Forensic Analysis · Technology / Software · as of Jun 27, 2026
JFrog Ltd (FROG)
A forensic read on JFrog Ltd built from its complete SEC filings — financial-health screens, earnings quality, red flags and a price-aware rating. Reproducible math, not opinion.
C · Mixed — selective
Forensic grade
Safe
Financial health
2.8
Altman Z-score
Clean
Earnings quality
5
Forensic signals
-7.0%
ROE
$10.6B
Market cap
JFrog Ltd earns a C (Mixed — selective) forensic quality grade, and its Altman Z-score is 2.8, placing it in the Safe zone. 5 forensic signals were flagged in its latest SEC filings, led by return on invested capital.
What the filings flag
-8%Return on invested capital.Return on invested capital is -8% and rising from -12% — well below its ~10% cost of capital, so reinvested dollars may be destroying value, not building it.
+5.7%/yrShare-count dilution.Diluted share count changed +17% over the last 3 years to FY2025 (+5.7%/yr). The count is GROWING — existing holders are being diluted. That's ~5.7% shaved off per-share growth every year — total profit has to grow that much just to keep earnings-per-share flat, and a stake held since FY2022 has been diluted ~17%.
29% of revStock-based comp load.Stock-based compensation ran 29% of revenue and 110% of free cash flow in FY2025 — about $1.35 per diluted share. Heavy — a large slice of 'free cash flow' is really being paid out in stock, so the true owner cash per share is well below the headline.
+11.5%Accruals ratio.Net operating assets grew +11.5% relative to their average in FY2025 — the accrual component of earnings. Accruals are building faster than is comfortable — part of profit sits in receivables, inventory or capitalized costs rather than cash. The cash-flow cross-check agrees: reported earnings ran behind operating cash by -28% of net operating assets.
82d DSOReceivables vs revenue.Days sales outstanding moved from 77 to 82 days FY2024→FY2025 (receivables +32% vs revenue +24%). Receivables are creeping up relative to sales — watch the trend.
Key fundamentals
Net Margin-13.5%
Free Cash Flow$142.3M
Latest Revenue$531.8M
Return on Equity-8.1%
Revenue Growth YoY+24.1%
Go deeper — free with an account
The forensic grade and screens above are free — no account needed. An account adds the full interactive deep-dive on JFrog Ltd:
🔒The written investment read — what the numbers mean, in plain English
🔒Ask anything about FROG's filings — AI Q&A across the 10-K, 10-Qs & 8-Ks
🔒Interactive valuation — reverse-DCF sliders, Monte Carlo & scenario stress
🔒Calibrated 12-month price forecast, with the math shown