BTIG Names Zscaler and Netskope as Leading Choices in Security and Infrastructure Software Stocks for 2026
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Dec 13 2025
0mins
Should l Buy NTSK?
Source: SeekingAlpha
Top Picks for 2026: BTIG's leading large-cap security software pick is Zscaler, while Netskope is favored among small-and-mid-cap stocks, alongside other names like Snowflake and Datadog.
2025 Performance Review: Despite stable revenue growth, the security and infrastructure software sector underperformed major indices in 2025, with a median return of -0.8% compared to a 22% gain in the Nasdaq.
2026 Growth Outlook: Analysts expect cybersecurity growth to stabilize at around 16% in 2026, with a focus on cloud security and identity solutions, while organizations are likely to continue using existing vendor solutions for AI security.
Observability and Vendor Consolidation: The observability market is expected to benefit from vendor consolidation, with companies like Datadog and Dynatrace positioned well, while Palo Alto's acquisition of Chronosphere could disrupt the market dynamics.
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Analyst Views on NTSK
Wall Street analysts forecast NTSK stock price to rise
11 Analyst Rating
11 Buy
0 Hold
0 Sell
Strong Buy
Current: 12.290
Low
23.00
Averages
26.40
High
30.00
Current: 12.290
Low
23.00
Averages
26.40
High
30.00
About NTSK
Netskope, Inc. is a cybersecurity company that provides security, networking, and analytics solutions to organizations ranging from macro to mid-sized companies. The Company delivers its offerings through a software-as-a-service business model, selling subscriptions that provide customers with access to its platform along with related support services. Its Netskope One platform is a comprehensive solution that integrates security, networking, and analytics products into a single, unified platform. Its products include Security Products, Network Products, and Analytics Products. Security products include Cloud Inline Security, Cloud Access Security Broker, Threat Protection, Next-Gen Secure Web Gateway, Private Access, Enterprise Browser, and others. Networking products include Firewall-as-a-Service, Software-Defined Wide Area Network, Cloud Packet Stream, and others. Analytics products include Advanced Analytics, User and Entity Behavior Analytics, and Digital Experience Management.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Netskope Scheduled to Announce Q4 Earnings on March 11
- Earnings Announcement Schedule: Netskope, Inc. is set to release its Q4 2023 earnings on March 11 after market close, with consensus estimates predicting an EPS of -$0.06 and revenue of $189.17 million, providing crucial insights into the company's financial health.
- Market Reaction Analysis: Despite the current dip being deemed irrational, analysts suggest aggressive buying, indicating confidence in Netskope's future growth potential, particularly against the backdrop of sustained demand in the cybersecurity sector.
- Industry Dynamics Impact: Wedbush analysts note that Fortinet and Check Point may face headwinds due to rising DRAM prices affecting firewall buildouts, further highlighting Netskope's relative advantage in the competitive landscape.
- Rating Changes Overview: Piper Sandler upgraded Varonis while downgrading SentinelOne, reflecting mixed market sentiment towards different cybersecurity companies, with Netskope's performance likely to be closely monitored.
See More
Key Market Updates for Investors
- CPI Data Release: February's Consumer Price Index (CPI) data will be released on Wednesday morning, providing investors with the latest insights into the economic trends that could influence market sentiment and investment decisions.
- Earnings Season Begins: Companies like Campbell's (CPB) and Petco (WOOF) are set to report quarterly earnings, and investors will closely monitor these results to assess company performance and potential market impacts.
- Fed Vice Chair Speech: Federal Reserve Vice Chair Michelle Bowman will deliver remarks, and market participants will pay attention to her views on monetary policy to gauge future interest rate directions and their economic implications.
- Market Analysis Show: Investors can tune into the Market Domination Overtime program for more expert insights and analysis on the latest market actions, aiding them in making more informed investment decisions.
See More
Upcoming Key Market Events Preview
- Earnings Reports: Next week will see earnings results from Hewlett Packard Enterprise (HPE), Kohl's (KSS), Oracle (ORCL), and Adobe (ADBE), which are expected to significantly impact market sentiment, particularly as investors closely monitor performance in the tech and retail sectors amid the current economic climate.
- CPI Data Release: The Consumer Price Index (CPI) results for February will be released, with the market keenly observing changes in inflation trends that will provide crucial insights for the Federal Reserve's monetary policy decisions, potentially influencing interest rate expectations and stock market performance.
- NFIB Optimism Index: The latest readings on the NFIB Optimism Index will be published, reflecting small business owners' confidence in the economic outlook; strong data could boost market sentiment and affect related stock performance.
- Existing Home Sales Data: The latest data on existing home sales in the U.S. will also be released, with the market closely watching the health of the real estate sector, especially against a backdrop of rising interest rates, which could impact consumer confidence and spending.
See More
Netskope Launches AI Fast Path to Optimize Network Performance
- AI Fast Path Launch: Netskope introduces NewEdge AI Fast Path, designed to optimize network paths for AI applications, significantly reducing latency and costs, thereby enhancing operational efficiency and security for enterprises in the AI era.
- Balancing Security and Speed: A survey reveals that only 18% of infrastructure leaders are confident that their current team and budget can meet AI performance and security demands; Netskope eliminates the trade-offs between security and user experience, facilitating broader AI adoption.
- Global Data Center Expansion: With over 120 data centers across 75 regions, Netskope ensures that each location provides full compute capabilities and SASE stacks, enabling enterprises to quickly access AI services and enhancing business continuity and resilience.
- Innovative Route Control Technology: The NewEdge Route Control technology makes tens of thousands of route changes daily to ensure fast access to AI destinations while bolstering network resilience against internet congestion or ISP connectivity issues, further improving user experience.
See More
Cybersecurity Stocks Plummet Amid AI Disruption Fears
- Market Panic Intensifies: Cybersecurity stocks faced a sell-off due to fears of AI disruption, with the iShares Cybersecurity and Tech ETF (IHAK) dropping over 3% on Friday, while major players like CrowdStrike and Cloudflare fell around 8%.
- Investor Reaction Misaligned: Despite Anthropic's launch of the Claude Code Security tool, UBS believes there is little overlap with major cybersecurity companies' revenue streams, indicating that the market's reaction is more panic-driven than based on reality.
- Poor Company Performance: Month-to-date, CrowdStrike has lost over 20% of its value, Okta is down nearly 18%, and Zscaler has shed 28%, reflecting a trend of indiscriminate selling within the sector.
- Long-Term Investment Opportunities: Despite short-term pressures, JPMorgan sees these companies as investment opportunities, with analysts noting that CrowdStrike, Okta, and Zscaler may benefit from high demand for cybersecurity as AI adoption increases.
See More
Cybersecurity Stocks Decline Amid AI Tool Concerns
- Market Reaction: Cybersecurity stocks fell for the second consecutive day on Monday, with CrowdStrike and Zscaler dropping about 9% each, while Netskope declined nearly 10%, reflecting investor concerns over new AI security tools potentially displacing traditional business models.
- New Product Launch: Anthropic debuted a new security tool for its Claude model on Friday, capable of scanning software code for vulnerabilities and suggesting solutions, with an enterprise briefing scheduled for Tuesday, further heightening market interest.
- Industry Leader's Perspective: CrowdStrike CEO George Kurtz defended on LinkedIn that AI's ability to scan code does not replace the Falcon platform, emphasizing that security requires an independent, battle-tested platform to prevent breaches.
- Analyst Insights: Despite rising fears that AI could replace cybersecurity roles, Bank of America analysts argue that the new AI tool poses a threat primarily to code scanning platforms, asserting that it lacks the visibility and reliability to replace end-to-end security solutions while potentially enhancing efficiency in specific workflows.
See More
Netskope Scheduled to Announce Q4 Earnings on March 11
- Earnings Announcement Schedule: Netskope, Inc. is set to release its Q4 2023 earnings on March 11 after market close, with consensus estimates predicting an EPS of -$0.06 and revenue of $189.17 million, providing crucial insights into the company's financial health.
- Market Reaction Analysis: Despite the current dip being deemed irrational, analysts suggest aggressive buying, indicating confidence in Netskope's future growth potential, particularly against the backdrop of sustained demand in the cybersecurity sector.
- Industry Dynamics Impact: Wedbush analysts note that Fortinet and Check Point may face headwinds due to rising DRAM prices affecting firewall buildouts, further highlighting Netskope's relative advantage in the competitive landscape.
- Rating Changes Overview: Piper Sandler upgraded Varonis while downgrading SentinelOne, reflecting mixed market sentiment towards different cybersecurity companies, with Netskope's performance likely to be closely monitored.
See More
Key Market Updates for Investors
- CPI Data Release: February's Consumer Price Index (CPI) data will be released on Wednesday morning, providing investors with the latest insights into the economic trends that could influence market sentiment and investment decisions.
- Earnings Season Begins: Companies like Campbell's (CPB) and Petco (WOOF) are set to report quarterly earnings, and investors will closely monitor these results to assess company performance and potential market impacts.
- Fed Vice Chair Speech: Federal Reserve Vice Chair Michelle Bowman will deliver remarks, and market participants will pay attention to her views on monetary policy to gauge future interest rate directions and their economic implications.
- Market Analysis Show: Investors can tune into the Market Domination Overtime program for more expert insights and analysis on the latest market actions, aiding them in making more informed investment decisions.
See More
Upcoming Key Market Events Preview
- Earnings Reports: Next week will see earnings results from Hewlett Packard Enterprise (HPE), Kohl's (KSS), Oracle (ORCL), and Adobe (ADBE), which are expected to significantly impact market sentiment, particularly as investors closely monitor performance in the tech and retail sectors amid the current economic climate.
- CPI Data Release: The Consumer Price Index (CPI) results for February will be released, with the market keenly observing changes in inflation trends that will provide crucial insights for the Federal Reserve's monetary policy decisions, potentially influencing interest rate expectations and stock market performance.
- NFIB Optimism Index: The latest readings on the NFIB Optimism Index will be published, reflecting small business owners' confidence in the economic outlook; strong data could boost market sentiment and affect related stock performance.
- Existing Home Sales Data: The latest data on existing home sales in the U.S. will also be released, with the market closely watching the health of the real estate sector, especially against a backdrop of rising interest rates, which could impact consumer confidence and spending.
See More
Netskope Launches AI Fast Path to Optimize Network Performance
- AI Fast Path Launch: Netskope introduces NewEdge AI Fast Path, designed to optimize network paths for AI applications, significantly reducing latency and costs, thereby enhancing operational efficiency and security for enterprises in the AI era.
- Balancing Security and Speed: A survey reveals that only 18% of infrastructure leaders are confident that their current team and budget can meet AI performance and security demands; Netskope eliminates the trade-offs between security and user experience, facilitating broader AI adoption.
- Global Data Center Expansion: With over 120 data centers across 75 regions, Netskope ensures that each location provides full compute capabilities and SASE stacks, enabling enterprises to quickly access AI services and enhancing business continuity and resilience.
- Innovative Route Control Technology: The NewEdge Route Control technology makes tens of thousands of route changes daily to ensure fast access to AI destinations while bolstering network resilience against internet congestion or ISP connectivity issues, further improving user experience.
See More
Cybersecurity Stocks Plummet Amid AI Disruption Fears
- Market Panic Intensifies: Cybersecurity stocks faced a sell-off due to fears of AI disruption, with the iShares Cybersecurity and Tech ETF (IHAK) dropping over 3% on Friday, while major players like CrowdStrike and Cloudflare fell around 8%.
- Investor Reaction Misaligned: Despite Anthropic's launch of the Claude Code Security tool, UBS believes there is little overlap with major cybersecurity companies' revenue streams, indicating that the market's reaction is more panic-driven than based on reality.
- Poor Company Performance: Month-to-date, CrowdStrike has lost over 20% of its value, Okta is down nearly 18%, and Zscaler has shed 28%, reflecting a trend of indiscriminate selling within the sector.
- Long-Term Investment Opportunities: Despite short-term pressures, JPMorgan sees these companies as investment opportunities, with analysts noting that CrowdStrike, Okta, and Zscaler may benefit from high demand for cybersecurity as AI adoption increases.
See More
Cybersecurity Stocks Decline Amid AI Tool Concerns
- Market Reaction: Cybersecurity stocks fell for the second consecutive day on Monday, with CrowdStrike and Zscaler dropping about 9% each, while Netskope declined nearly 10%, reflecting investor concerns over new AI security tools potentially displacing traditional business models.
- New Product Launch: Anthropic debuted a new security tool for its Claude model on Friday, capable of scanning software code for vulnerabilities and suggesting solutions, with an enterprise briefing scheduled for Tuesday, further heightening market interest.
- Industry Leader's Perspective: CrowdStrike CEO George Kurtz defended on LinkedIn that AI's ability to scan code does not replace the Falcon platform, emphasizing that security requires an independent, battle-tested platform to prevent breaches.
- Analyst Insights: Despite rising fears that AI could replace cybersecurity roles, Bank of America analysts argue that the new AI tool poses a threat primarily to code scanning platforms, asserting that it lacks the visibility and reliability to replace end-to-end security solutions while potentially enhancing efficiency in specific workflows.
See More
