This off-the-radar stock saw some huge volume last week due to a well-received and upsized secondary offering. KnowBe4 Inc. (NASDAQ: KNBE) engages in the development of security awareness training and a simulated phishing platform. Its security awareness platform enables organizations to assess, monitor and minimize the ongoing cybersecurity threat of social engineering attacks.
The company’s products include:
- Kevin Mitnick Security Awareness Training, a security awareness training product
- KnowBe4 Enterprise Awareness Training, an integrated platform that simulated random attacks
- KCM GRC Platform, a SaaS-based GRC platform
- PhishER, which analyses suspected attacks that employees report by clicking the Phish Alert Button within their email applications
- KnowBe4 Compliance Manager, which help customers save time and resources by providing an intuitive user interface with streamlined workflows that enables visibility into the ongoing audit and compliance processes at various levels of the business.
It also offers phishing test tools that help organizations assess their vulnerability to various formats of phishing attacks and benchmark their security awareness levels against their peers. The Phish Alert email add-in button allows users to forward email threats to the security team for analysis in one click. Security awareness training tools help IT teams create and deploy security awareness programs. Password tools evaluate password-related risks within organizations, and email security tools assess email-related security threats, including spear phishing, domain spoof or mail server malfunctions. Its malware tools test an organization’s network against ransomware and crypto-mining attacks.
A massive 25% of the 14 million share float is sold short. Needham’s Buy rating comes with a $40 price target. The consensus target is just $25.83, and Friday’s close was at $25.62 per share.
This company had another explosive IPO that blew up out of the gate, traded higher and has come way back in, offering stellar entry points. PubMatic Inc. (NASDAQ: PUBM) provides a cloud infrastructure platform that enables real-time programmatic advertising transactions worldwide. The company’s solutions include PubMatic Cloud, which offers a customizable platform as a service to deliver a proprietary solution; openwrap and openwrap OTT, the Prebid-powered header bidding solution; openwrap SDK, which is an in-app header bidding technology; and media buyer console.
PubMatic also provides RTB advertising technologies, digital advertising inventory and real-time creative scanning for ads. Furthermore, the company offers audience encore for audience data transaction, and cross-platform video for multi-integration support for video bidding. Its platform supports an array of ad formats and digital device types, including mobile app, mobile web, desktop, display, video, over-the-top, connected television and media.
Top analysts see PubMatic as an ad-tech winner with multiple drivers, including the shift to programmatic advertising, buyers consolidating spend around fewer supply-side players and growth in new verticals like Connected TV. Some across Wall Street believe 20% or more revenue growth over the next two years is achievable and could be conservative.
The company just posted strong second-quarter results, and the short interest is a stunning 30% of the small 8.5 million share float. Oppenheimer raised its price target on the Outperform-rated stock to $50 from $45. The consensus target for PubMatic stock is $48.86, also well above Friday’s close at $29.66, which was down almost 5% on the day.