerate security analytics demand
| Net Income: -2.70m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.05 > 0.02 and ΔFCF/TA 2.80 > 1.0 |
| NWC/Revenue: 18.11% < 20% (prev 19.24%; Δ -1.13% < -1%) |
| CFO/TA 0.07 > 3% & CFO 35.7m > Net Income -2.70m |
| Net Debt (-72.9m) to EBITDA (22.0m): -3.30 < 3 |
| Current Ratio: 1.32 > 1.5 & < 3 |
| Outstanding Shares: last quarter (73.1m) vs 12m ago 1.16% < -2% |
| Gross Margin: 72.64% > 18% (prev 70.62%; Δ 2.02% > 0.5%) |
| Asset Turnover: 80.77% > 50% (prev 73.95%; Δ 6.82% > 0%) |
| Interest Coverage Ratio: 52.01 > 6 (EBIT TTM 9.83m / Interest Expense TTM 189k) |
| A: 0.14 (Total Current Assets 308.2m - Total Current Liabilities 234.0m) / Total Assets 523.7m |
| B: -0.31 (Retained Earnings -160.3m / Total Assets 523.7m) |
| C: 0.02 (EBIT TTM 9.83m / Avg Total Assets 507.6m) |
| D: 0.64 (Book Value of Equity 195.7m / Total Liabilities 304.7m) |
| Altman-Z'' = 0.74 = B |
| DSRI: 1.03 (Receivables 139.2m/120.1m, Revenue 410.0m/363.5m) |
| GMI: 0.97 (GM 70.62% / 72.64%) |
| AQI: 0.93 (AQ_t 0.28 / AQ_t-1 0.30) |
| SGI: 1.13 (Revenue 410.0m / 363.5m) |
| TATA: -0.07 (NI -2.70m - CFO 35.7m) / TA 523.7m) |
| Beneish M = -2.99 (Cap -4..+1) = A |
As of June 30, 2026, the stock is trading at USD 8.36 with a total of 766,972 shares traded. Over the past week, the price has changed by +2.83%, over one month by -27.74%, over three months by +5.42% and over the past year by -9.52%.
Current recommended Stop Loss: 7.40 (which is 11.5% or 2.1 ATR below the current price).
Cognyte Software has received a consensus analysts rating of 3.00. Therefore, it is recommended to hold CGNT.
- StrongBuy: 0
- Buy: 0
- Hold: 2
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 12.3 | 47.5% |
P/E Forward = 20.3252
P/S = 1.4975
P/B = 3.1407
Revenue TTM = 410.0m USD
EBIT TTM = 9.83m USD
EBITDA TTM = 22.0m USD
Long Term Debt = unknown (none)
Short Term Debt = 5.37m USD (from shortTermDebt, last fiscal year)
Debt = 36.3m USD (from shortLongTermDebtTotal, last quarter) (leases 36.3m already included)
Net Debt = -72.9m USD (calculated: Debt 36.3m - CCE 109.2m)
Enterprise Value = 541.1m USD (614.0m + Debt 36.3m - CCE 109.2m)
Interest Coverage Ratio = 52.01 (Ebit TTM 9.83m / Interest Expense TTM 189k)
EV/FCF = 20.05x (Enterprise Value 541.1m / FCF TTM 27.0m)
FCF Yield = 4.99% (FCF TTM 27.0m / Enterprise Value 541.1m)
FCF Margin = 6.58% (FCF TTM 27.0m / Revenue TTM 410.0m)
Net Margin = -0.66% (Net Income TTM -2.70m / Revenue TTM 410.0m)
Gross Margin = 72.64% ((Revenue TTM 410.0m - Cost of Revenue TTM 112.2m) / Revenue TTM)
Gross Margin QoQ = 72.30% (prev 74.12%)
Tobins Q-Ratio = 1.03 (Enterprise Value 541.1m / Total Assets 523.7m)
Interest Expense / Debt = 0.52% (Interest Expense 189k / Debt 36.3m)
Taxrate = 21.0% (US federal default 21%)
NOPAT = 7.76m (EBIT 9.83m * (1 - 21.00%))
Current Ratio = 1.32 (Total Current Assets 308.2m / Total Current Liabilities 234.0m)
Debt / Equity = 0.19 (Debt 36.3m / totalStockholderEquity, last quarter 195.7m)
Debt / EBITDA = -3.30 (Net Debt -72.9m / EBITDA 22.0m)
Debt / FCF = -2.70 (Net Debt -72.9m / FCF TTM 27.0m)
Total Stockholder Equity = 202.3m (last 4 quarters mean from totalStockholderEquity)
RoA = -0.53% (Net Income -2.70m / Total Assets 523.7m)
RoE = -1.33% (Net Income TTM -2.70m / Total Stockholder Equity 202.3m)
RoCE = 3.39% (EBIT 9.83m / Capital Employed (Total Assets 523.7m - Current Liab 234.0m))
RoIC = 2.83% (NOPAT 7.76m / Invested Capital 274.6m)
WACC = 8.31% (E(614.0m)/V(650.3m) * Re(8.78%) + D(36.3m)/V(650.3m) * Rd(0.52%) * (1-Tc(0.21)))
Discount Rate = 8.78% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 82.22 | Cagr: 1.34%
[DCF] Terminal Value 77.97% ; FCFF base≈20.8m ; Y1≈23.9m ; Y5≈35.1m
[DCF] Fair Price = 8.16 (EV 528.5m - Net Debt -72.9m = Equity 601.4m / Shares 73.7m; r=8.35% [WACC [floored]]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: N/A | EPS CAGR: N/A | SUE: -1.90 | # QB: -1
Revenue Correlation: 99.92 | Revenue CAGR: 12.97% | SUE: 0.87 | # QB: 1
EPS current Quarter (2026-07-31): EPS=0.09 | Chg30d=-16.67% | Revisions=-25% | Analysts=4
EPS next Quarter (2026-10-31): EPS=0.14 | Chg30d=+20.83% | Revisions=+43% | Analysts=4
EPS current Year (2027-01-31): EPS=0.45 | Chg30d=-3.74% | Revisions=-20% | GrowthEPS=+60.7% | GrowthRev=+11.5%
EPS next Year (2028-01-31): EPS=0.77 | Chg30d=+0.88% | Revisions=+20% | GrowthEPS=+70.4% | GrowthRev=+10.4%
[Analyst] Revisions Ratio: +43%