Allot: The Market Doesn't Appreciate The SECaaS Traction, Providing An Opportunity

Shareholders Unite Investing Group Leader Follow Summary Allot delivered a record Q2 2026, with 15% YoY revenue growth and strong profitability, driven by its cybersecurity-first strategy. SECaaS revenue surged 47% YoY to $9.4M, now 34% of total revenue, with ARR up 44% and new wins in EMEA and SMB segments. North America contributed 31% of revenue, up from 17% last year, fueled by Tera III platform sales and a major U.S. SECaaS customer. ALLT raised 2026 revenue guidance to $115M–$118M, expects SECaaS growth of 40%+, and approved a $40M share buyback reflecting confidence and strong cash position. Looking for a portfolio of ideas like this one? Members of SHU Growth Portfolio get exclusive access to our subscriber-only portfolios. Learn More » JuSun/iStock via Getty Images Allot ( ALLT ) produces network intelligence and security solutions for telecom carriers. The company has produced four consecutive quarters of double-digit revenue growth, and bottom-line metrics are accelerating. Allot Secure, the company’s cybersecurity segment, is the driving force This article was written by Shareholders Unite 20.33K Followers Follow Shareholders Unite is a retired academic with 30+ years of experience in the financial markets. He looks to find small companies with multi-bagger potential while mitigating risks through a portfolio approach. He runs SHU Growth Portfolio where he offers wide coverage of several small companies with high growth possibilities. He has a buy and hold approach with tranche purchases of stocks of interest. The service features an illustrative portfolio to incorporate into your portfolio, buy alerts, weekend stock and market updates, and a chat room. Learn more Analyst’s Disclosure: I/we have a beneficial long position in the shares of ALLT either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.