OS OSPN OneSpan Inc. Common Stock Loading... : Investor Sentiment and Bull/Bear Views

The author shares a technical watchlist of six stocks across sectors for further research, not a current position or trade call.

The author lists a watchlist of names across sectors that are catching their eye from a technical perspective for further research, not a current position.

Buy OSPN as a deeply undervalued (8x P/E, 2x P/S) software security company pivoting from legacy hardware to high-margin cloud products; 14% ARR growth, 32% EBITDA EBITDA margin (Rule of 46), $50M buyback, 60%+ of top 100 global banks as customers, and transaction-volume pricing model create a durable re-rating catalyst.

The author explains OSPN's authentication mechanism for AI agents in response to a question about kill switches, without expressing a personal position or trade idea.

Buy OSPN as a deeply undervalued (8x P/E, 2x P/S) SaaS security play pivoting from legacy hardware to high-margin cloud identity verification; transaction-volume pricing model creates direct AI-era revenue leverage, 14% ARR growth and 32% EBITDA margin are mispriced, chart just broke above all weekly MAs post-earnings.

The author argues OneSpan's cybersecurity software segment, which serves 60 of the world's 100 largest banks and is extremely sticky, is undervalued because the shrinking hardware segment depresses headline numbers. A DCF model assuming the hardware side vanishes and 2% terminal growth yields an intrinsic value of $15.67 versus the current $11.81 price. The author sees free optionality from the remaining hardware revenue, recent acquisitions, and a higher true ARR growth of 11%, calling it an information arbitrage at 8x P/E with zero debt.

The author argues OneSpan's hardware segment is dying (-16% revenue yoy, ~16% of revenue) while its cybersecurity software side grows ARR +11% and serves 60 of the world's 100 largest banks with high switching friction. A DCF assuming the hardware side vanishes tomorrow and immediate decay to 2% terminal growth at a 10% discount rate yields intrinsic value of $15.67 versus an $11.81 share price. The author attributes the gap to shrinking hardware dragging headline numbers, and cites free optionality from remaining hardware revenue, the nok nok and Build38 acquisitions, and true ARR of 11% versus the 2% modeled. At a PE of 8 with zero debt, the author calls it an information arbitrage fat pitch.