For full-year 2025, revenue totaled $748 million, up 14% year-over-year. CFO Nicola Allais said growth was driven by double-digit increases across each revenue line, including 15% growth in activation, 10% growth in measurement, and 25% growth in supply-side revenue.Zagorski noted the company had anticipated some softness in retail, but said results were further affected by additional pullbacks from specific customer campaigns late in the quarter, “primarily due to agency-related changes.” Management said i ...

Company Overview - DoubleVerify Holdings, Inc. is a leading provider of digital media measurement and analytics solutions, enabling advertisers and publishers to enhance the effectiveness and quality of their digital advertising investments [2] - The company integrates with programmatic platforms, connected TV, and social media channels, serving global brands and digital publishers across various sectors such as consumer packaged goods, financial services, technology, automotive, and healthcare [3] Financial Performance - As of February 18, 2026, DoubleVerify's shares were priced at $9.58, down 58.5% over the past year, underperforming the S&P 500 by 70.74 percentage points [4] - In the first nine months of 2025, the company's top-line revenue grew by 16% year over year, but expenses rose even faster, leading to a 35% year-over-year decline in net income to just $21.3 million [5] Recent Developments - DoubleVerify is anticipating increased demand from advertisers who are increasingly relying on TV streaming, having launched its new DV Authentic Streaming TV solution in January [6] - Arohi Asset Management completely exited its position in DoubleVerify, selling all 1,717,770 shares during the fourth quarter for an estimated transaction value of $20.58 million [4][10]

Core Insights - DoubleVerify Holdings, Inc. (NYSE:DV) is identified as one of the 10 undervalued growth stocks for the next 5 years, with a consensus 1-year median price target of $14.0, indicating a nearly 46% upside potential from current levels [1] - Analyst opinions on DoubleVerify are mixed, with approximately 52% rating it as a Buy, 43% as a Hold, and 5% as a Sell [1] - Morgan Stanley raised its price target for DoubleVerify from $15 to $15.50, suggesting a further 57% upside from current levels while maintaining a Hold rating [3] - Barclays downgraded DoubleVerify from Buy to Hold, maintaining a price target of $12, reflecting a cautious outlook amid broader software sector trends [5] Company Overview - DoubleVerify Holdings, Inc. is a provider of media effectiveness platforms, offering products such as DV Authentic Ad, DV Authentic Attention, Scibids AI, DV Pinnacle, Custom Contextual solution, and DV Publisher suite [6] - The company was incorporated in 2008 and is headquartered in New York, New York [6] Market Context - The North American internet sector is expected to favor companies with sustained returns on invested capital, particularly those leveraging GenAI or GPU-enabled technologies [4] - Sub-sectors facing disruption risks, such as ridesharing and parts of e-commerce, are anticipated to trade at lower valuation multiples due to ongoing uncertainty [4]

Core View - Barclays has a positive outlook on the 2026 prospects for U.S. software stocks, citing stable macroeconomic conditions and IT spending, low valuation levels, and current market disfavor towards the sector [1] - The analysts expect significant revenue contributions from AI in application software and infrastructure software, which will help shift market sentiment [1] Software Stock Ratings and Target Price Adjustments - Barclays adjusted ratings and target prices for several software stocks, highlighting key changes: - CoreWeave: Hold, target price $90 - Datadog: Buy, target price $215 - Dynatrace: Buy, target price $62 - Elastic: Buy, target price $107 - Five9: Buy, target price $29 - HubSpot: Buy, target price $575 - Klaviyo: Buy, target price $43 - Microsoft: Buy, target price $610 - Monday.com: Buy, target price $202 - Paycom Software: Hold, target price $185 - Commerce.com: Reduce, target price $3 - Paylocity: Hold, target price $164 - Similarweb: Buy, target price $12 - Sprout: Buy, target price $26 - Workday: Buy, target price $280 - ZoomInfo Technologies: Hold, target price $12 - Appian: Reduce, target price $34 - Lightspeed Commerce: Hold, target price $14 - DigitalOcean: Buy, target price $63 - JFrog: Buy, target price $70 - MongoDB: Buy, target price $480 - Salesforce: Buy, target price $338 - Teradata: Reduce, target price $27 - UiPath: Hold, target price $16 [1] Cartesian Logistics Systems Group - Barclays upgraded Cartesian Logistics Systems Group from Hold to Buy, raising the target price from $106 to $105, citing a positive turning point in their Q3 2026 performance [2] - Analysts believe the company has overcome its most challenging period, with organic growth rates accelerating from a low point earlier in the fiscal year [3] Snowflake - Barclays downgraded Snowflake from Buy to Hold, lowering the target price from $290 to $250, while still recognizing it as a top software asset with strong revenue growth [2] - The analysts noted limited future upside potential despite a 42% stock price increase in 2025 [2] DoubleVerify - Barclays downgraded DoubleVerify from Buy to Hold, maintaining a target price of $12, citing significant underperformance compared to the software industry [4] - Analysts expressed concerns over the sustainability of revenue growth following a decline in Q3 growth [4] GitLab - Barclays downgraded GitLab from Hold to Reduce, lowering the target price from $42 to $34, attributing the downgrade to execution issues and a challenging macro environment [5] - Analysts noted that recent adjustments may take time to yield results, with expectations of underperformance in the current year [5]

Core Viewpoint - Investors are evaluating DoubleVerify Holdings (DV) and Autodesk (ADSK) to determine which stock presents a better value opportunity for investment [1] Group 1: Zacks Rank and Earnings Estimates - DoubleVerify Holdings currently has a Zacks Rank of 1 (Strong Buy), indicating a more favorable earnings estimate revision trend compared to Autodesk, which has a Zacks Rank of 3 (Hold) [3] - The stronger earnings estimate revision activity for DV suggests an improving analyst outlook, making it a more attractive option for investors [3] Group 2: Valuation Metrics - DV has a forward P/E ratio of 12.23, significantly lower than Autodesk's forward P/E of 29.34, indicating that DV may be undervalued relative to ADSK [5] - The PEG ratio for DV is 0.58, while ADSK's PEG ratio is 1.72, suggesting that DV offers better value when considering expected earnings growth [5] - DV's P/B ratio stands at 1.75, compared to ADSK's P/B of 21.95, further highlighting DV's relative undervaluation [6] Group 3: Value Grades - Based on various valuation metrics, DV holds a Value grade of B, while ADSK has a Value grade of D, indicating that DV is currently the superior value option [6]

Company Performance - ON24 shares have increased by 42.7% over the past month, reaching a new 52-week high of $8.1 [1] - The stock has gained 24.8% since the beginning of the year, outperforming the Zacks Computer and Technology sector's 27.4% and the Zacks Internet - Software industry's 9.3% [1] Earnings and Revenue Expectations - For the current fiscal year, ON24 is projected to report earnings of $0.06 per share on revenues of $138.6 million, reflecting a -53.85% change in EPS and a -6.4% change in revenues [3] - For the next fiscal year, earnings are expected to rise to $0.20 per share, with revenues projected at $137.2 million, indicating a year-over-year change of 233.33% in EPS and -1.01% in revenues [3] Valuation Metrics - ON24 has a Value Score of F, while its Growth Score is A and Momentum Score is C, resulting in a VGM Score of B [6] - The stock trades at 134.3X current fiscal year EPS estimates, significantly higher than the peer industry average of 28.9X, indicating a premium valuation [6] Zacks Rank - ON24 holds a Zacks Rank of 2 (Buy), supported by favorable earnings estimate revisions from analysts [7] - The recommendation suggests that ON24 shares may continue to experience gains, aligning with the investment strategy of selecting stocks with Zacks Rank of 1 or 2 and Style Scores of A or B [7] Industry Comparison - The Internet - Software industry is positioned in the top 21% of all industries, suggesting positive market conditions for ON24 and its peers [10] - DoubleVerify Holdings, Inc. is highlighted as a strong competitor with a Zacks Rank of 1 (Strong Buy) and favorable valuation metrics [8][9]

Company Overview - DoubleVerify Holdings, Inc. is a leading player in digital advertising measurement and optimization, operating in a duopoly with IAS [2] - The company is characterized by high barriers to entry and substantial switching costs, similar to auditors in financial reporting [2] Financial Performance - As of December 2nd, DoubleVerify's share was trading at $10.75, with trailing and forward P/E ratios of 40.54 and 19.16 respectively [1] - The company boasts over 95% gross revenue retention and 110%+ net revenue retention, indicating strong customer loyalty [3] Growth Potential - Despite its strong position, penetration in open web, connected TV, and social media remains low, presenting significant growth opportunities [3] - The company charges fees per ad impression, creating a high-margin, recurring revenue model that scales with digital ad spending [3] Competitive Advantage - DoubleVerify differentiates itself from IAS through operational execution, aggressive innovation, and strategic acquisitions, supporting sustained double-digit revenue growth [4] - The company benefits from liquidity and scale advantages, as well as AI-driven trends that increase demand for verification services [4] Market Expectations - Market consensus projects mid-single-digit growth, which is conservative compared to DoubleVerify's likely mid-to-high teens performance, indicating substantial upside potential [5] - The company is trading at historically low valuations (~9x EBITDA) relative to its earnings power, presenting a compelling risk/reward profile [5] Upcoming Catalysts - Upcoming Q3 earnings could validate the earnings upgrade cycle, potentially driving multiple expansion and delivering attractive medium-term returns [5]

Core Insights - AppLovin Corporation has experienced a 5.1% increase in stock price in a single day, prompting a reassessment of its competitive position in the digital advertising and app monetization ecosystem [2] - AppLovin's operating margin stands at 52.5%, which is higher than its peers, indicating strong profitability [3] - The company has reported an impressive revenue growth of 86.4% over the past year, significantly surpassing its competitor DoubleVerify [8] - AppLovin's stock has risen 124.6% in the previous year, with a current price-to-earnings (PE) ratio of 77.9, reflecting strong market performance [8] Competitive Landscape - AppLovin and DoubleVerify operate in overlapping areas of the digital ad tech value chain, with AppLovin focusing on ad delivery and user acquisition, while DoubleVerify emphasizes ad effectiveness and brand safety [2] - Regular evaluation of competitors is essential for understanding AppLovin's stock performance, valuation, and financial metrics [6] - The Trefis High Quality Portfolio, which includes a selection of 30 stocks, has consistently outperformed benchmark indices, highlighting the importance of diversified investment strategies [7]

Core Insights - DoubleVerify's Q3 CY2025 revenue of $188.6 million represented an 11.2% year-on-year growth but fell short of analyst expectations of $190.2 million by 0.8% [1][6] - The company's adjusted EPS of $0.22 was 17.4% below the consensus estimate of $0.27 [1][6] - Q4 CY2025 revenue guidance of $209 million was 0.9% below analyst estimates of $210.8 million [1][6] Performance Analysis - Management attributed the revenue shortfall to a decline in retail advertiser spending and challenging comparisons to the previous year's strong performance [3] - Core verticals like consumer packaged goods remained stable, but overall market dynamics affected retail budgets [3] - Customer retention among major clients remained strong, and there was early traction for new AI-powered offerings [3] Future Outlook - The company's future guidance is influenced by the adoption rates of new AI-driven verification tools and streaming TV solutions [4] - Management believes that automation and AI will lead to margin expansion despite moderating revenue growth [4] - Key areas for future performance include scaling social and connected TV initiatives and ongoing investments in product development and international expansion [4][5] Financial Metrics - Adjusted operating income was $50.66 million, exceeding analyst estimates of $49.37 million, with a margin of 26.9% [6] - EBITDA guidance for Q4 CY2025 is $79 million, above analyst estimates of $77.86 million [6] - Operating margin decreased to 11.2% from 15.2% in the same quarter last year [6] - The company's market capitalization stands at $1.51 billion [6]

Financial Performance - Workiva reported quarterly earnings of $0.55 per share, exceeding the Zacks Consensus Estimate of $0.38 per share, and up from $0.21 per share a year ago, representing an earnings surprise of +44.74% [1] - The company posted revenues of $224.17 million for the quarter ended September 2025, surpassing the Zacks Consensus Estimate by 2.31%, compared to year-ago revenues of $185.62 million [2] Earnings Outlook - The current consensus EPS estimate for the coming quarter is $0.62 on revenues of $230.99 million, and for the current fiscal year, it is $1.34 on revenues of $871.58 million [7] - The estimate revisions trend for Workiva was mixed ahead of the earnings release, resulting in a Zacks Rank 3 (Hold) for the stock, indicating expected performance in line with the market [6] Industry Context - The Internet - Software industry, to which Workiva belongs, is currently in the top 34% of over 250 Zacks industries, suggesting a favorable outlook compared to the bottom 50% [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]