Radware Ltd., the Israeli maker of technology to help networks run efficiently, rallied the most in 13 months after raising fourth-quarter earnings forecasts.
Shares of Radware gained 5.7 percent to $18.68 at 11:06 a.m. in New York, set for the biggest jump since November 2012. The Tel Aviv-based company raised its forecast for fourth-quarter adjusted earnings to 21 cents to 22 cents a share, up from a range of 18 cents to 19 cents given Oct. 24, according to a statement released today. Radware also increased its fourth-quarter sales projection to a record $53 million, compared with a prior company estimate of $49.5 million.
The sales forecast was the result of “continued growth in the Americas coupled with solid performance from Europe, Africa and the Middle East,” Radware Chief Executive Officer Roy Zisapel said in the statement. The company, which counts Papa John’s International Inc. as a customer, reported a 28 percent drop in third-quarter earnings per share in October and is set to post a 13 percent decline for 2013, according to the mean of seven analyst estimates compiled by Bloomberg.
“The real question is: is the upside surprise in the quarter a function of an improving macroeconomic environment, or a turnaround in their own internal operations?” Alex Henderson, an analyst at Needham & Co., said by phone from New York. “My sense is that it’s a little bit of both.”
The company expects to release fourth-quarter and full-year 2013 earnings results on Jan. 28, according to the statement.