Onespan (NASDAQ:OSPN) Announces Quarterly Earnings Results

Onespan (NASDAQ:OSPN) released its quarterly earnings results on Thursday. The company reported $0.36 earnings per share for the quarter, topping analysts’ consensus estimates of $0.31 by $0.05, FiscalAI reports. Onespan had a return on equity of 18.41% and a net margin of 24.08%.The company had revenue of $62.92 million during the quarter, compared to analysts’ expectations of $59.78 million.

Here are the key takeaways from Onespan’s conference call:

• OneSpan is now a predominantly software business with ARR of $187 million (up 11.5% YoY) and software/services expected to be >80% of revenue in 2026, driven by subscription growth in both Cybersecurity and Digital Agreements.
• The company generated strong profitability and cash flow in 2025 — $77.6M adjusted EBITDA for the year and ~$59.5M operating cash flow — while returning ~$32M to shareholders and raising the quarterly dividend to $0.13.
• Management is pursuing targeted M&A to strengthen product lines, notably the planned acquisition of Build38 (to deepen App Shielding) and prior deals (Nok Nok, ThreatFabric) to broaden mobile protection and authentication capabilities.
• Near-term profitability will be modestly impacted by planned investments (~$5.5M incremental S&M and R&D in 2026) and the Build38 acquisition, which management expects to dilute adjusted EBITDA by about $3M–$4M in 2026.
• 2026 guidance calls for modest growth — ARR of $192M–$196M (3%–5%), software/services revenue $201M–$204M (4%–5%) and total revenue $244M–$249M (0%–2%) — with adjusted EBITDA guided to $64M–$68M.

Onespan Price Performance

NASDAQ OSPN traded up $0.23 during mid-day trading on Thursday, hitting $11.37. The company’s stock had a trading volume of 413,589 shares, compared to its average volume of 716,319. The stock’s fifty day simple moving average is $11.99 and its two-hundred day simple moving average is $13.42. Onespan has a 52-week low of $10.17 and a 52-week high of $18.13. The firm has a market capitalization of $432.40 million, a P/E ratio of 7.73, a price-to-earnings-growth ratio of 0.87 and a beta of 1.53.

Wall Street Analysts Forecast Growth

Several research firms have issued reports on OSPN. Weiss Ratings reaffirmed a “hold (c+)” rating on shares of Onespan in a research note on Monday, December 29th. DA Davidson decreased their target price on shares of Onespan from $15.00 to $13.00 and set a “neutral” rating on the stock in a research report on Friday, October 31st. Rosenblatt Securities reduced their price target on Onespan from $17.00 to $15.00 and set a “buy” rating on the stock in a research note on Friday, October 31st. Finally, Wall Street Zen cut Onespan from a “buy” rating to a “hold” rating in a report on Saturday, January 3rd. Two analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company. According to MarketBeat.com, Onespan currently has an average rating of “Moderate Buy” and an average target price of $17.00.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently modified their holdings of the stock. Invesco Ltd. raised its holdings in shares of Onespan by 4.5% during the 4th quarter. Invesco Ltd. now owns 98,190 shares of the company’s stock valued at $1,261,000 after buying an additional 4,197 shares during the period. Lynrock Lake LP grew its position in Onespan by 14.8% in the fourth quarter. Lynrock Lake LP now owns 432,440 shares of the company’s stock valued at $5,553,000 after acquiring an additional 55,774 shares in the last quarter. XTX Topco Ltd purchased a new stake in shares of Onespan during the fourth quarter valued at approximately $465,000. Numerai GP LLC acquired a new position in shares of Onespan during the fourth quarter worth $2,233,000. Finally, Millennium Management LLC boosted its stake in shares of Onespan by 1,018.8% in the fourth quarter. Millennium Management LLC now owns 1,211,659 shares of the company’s stock valued at $15,558,000 after purchasing an additional 1,103,360 shares during the period. Institutional investors and hedge funds own 95.52% of the company’s stock.

Onespan Company Profile

OneSpan, formerly known as Vasco Data Security International, is a Chicago-based cybersecurity software company specializing in digital identity and anti-fraud solutions. Founded in 1991, the company provides a suite of authentication and transaction security products designed to help organizations protect critical applications and high-value transactions across online, mobile and in-branch channels.

The core OneSpan portfolio includes multi-factor authentication, risk-based authentication and transaction signing solutions.