NETAKAM
NET 4Q25: Minimal Impact From Outages in Q4; FY26 Growth Trajectory Likely to Keep
FUNDA
Sustained ~30% FY26 growth looks likely, led by security and CDN/Workers; Q4 outages minimal.
Growth: Valuation Multiples Remain Elevated; Sustaining High Growth Is Critical to Justify the Premium
The company continues to trade at elevated multiples, requiring sustained high revenue growth to support its valuation. The market remains skeptical on this front. However, based on our analysis, we believe there is a reasonable probability of maintaining approximately 30% growth.
Review
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F3Q25 (fiscal third quarter of 2025): Revenue grew 31% (3pp above consensus; 3.2% above company guidance). F4Q guidance was set at 28%.
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Management previously guided to a $5 billion revenue target by CY28 (implying a ~28% CAGR), with an expected $3 billion annualized run-rate by the end of FY26.
Growth Path Estimates (Based on Channel Checks and Select Sell-Side Inputs)
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