NETGEAR (NASDAQ:NTGR) Upgraded by Wall Street Zen to Hold Rating

Key Points

• Wall Street Zen upgraded NETGEAR from a "sell" to a "hold"; the stock's consensus rating is now "Hold" with a consensus price target of $36 (analyst mix: 2 Buys, 1 Hold, 1 Sell).
• NETGEAR beat Q results with EPS of $0.26 (vs. $0.05 expected) and revenue of $182.47M but still has a negative net margin and ROE and is forecast to post -1.84 EPS for the year; shares trade around $21.57 with a market cap of $606M and a 52‑week range of $18.75–$36.86.
• An insider sold 3,000 shares in early February (insiders own 2.30%), while institutional investors hold about 82.97% of the company's stock.

NETGEAR (NASDAQ:NTGR - Get Free Report) was upgraded by equities researchers at Wall Street Zen from a "sell" rating to a "hold" rating in a report released on Saturday.

Other research analysts also recently issued research reports about the stock. Weiss Ratings reaffirmed a "sell (d)" rating on shares of NETGEAR in a research report on Monday, December 29th. Stifel Nicolaus set a $36.00 price target on shares of NETGEAR in a research report on Thursday, February 5th. Finally, Zacks Research upgraded shares of NETGEAR from a "strong sell" rating to a "hold" rating in a research note on Tuesday, March 10th. Two investment analysts have rated the stock with a Buy rating, one has given a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of "Hold" and a consensus price target of $36.00.

NETGEAR Stock Performance

NASDAQ NTGR opened at $21.57 on Friday. The stock has a market capitalization of $606.33 million, a price-to-earnings ratio of -34.79 and a beta of 1.16. The stock's 50 day moving average price is $21.19 and its two-hundred day moving average price is $25.70. NETGEAR has a 52 week low of $18.75 and a 52 week high of $36.86.

NETGEAR (NASDAQ:NTGR - Get Free Report) last issued its quarterly earnings results on Wednesday, February 4th. The communications equipment provider reported $0.26 earnings per share for the quarter, topping the consensus estimate of $0.05 by $0.21. NETGEAR had a negative net margin of 2.56% and a negative return on equity of 2.40%. The company had revenue of $182.47 million during the quarter, compared to analysts' expectations of $177.26 million. During the same period last year, the business earned ($0.06) EPS. The business's quarterly revenue was up .0% on a year-over-year basis. On average, equities research analysts forecast that NETGEAR will post -1.84 EPS for the current year.

Insider Buying and Selling at NETGEAR

In related news, insider Pramod Badjate sold 3,000 shares of the firm's stock in a transaction on Monday, February 2nd. The shares were sold at an average price of $20.97, for a total value of $62,910.00. Following the completion of the transaction, the insider directly owned 144,586 shares of the company's stock, valued at approximately $3,031,968.42. This trade represents a 2.03% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Corporate insiders own 2.30% of the company's stock.

Institutional Trading of NETGEAR

A number of large investors have recently added to or reduced their stakes in the company. Johnson Financial Group Inc. bought a new position in shares of NETGEAR in the 4th quarter valued at about $25,000. Comerica Bank lifted its stake in NETGEAR by 64.8% in the 3rd quarter. Comerica Bank now owns 1,091 shares of the communications equipment provider's stock valued at $35,000 after purchasing an additional 429 shares during the last quarter. IFP Advisors Inc lifted its stake in NETGEAR by 161.7% in the 4th quarter. IFP Advisors Inc now owns 2,243 shares of the communications equipment provider's stock valued at $55,000 after purchasing an additional 1,386 shares during the last quarter. Rexford Capital Inc. bought a new position in NETGEAR during the second quarter worth about $58,000. Finally, Jones Financial Companies Lllp grew its holdings in NETGEAR by 44.7% during the third quarter. Jones Financial Companies Lllp now owns 2,323 shares of the communications equipment provider's stock worth $75,000 after purchasing an additional 718 shares during the period. Institutional investors and hedge funds own 82.97% of the company's stock.

NETGEAR Company Profile

NETGEAR, Inc NASDAQ: NTGR is a global provider of networking solutions for consumer, business and service provider markets. The company designs, develops and markets a comprehensive portfolio of products that enable high-speed connectivity, data storage and network security for homes, small to medium-sized businesses and large enterprises.

Its product lineup includes Wi-Fi routers, mesh networking systems, cable modems, mobile broadband gateways and Ethernet switches—offered in both managed and unmanaged configurations.

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