Riskified shares jump on strong quarterly results

Shares of Riskified Ltd. surged on Thursday after the e-commerce fraud prevention company reported quarterly results that exceeded analyst expectations and raised its full-year revenue guidance.

The New York-listed stock jumped 12% to $11.50 in early trading, extending gains from Wednesday’s close. The company reported adjusted net income of $0.05 per share for the second quarter, beating the $0.02 per share estimate from Refinitiv IBES. Revenue rose 23% year-over-year to $102.4 million, topping the $98.1 million forecast.

Riskified also raised its full-year revenue guidance to a range of $405 million to $415 million, up from its prior estimate of $390 million to $400 million. The company attributed the upward revision to stronger-than-expected demand for its fraud detection and prevention solutions, particularly in North America and Europe.

Analysts at Jefferies maintained a Hold rating on the stock but raised their price target to $14 from $12, citing the improved outlook. "The raised guidance reflects accelerating adoption of Riskified’s platform among mid-market and enterprise merchants," the firm wrote in a note.

Riskified’s platform helps businesses verify transactions and reduce fraud in online sales, a growing concern as e-commerce expands globally. The company has faced scrutiny in recent quarters over its accounting practices, though it has denied any wrongdoing. Its shares remain down 35% year-to-date, despite Thursday’s gains.

The stock’s surge follows a broader rally in software-as-a-service (SaaS) companies, which have benefited from increased enterprise spending on digital security tools amid rising cyber threats.