Intrusion Inc. INTZ announced that it has secured a $2 million contract with the U.S. Department of Defense (DoD) to fortify its cybersecurity measures. Over the next 12 months, the company will collaborate closely with DoD staff and commercial partners to achieve top-tier security and operational efficiency standards.

As part of this new contract, the company will create a customized solution that combines Intrusion's products and intellectual property — specifically Intrusion Shield and TraceCop — with consulting services focused on enhancing the DoD's resilience and security efforts. This engagement will leverage Intrusion's complete suite of capabilities, including high-speed metadata extraction, contextual flow enrichment, advanced threat analytics and ongoing network monitoring, all designed to deliver actionable insights for protecting against cyber threats.

Arranged through a prime contractor, this deal signifies a major enhancement to the company's portfolio and emphasizes Intrusion's commitment to bolstering national security with cutting-edge cyber-attack prevention strategies. It further solidifies its role as a key player in the defense sector's cybersecurity landscape, the company added.

Increasing adoption of Intrusion Shield Bodes Well 

Intrusion is expanding its customer base within the government sector by securing significant new orders for Intrusion Shield. The company received two new orders for Intrusion Shield from its established government customer base in the first quarter, which marked a key milestone as it represented the first large-scale adoption of its Shield technology by government clients. 

Intrusion Inc. Price and Consensus

Intrusion Inc. price-consensus-chart | Intrusion Inc. Quote

The sequential growth in top-line revenues for the second quarter was largely attributed to the addition of a new government contract for Shield and consulting services. One of the two contracts received in the previous quarter began during this period and included both Shield services and consulting work, resulting in increased revenues for both segments. As a result, total revenues reached $1.5 million, representing a 29% increase on a sequential basis.

The second contract is also expected to begin contributing to revenues for both Shield and consulting throughout the remainder of the year and beyond.

The company anticipates that this new government contract will begin influencing earnings in the third quarter of 2024. These recent contract wins are expected to translate into incremental revenues for the company, likely benefiting the stock in the long run.

INTZ’s Zacks Rank & Stock Price Performance

INTZ currently carries a Zacks Rank #2 (Buy). Shares of the company have lost 87.6% in the past year against the sub-industry's growth of 0.2%.

Image Source: Zacks Investment Research

Other Stocks to Consider

Some other top-ranked stocks from the broader technology space are Seagate Technology Holdings plc STX, ANSYS, Inc. ANSS and American Software, Inc. AMSWA. While STX presently sports a Zacks Rank #1 (Strong Buy), ANSS & AMSWA carry a Zacks Rank #2 each. You can see the complete list of today’s Zacks #1 Rank stocks here.

Seagate Technology delivered an earnings surprise of 80.9%, on average, in three of the trailing four quarters. In the last reported quarter, STX pulled off an earnings surprise of 40%. The Zacks Consensus Earnings Estimate for STX has increased 18% to $7.41 in the past 60 days.

ANSYS delivered an earnings surprise of 4.8%, on average, in three of the trailing four quarters. In the last reported quarter, ANSS pulled off an earnings surprise of 28.9%. It has a long-term earnings growth expectation of 6.4%.

American Software delivered an earnings surprise of 84.5%, on average, in the trailing four quarters. In the last reported quarter, AMSWA pulled off an earnings surprise of 71.4%. The Zacks Consensus Earnings Estimate for AMSWA has increased 8.6% to 38 cents in the past 60 days.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Seagate Technology Holdings PLC (STX) : Free Stock Analysis Report

ANSYS, Inc. (ANSS) : Free Stock Analysis Report

American Software, Inc. (AMSWA) : Free Stock Analysis Report

Intrusion Inc. (INTZ) : Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research