
NETGEAR (NTGR) Stock Forecast & Price Target
NETGEAR (NTGR) Analyst Ratings
Bulls say
Netgear Inc. has demonstrated a robust financial performance, with Networking for Business (NFB) segment revenue reaching $82.6 million, reflecting a quarterly growth of 4.3% and an impressive year-over-year increase of 38.0%. The company has managed to enhance its gross margins significantly, with NFB gross margins rising to 46.7%, an increase of 40 basis points quarter-over-quarter and 1,300 basis points year-over-year, indicating improved operational efficiency. In the Home Networking segment, revenue grew to $67.5 million, up 10.0% quarter-over-quarter and 13.1% year-over-year, driven by a favorable product mix and increasing demand for the expanded product portfolio.
Bears say
NETGEAR has experienced a challenging margin profile over the past four years, with net gross margins fluctuating between 27.1% in CY22 and 33.9% in CY23, while net operating margins have turned negative since CY22. The company’s mobile segment has faced significant revenue declines, with a 5.0% quarter-over-quarter and 16.1% year-over-year drop, primarily due to weaker service provider demand. Additionally, NETGEAR's potential for future revenue growth is hindered by its inability to adapt to evolving market conditions, compounded by risks associated with acquisitions, such as higher integration costs and the potential for customer and employee turnover.
This aggregate rating is based on analysts' research of NETGEAR and is not a guaranteed prediction by Public.com or investment advice.
NETGEAR (NTGR) Analyst Forecast & Price Prediction
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