Netscout Stock Buy Hold or Sell Recommendation

NTCT
 Stock
  

USD 31.62  0.33  1.03%   

Given the investment horizon of 90 days and your above-average risk tolerance, our recommendation regarding Netscout Systems is 'Strong Hold'. Macroaxis provides Netscout Systems buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding NTCT positions. The advice algorithm takes into account all of Netscout Systems' available fundamental, technical, and predictive indicators you will find on this site.
  
The advice is provided from Netscout Systems' buy-and-hold perspective. Additionally, see Netscout Systems Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. We conduct extensive research on individual companies such as Netscout and provide practical buy, sell, or hold advice based on selected investing horizon and risk tolerance towards Netscout Systems.

Execute Netscout Systems Buy or Sell Advice

The Netscout recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Netscout Systems. Macroaxis does not own or have any residual interests in Netscout Systems or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Netscout Systems' advice using the current market data and latest reported fundamentals.

Time Horizon

Risk Tolerance

Execute Advice
Sell Netscout SystemsBuy Netscout Systems
Strong Hold

Volatility

Details

Hype Condition

Details

Current Valuation

Details

Odds of Distress

Details

Economic Sensitivity

Details

Analyst Consensus

Details

Reporting Quality (M-Score)

Details
For the selected time horizon Netscout Systems has a Risk Adjusted Performance of (0.048145), Jensen Alpha of (0.05), Total Risk Alpha of (0.016094) and Treynor Ratio of (0.11)
Our trade recommendations module can be used to complement Netscout Systems advice provided by average analyst sentiment. It analyzes the firm's potential to grow using fundamental, technical, data market data available at the time. To make sure Netscout Systems is not overpriced, please verify all Netscout Systems fundamentals, including its gross profit, short ratio, current liabilities, as well as the relationship between the total debt and market capitalization . Given that Netscout Systems has a number of shares shorted of 3.2 M, we recommend you to check Netscout Systems market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your last-minute risk tolerance and investing horizon.

Netscout Systems Trading Alerts and Improvement Suggestions

Netscout Systems generated a negative expected return over the last 90 days
Netscout Systems is unlikely to experience financial distress in the next 2 years
Over 100.0% of the company shares are owned by institutional investors
Latest headline from www.benzinga.com: Short Volatility Alert NetScout Systems, Inc. - NetScout Systems - Benzinga

Netscout Systems current analysts advice

We track the performance of the top 100 financial experts across various large and mid-size financial boutiques. Netscout analyst recommendations are determined by taking all analyst recommendations and averaging them as Strong Buy, Buy, Hold, Strong Sell or Sell. There is no one specific way to measure analysis performance other than comparing it to the past results via a very sophisticated attribution analysis. Netscout analyst consensus and target price projections should be used in combination with other traditional techniques such as stock price forecasting, technical analysis, earnings estimate, and various momentum models.
Target Mean Price35.83
Target Median Price36.15
Target High Price38.00
Recommendation Mean3.20
Number Of Analyst Opinions4
Target Low Price33.00
Average Consensus Hold
The consensus estimates and target price estimation comprises individual analyst assessments, and may or may not mutch the Macroaxis buy or sell advice. It is determined by taking an average of all analyst recommendations and classifying them as Strong Buy, Buy, Hold, or Sell.

Netscout Systems Returns Distribution Density

The distribution of Netscout Systems' historical returns is an attempt to chart the uncertainty of Netscout Systems' future price movements. The chart of the probability distribution of Netscout Systems stock daily returns describes the distribution of returns around its average expected value. We use Netscout Systems price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Netscout Systems returns is essential to provide solid investment advice for Netscout Systems.
Mean Return-0.09Value At Risk-2.74
Potential Upside1.91Standard Deviation1.92
   Return Density   
       Distribution  
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Netscout Systems historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

Netscout Stock Institutional Investors

Have you ever been surprised when a price of an equity instrument such as Netscout Systems is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Netscout Systems backward and forwards among themselves. Netscout Systems' institutional investor refers to the entity that pools money to purchase Netscout Systems' securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
Security TypeSharesValue
Blackrock IncCommon Shares12.5 M423.8 M
Vanguard Group IncCommon SharesM271.5 M
Franklin Resources IncCommon Shares5.7 M192.9 M
Neuberger Berman Group LlcCommon Shares5.5 M186.3 M
Dimensional Fund Advisors LpCommon Shares5.3 M178.7 M
Legal General Group PlcCommon Shares4.2 M142.5 M
State Street CorpCommon Shares2.8 M95.9 M
Note, although Netscout Systems' institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

Netscout Systems Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Netscout Systems or Technology sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Netscout Systems' price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Netscout stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over DOW
-0.05
β
Beta against DOW0.92
σ
Overall volatility
1.91
Ir
Information ratio -0.03

Netscout Systems Volatility Alert

Netscout Systems exhibits very low volatility with skewness of 1.83 and kurtosis of 8.04. However, we advise investors to further study Netscout Systems technical indicators to ensure that all market info is available and is reliable. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Netscout Systems' stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Netscout Systems' stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.

Netscout Systems Fundamentals Vs Peers

Comparing Netscout Systems' fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Netscout Systems' direct or indirect competition across all of the common fundamentals between Netscout Systems and the related equities. This way, we can detect undervalued stocks with similar characteristics as Netscout Systems or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Netscout Systems' fundamental indicators could also be used in its relative valuation, which is a method of valuing Netscout Systems by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare Netscout Systems to competition
FundamentalsNetscout SystemsPeer Average
Return On Equity1.76 %(0.31) %
Return On Asset0.99 %(0.14) %
Profit Margin4.19 %(1.27) %
Operating Margin5.81 %(5.51) %
Current Valuation2.35 B16.62 B
Shares Outstanding73.87 M571.82 M
Shares Owned by Insiders4.03 %10.09 %
Shares Owned by Institutions99.80 %39.21 %
Number of Shares Shorted3.2 M4.71 M
Price to Earning159.06 X28.72 X
Price to Book1.20 X9.51 X
Price to Sales2.79 X11.42 X
Revenue855.57 M9.43 B
Gross Profit641.39 M27.38 B
EBITDA145.48 M3.9 B
Net Income35.87 M570.98 M
Cash and Equivalents703.2 M2.7 B
Cash per Share9.49 X5.01 X
Total Debt415.34 M5.32 B
Debt to Equity0.20 %48.70 %
Current Ratio1.94 X2.16 X
Book Value Per Share26.94 X1.93 K
Cash Flow from Operations296.01 M971.22 M
Short Ratio4.93 X4.00 X
Earnings Per Share0.20 X3.12 X
Price to Earnings To Growth9.38 X4.89 X
Number of Employees2.31 K18.84 K
Beta0.6-0.15
Market Capitalization2.39 B19.03 B
Total Asset137.3 M29.47 B
Retained Earnings337.24 M9.33 B
Working Capital60.39 M1.48 B
Current Asset84.98 M9.34 B
   Acquisition by Alfred Grasso of 7000 shares of Netscout Systems subject to Rule 16b-3 [view details]

Netscout Systems Market Momentum

Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Netscout . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.

About Netscout Systems Buy or Sell Advice

When is the right time to buy or sell Netscout Systems? Buying financial instruments such as Netscout Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.

Use Investing Ideas to Build Portfolios

In addition to having Netscout Systems in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

Did You Try This Idea?

Run Sport Products Thematic Idea Now

Sport Products
Sport Products Theme
Companies manufacturing sporting goods and accessories. The Sport Products theme has 40 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Sport Products Theme or any other thematic opportunities.
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Additionally, see Netscout Systems Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. Note that the Netscout Systems information on this page should be used as a complementary analysis to other Netscout Systems' statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Portfolio Manager module to state of the art Portfolio Manager to monitor and improve performance of your invested capital.

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Is Netscout Systems' industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Netscout Systems. If investors know Netscout will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Netscout Systems listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of Netscout Systems is measured differently than its book value, which is the value of Netscout that is recorded on the company's balance sheet. Investors also form their own opinion of Netscout Systems' value that differs from its market value or its book value, called intrinsic value, which is Netscout Systems' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Netscout Systems' market value can be influenced by many factors that don't directly affect Netscout Systems' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Netscout Systems' value and its price as these two are different measures arrived at by different means. Investors typically determine Netscout Systems value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Netscout Systems' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.