eGain (EGAN)
Market Price (8/22/2026): $7.28 | Market Cap: $199.6 MilSector: Information Technology | Industry: Application Software
eGain (EGAN)
Market Price (8/22/2026): $7.28Market Cap: $199.6 MilSector: Information TechnologyIndustry: Application Software
Investment Highlights Why It Matters Detailed financial logic regarding cash flow yields vs trend-riding momentum.
Attractive yieldTotal YieldTotal Yield = Earnings Yield + Dividend Yield, Earnings Yield = Net Income / Market Cap Dividend Yield = Total Dividends / Market Cap is 19%, ERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is 15%, FCF Yield is 6.8% Cash is significant % of market capNet D/ENet Debt/Equity. Debt net of cash. Negative indicates net cash. Equity is taken as the Market Capitalization is -39% Attractive cash flow generationCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 16%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 15% Megatrend and thematic driversMegatrends include Artificial Intelligence, and Cloud Computing. Themes include AI Software Platforms, and Software as a Service (SaaS). | Weak multi-year price returns2Y Excs Rtn is -40%, 3Y Excs Rtn is -69% Meaningful short interestShort Interest Days-to-CoverDTC = (Short Interest Share Quantity) / (Average Daily Trading Volume). Reflects how many days it would take to cover (close out) the short interest based on average volumes. High DTC can signify an increased risk of a short squeeze. is 11.26 | Weak revenue growthRev Chg 3Y AvgRevenue Change % averaged over trailing 3 years is -1.5% Key risksEGAN key risks include [1] intense competition from larger, Show more. |
| Attractive yieldTotal YieldTotal Yield = Earnings Yield + Dividend Yield, Earnings Yield = Net Income / Market Cap Dividend Yield = Total Dividends / Market Cap is 19%, ERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is 15%, FCF Yield is 6.8% |
| Cash is significant % of market capNet D/ENet Debt/Equity. Debt net of cash. Negative indicates net cash. Equity is taken as the Market Capitalization is -39% |
| Attractive cash flow generationCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 16%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 15% |
| Megatrend and thematic driversMegatrends include Artificial Intelligence, and Cloud Computing. Themes include AI Software Platforms, and Software as a Service (SaaS). |
| Weak multi-year price returns2Y Excs Rtn is -40%, 3Y Excs Rtn is -69% |
| Meaningful short interestShort Interest Days-to-CoverDTC = (Short Interest Share Quantity) / (Average Daily Trading Volume). Reflects how many days it would take to cover (close out) the short interest based on average volumes. High DTC can signify an increased risk of a short squeeze. is 11.26 |
| Weak revenue growthRev Chg 3Y AvgRevenue Change % averaged over trailing 3 years is -1.5% |
| Key risksEGAN key risks include [1] intense competition from larger, Show more. |
Qualitative Assessment
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eGain (EGAN) stock has lost about 5% since 4/30/2026 because of the following key factors:
1. Revised Fiscal 2026 Full-Year Revenue Guidance.
eGain slightly lowered its full fiscal year 2026 revenue guidance on May 14, 2026, reducing the upper end of the range from $92.0 million to $91.0 million. This adjustment, announced during the fiscal Q3 2026 earnings call, tempered investor expectations for the company's annual performance.
2. Softer Fiscal Q4 2026 Financial Outlook.
Following strong fiscal Q3 2026 results where revenue was $22.5 million and GAAP net income was $2.4 million ($0.09 per share), eGain provided a more conservative outlook for fiscal Q4 2026 (ending June 30, 2026). The company projected Q4 revenue to be between $21.5 million and $22.0 million and anticipated a GAAP net result ranging from a loss of $300,000 to a net income of $400,000, or ($0.01) to $0.01 per share. This indicated a sequential decrease in both revenue and profitability, which may have contributed to investor concerns.
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eGain (EGAN) stock has lost about 5% since 4/30/2026 because of the following key factors:
1. Revised Fiscal 2026 Full-Year Revenue Guidance.
eGain slightly lowered its full fiscal year 2026 revenue guidance on May 14, 2026, reducing the upper end of the range from $92.0 million to $91.0 million. This adjustment, announced during the fiscal Q3 2026 earnings call, tempered investor expectations for the company's annual performance.
2. Softer Fiscal Q4 2026 Financial Outlook.
Following strong fiscal Q3 2026 results where revenue was $22.5 million and GAAP net income was $2.4 million ($0.09 per share), eGain provided a more conservative outlook for fiscal Q4 2026 (ending June 30, 2026). The company projected Q4 revenue to be between $21.5 million and $22.0 million and anticipated a GAAP net result ranging from a loss of $300,000 to a net income of $400,000, or ($0.01) to $0.01 per share. This indicated a sequential decrease in both revenue and profitability, which may have contributed to investor concerns.
3. Shift in Analyst Sentiment.
While eGain received positive industry recognition, such as being named a Leader in the Gartner Magic Quadrant for Customer Service Knowledge Management Systems in July 2026, the consensus among a group of Wall Street analysts shifted. As of August 3, 2026, the overall consensus rating moved to "Hold" from "Buy," with three out of four analysts issuing a "Hold" rating. This change in analyst outlook, despite high price targets from some individual firms, could have influenced investor perception negatively.
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Stock Movement Drivers
Fundamental Drivers
The -3.4% change in EGAN stock from 4/30/2026 to 8/21/2026 was primarily driven by a -8.6% change in the company's P/E Multiple.| (LTM values as of) | 4302026 | 8212026 | Change |
|---|---|---|---|
| Stock Price ($) | 7.56 | 7.30 | -3.4% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 91 | 92 | 1.6% |
| Net Income Margin (%) | 39.8% | 41.7% | 4.8% |
| P/E Multiple | 5.7 | 5.2 | -8.6% |
| Shares Outstanding (Mil) | 27 | 27 | -0.9% |
| Cumulative Contribution | -3.4% |
Market Drivers
4/30/2026 to 8/21/2026| Return | Correlation | |
|---|---|---|
| EGAN | -3.4% | |
| Market (SPY) | 6.5% | 18.4% |
| Sector (XLK) | 14.9% | 13.0% |
Fundamental Drivers
The -28.9% change in EGAN stock from 1/31/2026 to 8/21/2026 was primarily driven by a -35.3% change in the company's P/E Multiple.| (LTM values as of) | 1312026 | 8212026 | Change |
|---|---|---|---|
| Stock Price ($) | 10.27 | 7.30 | -28.9% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 90 | 92 | 2.3% |
| Net Income Margin (%) | 38.2% | 41.7% | 9.1% |
| P/E Multiple | 8.0 | 5.2 | -35.3% |
| Shares Outstanding (Mil) | 27 | 27 | -1.7% |
| Cumulative Contribution | -28.9% |
Market Drivers
1/31/2026 to 8/21/2026| Return | Correlation | |
|---|---|---|
| EGAN | -28.9% | |
| Market (SPY) | 11.0% | 34.4% |
| Sector (XLK) | 27.6% | 28.2% |
Fundamental Drivers
The 18.1% change in EGAN stock from 7/31/2025 to 8/21/2026 was primarily driven by a 1162.0% change in the company's Net Income Margin (%).| (LTM values as of) | 7312025 | 8212026 | Change |
|---|---|---|---|
| Stock Price ($) | 6.18 | 7.30 | 18.1% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 88 | 92 | 5.2% |
| Net Income Margin (%) | 3.3% | 41.7% | 1162.0% |
| P/E Multiple | 59.9 | 5.2 | -91.3% |
| Shares Outstanding (Mil) | 28 | 27 | 2.4% |
| Cumulative Contribution | 18.1% |
Market Drivers
7/31/2025 to 8/21/2026| Return | Correlation | |
|---|---|---|
| EGAN | 18.1% | |
| Market (SPY) | 22.2% | 33.9% |
| Sector (XLK) | 40.1% | 26.6% |
Fundamental Drivers
The -0.9% change in EGAN stock from 7/31/2023 to 8/21/2026 was primarily driven by a -11.2% change in the company's P/S Multiple.| (LTM values as of) | 7312023 | 8212026 | Change |
|---|---|---|---|
| Stock Price ($) | 7.37 | 7.30 | -0.9% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 97 | 92 | -4.8% |
| P/S Multiple | 2.4 | 2.2 | -11.2% |
| Shares Outstanding (Mil) | 32 | 27 | 17.1% |
| Cumulative Contribution | -0.9% |
Market Drivers
7/31/2023 to 8/21/2026| Return | Correlation | |
|---|---|---|
| EGAN | -0.9% | |
| Market (SPY) | 73.2% | 31.0% |
| Sector (XLK) | 109.4% | 26.5% |
Price Returns Compared
| 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Total [1] | |
|---|---|---|---|---|---|---|---|
| Returns | |||||||
| EGAN Return | -15% | -10% | -8% | -25% | 65% | -29% | -39% |
| Peers Return | -8% | -34% | -15% | 89% | -46% | -34% | -65% |
| S&P 500 Return | 27% | -19% | 24% | 23% | 16% | 12% | 103% |
Monthly Win Rates [3] | |||||||
| EGAN Win Rate | 67% | 58% | 33% | 42% | 50% | 25% | |
| Peers Win Rate | 50% | 25% | 52% | 78% | 53% | 22% | |
| S&P 500 Win Rate | 75% | 42% | 67% | 75% | 67% | 50% | |
Max Drawdowns [4] | |||||||
| EGAN Max Drawdown | -32% | -45% | -42% | -42% | -38% | -46% | |
| Peers Max Drawdown | -27% | -42% | -17% | -55% | -62% | -46% | |
| S&P 500 Max Drawdown | -5% | -25% | -10% | -8% | -19% | -9% | |
[1] Cumulative total returns since the beginning of 2021
[2] Peers: ADSK, HIT, BMR, HODO, PARA.
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
[5] 2026 data is for the year up to 8/21/2026 (YTD)
How Low Can It Go
| Event | EGAN | S&P 500 |
|---|---|---|
| 2025 US Tariff Shock | ||
| % Loss | -14.0% | -18.8% |
| % Gain to Breakeven | 16.2% | 23.1% |
| Time to Breakeven | 26 days | 79 days |
| Summer-Fall 2023 Five Percent Yield Shock | ||
| % Loss | -13.3% | -9.5% |
| % Gain to Breakeven | 15.3% | 10.5% |
| Time to Breakeven | 59 days | 24 days |
| 2023 SVB Regional Banking Crisis | ||
| % Loss | -25.0% | -6.7% |
| % Gain to Breakeven | 33.3% | 7.1% |
| Time to Breakeven | 852 days | 31 days |
| 2022 Inflation Shock & Fed Tightening | ||
| % Loss | -27.3% | -24.5% |
| % Gain to Breakeven | 37.6% | 32.4% |
| Time to Breakeven | 119 days | 427 days |
| 2020 COVID-19 Crash | ||
| % Loss | -50.0% | -33.7% |
| % Gain to Breakeven | 99.8% | 50.9% |
| Time to Breakeven | 51 days | 140 days |
| Q4 2018 Fed Policy Error / Growth Scare | ||
| % Loss | -30.7% | -19.2% |
| % Gain to Breakeven | 44.2% | 23.8% |
| Time to Breakeven | 46 days | 105 days |
In The Past
eGain's stock fell -14.0% during the 2025 US Tariff Shock. Such a loss loss requires a 16.2% gain to breakeven.
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| Event | EGAN | S&P 500 |
|---|---|---|
| 2023 SVB Regional Banking Crisis | ||
| % Loss | -25.0% | -6.7% |
| % Gain to Breakeven | 33.3% | 7.1% |
| Time to Breakeven | 852 days | 31 days |
| 2022 Inflation Shock & Fed Tightening | ||
| % Loss | -27.3% | -24.5% |
| % Gain to Breakeven | 37.6% | 32.4% |
| Time to Breakeven | 119 days | 427 days |
| 2020 COVID-19 Crash | ||
| % Loss | -50.0% | -33.7% |
| % Gain to Breakeven | 99.8% | 50.9% |
| Time to Breakeven | 51 days | 140 days |
| Q4 2018 Fed Policy Error / Growth Scare | ||
| % Loss | -30.7% | -19.2% |
| % Gain to Breakeven | 44.2% | 23.8% |
| Time to Breakeven | 46 days | 105 days |
| 2016-2017 Trump Reflation Bond Selloff | ||
| % Loss | -56.2% | -3.7% |
| % Gain to Breakeven | 128.5% | 3.9% |
| Time to Breakeven | 181 days | 6 days |
| 2014-2016 Oil Price Collapse | ||
| % Loss | -53.4% | -6.8% |
| % Gain to Breakeven | 114.8% | 7.3% |
| Time to Breakeven | 1012 days | 15 days |
| 2013 Taper Tantrum | ||
| % Loss | -24.3% | -0.2% |
| % Gain to Breakeven | 32.1% | 0.2% |
| Time to Breakeven | 1414 days | 1 days |
| 2010 Eurozone Sovereign Debt Crisis / Flash Crash | ||
| % Loss | -29.5% | -15.4% |
| % Gain to Breakeven | 41.8% | 18.2% |
| Time to Breakeven | 1 days | 125 days |
| 2008-2009 Global Financial Crisis | ||
| % Loss | -51.0% | -53.4% |
| % Gain to Breakeven | 104.0% | 114.4% |
| Time to Breakeven | 44 days | 1085 days |
| Summer 2007 Credit Crunch | ||
| % Loss | -26.7% | -8.6% |
| % Gain to Breakeven | 36.4% | 9.5% |
| Time to Breakeven | 14 days | 47 days |
In The Past
eGain's stock fell -14.0% during the 2025 US Tariff Shock. Such a loss loss requires a 16.2% gain to breakeven.
Preserve Wealth
Limiting losses and compounding gains is essential to preserving wealth.
Asset Allocation
Actively managed asset allocation strategies protect wealth. Learn more.
About eGain (EGAN)
eGain Corporation (EGAN) is a software company that provides cloud-based customer service infrastructure solutions. The company specializes in developing, licensing, and supporting unified cloud software designed to automate, augment, and orchestrate customer engagement for businesses.
Its main offerings include unified cloud software solutions that facilitate efficient customer interactions across various channels. Customers access these solutions through subscription services on eGain's cloud platform. Additionally, eGain offers professional services such as consulting, implementation, and training to ensure successful deployment and utilization of its software.
eGain serves a broad range of industry sectors globally, including financial services, telecommunications, retail, government, healthcare, and utilities. The company operates and supports its diverse client base across North America, Europe, the Middle East, Africa, and the Asia Pacific region.
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Here are 1-3 brief analogies for eGain (EGAN):
- Zendesk for enterprise customer service automation.
- Salesforce's Service Cloud, but specialized in automating customer engagement.
- A ServiceNow for external customer service operations.
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- Unified Cloud Software Solutions: These are eGain's core software products designed to automate, augment, and orchestrate customer engagement for various industries.
- Subscription Services: These services provide customers with access to eGain's cloud-based software platform.
- Professional Services: This category includes consulting, implementation, and training services to help customers effectively use eGain's software solutions.
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eGain (EGAN) primarily sells its customer service infrastructure software solutions to other companies (B2B).
Based on eGain's public filings, including its latest Form 10-K, the company operates with a diversified customer base. No single customer accounts for 10% or more of its total revenue. Consequently, specific names of individual "major customers" are not publicly disclosed by the company.
eGain serves companies across various industry sectors, which include:
- Financial Services
- Telecommunications
- Retail
- Government
- Healthcare
- Utilities
These sectors represent the categories of organizations that utilize eGain's software solutions.
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- Amazon.com, Inc. (Symbol: AMZN)
- Alphabet Inc. (Symbol: GOOGL)
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Ashutosh Roy, Chairman and Chief Executive Officer
Ashutosh Roy is a co-founder of eGain and has served as its Chief Executive Officer and Chairman since 1997. Prior to eGain, he co-founded WhoWhere? Inc., an internet service company, and served as its Chairman from 1995 to 1997. WhoWhere? Inc. was later acquired by Lycos, Inc. He also co-founded Parsec Technologies, an international call center software company based in India, from 1993 to 1995. Earlier in his career, he held software engineering positions at Digital Equipment Corp.
Eric Smit, Chief Financial Officer
Eric Smit brings over 15 years of finance and operations experience to his role as Chief Financial Officer at eGain. Before joining eGain, he was the Director of Finance at WhoWhere? Inc. He also served as Vice President of Operations and Chief Financial Officer at Velocity Inc., a software game publisher and developer. Additionally, Smit was a Controller for Reference Software International until its acquisition by WordPerfect Corp. His career began in accounting at Laticorp, Inc. and Centennial Savings and Loan.
Gunjan Sinha, Co-founder and Board Member
Gunjan Sinha is a co-founder of eGain Corporation and served as its President from 1998 to 2003. He is also a founder of WhoWhere? Inc., an internet directory services company that was acquired by Lycos in 1998. Sinha also co-founded Viman Software, Inc. and Parsec Technologies Pvt Ltd. He currently serves as the Executive Chairman of MetricStream. Sinha has served on the boards of several venture-backed technology companies.
Vishal Nehru, Senior Vice President, Worldwide Sales and Customer Success
Vishal Nehru has over two decades of leadership experience in strategic sales, customer success, and professional services. At eGain, he leads worldwide sales and customer success, focusing on driving customer experience transformation and business value acceleration for global enterprises. He combines technical expertise with a consultative approach, built on a foundation in software engineering.
Rao Jadcherla Chandrasekhar (JC), Senior Vice President, Products and Services
JC joined eGain in 1999 within the Products Group. He held various positions in Product Engineering, Product Management, and Project Management before moving to the Customer Success Team in 2013, where he was responsible for Worldwide Technical Support and Cloud Operations. In 2015, he also took on the responsibility for Worldwide Professional Services. Before eGain, JC worked in software development at TIBCO, Silicon Graphics, and Intergraph.
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Key Business Risks for eGain (EGAN)
The key risks for eGain Corporation (EGAN) primarily revolve around intense competition in a dynamic market, challenges in customer retention and sales, and dependencies on third-party infrastructure and evolving regulations.
1. Intense Competition and Lack of Scale: eGain operates in a highly competitive customer engagement and AI knowledge market, contending with significantly larger and well-resourced players such as Salesforce and Microsoft. These industry giants possess greater financial capacity for research and development, marketing, and global expansion, posing a constant threat of out-innovation and out-marketing. eGain, with a total revenue of $88.43 million in fiscal year 2025, is a comparatively small entity. The market also faces a notable threat of substitutes, where potential customers may opt for broader customer relationship management (CRM) tools that are "good enough" or choose to develop in-house solutions.
2. Customer Churn and Extended Sales Cycles: The company has faced declining revenue and worsening operational results due to significant customer churn. For instance, in fiscal year 2024, two major clients opted not to renew their contracts, negatively impacting eGain's Annual Recurring Revenue (ARR). The sales cycles for eGain's solutions are often lengthy, ranging from nine to twelve months, due to increasing deal complexity and the requirement for cross-functional decision-making by clients. These factors contribute to revenue instability and hinder near-term growth prospects.
3. Reliance on Cloud Infrastructure and Evolving AI Regulations: eGain's operations are heavily dependent on major cloud infrastructure providers like Amazon Web Services (AWS) for hosting its platform. This reliance gives significant bargaining power to these suppliers, potentially exposing eGain to increased costs for cloud services. Furthermore, the company is subject to evolving data privacy laws, such as the General Data Protection Regulation (GDPR) and the California Consumer Privacy Act (CCPA), which necessitate compliance efforts and associated costs. The rapidly changing regulatory landscape concerning artificial intelligence also presents risks related to algorithmic integrity, data bias, and potential legal liabilities.
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The rapid advancement and integration of Artificial Intelligence (AI), particularly generative AI, into broader enterprise software platforms and specialized AI-first customer engagement solutions. This trend allows larger technology companies to offer comprehensive, AI-powered customer service capabilities directly within their existing platforms (e.g., CRM, cloud services), potentially diminishing the need for specialized, standalone customer service infrastructure software. Simultaneously, the emergence of AI-first startups focused purely on intelligent automation and personalized customer interactions, often leveraging sophisticated language models, poses a direct threat by offering potentially more agile, integrated, or cost-effective solutions for customer engagement automation, augmentation, and orchestration.
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eGain Corporation operates in several interconnected addressable markets related to customer service, customer engagement, and cloud-based software solutions, with a particular focus on AI Knowledge.
The estimated addressable markets for eGain's main products and services are as follows:
- AI Knowledge: eGain estimates the total addressable market for AI Knowledge to be over $20 billion globally, with roughly $5 billion attributed to Customer Service and more than $10 billion to Enterprise Service.
- Global Customer Service Market: eGain positions itself within a broader global customer service market, which it values at an annual $1.5 trillion.
- Customer Service Software Market: The global customer service software market was valued at approximately $14.9 billion in 2024 and is projected to grow to $68.19 billion by 2032. Another estimate places the global market at $10.95 billion in 2025, expected to reach $26.3 billion by 2030. For the U.S., the customer service software market is estimated at $17.9 billion in 2025 and is anticipated to reach $30.6 billion by 2035.
- Customer Engagement Solutions Market: The global customer engagement solutions market was valued at $24.4 billion in 2024 and is projected to grow to $54.7 billion by 2032. Other estimates indicate the market was $29.39 billion in 2025 and is expected to reach approximately $86.39 billion by 2035. The North America customer engagement solutions market was valued at $9.17 billion in 2025 and is expected to reach around $28.04 billion by 2035.
- Cloud-Based Customer Service Software Market: The global cloud-based customer service software market is projected to reach an estimated $11.01 billion by 2025.
- Customer Experience Management (CEM) Market: The global customer experience management market was estimated at $15.55 billion in 2025 and is projected to reach $47.72 billion by 2033. Another source estimates the global market at $22.35 billion in 2025, growing to $84.22 billion by 2034. The North America CEM market held the largest revenue share of 42.4% in 2025. The U.S. customer experience management market size was $5.50 billion in 2025 and is projected to reach around $22.12 billion by 2035.
- Cloud-based Contact Center Market: The global cloud-based contact center market was valued at $28.23 billion in 2024 and is projected to grow to $160.47 billion by 2033. Another estimate places the global market at $31.20 billion in 2024, predicted to increase to approximately $222.91 billion by 2034. The U.S. cloud-based contact center market size was $8.95 billion in 2024 and is predicted to cross $65.22 billion by 2034.
- Customer Relationship Management (CRM) Market (Customer Service Segment): The customer service segment constituted 23.5% of the U.S. CRM market in 2022. The overall U.S. CRM market was valued at $20.50 billion in 2022 and is expected to grow to $51.53 billion by 2030. The global CRM market reached $112.91 billion in 2025 and is expected to reach $262.74 billion by 2032.
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Here are 3-5 expected drivers of future revenue growth for eGain (EGAN) over the next 2-3 years:
- Accelerated Adoption and Expansion of the AI Knowledge Hub: eGain's flagship AI Knowledge Hub is consistently highlighted as a significant growth engine. The company has seen substantial year-over-year growth in its Annual Recurring Revenue (ARR) for the AI Knowledge Hub, including a 27% increase in Q2 2026 and a 23% increase in Q1 2026. Management emphasizes strong market momentum and increasing adoption of this solution, driven by enterprises prioritizing trusted AI for customer service and recognizing knowledge management as a foundational element for effective generative AI in this sector.
- Introduction and Monetization of New AI-Enhanced Products: eGain has been actively innovating and expanding its AI product portfolio. The company unveiled three new AI products at its Solve25 event, which have generated significant customer and partner interest. The introduction of these new AI-enhanced products is expected to stimulate demand and drive future revenue growth by offering advanced solutions for customer engagement.
- Growth in Customer Acquisition and Improved Net Retention for AI-Powered Solutions: eGain is demonstrating success in both attracting new customers and expanding its relationships with existing ones, particularly within its AI Knowledge segment. New logo wins and Request for Proposal (RFP) counts for AI Knowledge increased by 50% in fiscal year 2024. Furthermore, the AI Knowledge net retention rate reached 116% in Q2 2026, and the AI Knowledge expansion rate increased to 119%, indicating that existing customers are increasing their spending with eGain's AI-driven offerings.
- Strategic Investment in AI Product Development (R&D): To maintain and extend its leadership in the AI infrastructure market, eGain plans to modestly increase its product development investments. The company expects its Research & Development (R&D) spending in fiscal year 2026 to grow by approximately 6% year-over-year. This strategic investment is aimed at continuous innovation, supporting the introduction of new AI products, and enhancing existing solutions to meet evolving market demands and drive future revenue.
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Share Repurchases
- eGain increased its stock repurchase program by $20 million to a total authorization of $60 million on September 4, 2025.
- As of September 3, 2025, approximately $39.8 million of common stock had been repurchased under the program, leaving about $0.2 million available for future repurchases after the increase.
- For the fiscal year ended June 30, 2025, eGain repurchased approximately 2,616,000 shares, totaling $15.8 million at an average price of $6.03 per share.
Share Issuance
- On August 14, 2025, eGain issued a warrant to JPMC Strategic Investments I Corporation to acquire 500,000 shares of its common stock at an exercise price of $7.10 per share.
- The total number of shares outstanding decreased by -6.88% in one year.
Inbound Investments
- eGain issued a warrant to JPMC Strategic Investments I Corporation in August 2025, allowing JPMC to acquire 500,000 shares of common stock and including a board observer agreement.
Outbound Investments
- eGain Corporation has indicated its strategic intent to periodically make investments in, or acquisitions of, complementary businesses, joint ventures, services, technologies, and intellectual property rights, and expects this to continue.
Capital Expenditures
- Capital expenditures in the last 12 months (prior to February 2026) were approximately -$775,000.
- For the most recent reported quarter (Q2 2026, ending December 31, 2025), capital expenditures totaled -$0.22 million.
Peer Outperformance in Application Software
| Ticker | Name | Rev Growth 3Y Avg | P/E | 1Y | 3Y | 5Y | 5Y Gap |
|---|---|---|---|---|---|---|---|
| EGAN | eGain | -1.5% | 5.2x | 20.1% | 11.3% | -31.7% | — |
| MSTR | Strategy | 0.0% | -1.4x | -64.7% | 261.9% | 66.4% | +98pp |
| DBX | Dropbox | 1.5% | 17.5x | 21.7% | 27.3% | 12.6% | +44pp |
| Industry | Names | 1Y med | 3Y med | 5Y med | Top 3 by 5Y |
|---|---|---|---|---|---|
| Electronic Manufacturing Services | 9 | 63.9% | 203.0% | 319.7% | FLEX 750% · TTMI 687% · JBL 434% |
| Semiconductor Materials & Equipment | 27 | 154.0% | 77.2% | 130.3% | AEHR 1726% · AXTI 722% · KLAC 504% |
| Technology Distributors | 9 | 27.7% | 63.1% | 79.9% | CLMB 336% · AVT 154% · SNX 113% |
| Electronic Components | 26 | 63.5% | 63.7% | 59.4% | CLS 3285% · BELFA 1353% · LPTH 679% |
| Communications Equipment | 35 | 41.5% | 86.1% | 45.5% | AAOI 1785% · LITE 925% · ANET 716% |
| Semiconductors | 54 | 37.3% | 35.7% | 33.1% | POET 1926% · MU 1312% · NVDA 935% |
| Technology Hardware, Storage & Peripherals | 22 | 37.7% | 75.5% | 30.4% | STX 1003% · SMCI 945% · WDC 928% |
| Internet Services & Infrastructure | 6 | 16.6% | 39.5% | 22.9% | DOCN 117% · GDDY 38% · VRSN 35% |
| Electronic Equipment & Instruments | 27 | -3.4% | 17.2% | -2.8% | PI 230% · SOTK 138% · NSSC 127% |
| IT Consulting & Other Services | 28 | -22.9% | -6.1% | -18.9% | CHRN 627400% · APLD 2003% · INOD 725% |
| Application Software ← | 123 | -16.9% | -9.6% | -41.0% | VIDA 131567% · INLX 5338% · PLTR 649% |
| Systems Software | 69 | -5.4% | 16.6% | -50.6% | QNC 911% · PANW 484% · PAYS 455% |
Latest Trefis Analyses
| Title | Date | |
|---|---|---|
| DASHBOARDS | ||
| eGain Earnings Notes | 12/16/2025 | |
| How Low Can eGain Stock Really Go? | 10/17/2025 |
| Title | |
|---|---|
| ARTICLES |
Research & Analysis
Invest in Strategies
Wealth Management
Peer Comparisons
| Peers to compare with: |
Financials
| Median | |
|---|---|
| Name | |
| Mkt Price | 1.31 |
| Mkt Cap | 0.2 |
| Rev LTM | 33 |
| Op Inc LTM | -5 |
| FCF LTM | -8 |
| FCF 3Y Avg | 4 |
| CFO LTM | -5 |
| CFO 3Y Avg | 5 |
Growth & Margins
| Median | |
|---|---|
| Name | |
| Rev Chg LTM | 18.9% |
| Rev Chg 3Y Avg | 6.1% |
| Rev Chg Q | -3.2% |
| QoQ Delta Rev Chg LTM | -1.0% |
| Op Inc Chg LTM | 14.6% |
| Op Inc Chg 3Y Avg | 117.8% |
| Op Mgn LTM | -16.1% |
| Op Mgn 3Y Avg | 4.0% |
| QoQ Delta Op Mgn LTM | -3.6% |
| CFO/Rev LTM | -15.6% |
| CFO/Rev 3Y Avg | 6.0% |
| FCF/Rev LTM | -23.3% |
| FCF/Rev 3Y Avg | 2.5% |
Price Behavior
| Market Price | $7.30 | |
| Market Cap ($ Bil) | 0.2 | |
| First Trading Date | 09/23/1999 | |
| Distance from 52W High | -52.8% | |
| 50 Days | 200 Days | |
| DMA Price | $6.87 | $8.73 |
| DMA Trend | down | down |
| Distance from DMA | 6.2% | -16.4% |
| 3M | 1YR | |
| Volatility | 44.9% | 64.4% |
| Downside Capture | 105.74 | 183.43 |
| Upside Capture | 112.22 | 164.17 |
| Correlation (SPY) | 33.1% | 31.8% |
| 1M | 2M | 3M | 6M | 1Y | 3Y | |
|---|---|---|---|---|---|---|
| Beta | 0.13 | 0.85 | 0.46 | 1.08 | 1.72 | 1.16 |
| Up Beta | -2.92 | -0.70 | -1.15 | 0.25 | 0.61 | 0.80 |
| Down Beta | 1.64 | 2.01 | 2.13 | 1.53 | 2.31 | 1.33 |
| Up Capture | 114% | 59% | 4% | 61% | 262% | 155% |
| Bmk +ve Days | 11 | 22 | 35 | 67 | 138 | 427 |
| Stock +ve Days | 11 | 18 | 29 | 53 | 117 | 355 |
| Down Capture | -10% | 109% | 62% | 158% | 153% | 108% |
| Bmk -ve Days | 11 | 21 | 28 | 59 | 114 | 326 |
| Stock -ve Days | 11 | 24 | 31 | 69 | 128 | 374 |
[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
Based On 1-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with EGAN | |
|---|---|---|---|---|
| EGAN | 21.0% | 64.3% | 0.55 | - |
| Sector ETF (XLK) | 41.9% | 26.0% | 1.31 | 24.9% |
| Equity (SPY) | 21.1% | 12.9% | 1.22 | 31.7% |
| Gold (GLD) | 37.5% | 28.8% | 1.10 | 10.5% |
| Commodities (DBC) | 43.2% | 20.2% | 1.66 | -3.4% |
| Real Estate (VNQ) | 12.9% | 13.8% | 0.64 | 11.6% |
| Bitcoin (BTCUSD) | -35.4% | 43.5% | -0.88 | 20.8% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Based On 5-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with EGAN | |
|---|---|---|---|---|
| EGAN | -7.9% | 53.8% | 0.05 | - |
| Sector ETF (XLK) | 19.7% | 25.9% | 0.68 | 30.6% |
| Equity (SPY) | 12.9% | 17.2% | 0.57 | 33.6% |
| Gold (GLD) | 20.6% | 18.6% | 0.90 | 8.3% |
| Commodities (DBC) | 10.4% | 19.6% | 0.41 | 1.4% |
| Real Estate (VNQ) | 2.3% | 18.9% | 0.02 | 22.0% |
| Bitcoin (BTCUSD) | 9.1% | 52.7% | 0.36 | 19.6% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Based On 10-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with EGAN | |
|---|---|---|---|---|
| EGAN | 9.8% | 62.7% | 0.41 | - |
| Sector ETF (XLK) | 24.1% | 24.9% | 0.88 | 33.1% |
| Equity (SPY) | 15.2% | 17.9% | 0.72 | 33.2% |
| Gold (GLD) | 12.7% | 16.2% | 0.64 | 5.9% |
| Commodities (DBC) | 8.0% | 18.0% | 0.36 | 10.0% |
| Real Estate (VNQ) | 5.0% | 20.7% | 0.20 | 21.8% |
| Bitcoin (BTCUSD) | 62.2% | 66.1% | 1.02 | 15.5% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Returns Analyses
Earnings Returns History
Updated 6/17/2026| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 5/14/2026 | -3.6% | 2.2% | 9.8% |
| 2/3/2026 | -0.1% | 4.4% | -2.1% |
| 11/12/2025 | -24.8% | -30.5% | -33.2% |
| 9/4/2025 | 5.3% | 31.1% | 60.8% |
| 5/14/2025 | 3.6% | 5.7% | 18.2% |
| 2/13/2025 | -18.2% | -18.8% | -21.5% |
| 11/12/2024 | -7.3% | -13.1% | -2.4% |
| 9/5/2024 | -14.0% | -19.7% | -22.8% |
| ... | |||
| SUMMARY STATS | |||
| # Positive | 9 | 10 | 10 |
| # Negative | 16 | 15 | 15 |
| Median Positive | 5.6% | 5.9% | 14.7% |
| Median Negative | -10.0% | -10.6% | -15.7% |
| Max Positive | 26.8% | 31.1% | 60.8% |
| Max Negative | -27.6% | -32.0% | -33.2% |
| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 5/14/2026 | -3.6% | 2.2% | 9.8% |
| 2/3/2026 | -0.1% | 4.4% | -2.1% |
| 11/12/2025 | -24.8% | -30.5% | -33.2% |
| 9/4/2025 | 5.3% | 31.1% | 60.8% |
| 5/14/2025 | 3.6% | 5.7% | 18.2% |
| 2/13/2025 | -18.2% | -18.8% | -21.5% |
| 11/12/2024 | -7.3% | -13.1% | -2.4% |
| 9/5/2024 | -14.0% | -19.7% | -22.8% |
| 5/9/2024 | -12.5% | -7.1% | -6.6% |
| 2/8/2024 | -24.2% | -21.6% | -14.4% |
| 11/2/2023 | 8.3% | 6.1% | 32.7% |
| 9/14/2023 | -7.8% | -2.5% | -3.3% |
| 5/11/2023 | -4.9% | -4.2% | 5.6% |
| 2/14/2023 | -11.6% | -10.6% | -15.9% |
| 11/14/2022 | 19.8% | 8.9% | 12.7% |
| 9/8/2022 | -14.3% | -12.8% | -16.4% |
| 5/5/2022 | -0.4% | -5.4% | -8.9% |
| 2/3/2022 | 26.8% | 26.0% | 16.7% |
| 11/9/2021 | 5.6% | 1.1% | -6.3% |
| 9/1/2021 | -3.4% | -9.1% | -15.7% |
| 7/15/2021 | 1.5% | 4.5% | 5.1% |
| 5/11/2021 | 14.0% | 14.1% | 20.1% |
| 2/10/2021 | 5.1% | -3.5% | -15.7% |
| 11/10/2020 | -27.6% | -32.0% | -32.7% |
| 9/2/2020 | -8.3% | -0.7% | 3.1% |
| SUMMARY STATS | |||
| # Positive | 9 | 10 | 10 |
| # Negative | 16 | 15 | 15 |
| Median Positive | 5.6% | 5.9% | 14.7% |
| Median Negative | -10.0% | -10.6% | -15.7% |
| Max Positive | 26.8% | 31.1% | 60.8% |
| Max Negative | -27.6% | -32.0% | -33.2% |
SEC Filings
Expand for More| Report Date | Filing Date | Filing |
|---|---|---|
| 03/31/2026 | 05/14/2026 | 10-Q |
| 12/31/2025 | 02/03/2026 | 10-Q |
| 09/30/2025 | 11/12/2025 | 10-Q |
| 06/30/2025 | 09/12/2025 | 10-K |
| 03/31/2025 | 05/14/2025 | 10-Q |
| 12/31/2024 | 02/13/2025 | 10-Q |
| 09/30/2024 | 11/12/2024 | 10-Q |
| 06/30/2024 | 09/12/2024 | 10-K |
| 03/31/2024 | 05/09/2024 | 10-Q |
| 12/31/2023 | 02/08/2024 | 10-Q |
| 09/30/2023 | 11/07/2023 | 10-Q |
| 06/30/2023 | 09/14/2023 | 10-K |
| 03/31/2023 | 05/11/2023 | 10-Q |
| 12/31/2022 | 02/14/2023 | 10-Q |
| 09/30/2022 | 11/14/2022 | 10-Q |
| 06/30/2022 | 09/13/2022 | 10-K |
| Report Date | Filing Date | Filing |
|---|---|---|
| 03/31/2026 | 05/14/2026 | 10-Q |
| 12/31/2025 | 02/03/2026 | 10-Q |
| 09/30/2025 | 11/12/2025 | 10-Q |
| 06/30/2025 | 09/12/2025 | 10-K |
| 03/31/2025 | 05/14/2025 | 10-Q |
| 12/31/2024 | 02/13/2025 | 10-Q |
| 09/30/2024 | 11/12/2024 | 10-Q |
| 06/30/2024 | 09/12/2024 | 10-K |
| 03/31/2024 | 05/09/2024 | 10-Q |
| 12/31/2023 | 02/08/2024 | 10-Q |
| 09/30/2023 | 11/07/2023 | 10-Q |
| 06/30/2023 | 09/14/2023 | 10-K |
| 03/31/2023 | 05/11/2023 | 10-Q |
| 12/31/2022 | 02/14/2023 | 10-Q |
| 09/30/2022 | 11/14/2022 | 10-Q |
| 06/30/2022 | 09/13/2022 | 10-K |
| 03/31/2022 | 05/09/2022 | 10-Q |
| 12/31/2021 | 02/07/2022 | 10-Q |
| 09/30/2021 | 11/12/2021 | 10-Q |
| 06/30/2021 | 09/10/2021 | 10-K |
| 03/31/2021 | 05/14/2021 | 10-Q |
| 12/31/2020 | 02/12/2021 | 10-Q |
| 09/30/2020 | 11/12/2020 | 10-Q |
| 06/30/2020 | 09/11/2020 | 10-K |
| 03/31/2020 | 05/11/2020 | 10-Q |
| 12/31/2019 | 02/10/2020 | 10-Q |
| 09/30/2019 | 11/12/2019 | 10-Q |
| 06/30/2019 | 09/12/2019 | 10-K |
Recent Forward Guidance
Updated 7/27/2026Latest: Q3 2026 Earnings Reported 5/14/2026
| Forward Guidance | Guidance Change | ||||||
|---|---|---|---|---|---|---|---|
| Metric | Low | Mid | High | % Chg | % Delta | Change | Prior |
| Q4 2026 Total Revenue | 21.50 Mil | 21.75 Mil | 22.00 Mil | -3.1% | Lower New | Guidance: 22.45 Mil for Q3 2026 | |
| Q4 2026 GAAP Net Income | -0.30 Mil | 50,000 | 0.40 Mil | -96.0% | Lower New | Guidance: 1.25 Mil for Q3 2026 | |
| Q4 2026 Non-GAAP Net Income | 0.60 Mil | 0.95 Mil | 1.30 Mil | -53.7% | Lower New | Guidance: 2.05 Mil for Q3 2026 | |
| 2026 Total Revenue | 90.50 Mil | 90.75 Mil | 91.00 Mil | -0.5% | Lowered | Guidance: 91.25 Mil for 2026 | |
| 2026 GAAP Net Income | 7.00 Mil | 7.40 Mil | 7.80 Mil | 41.0% | Raised | Guidance: 5.25 Mil for 2026 | |
| 2026 Non-GAAP Net Income | 11.30 Mil | 11.70 Mil | 12.10 Mil | 22.5% | Raised | Guidance: 9.55 Mil for 2026 | |
| 2026 Adjusted EBITDA | 11.90 Mil | 12.15 Mil | 12.40 Mil | 4.3% | Raised | Guidance: 11.65 Mil for 2026 | |
Prior: Q2 2026 Earnings Reported 2/3/2026
| Forward Guidance | Guidance Change | ||||||
|---|---|---|---|---|---|---|---|
| Metric | Low | Mid | High | % Chg | % Delta | Change | Prior |
| Q3 2026 Revenue | 22.20 Mil | 22.45 Mil | 22.70 Mil | -0.4% | Lowered | Guidance: 22.55 Mil for Q2 2026 | |
| Q3 2026 GAAP Net Income | 1.00 Mil | 1.25 Mil | 1.50 Mil | -13.8% | Lowered | Guidance: 1.45 Mil for Q2 2026 | |
| Q3 2026 Non-GAAP Net Income | 1.80 Mil | 2.05 Mil | 2.30 Mil | -4.7% | Lowered | Guidance: 2.15 Mil for Q2 2026 | |
| Q3 2026 Adjusted EBITDA | 2.60 Mil | 2.85 Mil | 3.10 Mil | -3.4% | Lowered | Guidance: 2.95 Mil for Q2 2026 | |
| 2026 Revenue | 90.50 Mil | 91.25 Mil | 92.00 Mil | 0 | Affirmed | Guidance: 91.25 Mil for 2026 | |
| 2026 GAAP Net Income | 4.50 Mil | 5.25 Mil | 6.00 Mil | 23.5% | Raised | Guidance: 4.25 Mil for 2026 | |
| 2026 Non-GAAP Net Income | 8.80 Mil | 9.55 Mil | 10.30 Mil | 5.5% | Raised | Guidance: 9.05 Mil for 2026 | |
| 2026 Adjusted EBITDA | 10.90 Mil | 11.65 Mil | 12.40 Mil | 4.5% | Raised | Guidance: 11.15 Mil for 2026 | |
Q1 2026 Earnings Reported 11/12/2025
| Forward Guidance | Guidance Change | ||||||
|---|---|---|---|---|---|---|---|
| Metric | Low | Mid | High | % Chg | % Delta | Change | Prior |
| Q2 2026 Revenue | 22.30 Mil | 22.55 Mil | 22.80 Mil | -3.0% | Lower New | Guidance: 23.25 Mil for Q1 2026 | |
| Q2 2026 GAAP Net Income | 1.20 Mil | 1.45 Mil | 1.70 Mil | 16.0% | Higher New | Guidance: 1.25 Mil for Q1 2026 | |
| Q2 2026 Non-GAAP Net Income | 1.90 Mil | 2.15 Mil | 2.40 Mil | -37.7% | Lower New | Guidance: 3.45 Mil for Q1 2026 | |
| Q2 2026 Adjusted EBITDA | 2.70 Mil | 2.95 Mil | 3.20 Mil | -27.2% | Lower New | Guidance: 4.05 Mil for Q1 2026 | |
| 2026 Revenue | 90.50 Mil | 91.25 Mil | 92.00 Mil | 0 | Affirmed | Guidance: 91.25 Mil for 2026 | |
| 2026 GAAP Net Income | 3.50 Mil | 4.25 Mil | 5.00 Mil | 0 | Affirmed | Guidance: 4.25 Mil for 2026 | |
| 2026 Non-GAAP Net Income | 8.30 Mil | 9.05 Mil | 9.80 Mil | 0 | Affirmed | Guidance: 9.05 Mil for 2026 | |
| 2026 Adjusted EBITDA | 10.40 Mil | 11.15 Mil | 11.90 Mil | 0 | Affirmed | Guidance: 11.15 Mil for 2026 | |
Insider Activity
Updated 4/26/2026| # | Owner | Title | Holding | Action | Filing Date | Price | Shares | Transacted Value | Value of Held Shares | Form |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | Smit, Eric | Chief Financial Officer | Direct | Sell | 1062026 | 10.24 | 5,000 | 51,200 | 1,322,875 | Form |
| 2 | Darukhanavala, Phiroz P | Direct | Sell | 12082025 | 10.61 | 10,500 | 111,414 | 26,527 | Form | |
| 3 | Smit, Eric | Chief Financial Officer | Direct | Sell | 12032025 | 10.07 | 5,000 | 50,350 | 1,300,913 | Form |
| 4 | Smit, Eric | Chief Financial Officer | Direct | Sell | 11052025 | 14.44 | 5,000 | 72,200 | 1,865,460 | Form |
| 5 | Smit, Eric | Chief Financial Officer | Direct | Sell | 10072025 | 10.00 | 15,000 | 150,000 | 1,291,870 | Form |
| # | Owner | Title | Holding | Action | Filing Date | Price | Shares | Transacted Value | Value of Held Shares | Form |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | Smit, Eric | Chief Financial Officer | Direct | Sell | 1062026 | 10.24 | 5,000 | 51,200 | 1,322,875 | Form |
| 2 | Darukhanavala, Phiroz P | Direct | Sell | 12082025 | 10.61 | 10,500 | 111,414 | 26,527 | Form | |
| 3 | Smit, Eric | Chief Financial Officer | Direct | Sell | 12032025 | 10.07 | 5,000 | 50,350 | 1,300,913 | Form |
| 4 | Smit, Eric | Chief Financial Officer | Direct | Sell | 11052025 | 14.44 | 5,000 | 72,200 | 1,865,460 | Form |
| 5 | Smit, Eric | Chief Financial Officer | Direct | Sell | 10072025 | 10.00 | 15,000 | 150,000 | 1,291,870 | Form |
Investor Activity (13F)
Updated Aug 22, 2026Active managers (13F portfolio over $250M, at least 3 holdings) with a position over $5M that is either over 10% of their portfolio or held in a concentrated book of 50 or fewer total positions. Index/ETF, sovereign, bank, community-bank and charitable/donor-advised filers are excluded.
eGain — Investor Video Playlist
Industry Resources
| Information Technology Resources |
| TechCrunch |
| Wired |
| CIO |
| MIT Technology Review |
| Gartner Insights |
| Ars Technica |
| Application Software Resources |
| Capterra |
| Software Advice |
| InfoWorld |
External Quote Links
| Y Finance | Barrons |
| TradingView | Morningstar |
| SeekingAlpha | ValueLine |
| Motley Fool | Robinhood |
| CNBC | Etrade |
| MarketWatch | Unusual Whales |
| YCharts | Perplexity Finance |
| FinViz |
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