Wasatch Advisors LP Makes New Investment in A10 Networks, Inc. $ATEN

Key Points

• Wasatch Advisors LP purchased 416,114 shares of A10 Networks during the second quarter, valued at approximately $15.5 million and representing about 0.58% of the company. Institutional investors collectively own 98.61% of A10 Networks.
• A10 Networks exceeded quarterly expectations, reporting earnings of $0.25 per share on $80.14 million in revenue, with revenue up 15.5% year over year. The company also declared a quarterly dividend of $0.06 per share, equivalent to a 0.9% annual yield.
• Analysts maintain a consensus “Hold” rating with an average price target of $31.29, while the stock recently traded at $27.46. Corporate insider ownership is 1.21%, following a general counsel’s sale of 14,086 shares under a pre-arranged trading plan.

Wasatch Advisors LP purchased a new stake in shares of A10 Networks, Inc. (NYSE:ATEN - Free Report) during the 2nd quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The fund purchased 416,114 shares of the communications equipment provider's stock, valued at approximately $15,546,000. Wasatch Advisors LP owned approximately 0.58% of A10 Networks at the end of the most recent reporting period.

A number of other hedge funds have also modified their holdings of the company. Hsbc Holdings PLC lifted its holdings in A10 Networks by 84.3% during the 4th quarter. Hsbc Holdings PLC now owns 153,816 shares of the communications equipment provider's stock valued at $2,724,000 after purchasing an additional 70,357 shares during the last quarter. AlphaQuest LLC grew its stake in A10 Networks by 967.4% during the fourth quarter. AlphaQuest LLC now owns 162,685 shares of the communications equipment provider's stock worth $2,878,000 after buying an additional 147,444 shares during the last quarter. Royal Bank of Canada grew its stake in A10 Networks by 9,899.3% during the first quarter. Royal Bank of Canada now owns 536,461 shares of the communications equipment provider's stock worth $12,403,000 after buying an additional 531,096 shares during the last quarter. AEGON ASSET MANAGEMENT UK Plc acquired a new stake in shares of A10 Networks during the first quarter worth approximately $2,283,000. Finally, Horizon Investments LLC acquired a new stake in shares of A10 Networks during the fourth quarter worth approximately $621,000. 98.61% of the stock is currently owned by institutional investors.

Insiders Place Their Bets

In related news, General Counsel Robert Scott Weber sold 14,086 shares of the stock in a transaction that occurred on Tuesday, August 11th. The shares were sold at an average price of $27.86, for a total value of $392,435.96. Following the transaction, the general counsel directly owned 50,586 shares in the company, valued at $1,409,325.96. This represents a 21.78% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 1.21% of the stock is owned by corporate insiders.

A10 Networks Trading Up 1.1%

Shares of ATEN stock opened at $27.46 on Thursday. A10 Networks, Inc. has a 1 year low of $16.52 and a 1 year high of $38.49. The firm's 50 day moving average is $33.38 and its 200-day moving average is $27.06. The firm has a market capitalization of $1.99 billion, a price-to-earnings ratio of 45.77 and a beta of 1.16.

A10 Networks (NYSE:ATEN - Get Free Report) last issued its quarterly earnings results on Wednesday, August 5th. The communications equipment provider reported $0.25 earnings per share for the quarter, beating analysts' consensus estimates of $0.24 by $0.01. The business had revenue of $80.14 million during the quarter, compared to analyst estimates of $77.28 million. A10 Networks had a net margin of 13.85% and a return on equity of 23.63%. A10 Networks's revenue for the quarter was up 15.5% compared to the same quarter last year. During the same quarter last year, the business posted $0.21 earnings per share. A10 Networks has set its FY 2026 guidance at 0.650-0.661 EPS. On average, equities research analysts forecast that A10 Networks, Inc. will post 0.84 earnings per share for the current fiscal year.

A10 Networks Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, September 1st. Investors of record on Monday, August 17th will be paid a dividend of $0.06 per share. This represents a $0.24 dividend on an annualized basis and a dividend yield of 0.9%. The ex-dividend date of this dividend is Monday, August 17th. A10 Networks's payout ratio is 40.00%.

Analyst Ratings Changes

Several research analysts have recently commented on the company. Piper Sandler set a $45.00 target price on A10 Networks in a report on Tuesday, June 16th. BTIG Research reaffirmed a "buy" rating and set a $37.00 price target on shares of A10 Networks in a report on Thursday, August 6th. Sidoti reiterated a "neutral" rating and issued a $24.00 price objective on shares of A10 Networks in a research report on Monday, April 20th. Weiss Ratings upgraded A10 Networks from a "hold (c)" rating to a "hold (c+)" rating in a report on Wednesday, June 24th. Finally, Zacks Research cut A10 Networks from a "strong-buy" rating to a "hold" rating in a report on Monday, June 29th. Two research analysts have rated the stock with a Buy rating and four have given a Hold rating to the stock. According to data from MarketBeat, A10 Networks currently has a consensus rating of "Hold" and an average target price of $31.29.

A10 Networks Company Profile

A10 Networks, Inc NYSE: ATEN, headquartered in San Jose, California, designs and sells networking and security solutions that accelerate application performance and protect data across on-premises, cloud and hybrid environments. Founded in 2004, the company's offerings target enterprises, service providers and cloud operators seeking high availability, secure access and optimized traffic delivery for critical applications.

The company's core portfolio includes application delivery controllers (ADCs) for load balancing and traffic management, advanced distributed denial-of-service (DDoS) protection appliances, SSL inspection solutions and carrier-grade NAT (CGNAT) platforms.

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