Proofpoint, Inc. | $PFPT Stock | Shares Jump Up On Positive Earnings Numbers


Proofpoint, Inc. (NASDAQ: PFPT)



Proofpoint, Inc. (PFPT), a global security and compliance company yesterday reported their second quarter 2016 financial results. Proofpoint reported second quarter adjusted earnings of $0.06 per share which beat analyst expectations of a loss of $0.01 per share. Proofpoint reported second quarter sales of $89.9 million which beat analyst expectations of $84.3 million.


Proofpoint, Inc. CEO and CFO Comments

“Our ability to exceed second quarter expectations was driven by broad-based demand across all of our cloud-based solutions,” stated Gary Steele, chief executive officer of Proofpoint.  “During the quarter, Proofpoint also benefited from continued high competitive win rates, robust renewal and add-on activity, as well as the overall move to the cloud.  Looking forward, we remain confident in our ability to maintain the momentum and grow market share globally, given the improved competitive landscape and the value we are creating with our expanding partner ecosystem.”

“We were very pleased with our strong second quarter execution, particularly our ability to surpass $100 million in quarterly billings,” stated Paul Auvil, chief financial officer of Proofpoint. “Our overall financial results highlight the leverage we are starting to see in the business while at the same time driving top line growth.”  Globe Newswire


PFPT Technical Analysis

PFPT Chart

PFPT opened trading yesterday at $68.03 which was down from the previous days trading of $68.24. PFPT closed trading yesterday at $65.27 and spiked up after market to $74.70, equivalent to a 14% increase from the closing price. Taking a look at the daily chart we can see the last time PFPT traded above these levels was on November 25th, 2015, when it traded at highs of $75.00. Taking a closer look at the daily chart we can see that PFPT has been on an overall upward trend dating back to February 8th when it traded at its 52 week low price of $35.56. PFPT has a float of 40.34 million shares and traded 1.81 times the normal daily trading volume on Thursday. For trading purposes, I would like to see PFPT open trading on Friday above $71.50 and if it does I would be looking to take a long position at the bell. My stop loss would be $0.50 from my entry position fearing anything more than that and the stock would start to fill in the gap up.


Company Profile

Proofpoint, Inc. provides threat protection, incident response, regulatory compliance, archiving, governance, eDiscovery, and secure communication solutions worldwide. Its security-as-a-service solutions comprises an integrated suite of on-demand data protection solutions that enable large and mid-sized organizations to defend, protect, archive, and govern their sensitive data. The company provides Proofpoint Enterprise Protection, a communications and collaboration security suite designed to protect customers’ mission-critical messaging infrastructure from outside threats, including spam, phishing, unpredictable email volumes, malware, and other forms of objectionable or dangerous content before they reach the enterprise; and Proofpoint Information Protection, a data loss prevention, encryption, and compliance solution that defends against leaks of confidential information, and enables compliance with the United States, international, and industry-specific data protection regulations. It also offers Proofpoint Enterprise Archive, which enables enforcement of data governance, data retention, and supervision policies and mandates; litigation support; and active legal hold management. In addition, the company provides Proofpoint Social Media Security & Compliance that enables customers to protect their online brand presence and social media communication infrastructure; and Proofpoint Essentials, a suite of security-as-a-service and compliance solutions for distribution to managed service providers and dedicated security resellers. Further, it offers platform services comprising content inspection, reputation, encryption and key management, notification and workflow, analytics and search, and malware analysis services. The company serves organizations in verticals, such as aerospace and defense, education, financial services, government, healthcare, manufacturing, and retail. Proofpoint, Inc. was founded in 2002 and is headquartered in Sunnyvale, California.  Yahoo Finance