A10 Networks disclosed a quarterly dividend of $0.06 per share, payable March 2 to holders of record as of February 16, representing an annualized payout of $0.24 and a yield of approximately 1.2%. Following the announcement, the stock climbed 9.7% in Thursday trading, although volume was down 54% versus its 60-day average of roughly 585,000 shares. The company’s dividend payout ratio stands at 35.3%, underscoring a balanced approach to cash returns and reinvestment.

For the fourth quarter ended December 31, A10 delivered record revenue of $80.4 million, an 8.3% increase year-over-year that exceeded consensus estimates of $78.1 million. GAAP earnings per share of $0.26 matched expectations, while non-GAAP gross margin reached 80.8%, up from 79.5% a year earlier. Net margin improved to 14.5% and return on equity climbed to 24.4%, driven by strong demand for application delivery controllers and DDoS protection solutions in both enterprise and service-provider segments.

Management set full-year 2026 EPS guidance at $0.64–$0.65 and revenue guidance at $319.6–$325.4 million, reflecting projected growth of 10–12%. Non-GAAP gross margin is expected to remain in the 80–82% range, with EPS growth outpacing top-line expansion. As of year-end, A10 held $377.8 million in cash, equivalents and marketable securities, up from $195.5 million a year ago. The company repurchased 406,000 shares during Q4 and paid $4.3 million in dividends, with $21.1 million remaining under its share repurchase authorization.

Among seven recent analyst actions, four firms maintain Buy ratings while three recommend Hold, resulting in a consensus grade of Moderate Buy and an average price target implying double-digit upside. Hedge funds and other institutions own 98.6% of shares outstanding, with notable stake increases by Jones Financial (up 271% in Q3), Farther Finance Advisors (up 92% in Q4) and GAMMA Investing (up 42% in Q4), signaling sustained confidence in A10’s growth trajectory.