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Barracuda Networks Inc. (NYSE: CUDA) is scheduled to release its fiscal second-quarter financial results after the markets close on Tuesday. Consensus estimates from Thomson Reuters call for $0.17 in EPS and revenue of $93.33 million. In the same period of last year, the IT security company posted EPS of $0.21 and $87.93 million in revenue.

The firm delivered strong first-quarter results, exceeding its guidance on both revenue and billings, driven by continued momentum with email security, public cloud and managed service provider (MSP) solutions. And looking ahead, management said that it plans to continue to invest in the growth opportunities it sees in the market and provide new easy-to-deploy and manage solutions that help customers navigate the evolving threat landscape safely and affordably.

In the first quarter, Subscription revenue grew 13% to $73.9 million, representing 78% of total revenue, while Appliance revenue dropped slightly to $20.3 million.

Note that total active subscribers exceeded 335,000 for the first quarter, which grew from 321,241 at the end of the previous fiscal year. This number has been steadily increasing over the quarters, but year-over-year subscriber growth is closer to 15%, what could be expected for this quarter.

A few analysts weighed in on Barracuda ahead of the earnings report:

• Needham reiterated a Buy rating with a $28 price target.
• Stifel Nicolaus has a Buy rating and a $32 price target.
• BTIG has a Buy rating with a $30 price target.
• Piper Jaffray has an Overweight rating with a $28 price target.
• Imperial Capital has a $21 price target.
• Robert Baird has a Buy rating.

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So far in 2017, Barracuda has outperformed the U.S. broad markets, with the stock up about 20% year to date. Over the past 52 weeks, the stock is only up 5%.

Shares of Barracuda were last seen at $25.70, with a consensus analyst price target of $28.64 and a 52-week range of $19.06 to $26.69.