Is the business good?
How good a business is ATEN?
A10 Networks, Inc. earns 58% on the capital it employs against a 9.0% cost of capital, so the business is worth more the bigger it gets.
58%
Return on invested capital · cost of capital 9.0% · 49 points above what the capital costs: growth creates value
- Operating margin
- 17%
Operating margin · Software - Infrastructure median 6.1% · 12 months to Q1 2026
- Cash conversion
- 1.15×
Cash conversion · 1.23× a year ago · every dollar of reported profit arrived as cash, and more
- Share count, year on year
- −2.8%
Share count, year on year · bought back, each share owns more of the company
| Year | Operating margin |
|---|---|
| FY2020 | 7.9% |
| FY2021 | 13% |
| FY2022 | 19% |
| FY2023 | 15% |
| FY2024 | 17% |
| FY2025 | 16% |
Details›
- Gross margin12 months to Q1 2026
- 79%
- Operating margin12 months to Q1 2026
- 17%
- Net margin12 months to Q1 2026
- 15%
- Free cash flow margin
- 17%
- R&D as % of revenue
- 24%
- Revenue, trailing twelve months
- $299M
- Free cash flow, trailing twelve months
- $51M
- Net income, trailing twelve months
- $45M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 58%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.
Software - Infrastructure
Ranks #55 of 78 by Smart Score