Allot Ltd. (ALLT) Fundamental Analysis: Bull vs. Bear Case

ALLT

Allot Ltd.

Fundamental data last updated:June 4, 2026

We may earn a commission from partner links. This content is for informational purposes only and is not financial advice. Information may be delayed or inaccurate.

company profile

SECTOR

Technology

industry

Software - Infrastructure

Exchange

NASDAQ

County of HQ

IL

Next Earnings Date

08/13/2026

Business Summary

Allot Ltd. provides network intelligence and security solutions to protect and personalize the digital experience in Europe, Asia, Oceania, the Middle East, Africa, and the Americas. The company offers Allot Secure Management platform that includes Allot NetworkSecure, Allot HomeSecure, Allot DNSecure, EndPoint Secure, Allot BusinessSecure, Allot IoTSecure, and Allot Secure Cloud. It also provides Allot DDoS Secure/5G Protect, a solution that offers attack detection and mitigation services; integrated network intelligence solutions; and centralized management solutions, such as Allot NetXplorer for providing a central access point for network-wide monitoring, reporting, analytics, troubleshooting, accounting, and quality of service policy provisioning. The company markets its products through direct sales, distributors, resellers, original equipment manufacturers, and system integrators to carriers, mobile and fixed service providers, cable operators, satellite service providers, private networks, data centers, financial and educational institutions, and governments. Allot Ltd. was formerly known as Allot Communications Ltd. and changed its name to Allot Ltd. in October 2018. The company was incorporated in 1996 and is based in Hod Hasharon, Israel.

VALUATION

P/E

64.86 Market Cap ($M USD)

$332.13M

Forward P/E

N/A

PEG

N/A

PRICE TO SALES

3.16 PRICE TO BOOK

3.36 EV / EBITDA

32.21 5-Year Average P/E

Free Cash Flow Yield

7.59%

DCF Value

$-5.16

Graham Number

$2.55

Price to FCF

13.18 EV to FCF

12.76 Earnings Yield

1.54%

FCF Yield

7.59%

DIVIDEND

Yield

0.00%

Annual Payout

$0.00

Payout Ratio

0.00%

Consecutive Years of Dividend Growth

5-Year Dividend Growth Rate

Financial Health & Profitability

Earnings Per Share

$0.12

Next Year EPS Growth Estimate

$0.00

Next Year Revenue Growth Estimate

$18.20B

Return on Equity (ROE)

5.46%

FREE CASH FLOW

Operating Margin

5.55%

Debt-to-Equity

0.10 Piotroski F-Score

6 Altman Z-Score

3.89 Return on Invested Capital (ROIC)

4.55%

Current Ratio

2.39 Quick Ratio

2.13 Net Debt to EBITDA

-1.05

Interest Coverage

0.00 Gross Profit margin

71.48%

FCF PER SHARE

$0.52

REVENUE PER SHARE

$2.16

Gainseekers Quantitative Analysis

Summary

The market seems to be mispricing Allot Ltd. significantly. With a Price/Earnings ratio soaring above 102, the stock appears overvalued, especially when juxtaposed with its negative DCF Value. The Graham Number suggests a much lower intrinsic value, indicating potential overextension. However, the Altman Z-score of 4.53 signals financial stability, suggesting the company is not at immediate risk of distress. Despite these valuation concerns, the Earnings Yield remains underwhelming, hinting at limited immediate returns for investors.

AI Exposure / Tech Reliance

Operating within the Software - Infrastructure industry, Allot Ltd. is well-positioned to leverage AI advancements. This sector is ripe for innovation, and companies here are often at the forefront of integrating cutting-edge technologies. Allot's adaptability to tech shifts could enhance its competitive edge and market relevance.

The Bull Case

For the discerning GARP investor, Allot Ltd. offers compelling strengths. The Piotroski F-Score of 7 indicates robust financial health, while a Return on Equity of 3.98% and a solid FCF Yield suggest efficient capital management. The company's Gross Profit Margin of 70.31% underscores its pricing power, allowing it to maintain profitability even in competitive markets. These metrics paint a picture of a company with potential for sustainable growth and capital efficiency.

The Bear Case

Despite some strengths, Allot Ltd. faces significant structural risks. The Price/Book ratio of 3.34 and Price/Sales ratio of 3.20 suggest the stock is trading at a premium, potentially deterring value investors. The Forward P/E is unavailable, adding uncertainty to future earnings expectations. Moreover, the stock's distance from its 52-week high indicates technical overextension, raising concerns about its current valuation levels.

Market Sentiment & Smart Money

Short Interest %

Analyst Consensus

Buy

Average Analyst Price Target

$14.67

Institutional Ownership %

1-Year Beta

1.47 Insider Buying % (6 Mo)

Distance to 52-Week High

49.94%

Distance to 52-Week Low

23.02%

EARNINGS SURPRISE %

20.00%

50-DAY SMA

$7.19

200-DAY SMA

$8.74

⚠️ Financial Disclaimer:
This content is for informational purposes only and is not financial advice. Information may be delayed or inaccurate. We may earn a commission from partner links.