20 Best Data Center Stocks to Buy According to Billionaires

15. A10 Networks Inc. (NYSE:ATEN)

Number of Billionaire Investors: 11

Billionaire Holdings: $65 million

Number of Hedge Fund Holders: 30

A10 Networks Inc. (NYSE:ATEN) specializes in security and infrastructure solutions tailored for on-premises, hybrid cloud, and edge-cloud environments. The company serves a diverse customer base, including global enterprises, communication providers, cloud services, and web service providers. Its product portfolio features load balancing, threat protection, and secure cloud networking solutions, all designed to enhance the reliability, security, and performance of data centers.

In Q4 2024, A10 Networks reported $74.2 million in revenue, reflecting a 5% year-over-year increase, driven by both enterprise and service provider segments. The company also saw a notable improvement in profitability, with adjusted EPS rising 24% to $0.31. The CEO emphasized that 2025 will mark a year of innovation, as the company plans to expand its security offerings. With several years of R&D investments coming to fruition, A10 Networks aims to strengthen its competitive positioning among both service provider and enterprise customers.

Following the strong quarterly performance, BWS Financial analyst Hamed Khorsand reaffirmed a Buy rating on A10 Networks, maintaining a $24 price target. He highlighted the company’s better-than-expected Q4 results, with revenue surpassing the $70.7 million estimate, largely driven by stronger purchases from North American service providers, a market that had previously been inconsistent. The analyst believes that this revenue rebound has provided a boost to A10’s stock, and its ability to sustain earnings growth and positive free cash flow positions it well for continued valuation growth throughout 2025.