CGNT | Market Cap: $657.0M (07/13/26)
Industry:
Software
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DESCRIPTION

Cognyte is an Israeli software company that sells investigative analytics platforms to government security agencies — primarily law enforcement, national intelligence, and military intelligence units — across roughly 100 countries. Cognyte's platform ingests and correlates data from fragmented sources (communications networks, financial records, open-source data, government databases) to help agencies map criminal and terror networks, identify suspects, and support both real-time field operations and longer-term investigations. Key use cases include counter-terrorism, organized crime, border security, financial crime, and cyber threats. Cognyte sells directly and through system integrator partners, with large contracts involving lengthy sales cycles and proof-of-concept demonstrations. Revenue comes from three streams: software licenses (~55-60%), software support and SaaS subscriptions (~30%), and professional services (~13%). Though most licenses are perpetual rather than subscription-based, customers reliably return for capacity expansions and new functionality — management estimates roughly 91-96% of revenue comes from existing customers, giving the business strong repeatability. Non-GAAP gross margins on the software business exceed 80%, and overall gross margin is approximately 72-73%. EMEA is the largest region (~54% of revenue), followed by APAC (~34%) and the Americas (~12%). Cognyte is actively investing in U.S. expansion, targeting federal and state/local agencies through a partnership with LexisNexis Risk Solutions and a small cyber threat intelligence acquisition. Cognyte's medium-term targets are ~$500M in revenue and adjusted EBITDA margins above 20% by FY28.

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