Cognyte Software Ltd., a global leader in investigative analytics software, has announced a new $20 million share repurchase program, following the successful completion of a prior $20 million buyback. This strategic move underscores the company’s confidence in its growth prospects and commitment to enhancing shareholder value.
Cognyte’s board has approved a new $20 million share repurchase program, effective after a 30-day creditor objection period under Israeli regulations, running through January 14, 2027. The company completed its prior program, repurchasing 2,094,538 shares for $20 million. The new program allows repurchases through open market purchases, privately negotiated transactions, or Rule 10b5-1 plans, in compliance with U.S. securities laws. “Our first quarter performance reflects solid progress against our strategic priorities,” said Elad Sharon, Cognyte’s chief executive officer, highlighting the company’s focus on delivering value.
The repurchase program reflects Cognyte’s strong financial position, with repurchases to be funded by cash reserves and ongoing cash flow. The company reported $1.7 million in net cash from operating activities for Q1 FY2026, despite timing-related collection challenges, and anticipates sustained cash generation to support the buyback. The program’s flexibility allows Cognyte to adapt to market conditions, with no obligation to repurchase a specific number of shares.
Cognyte’s share price closed at $8.89 on July 14, 2025, with a market capitalization of approximately $658 million. The new buyback follows a 41.2% share price increase in Q2 2025, reflecting strong market confidence. The program aims to optimize capital allocation, potentially boosting earnings per share by reducing outstanding shares. The company’s recent $10 million annual deal with an EMEA security agency and the $9 million acquisition of GroupSense further demonstrate its growth strategy.
The buyback aligns with Cognyte’s robust performance, including Q1 FY2026 earnings of $0.07 per share, surpassing analyst expectations of $0.01. With a Wall Street median 12-month price target of $10.00, the program signals confidence in sustained growth. Cognyte’s focus on AI-powered investigative analytics positions it to capitalize on increasing demand for security solutions, supporting its long-term value creation goals.
Cognyte’s new $20 million share repurchase program reinforces its commitment to shareholders, leveraging its financial strength and market momentum. By strategically reducing shares, the company aims to enhance value while continuing to invest in AI-driven analytics for global security needs.
Cognyte is a leading software-driven technology company, focused on solutions for data processing and investigative analytics that allow customers to generate Actionable Intelligence for a Safer World™. Cognyte’s solutions empower law enforcement, national security, national and military intelligence agencies, and other organizations to navigate an increasingly complex threat landscape. With offerings that leverage state-of-the-art technology, including Artificial Intelligence (AI), big data analytics and advanced machine learning, Cognyte helps customers make smarter, faster decisions with their data for the best possible outcomes. Hundreds of customers rely on Cognyte’s investigative analytics solutions to uncover critical insights from past events and anticipate emerging threats. By harnessing AI-driven intelligence, Cognyte accelerates investigations with exceptional speed and accuracy while enabling customers to better investigate, anticipate, predict and mitigate risks with greater precision.
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