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NetScout Systems

DB:NSZ
Snowflake Description

Fair value with moderate growth potential.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
NSZ
DB
$2B
Market Cap
  1. Home
  2. DE
  3. Tech
Company description

NetScout Systems, Inc. provides real-time operational intelligence and performance analytics for digital business services against disruptions in availability, performance, and security in the United States, Europe, Asia, and internationally. The last earnings update was 77 days ago. More info.


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NSZ Share Price and Events
7 Day Returns
2.7%
DB:NSZ
-11.1%
DE Communications
0.8%
DE Market
1 Year Returns
17.9%
DB:NSZ
17.9%
DE Communications
-4.5%
DE Market
NSZ Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
NetScout Systems (NSZ) 2.7% 11.9% 16.7% 17.9% 34.4% -3.1%
DE Communications -11.1% -4% 14.2% 17.9% -0.9% 48.2%
DE Market 0.8% 6.9% 8.1% -4.5% 10.4% 13.9%
1 Year Return vs Industry and Market
  • NSZ outperformed the Market in Germany which returned -4.5% over the past year.
Price Volatility
NSZ
Industry
5yr Volatility vs Market

Value

 Is NetScout Systems undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of NetScout Systems to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for NetScout Systems.

DB:NSZ Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 5 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 7.4%
Perpetual Growth Rate 10-Year DE Government Bond Rate 0.2%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for DB:NSZ
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year DE Govt Bond Rate 0.2%
Equity Risk Premium S&P Global 6%
Communications Unlevered Beta Simply Wall St/ S&P Global 1.09
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.09 (1 + (1- 21%) (25.84%))
1.21
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.21
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 0.23% + (1.21 * 5.96%)
7.44%

Discounted Cash Flow Calculation for DB:NSZ using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for NetScout Systems is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

DB:NSZ DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 7.44%)
2019 120.80 Analyst x3 112.44
2020 176.90 Analyst x3 153.26
2021 199.53 Analyst x3 160.90
2022 276.90 Analyst x1 207.83
2023 326.25 Est @ 17.82% 227.91
2024 367.17 Est @ 12.54% 238.75
2025 399.67 Est @ 8.85% 241.88
2026 424.70 Est @ 6.26% 239.24
2027 443.61 Est @ 4.45% 232.59
2028 457.73 Est @ 3.19% 223.38
Present value of next 10 years cash flows $2,038.17
DB:NSZ DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $457.73 × (1 + 0.23%) ÷ (7.44% – 0.23%)
$6,363.47
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $6,363.47 ÷ (1 + 7.44%)10
$3,105.51
DB:NSZ Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $2,038.17 + $3,105.51
$5,143.67
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $5,143.67 / 77.83
$66.09
DB:NSZ Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in DB:NSZ represents 0.91203x of NasdaqGS:NTCT
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.91203x
Value per Share
(Listing Adjusted, EUR)
= Value per Share (USD) x Listing Adjustment Factor
= $ 66.09 x 0.91203
€60.27
Value per share (EUR) From above. €60.27
Current discount Discount to share price of €26.70
= -1 x (€26.70 - €60.27) / €60.27
55.7%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price NetScout Systems is available for.
Intrinsic value
>50%
Share price is €26.7 vs Future cash flow value of €60.27
Current Discount Checks
For NetScout Systems to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • NetScout Systems's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • NetScout Systems's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for NetScout Systems's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are NetScout Systems's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
DB:NSZ PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in USD $-0.95
NasdaqGS:NTCT Share Price ** NasdaqGS (2019-04-25) in USD $29.27
Germany Communications Industry PE Ratio Median Figure of 5 Publicly-Listed Communications Companies 27.71x
Germany Market PE Ratio Median Figure of 424 Publicly-Listed Companies 20.1x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of NetScout Systems.

DB:NSZ PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NasdaqGS:NTCT Share Price ÷ EPS (both in USD)

= 29.27 ÷ -0.95

-30.88x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • NetScout Systems is loss making, we can't compare its value to the DE Communications industry average.
  • NetScout Systems is loss making, we can't compare the value of its earnings to the Germany market.
Price based on expected Growth
Does NetScout Systems's expected growth come at a high price?
Raw Data
DB:NSZ PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section -30.88x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 5 Analysts
86.6%per year
Europe Communications Industry PEG Ratio Median Figure of 13 Publicly-Listed Communications Companies 1.36x
Germany Market PEG Ratio Median Figure of 268 Publicly-Listed Companies 1.57x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for NetScout Systems, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on NetScout Systems's assets?
Raw Data
DB:NSZ PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in USD $26.26
NasdaqGS:NTCT Share Price * NasdaqGS (2019-04-25) in USD $29.27
Germany Communications Industry PB Ratio Median Figure of 7 Publicly-Listed Communications Companies 1.53x
Germany Market PB Ratio Median Figure of 574 Publicly-Listed Companies 1.87x
DB:NSZ PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NasdaqGS:NTCT Share Price ÷ Book Value per Share (both in USD)

= 29.27 ÷ 26.26

1.11x

* Primary Listing of NetScout Systems.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • NetScout Systems is good value based on assets compared to the DE Communications industry average.
X
Value checks
We assess NetScout Systems's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Communications industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Communications industry average (and greater than 0)? (1 check)
  5. NetScout Systems has a total score of 3/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is NetScout Systems expected to perform in the next 1 to 3 years based on estimates from 5 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
86.6%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is NetScout Systems expected to grow at an attractive rate?
  • NetScout Systems's earnings growth is expected to exceed the low risk savings rate of 0.2%.
Growth vs Market Checks
  • NetScout Systems's earnings growth is expected to exceed the Germany market average.
  • NetScout Systems's revenue growth is positive but not above the Germany market average.
Annual Growth Rates Comparison
Raw Data
DB:NSZ Future Growth Rates Data Sources
Data Point Source Value (per year)
DB:NSZ Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 5 Analysts 86.6%
DB:NSZ Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 5 Analysts 2%
Germany Communications Industry Earnings Growth Rate Market Cap Weighted Average 20.1%
Europe Communications Industry Revenue Growth Rate Market Cap Weighted Average 2.5%
Germany Market Earnings Growth Rate Market Cap Weighted Average 11.8%
Germany Market Revenue Growth Rate Market Cap Weighted Average 4.8%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
DB:NSZ Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 5 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
DB:NSZ Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2022-03-31 970 284 74 1
2021-03-31 947 227 47 3
2020-03-31 923 202 13 5
2019-03-31 911 140 -77 3
DB:NSZ Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2018-12-31 910 143 -76
2018-09-30 933 183 18
2018-06-30 966 195 42
2018-03-31 987 222 80
2017-12-31 1,070 245 85
2017-09-30 1,104 247 17
2017-06-30 1,119 242 18
2017-03-31 1,162 227 33
2016-12-31 1,129 170 7
2016-09-30 1,135 141 -38
2016-06-30 1,124 124 -45
2016-03-31 955 97 -28

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • NetScout Systems's earnings are expected to grow significantly at over 20% yearly.
  • NetScout Systems's revenue is expected to grow by 2% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
DB:NSZ Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 5 Analyst Estimates (S&P Global) See Below

All data from NetScout Systems Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:NSZ Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2022-03-31
2021-03-31 0.76 0.76 0.76 1.00
2020-03-31 0.29 0.57 0.00 2.00
2019-03-31 -0.94 -0.93 -0.94 2.00
DB:NSZ Past Financials Data
Date (Data in USD Millions) EPS *
2018-12-31 -0.95
2018-09-30 0.21
2018-06-30 0.49
2018-03-31 0.91
2017-12-31 0.95
2017-09-30 0.19
2017-06-30 0.20
2017-03-31 0.36
2016-12-31 0.08
2016-09-30 -0.40
2016-06-30 -0.47
2016-03-31 -0.35

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if NetScout Systems will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess NetScout Systems's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Germany market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Europe market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
NetScout Systems has a total score of 3/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has NetScout Systems performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare NetScout Systems's growth in the last year to its industry (Communications).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • NetScout Systems does not make a profit and their year on year earnings growth rate was negative over the past 5 years.
  • Unable to compare NetScout Systems's 1-year earnings growth to the 5-year average as it is not currently profitable.
  • Unable to compare NetScout Systems's 1-year growth to the Europe Communications industry average as it is not currently profitable.
Earnings and Revenue History
NetScout Systems's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from NetScout Systems Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:NSZ Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 910.14 -75.72 398.07 214.41
2018-09-30 933.08 17.57 401.56 208.80
2018-06-30 966.14 41.53 410.97 211.38
2018-03-31 986.79 79.81 422.02 214.92
2017-12-31 1,070.48 85.31 436.86 214.63
2017-09-30 1,103.73 16.87 448.31 228.43
2017-06-30 1,118.92 18.07 449.78 230.96
2017-03-31 1,162.11 33.29 447.07 232.55
2016-12-31 1,129.08 7.37 452.44 239.07
2016-09-30 1,134.57 -38.39 463.15 246.12
2016-06-30 1,123.63 -45.04 475.37 250.97
2016-03-31 955.42 -28.37 411.05 208.63
2015-12-31 788.92 -3.90 337.34 167.26
2015-09-30 604.07 38.24 264.58 121.00
2015-06-30 446.56 57.39 185.91 74.34
2015-03-31 453.67 61.19 183.74 75.24
2014-12-31 446.60 57.01 182.94 70.38
2014-09-30 434.20 56.68 173.51 69.86
2014-06-30 422.69 55.33 170.51 67.26
2014-03-31 396.65 49.11 160.23 70.45
2013-12-31 382.41 46.98 159.61 62.17
2013-09-30 363.55 40.83 158.81 59.17
2013-06-30 355.99 40.85 152.91 57.73
2013-03-31 350.55 40.61 150.61 55.85
2012-12-31 341.94 39.00 150.50 52.00
2012-09-30 333.67 37.90 145.11 50.24
2012-06-30 321.74 35.04 146.11 46.20

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • It is difficult to establish if NetScout Systems has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.
  • It is difficult to establish if NetScout Systems has efficiently used its assets last year compared to the DE Communications industry average (Return on Assets) as it is loss-making.
  • It is difficult to establish if NetScout Systems improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
X
Past performance checks
We assess NetScout Systems's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Communications industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
NetScout Systems has a total score of 0/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is NetScout Systems's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up NetScout Systems's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • NetScout Systems is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • NetScout Systems's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of NetScout Systems's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 1.3x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from NetScout Systems Company Filings, last reported 3 months ago.

DB:NSZ Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 2,043.48 600.00 474.81
2018-09-30 2,036.60 600.00 452.12
2018-06-30 2,045.20 600.00 459.05
2018-03-31 2,068.78 600.00 447.76
2017-12-31 2,331.35 300.00 379.81
2017-09-30 2,232.36 300.00 307.09
2017-06-30 2,317.52 300.00 400.46
2017-03-31 2,436.25 300.00 442.77
2016-12-31 2,397.89 300.00 359.70
2016-09-30 2,373.95 300.00 294.72
2016-06-30 2,391.65 300.00 319.61
2016-03-31 2,443.38 300.00 338.71
2015-12-31 2,529.30 250.00 358.27
2015-09-30 2,573.62 250.00 318.68
2015-06-30 446.39 0.00 207.21
2015-03-31 435.75 0.00 206.29
2014-12-31 432.12 0.00 194.67
2014-09-30 412.62 0.00 169.77
2014-06-30 412.63 0.00 177.86
2014-03-31 409.16 0.00 177.31
2013-12-31 395.60 0.00 144.99
2013-09-30 382.79 0.00 137.01
2013-06-30 373.45 0.00 149.06
2013-03-31 371.90 0.00 137.27
2012-12-31 360.34 0.00 126.16
2012-09-30 352.32 62.00 229.99
2012-06-30 341.98 62.00 209.54
  • NetScout Systems's level of debt (29.4%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (0% vs 29.4% today).
  • Debt is well covered by operating cash flow (23.8%, greater than 20% of total debt).
  • Unable to confirm if the interest payments on NetScout Systems's debt are well covered by earnings due to lack of past financial data.
X
Financial health checks
We assess NetScout Systems's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. NetScout Systems has a total score of 3/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is NetScout Systems's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from NetScout Systems dividends.
If you bought €2,000 of NetScout Systems shares you are expected to receive €0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate NetScout Systems's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate NetScout Systems's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
DB:NSZ Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 5 Analyst Estimates (S&P Global) See Below
Europe Communications Industry Average Dividend Yield Market Cap Weighted Average of 10 Stocks 2.5%
Germany Market Average Dividend Yield Market Cap Weighted Average of 326 Stocks 3%
Germany Minimum Threshold Dividend Yield 10th Percentile 0.8%
Germany Bottom 25% Dividend Yield 25th Percentile 1.4%
Germany Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

DB:NSZ Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2022-03-31
2021-03-31
2020-03-31
2019-03-31

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as NetScout Systems has not reported any payouts.
  • Unable to verify if NetScout Systems's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of NetScout Systems's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as NetScout Systems has not reported any payouts.
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess NetScout Systems's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can NetScout Systems afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. NetScout Systems has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of NetScout Systems's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Anil Singhal
COMPENSATION $2,612,997
AGE 64
TENURE AS CEO 34.8 years
CEO Bio

Mr. Anil K. Singhal co-founded NetScout Systems Inc. in 1984 and has been its Chief Executive Officer and Director since June 1984. Mr. Singhal has been Chairman of the Board and President at NetScout Systems, Inc., January 2007. He provides strategic leadership and vision as well as setting operational priorities for NetScout's management team. Mr. Singhal’s vision of “traffic-based instrumentation” has guided NetScout’s product direction and focus for the past three decades, helping to shape the evolution for the industry in the process. He is credited with numerous innovations in the field of network traffic monitoring and analysis that have helped NetScout gain numerous industry accolades. During the past decade, Mr. Singhal has also been an instrumental part of a number of strategic acquisitions that have fortified and enhanced NetScout’s technology, customer base and go-to-market capabilities He served as the Treasurer of NetScout Systems Inc. since January 2001. Mr. Singhal has earned notable recognition for his entrepreneurial success, including the TiE (The Indus Entrepreneur) Boston Lifetime Achievement in 2013, Enterprise Bank’s 2013 George L. Duncan Award of Excellence and Ernst & Young’s New England Entrepreneur of the Year in 1997. He founded NextPoint Networks, Inc. (acquired by NetScout Systems Inc.) and served as its Chief Executive Officer. He served as the President of Netscout Systems Inc. until July 1993. He served as Chief Executive Officer and Treasurer of Netscout Systems Inc. from July 1993 to December 2000. He served as the Senior Architect and Project Manager of Wang Laboratories from 1979 to June 1984. Mr. Singhal served as the Chairman of Netscout Systems Inc. from July 1993 to December 2000. He served as the Chairman of the Board of NextPoint Networks, Inc. He has been a Director of NetScout Systems since January 2001. He served as a Director of Netscout Systems Inc. and NextPoint Networks, Inc. He holds BSEE from BITS, Pilani and MS in Computer Science from University of Illinois, Urbana-Champaign.

CEO Compensation
  • Anil's compensation has increased whilst company is loss making.
  • Anil's remuneration is higher than average for companies of similar size in Germany.
Management Team Tenure

Average tenure and age of the NetScout Systems management team in years:

9.7
Average Tenure
60
Average Age
  • The average tenure for the NetScout Systems management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Anil Singhal

TITLE
Co-Founder
COMPENSATION
$3M
AGE
64
TENURE
34.8 yrs

Michael Szabados

TITLE
Vice Chairman & COO
COMPENSATION
$2M
AGE
66
TENURE
12 yrs

Jean Bua

TITLE
Executive VP
COMPENSATION
$1M
AGE
59
TENURE
7.4 yrs

John Downing

TITLE
Executive Vice President of Worldwide Sales Operations
COMPENSATION
$1M
AGE
60
TENURE
12.3 yrs

Bruce Kelley

TITLE
CTO, Senior VP & Service Provider
AGE
55
TENURE
18.3 yrs

Thor Wallace

TITLE
Chief Information Officer & Senior VP
TENURE
2.3 yrs

Andy Kramer

TITLE
Vice President of Investor Relations
TENURE
4.8 yrs

Jeff Levinson

TITLE
VP, General Counsel & Secretary
TENURE
13.4 yrs

Kevin Keough

TITLE
Senior Vice President of Corporate Development
TENURE
3.8 yrs

Chris Gaebler

TITLE
Chief Marketing Officer
TENURE
0.9 yrs
Board of Directors Tenure

Average tenure and age of the NetScout Systems board of directors in years:

2.8
Average Tenure
64
Average Age
  • The average tenure for the NetScout Systems board of directors is less than 3 years, this suggests a new board.
Board of Directors

Anil Singhal

TITLE
Co-Founder
COMPENSATION
$3M
AGE
64
TENURE
12.3 yrs

Michael Szabados

TITLE
Vice Chairman & COO
COMPENSATION
$2M
AGE
66
TENURE
0.2 yrs

Joe Hadzima

TITLE
Independent Director
COMPENSATION
$241K
AGE
66
TENURE
20.8 yrs

Jack Egan

TITLE
Lead Independent Director
COMPENSATION
$268K
AGE
60

Bob Donahue

TITLE
Independent Director
COMPENSATION
$231K
AGE
69
TENURE
6.1 yrs

Chris Perretta

TITLE
Independent Director
COMPENSATION
$216K
AGE
60
TENURE
4.6 yrs

Al Grasso

TITLE
Independent Director
AGE
59
TENURE
1 yrs

Sue Spradley

TITLE
Independent Director
AGE
57
TENURE
1 yrs

Vivian Vitale

TITLE
Independent Director
AGE
64
TENURE
0.2 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
11. Sep 18 Sell Vincent Mullarkey Individual 07. Sep 18 07. Sep 18 -26,466 €21.41 €-566,686
21. Aug 18 Sell Vincent Mullarkey Individual 20. Aug 18 20. Aug 18 -6,000 €22.24 €-133,416
21. May 18 Sell Jean Bua Individual 17. May 18 17. May 18 -5,000 €23.07 €-115,369
X
Management checks
We assess NetScout Systems's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. NetScout Systems has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Company Info

Description

NetScout Systems, Inc. provides real-time operational intelligence and performance analytics for digital business services against disruptions in availability, performance, and security in the United States, Europe, Asia, and internationally. The company offers nGeniusONE management software that enables customers to predict, preempt, and resolve network and service delivery problems, as well as facilitate the optimization and capacity planning of their network infrastructures; and specialized platforms and analytic modules that enable its customers to analyze and troubleshoot traffic in radio access and Wi-Fi networks. It also provides Intelligent Data Sources under the InfiniStream brand name that provide real-time collection and analysis of data from the network; packet flow systems that deliver targeted network traffic access to an increasing number of monitoring and security systems; and a suite of test access points that enable non-disruptive access to network traffic with multiple link type and speed options. In addition, the company offers portable network analysis and troubleshooting tools, which help customers identify key issues that impact network and application performance. Further, it provides security solutions that enable service providers and enterprises to protect their networks against distributed denial of service attacks; and threat detection solutions that enable enterprises to identify and investigate advanced threat campaigns that present tangible risks to the integrity of their networks. The company serves enterprise customers in industries, such as financial services, technology, manufacturing, healthcare, utilities, education, transportation, and retail; mobile operators, wireline operators, cable operators, and cloud providers; and governmental agencies through a direct sales force, and indirect reseller and distribution channels. NetScout Systems, Inc. was founded in 1984 and is headquartered in Westford, Massachusetts.

Details
Name: NetScout Systems, Inc.
NSZ
Exchange: DB
Founded: 1984
$2,084,442,170
77,831,786
Website: http://www.netscout.com
Address: NetScout Systems, Inc.
310 Littleton Road,
Westford,
Massachusetts, 01886,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NasdaqGS NTCT Common Stock Nasdaq Global Select US USD 12. Aug 1999
DB NSZ Common Stock Deutsche Boerse AG DE EUR 12. Aug 1999
Number of employees
Current staff
Staff numbers
2,941
NetScout Systems employees.
Industry
Communications Equipment
Tech
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/04/25 21:43
End of day share price update: 2019/04/25 00:00
Last estimates confirmation: 2019/04/10
Last earnings filing: 2019/02/07
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/03/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.