Mizuho Has Lowered Expectations for Netskope (NASDAQ:NTSK) Stock Price

Key Points

• Mizuho lowered its price target on Netskope from $20 to $16 while maintaining an "outperform" rating, implying about a 31.9% upside from the prior close; the analyst consensus remains a "Moderate Buy" with an average target of $21.76.
• Operationals look strong: Netskope beat Q4 EPS estimates and reported revenue up 32% YoY with ARR up ~31% to $811M, and management raised FY2027 revenue guidance to $870–$876M, supported by the new "Netskope One AI Security" product.
• Risk factors: Insiders have sold over 1.04M shares (~$18M) in the past three months and a shareholder investigation has been announced, posing potential legal and near‑term headline volatility.

Netskope (NASDAQ:NTSK - Get Free Report) had its price target decreased by equities researchers at Mizuho from $20.00 to $16.00 in a research report issued to clients and investors on Thursday,Benzinga reports. The brokerage currently has an "outperform" rating on the stock. Mizuho's target price indicates a potential upside of 31.90% from the stock's previous close.

Several other brokerages have also issued reports on NTSK. Weiss Ratings reissued a "sell (d-)" rating on shares of Netskope in a report on Monday, December 29th. Wells Fargo & Company assumed coverage on Netskope in a research report on Tuesday, March 3rd. They set an "overweight" rating and a $13.00 target price on the stock. Citizens Jmp cut their price target on Netskope from $27.00 to $23.00 and set a "market outperform" rating on the stock in a report on Thursday. Robert W. Baird decreased their price objective on Netskope from $27.00 to $20.00 and set an "outperform" rating for the company in a research note on Thursday. Finally, Royal Bank Of Canada reiterated an "outperform" rating on shares of Netskope in a research note on Wednesday, February 11th. One equities research analyst has rated the stock with a Strong Buy rating, sixteen have assigned a Buy rating, one has given a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, Netskope currently has an average rating of "Moderate Buy" and an average price target of $21.76.

Netskope Price Performance

NTSK stock opened at $12.13 on Thursday. Netskope has a 1-year low of $9.13 and a 1-year high of $27.99. The company has a 50-day moving average price of $13.50. The company has a market capitalization of $4.77 billion and a P/E ratio of -121.30. The company has a debt-to-equity ratio of 5.17, a current ratio of 2.32 and a quick ratio of 2.32.

Netskope (NASDAQ:NTSK - Get Free Report) last issued its earnings results on Wednesday, March 11th. The company reported ($0.04) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.06) by $0.02. The business had revenue of $196.33 million for the quarter. The company's revenue was up 32.2% compared to the same quarter last year. Netskope has set its Q1 2027 guidance at -0.070--0.060 EPS and its FY 2027 guidance at -0.190--0.190 EPS.

Insider Transactions at Netskope

In other news, CRO Raphael Bousquet sold 3,823 shares of the stock in a transaction on Monday, January 12th. The stock was sold at an average price of $16.66, for a total transaction of $63,691.18. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, CFO Matto Andrew H. Del sold 77,207 shares of the firm's stock in a transaction on Friday, January 2nd. The stock was sold at an average price of $16.92, for a total value of $1,306,342.44. Following the completion of the sale, the chief financial officer directly owned 41,493 shares of the company's stock, valued at $702,061.56. The trade was a 65.04% decrease in their position. The SEC filing for this sale provides additional information. Over the last three months, insiders have sold 1,049,721 shares of company stock valued at $18,020,279.

Hedge Funds Weigh In On Netskope

Hedge funds have recently modified their holdings of the stock. Farther Finance Advisors LLC acquired a new stake in shares of Netskope during the fourth quarter worth $25,000. Quarry LP acquired a new position in shares of Netskope in the 3rd quarter valued at $41,000. Triumph Capital Management raised its stake in Netskope by 380.0% in the 4th quarter. Triumph Capital Management now owns 2,400 shares of the company's stock worth $42,000 after acquiring an additional 1,900 shares during the last quarter. Wells Fargo & Company MN lifted its position in Netskope by 261.7% during the 4th quarter. Wells Fargo & Company MN now owns 3,617 shares of the company's stock worth $63,000 after acquiring an additional 2,617 shares during the period. Finally, Leonteq Securities AG acquired a new stake in Netskope during the 4th quarter worth about $64,000.

Netskope News Summary

Here are the key news stories impacting Netskope this week:

• Positive Sentiment: Q4 results beat and strong growth — Netskope reported ($0.04) EPS vs. consensus ($0.06) loss and revenue of $196.3M, up 32% YoY; ARR grew ~31% to $811M and operating cash flow was positive. These operational metrics support higher revenue visibility and justify valuation re‑rating potential. GlobeNewswire Press Release
• Positive Sentiment: FY revenue target raised above consensus — Management set FY 2027 revenue guidance of $870M–$876M vs. Street $865.5M, and Q1 revenue guidance roughly in line with consensus. The modest upside to revenue estimates is a near‑term catalyst. Seeking Alpha: Revenue Target
• Positive Sentiment: AI product launch supports forward growth story — Netskope unveiled “Netskope One AI Security,” positioning the company as an AI‑native security platform; this can expand enterprise wallet share and justify premium multiples if adoption follows. Business Insider: Netskope One AI Security
• Positive Sentiment: Analyst sentiment supports demand — Brokerages’ consensus is “Moderate Buy,” which can encourage inflows from institutional and momentum investors. American Banking News: Analyst Consensus
• Neutral Sentiment: Guidance mixed on profitability — Q1 EPS guide of -$0.07 to -$0.06 is slightly wider/near‑term pressured vs. consensus (-$0.06), while FY EPS range (-$0.19 to $0.19) is roughly in line to a touch better than expectations; revenue guidance is the more constructive element. Investor Presentation
• Neutral Sentiment: Earnings call and transcript available — Management commentary and slide deck provide detail on product cadence, sales efficiency and AI roadmap; watch for customer traction metrics on future calls. Seeking Alpha: Call Transcript
• Negative Sentiment: Shareholder investigation announced — Law firm Johnson Fistel is investigating potential claims against Netskope executives under federal securities laws; such probes can create legal/settlement risk and near‑term headline volatility. GlobeNewswire: Investigation

Netskope Company Profile

We are redefining security and networking for the era of cloud and AI. The cloud and AI have completely revolutionized work. We are more dispersed, more productive, and more automated than ever before, and the rate of change is only accelerating. Not since the internet has there been such a transformative tectonic shift. But, with it has come collateral damage-traditional security and networking are now broken. We founded Netskope to address this revolution. We built Netskope One, our unified, cloud-native platform from the ground up to solve the challenge of securing and accelerating the digital interactions of enterprises in this new era.

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