ALLT Overview

Stock Performance and Price Targets: Allot Communications (ALLT) closed at $8.71, with a mean price target of $13.5 suggesting a potential upside of 55%. Analysts' estimates range from $12.50 to $15.00, indicating varying levels of optimism about the stock's future.

Analyst Consensus and Earnings Revisions: There is a strong consensus among analysts regarding improved earnings estimates for ALLT, with a Zacks Consensus Estimate increasing by 140% over the past month, contributing to a Zacks Rank #1 (Strong Buy) for the stock.

Skepticism Towards Price Targets: Despite the consensus price target, analysts' price targets are often viewed with skepticism due to potential biases and inflated estimates driven by business relationships, making them unreliable for investment decisions.

Investment Strategy Considerations: Investors are advised to treat price targets cautiously and consider them as one of many factors in their research, as trends in earnings estimate revisions have shown a strong correlation with stock price movements.

Zacks Rank #1 Stocks: Five stocks have been added to the Zacks Rank #1 (Strong Buy) List, including F&G Annuities & Life, Amphenol Corporation, Lightspeed Commerce, Allot Ltd., and Bread Financial Holdings, all showing significant increases in earnings estimates over the past 60 days.

Earnings Growth: Allot Ltd. leads with a 57.1% increase in earnings estimates, followed by Bread Financial Holdings at 22.2%, Lightspeed Commerce at 9.8%, Amphenol Corporation at 8.6%, and F&G Annuities & Life at 15%.

Investment Potential: These stocks are considered strong investment opportunities, with past recommendations from Zacks having achieved returns of over 100%, indicating potential for significant gains.

Access to Recommendations: Investors can access a complete list of today's Zacks #1 Rank stocks and download a report on the "7 Best Stocks for the Next 30 Days" for free.

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.