JFrog shares soared 35% on Friday after the software company reported third-quarter results that beat forecasts and raised its outlook for the full year. The stock closed at $100.98, up $26.36 on the day, after opening at $94.99 and trading as high as $102.20.

The company, which makes tools for managing the software supply chain, reported its results on Thursday, 5 November. Revenue rose 31% from a year earlier to $179.2 million, ahead of the $165.9 million analysts had expected, Insider Monkey reported. Adjusted earnings per share came in at $0.32, beating the consensus estimate of $0.23 by nine cents.

Return to profit as cloud revenue accelerates

JFrog swung to a net profit of $6.55 million for the quarter, compared with a $16.4 million net loss in the same period last year. Cloud revenue, which made up 57% of the total, grew 60% from a year earlier to $101.5 million, as more businesses signed up for its services amid rising concern about hacking and software security.

The guidance did as much as the results to lift the shares. JFrog raised its revenue outlook for the full 2026 year to between $680 million and $682 million, implying growth of about 28% from $531.8 million a year earlier. For the fourth quarter, it projected revenue of $183 million to $185 million, a rise of roughly 26% to 27% from the same period last year, and lifted its full-year adjusted earnings guidance to between $1.14 and $1.16 per share.

Analysts lift targets as backlog grows

Royal Bank of Canada raised its price target on JFrog to $121 from $118 in a research note on Friday morning. The company's order book also looked healthy: its quarterly filing showed $812.4 million in remaining performance obligations, of which 60% is expected to be recognised as revenue over the next 12 months.

The jump stood out on a day when software stocks were moving in opposite directions. Atlassian fell 16% in the same session after forecasting slower growth, even though it too had beaten quarterly expectations. Investors rewarded JFrog's guidance and punished Atlassian's, in a market that has grown choosy about which software companies can keep growing.

JFrog's shares had closed at $74.62 on Thursday before the earnings-driven surge. Friday's 35% gain took the stock to its highest level of the year and left it up more than 60% since the start of 2026. This article is market news, not investment advice.