Best SmidCap Ideas: Expecting This Frog To Continue Leaping High

Research evidence excerpt

Best SmidCap Ideas: Expecting This Frog To Continue Leaping High

TD Cowen Software

Global Research

JFrog Ltd

TD SECURITIES (USA) LLC BEST SMIDCAP IDEAS 2026

Price: $81.35 (06/17/2026) Best SmidCap Ideas: Expecting This Frog To

Price Target: $100.00 (Prior $80.00) Continue Leaping High

BUY (1)

ESG SCORE: 61/100

Andrew Sherman, CFA THE TD COWEN INSIGHT

617 946 3728

FROG is our Best Smidcap Idea. FROG has proven to have AI tailwinds over the past year as

andrew.sherman@tdsecurities.com

coding agents are causing a significant increase in the amount of software packages. We

Derrick Wood, CFA think these tailwinds are durable & see strong upside to Cloud ests. We see continued Security

415 646 7370 strength led by Curation. We see FROG sustaining its premium multiple given >20% growth

derrick.wood@tdsecurities.com

durability + AI winner status.

Jared Jungjohann

646 562 1416 Summary Of Our Thesis

jared.jungjohann@tdsecurities.com

FROG shares are up nearly 100% over the past 12 months, the #1 performer in software

Cole Erskine & significantly outperforming the IGV (-14%). Our thesis from last year's Best Smidcap

646 562 1467

Ideas note (LINK) was that FROG has several durable growth drivers and AI was a new and

cole.erskine@tdsecurities.com

underappreciated usage driver. This led to an acceleration in Cloud revenue to +45% last

Key Data year (vs. +41% in FY24) and total revenue to +24% (vs. +22%). We think these tailwinds should

Symbol NASDAQ: FROG continue to drive strong upside to Cloud and sustain >20% total revenue growth for the

Beta: 1.23 foreseeable future. We hosted mgmt at our recent conference (LINK) where we discussed

52-Week Range: $88.31-$34.75 FROG's growth drivers, competitive advantages, and potential win of a 4th AI lab. Now at a