NETGEAR (NASDAQ:NTGR) Rating Increased to Strong-Buy at Zacks Research

Key Points

• NETGEAR's stock rating has been upgraded from "hold" to "strong-buy" by Zacks Research, suggesting confidence in the company's future performance.
• Analysts at Stifel Nicolaus and UBS Group have each set a $35.00 price target for NETGEAR shares, indicating potential for growth.
• NETGEAR reported a quarterly earnings surprise, with earnings per share of $0.06 beating estimates, and revenues of $170.53 million showing an 18.5% increase year-over-year.

NETGEAR (NASDAQ:NTGR - Get Free Report) was upgraded by equities researchers at Zacks Research from a "hold" rating to a "strong-buy" rating in a research report issued on Wednesday,Zacks.com reports.

A number of other equities analysts also recently issued reports on the stock. Stifel Nicolaus began coverage on shares of NETGEAR in a report on Friday, August 22nd. They issued a "buy" rating and a $35.00 price target for the company. UBS Group set a $35.00 price target on shares of NETGEAR in a report on Thursday, August 21st. Wall Street Zen downgraded shares of NETGEAR from a "buy" rating to a "hold" rating in a report on Saturday, August 2nd. Seaport Res Ptn upgraded shares of NETGEAR to a "strong-buy" rating in a report on Wednesday, October 1st. Finally, Weiss Ratings reiterated a "hold (c)" rating on shares of NETGEAR in a report on Wednesday. Two equities research analysts have rated the stock with a Strong Buy rating, two have issued a Buy rating and one has assigned a Hold rating to the company. Based on data from MarketBeat, NETGEAR presently has a consensus rating of "Buy" and an average price target of $33.00.

NETGEAR Stock Performance

Shares of NETGEAR stock opened at $36.01 on Wednesday. The company has a market cap of $1.04 billion, a P/E ratio of 16.67 and a beta of 1.09. NETGEAR has a one year low of $18.75 and a one year high of $36.86. The firm has a fifty day moving average of $27.97 and a two-hundred day moving average of $27.23.

NETGEAR (NASDAQ:NTGR - Get Free Report) last announced its quarterly earnings results on Wednesday, July 30th. The communications equipment provider reported $0.06 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of ($0.16) by $0.22. The business had revenue of $170.53 million during the quarter, compared to the consensus estimate of $162.06 million. NETGEAR had a net margin of 9.13% and a negative return on equity of 3.24%. The business's revenue was up 18.5% compared to the same quarter last year. During the same quarter last year, the firm posted ($0.74) EPS. NETGEAR has set its Q3 2025 guidance at EPS. As a group, equities analysts predict that NETGEAR will post -1.84 earnings per share for the current year.

Insider Buying and Selling

In related news, Director Shravan Goli sold 2,047 shares of the stock in a transaction dated Monday, September 29th. The shares were sold at an average price of $29.95, for a total value of $61,307.65. Following the sale, the director directly owned 29,238 shares of the company's stock, valued at approximately $875,678.10. This represents a 6.54% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Insiders own 2.30% of the company's stock.

Institutional Investors Weigh In On NETGEAR

Hedge funds have recently modified their holdings of the company. FNY Investment Advisers LLC acquired a new stake in shares of NETGEAR during the 2nd quarter worth about $58,000. Rexford Capital Inc. acquired a new stake in shares of NETGEAR during the 2nd quarter worth about $58,000. CWM LLC boosted its stake in shares of NETGEAR by 35.4% during the 1st quarter. CWM LLC now owns 2,916 shares of the communications equipment provider's stock worth $71,000 after purchasing an additional 763 shares during the last quarter. Headlands Technologies LLC boosted its stake in shares of NETGEAR by 19.6% during the 1st quarter. Headlands Technologies LLC now owns 3,010 shares of the communications equipment provider's stock worth $74,000 after purchasing an additional 494 shares during the last quarter. Finally, Tower Research Capital LLC TRC boosted its stake in shares of NETGEAR by 35.2% during the 2nd quarter. Tower Research Capital LLC TRC now owns 3,475 shares of the communications equipment provider's stock worth $101,000 after purchasing an additional 904 shares during the last quarter. 82.97% of the stock is owned by institutional investors and hedge funds.

NETGEAR Company Profile

NETGEAR, Inc provides connectivity solutions the Americas; Europe, the Middle East, Africa; and the Asia Pacific. The company operates in two segments, Connected Home, and NETGEAR for Business. The Connected Home segment offers Wi-Fi routers and home Wi-Fi mesh systems, Wi-Fi hotspots, digital displays, broadband modems, Wi-Fi gateways, Wi-Fi range extenders, powerline adapters, and Wi-Fi network adapters; and provides value-added service offerings, including security and privacy, technical support, and parental controls.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.