JAMF Stock: Apple Adoption, Rule Of 40 Could Unlock 29% Upside, Says JPMorgan

Zinger Key Points

JPMorgan sees 29% upside for JAMF stock as Apple enterprise adoption grows and valuation re-rates.
JAMF's Rule of 40 potential and security-driven growth could drive a significant earnings rebound.
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Jamf Holding Corp JAMF just got a bullish nod from JPMorgan, with analyst Samik Chatterjee initiating coverage at Overweight and a $20 price target—implying a “29% upside from current levels”.

The key drivers?

A rebound in enterprise IT spending
Expanding Apple Inc AAPL adoption, and
A shot at meeting the coveted Rule of 40 in 2026.

Apple's Growing Enterprise Footprint

JAMF is a leader in Apple device management and the analyst sees a massive opportunity ahead. While Apple devices are already dominant in education, their enterprise adoption is catching up fast.

With JAMF's enterprise total addressable market (TAM) estimated at $46 billion—far larger than its $3 billion education TAM—the company is well-positioned to ride this wave.

Security Solutions & Bundling Strategy Fuel Growth

JAMF isn't just about device management anymore, its security solutions provide an easier entry point for new customers, eliminating the need to displace incumbents. The company's land-and-expand approach—bundling security and management—allows it to capture more wallet share even from its existing customer base.

With security solutions targeting a $14 billion slice of its $22 billion serviceable available market (SAM), Chatterjee sees plenty of room for expansion.

Rule of 40: A Path To Re-Rating?

He also sees JAMF meeting the Rule of 40 by 2026, with 15% revenue growth and a 26% unlevered free cash flow (uFCF) margin.

That's a key metric for software investors, as firms that hit this benchmark often command premium valuations. With JAMF currently trading at just 3x EV/Sales, Chatterjee sees a significant re-rating potential with JAMF “meeting the Rule of 40 with 15% revenue growth and 26% uFCF margin in 2026” to reach a more “appropriate valuation multiple ~6x EV/ Sales.”

Operating Leverage To Drive Earnings Surge

While JAMF's growth slowed in recent years due to macro headwinds and hiring pullbacks, JPMorgan expects a turnaround.

The firm forecasts ~12% revenue growth in 2025, with a much stronger 38% EPS compound annual growth rate (CAGR) through 2026 driven by operating leverage.

With Apple's enterprise adoption accelerating and JAMF poised to capitalize, Chatterjee believes the stock is undervalued.

His $20 price target, based on conservative multiples, leaves “ample further upside” if revenue growth re-accelerates. If JAMF executes on its plan and clears the Rule of 40 hurdle, this stock could see a serious re-rating.

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