NETGEAR, Inc. (NTGR) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

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NETGEAR, Inc.

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Why is NETGEAR, Inc. ?

With a growth in Net Sales of 4.16%, the company declared Very Positive results in Dec 25

The company has declared positive results for the last 3 consecutive quarters
RAW MATERIAL COST(Y) Fallen by -24.43% (YoY)
OPERATING PROFIT(Q) Highest at USD -0.94 MM
OPERATING PROFIT MARGIN(Q) Highest at -0.52 %

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -0.93%, its profits have risen by 87.8%

High Institutional Holdings at 100%

These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
Their stake has increased by 0.83% over the previous quarter.

Underperformed the market in the last 1 year

Even though the market (S&P 500) has generated returns of 13.68% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -0.93% returns

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to NETGEAR, Inc. should be less than 10%
Overall Portfolio exposure to Computers - Software & Consulting should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Computers - Software & Consulting)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is NETGEAR, Inc. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

NETGEAR, Inc.

-9.32%

1.43

50.11%

S&P 500

13.68%

0.71

19.28%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-11.02%

EBIT Growth (5y)

-180.19%

EBIT to Interest (avg)

-0.21

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.71

Sales to Capital Employed (avg)

1.34

Tax Ratio

36.05%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

6.99%

ROE (avg)

2.53%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

1.23

EV to EBIT

-12.07

EV to EBITDA

-17.78

EV to Capital Employed

1.63

EV to Sales

0.43

PEG Ratio

Dividend Yield

ROCE (Latest)

-13.49%

ROE (Latest)

-1.50%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Mildly Bearish

RSI

Bearish

No Signal

Bollinger Bands

Bullish

Mildly Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

No Trend

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

13What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -24.43% (YoY

OPERATING PROFIT(Q)

Highest at USD -0.94 MM

OPERATING PROFIT MARGIN(Q)

Highest at -0.52 %

PRE-TAX PROFIT(Q)

At USD -1.75 MM has Grown at 51.75%

NET PROFIT(Q)

Highest at USD 0.11 MM

EPS(Q)

Highest at USD -0.02

-2What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at USD 1.61 MM

Here's what is working for NETGEAR, Inc.

Net Profit

At USD 0.11 MM has Grown at 102.83%

over average net sales of the previous four periods of USD -3.74 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (USD MM)

Operating Profit

Highest at USD -0.94 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (USD MM)

Operating Profit Margin

Highest at -0.52 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

At USD -1.75 MM has Grown at 51.75%

over average net sales of the previous four periods of USD -3.63 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (USD MM)

Net Profit

Highest at USD 0.11 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

EPS

Highest at USD -0.02

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (USD)

Raw Material Cost

Fallen by -24.43% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Depreciation

Highest at USD 2.89 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (USD MM)

Depreciation

At USD 2.89 MM has Grown at 58.8%

period on period (QoQ)

MOJO Watch

The expenditure on assets done by the company has gone into productive use which should positively reflect in the future sales

Depreciation (USD MM)

Here's what is not working for NETGEAR, Inc.

Operating Cash Flow

Lowest at USD 1.61 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)