NETGEAR Inc. (NASDAQ:NTGR) shares fell to a low of $36.4361 before closing at $37.95. Intraday shares traded counted 0.69 million, which was -118.86% lower than its 30-day average trading volume of 317.05K. NTGR’s previous close was $38.74 while the outstanding shares total 30.66M. The firm has a beta of 0.85, a 12-month trailing P/E ratio of 13.89. The stock’s Relative Strength Index (RSI) is 47.79, with weekly volatility at 3.47% and ATR at 1.27. The NTGR stock’s 52-week price range has touched low of $23.20 and a $46.38 high. The stock traded lower over the last trading session, losing -2.04% on 06/02/21.
Investors have identified the Communication Equipment company NETGEAR Inc. as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around $1.17 billion, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
NETGEAR Inc. (NTGR) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. In terms of their assets, the company currently has 930.88 million total, with 361.33 million as their total liabilities.
NTGR were able to record 12.15 million as free cash flow during the 07/28/2021 quarter of the year, this saw their quarterly net cash flow reduce by 17.05 million. In cash movements, the company had a total of 13.74 million as operating cash flow.
Potential earnings growth for NETGEAR Inc. (NTGR)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the 07/28/2021 quarter of the year, NETGEAR Inc. recorded a total of 317.93 million in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with 27.67% coming in sequential stages and their sales for the 07/28/2021 quarter reducing by -15.46%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 206.98 million trying to sell their products during the last quarter, with the result yielding a gross income of 110.94 million. This allows shareholders to hold on to 30.66M with the recently reported earning now reading 0.75 cents per share. This is a figure that compared to analyst’s prediction for their 07/28/2021 (0.72 cents a share).
Having a look at the company’s valuation, the company is expected to record 2.55 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on NTGR sounds very interesting.
Is the stock of NTGR attractive?
In related news, Director, Durr Laura sold 3,400 shares of the company’s stock in a transaction that recorded on Jun 02. The sale was performed at an average price of 36.80, for a total value of 125,120. As the sale deal closes, the CEO, LO PATRICK CS now sold 26,075 shares of the company’s stock, valued at 1,006,234. Also, Director, Butterfass Sarah sold 1,302 shares of the company’s stock in a deal that was recorded on Jun 01. The shares were price at an average price of 39.01 per share, with a total market value of 50,791. Following this completion of acquisition, the SVP, Legal and Corp Dev, Kim Andrew Wonki now holds 517 shares of the company’s stock, valued at 20,468. In the last 6 months, insiders have changed their ownership in shares of company stock by 1.80%.
0 out of 4 analysts covering the stock have rated it a Buy, while 2 have maintained a Hold recommendation on NETGEAR Inc.. 0 analysts has assigned a Sell rating on the NTGR stock. The 12-month mean consensus price target for the company’s shares has been set at $48.40.