Onespan (NASDAQ:OSPN) Releases Quarterly Earnings Results, Beats Expectations By $0.07 EPS

Onespan (NASDAQ:OSPN) issued its quarterly earnings results on Tuesday. The company reported $0.30 earnings per share for the quarter, beating analysts’ consensus estimates of $0.23 by $0.07, FiscalAI reports. The business had revenue of $60.47 million during the quarter, compared to analyst estimates of $58.25 million. Onespan had a net margin of 27.76% and a return on equity of 17.12%.

Here are the key takeaways from Onespan’s conference call:

• Subscription revenue grew 11% to $47 million and represented 77% of total revenue, while ARR increased 6.7% to $189.7 million with a 103% net retention rate.
• OneSpan raised its 2026 outlook, now expecting revenue of $248 million-$252 million and adjusted EBITDA of $67 million-$71 million, citing stronger digital-agreement usage and higher anticipated hardware revenue.
• The newly launched DigipassONE platform combines authentication, verifiable credentials, mobile-app protection, and analytics, creating potential cross-sell opportunities among OneSpan’s banking customers and supporting longer-term growth.
• Digital agreements revenue rose 25.2% to $19.5 million, helped by strong transaction overages that management views as an indicator of customer activity and potential future expansion contracts.
• Total revenue grew only 1% as cybersecurity revenue declined 7.5%, while GAAP operating income and adjusted EBITDA margin fell year over year due to lower hardware and license-related revenue and increased acquisition and go-to-market investment.

Onespan Trading Down 0.8%

Shares of NASDAQ OSPN traded down $0.12 during mid-day trading on Thursday, hitting $16.18. The company had a trading volume of 246,050 shares, compared to its average volume of 565,606. The firm has a 50-day simple moving average of $14.73 and a two-hundred day simple moving average of $12.54. The company has a market capitalization of $599.66 million, a PE ratio of 9.09, a price-to-earnings-growth ratio of 1.44 and a beta of 1.53. Onespan has a one year low of $10.07 and a one year high of $18.48.

Onespan Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Friday, September 4th. Stockholders of record on Friday, August 14th will be issued a $0.13 dividend. The ex-dividend date is Friday, August 14th. This represents a $0.52 annualized dividend and a dividend yield of 3.2%. Onespan’s dividend payout ratio (DPR) is presently 29.21%.

Analysts Set New Price Targets

Several equities analysts have recently issued reports on the company. Weiss Ratings raised Onespan from a “hold (c-)” rating to a “hold (c)” rating in a research note on Wednesday, May 20th. Rosenblatt Securities lifted their price objective on Onespan from $16.00 to $18.00 and gave the stock a “buy” rating in a research report on Wednesday. DA Davidson boosted their price objective on Onespan from $14.00 to $16.00 and gave the stock a “neutral” rating in a report on Wednesday. Zacks Research upgraded shares of Onespan from a “strong sell” rating to a “hold” rating in a research report on Friday, May 1st. Finally, Wall Street Zen downgraded shares of Onespan from a “buy” rating to a “hold” rating in a research note on Saturday, May 2nd. Two equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company’s stock. According to data from MarketBeat, Onespan presently has a consensus rating of “Hold” and a consensus target price of $19.00.

Insider Transactions at Onespan

In other Onespan news, CFO Jorge Garcia Martell sold 20,000 shares of the firm’s stock in a transaction that occurred on Tuesday, June 16th. The stock was sold at an average price of $14.45, for a total value of $289,000.00. Following the completion of the transaction, the chief financial officer directly owned 91,018 shares in the company, valued at $1,315,210.10. This trade represents a 18.02% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Insiders own 2.00% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the stock. Towarzystwo Funduszy Inwestycyjnych PZU SA raised its position in Onespan by 81.8% in the fourth quarter. Towarzystwo Funduszy Inwestycyjnych PZU SA now owns 2,000 shares of the company’s stock valued at $26,000 after purchasing an additional 900 shares during the last quarter. Deutsche Bank AG raised its stake in shares of Onespan by 4.7% during the fourth quarter. Deutsche Bank AG now owns 33,569 shares of the company’s stock valued at $431,000 after acquiring an additional 1,522 shares during the last quarter. Amundi lifted its holdings in shares of Onespan by 10.0% during the fourth quarter. Amundi now owns 18,463 shares of the company’s stock worth $237,000 after purchasing an additional 1,676 shares during the period. Comerica Bank grew its stake in shares of Onespan by 455.2% in the first quarter. Comerica Bank now owns 2,465 shares of the company’s stock worth $38,000 after purchasing an additional 2,021 shares during the last quarter. Finally, Lazard Asset Management LLC grew its stake in shares of Onespan by 0.8% in the fourth quarter. Lazard Asset Management LLC now owns 264,828 shares of the company’s stock worth $3,400,000 after purchasing an additional 2,197 shares during the last quarter. Institutional investors and hedge funds own 95.52% of the company’s stock.

About Onespan

OneSpan, formerly known as Vasco Data Security International, is a Chicago-based cybersecurity software company specializing in digital identity and anti-fraud solutions. Founded in 1991, the company provides a suite of authentication and transaction security products designed to help organizations protect critical applications and high-value transactions across online, mobile and in-branch channels.

The core OneSpan portfolio includes multi-factor authentication, risk-based authentication and transaction signing solutions.