Invest in 5 Small-Cap Stocks During the 2025 Rally for Increased Profits in 2026
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Dec 08 2025
0mins
Should l Buy ALLT?
Source: NASDAQ.COM
Small-Cap Stock Performance: Small-cap stocks have seen a rebound in 2024, supported by a low-interest-rate environment, with the Russell 2000 and S&P 600 indices up 13% and 5.3% year-to-date, respectively.
Growth Potential of Small Businesses: Small businesses, reliant on affordable credit, benefit from declining interest rates, which can enhance their profitability and market capitalization, despite being more volatile than larger companies.
Highlighted Small-Cap Stocks: Five small-cap stocks recommended for growth in 2026 include Allot Ltd., Seanergy Maritime Holdings Corp., Isabella Bank Corp., Owlet Inc., and Intellicheck Inc., all holding a Zacks Rank #1 (Strong Buy).
Future Stock Recommendations: Zacks Investment Research plans to release its top 10 stock picks for 2026 on January 5, following a history of significant gains, with the previous top stocks outperforming the S&P 500 substantially.
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Analyst Views on ALLT
Wall Street analysts forecast ALLT stock price to rise
5 Analyst Rating
5 Buy
0 Hold
0 Sell
Strong Buy
Current: 6.270
Low
12.50
Averages
14.63
High
18.00
Current: 6.270
Low
12.50
Averages
14.63
High
18.00
About ALLT
Allot Ltd is an Israel-based company engaged primarily in the software solutions for the communication sector. The Company is a provider of security solutions and network intelligence solutions for mobile, fixed and cloud service providers as well as enterprises worldwide. The Company's solutions are deployed globally for network-based security, including mobile security, distributed denial of service (DDoS) protection and Internet of Things (IoT) security, network and application analytics, traffic control and shaping, and more. The Company delivers a unified security service for individual consumers and small and medium-sized businesses (SMBs), at home, at work and on the go, with the Allot Secure product family.
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.
Allot Files Annual 20-F Report for Fiscal Year 2025
- Annual Report Submission: On March 27, 2026, Allot filed its annual Form 20-F report with the SEC for the fiscal year ending December 31, 2025, which includes audited financial statements, ensuring transparency and compliance with regulatory requirements.
- Financial Information Access: Investors can access the report via the SEC's website and Allot's investor relations site, enhancing communication between the company and its investors, thereby boosting investor confidence.
- Commitment to Shareholders: Allot offers free hard copies of the annual report to shareholders, further demonstrating the company's commitment to its shareholders and enhancing shareholder loyalty.
- Strengthened Market Position: As a leading global provider of Security-as-a-Service and Deep Network Intelligence solutions, Allot's multi-service platforms are deployed by over 500 service providers and more than 1,000 enterprises, solidifying its competitive advantage in the cybersecurity market.
See More
Allot Ltd Reports Strong Q4 2025 Earnings with Significant Growth
- Significant Revenue Growth: Allot Ltd reported a revenue of $28.4 million in Q4 2025, reflecting a 14% year-over-year increase, with total revenue for the year reaching $102 million, an 11% rise from 2024, indicating strong market performance and growth potential.
- Robust Cybersecurity Services: The Cybersecurity as a Service (SECaaS) revenue surged to $8.1 million in Q4 2025, marking a 70% year-over-year increase and comprising 28% of total revenue, highlighting the company's strong position in the rapidly growing cybersecurity market.
- Stable Recurring Revenue: Recurring revenue accounted for 62% of total revenue in 2025, enhancing revenue visibility and stability, with guidance for 2026 revenue expected between $113 million and $117 million, indicating a solid foundation for future business expansion.
- Strong Financial Position: By the end of 2025, Allot Ltd held $88 million in cash with no debt, providing strategic flexibility for future growth initiatives, while its non-GAAP gross margin improved from 70.6% in 2024 to 72%, reflecting operational efficiency.
See More
Allot to Host Investor Meetings at Cantor Fitzgerald Conference
- Investor Meeting Schedule: Allot Ltd. will meet with investors at the Cantor Fitzgerald Global Technology Conference in New York on March 11, 2026, where CEO Eyal Harari will engage in one-on-one discussions with institutional investors, aiming to strengthen investor relations and enhance market confidence.
- Business Overview: Allot is a leading provider of Security-as-a-Service (SECaaS) and network intelligence solutions, serving over 500 mobile, fixed, and cloud service providers and more than 1,000 enterprises, showcasing its strong market position in the cybersecurity sector.
- Solution Advantages: Allot's network-native security-as-a-service solution is utilized by millions of subscribers globally, offering services such as network and application analytics and traffic control, thereby enhancing customer value and demonstrating its competitive edge in the industry.
- Risk Factors Advisory: The company highlighted several forward-looking statements, emphasizing risks related to financial guidance, customer attrition, and technological competition, reminding investors to consider various uncertainties that could impact future performance.
See More
Allot Ltd. Reports Strong Q4 2025 Earnings with Significant Growth in Cybersecurity Revenue
- Significant Revenue Growth: Allot Ltd. reported fourth-quarter revenue of $28.4 million, up 14% year-over-year, with total annual revenue reaching $102 million, reflecting an 11% increase, showcasing the company's strong performance in the cybersecurity sector.
- Expansion of Cybersecurity Services: Cybersecurity as a Service (SECaaS) revenue hit $8.1 million in Q4, a 70% year-over-year increase, comprising 28% of total quarterly revenue, indicating the company's competitive edge in this rapidly growing market.
- Improved Profitability: The company achieved a non-GAAP net income of $4.1 million in Q4, translating to $0.08 per diluted share, a 105% increase from the previous year, while non-GAAP gross margin rose to 71.9%, reflecting improvements in cost control and profitability.
- Optimistic Future Outlook: Management projects 2026 revenues between $113 million and $117 million, with SECaaS expected to drive continued double-digit growth, despite challenges from AI data center spending and supply chain pressures.
See More
Allot Reports Q4 Earnings with 14.1% Revenue Growth
- Earnings Highlights: Allot's Q4 earnings report reveals a non-GAAP EPS of $0.08, aligning with expectations, which indicates stable profitability and boosts market confidence in future performance.
- Revenue Growth: The company reported Q4 revenue of $28.4 million, marking a 14.1% year-over-year increase and exceeding market expectations by $0.5 million, showcasing Allot's competitive edge and growth potential in the industry.
- Significant ARR Increase: By December 2025, Allot's SECaaS annual recurring revenue (ARR) reached $30.8 million, up 69% year-over-year, reflecting strong demand and acceptance in the security-as-a-service market.
- Stock Price Reaction: Despite the positive earnings report, Allot's shares fell 1% in after-hours trading, possibly indicating market caution regarding future growth, prompting investors to monitor subsequent developments.
See More
Allot Reports Significant Revenue Growth in 2025 Financial Results
- Revenue Growth: Total revenues for 2025 reached $102 million, an 11% year-over-year increase, demonstrating strong performance in the SECaaS sector, with projections for 2026 revenue growth to between $113 million and $117 million, reflecting sustained market demand.
- Profitability Improvement: GAAP net income for 2025 was $3.7 million, or $0.08 per share, a significant turnaround from a loss in 2024, indicating a robust recovery in profitability that enhances investor confidence.
- Cash Flow Performance: Operating cash flow for 2025 was $17.8 million, a substantial increase from 2024, indicating improvements in financial management and operational efficiency, which will support future investments and expansion.
- SECaaS Business Growth: SECaaS annual recurring revenue (ARR) reached $30.8 million in 2025, a 69% year-over-year increase, showcasing the company's market leadership in cybersecurity solutions and expected to continue driving future growth.
See More
Allot Files Annual 20-F Report for Fiscal Year 2025
- Annual Report Submission: On March 27, 2026, Allot filed its annual Form 20-F report with the SEC for the fiscal year ending December 31, 2025, which includes audited financial statements, ensuring transparency and compliance with regulatory requirements.
- Financial Information Access: Investors can access the report via the SEC's website and Allot's investor relations site, enhancing communication between the company and its investors, thereby boosting investor confidence.
- Commitment to Shareholders: Allot offers free hard copies of the annual report to shareholders, further demonstrating the company's commitment to its shareholders and enhancing shareholder loyalty.
- Strengthened Market Position: As a leading global provider of Security-as-a-Service and Deep Network Intelligence solutions, Allot's multi-service platforms are deployed by over 500 service providers and more than 1,000 enterprises, solidifying its competitive advantage in the cybersecurity market.
See More
Allot Ltd Reports Strong Q4 2025 Earnings with Significant Growth
- Significant Revenue Growth: Allot Ltd reported a revenue of $28.4 million in Q4 2025, reflecting a 14% year-over-year increase, with total revenue for the year reaching $102 million, an 11% rise from 2024, indicating strong market performance and growth potential.
- Robust Cybersecurity Services: The Cybersecurity as a Service (SECaaS) revenue surged to $8.1 million in Q4 2025, marking a 70% year-over-year increase and comprising 28% of total revenue, highlighting the company's strong position in the rapidly growing cybersecurity market.
- Stable Recurring Revenue: Recurring revenue accounted for 62% of total revenue in 2025, enhancing revenue visibility and stability, with guidance for 2026 revenue expected between $113 million and $117 million, indicating a solid foundation for future business expansion.
- Strong Financial Position: By the end of 2025, Allot Ltd held $88 million in cash with no debt, providing strategic flexibility for future growth initiatives, while its non-GAAP gross margin improved from 70.6% in 2024 to 72%, reflecting operational efficiency.
See More
Allot to Host Investor Meetings at Cantor Fitzgerald Conference
- Investor Meeting Schedule: Allot Ltd. will meet with investors at the Cantor Fitzgerald Global Technology Conference in New York on March 11, 2026, where CEO Eyal Harari will engage in one-on-one discussions with institutional investors, aiming to strengthen investor relations and enhance market confidence.
- Business Overview: Allot is a leading provider of Security-as-a-Service (SECaaS) and network intelligence solutions, serving over 500 mobile, fixed, and cloud service providers and more than 1,000 enterprises, showcasing its strong market position in the cybersecurity sector.
- Solution Advantages: Allot's network-native security-as-a-service solution is utilized by millions of subscribers globally, offering services such as network and application analytics and traffic control, thereby enhancing customer value and demonstrating its competitive edge in the industry.
- Risk Factors Advisory: The company highlighted several forward-looking statements, emphasizing risks related to financial guidance, customer attrition, and technological competition, reminding investors to consider various uncertainties that could impact future performance.
See More
Allot Ltd. Reports Strong Q4 2025 Earnings with Significant Growth in Cybersecurity Revenue
- Significant Revenue Growth: Allot Ltd. reported fourth-quarter revenue of $28.4 million, up 14% year-over-year, with total annual revenue reaching $102 million, reflecting an 11% increase, showcasing the company's strong performance in the cybersecurity sector.
- Expansion of Cybersecurity Services: Cybersecurity as a Service (SECaaS) revenue hit $8.1 million in Q4, a 70% year-over-year increase, comprising 28% of total quarterly revenue, indicating the company's competitive edge in this rapidly growing market.
- Improved Profitability: The company achieved a non-GAAP net income of $4.1 million in Q4, translating to $0.08 per diluted share, a 105% increase from the previous year, while non-GAAP gross margin rose to 71.9%, reflecting improvements in cost control and profitability.
- Optimistic Future Outlook: Management projects 2026 revenues between $113 million and $117 million, with SECaaS expected to drive continued double-digit growth, despite challenges from AI data center spending and supply chain pressures.
See More
Allot Reports Q4 Earnings with 14.1% Revenue Growth
- Earnings Highlights: Allot's Q4 earnings report reveals a non-GAAP EPS of $0.08, aligning with expectations, which indicates stable profitability and boosts market confidence in future performance.
- Revenue Growth: The company reported Q4 revenue of $28.4 million, marking a 14.1% year-over-year increase and exceeding market expectations by $0.5 million, showcasing Allot's competitive edge and growth potential in the industry.
- Significant ARR Increase: By December 2025, Allot's SECaaS annual recurring revenue (ARR) reached $30.8 million, up 69% year-over-year, reflecting strong demand and acceptance in the security-as-a-service market.
- Stock Price Reaction: Despite the positive earnings report, Allot's shares fell 1% in after-hours trading, possibly indicating market caution regarding future growth, prompting investors to monitor subsequent developments.
See More
Allot Reports Significant Revenue Growth in 2025 Financial Results
- Revenue Growth: Total revenues for 2025 reached $102 million, an 11% year-over-year increase, demonstrating strong performance in the SECaaS sector, with projections for 2026 revenue growth to between $113 million and $117 million, reflecting sustained market demand.
- Profitability Improvement: GAAP net income for 2025 was $3.7 million, or $0.08 per share, a significant turnaround from a loss in 2024, indicating a robust recovery in profitability that enhances investor confidence.
- Cash Flow Performance: Operating cash flow for 2025 was $17.8 million, a substantial increase from 2024, indicating improvements in financial management and operational efficiency, which will support future investments and expansion.
- SECaaS Business Growth: SECaaS annual recurring revenue (ARR) reached $30.8 million in 2025, a 69% year-over-year increase, showcasing the company's market leadership in cybersecurity solutions and expected to continue driving future growth.
See More
