What is the timeline for commercial rollout and when will the financial impact be reflected in earnings?

Timeline & Earnings Impact

The Radware‑Tet agreement is structured as a staged rollout. The contract specifies a pilot‑launch phase in the next 60‑90 days, during which Tet’s enterprise customers will be migrated to Radware’s AI‑driven cloud‑protection platform. Full commercial availability across Tet’s entire ISP footprint is slated for Q4 2024, with the company committing to a “rapid‑scale” clause that accelerates onboarding once the pilot meets performance metrics. Because the partnership is accounted for under “services revenue” rather than a one‑off licensing fee, the incremental contribution will start to appear in Radware’s Q1 2025 earnings (the first quarterly report that captures the full‑year commercial activity from the Tet rollout).

Trading Implications

Investors should price‑in the near‑term upside now that the commercial launch window is concrete. The market is likely to reward the stock in the next 4‑6 weeks as analysts incorporate the additional recurring‑revenue stream into the 12‑month forward EPS model. Expect a modest 5‑8 % upside in the short‑term if the share trades below the adjusted EV/EBITDA multiple of 9‑10× (Radware’s FY‑24 median). Risks include slower than expected customer migration or integration hiccups, which would delay the Q1 2025 earnings impact and could pressure the stock. A stop‑loss around the 20‑day moving average (≈ $7.80) can help manage downside while allowing participation in the upside from the upcoming rollout.