NetScout Systems
Market Cap
US$1.8b
Last Updated
2019/12/10 23:39 UTC
Data Sources
Company Financials +
Executive Summary
NetScout Systems, Inc. provides service assurance, security, and business analytics for digital business services against disruptions in availability, performance, and security.
Rewards
Risk Analysis
No risks detected for NTCT from our risk checks.
Snowflake Analysis
Fair value with moderate growth potential.
Similar Companies
Share Price & News
How has NetScout Systems's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: NTCT has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
-0.6%
NTCT
-0.9%
US Communications
1.1%
US Market
1 Year Return
-11.4%
NTCT
-6.3%
US Communications
17.8%
US Market
Return vs Industry: NTCT underperformed the US Communications industry which returned -6.3% over the past year.
Return vs Market: NTCT underperformed the US Market which returned 17.8% over the past year.
Shareholder returns
| NTCT | Industry | Market | |
|---|---|---|---|
| 7 Day | -0.6% | -0.9% | 1.1% |
| 30 Day | -5.5% | -7.9% | 1.4% |
| 90 Day | -2.4% | -10.8% | 3.9% |
| 1 Year | -11.4%-11.4% | -4.1%-6.3% | 20.3%17.8% |
| 3 Year | -27.6%-27.6% | 36.4%27.7% | 44.8%35.4% |
| 5 Year | -31.2%-31.2% | 65.2%46.6% | 71.3%52.4% |
Price Volatility Vs. Market
How volatile is NetScout Systems's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 day ago | Simply Wall St
One Thing To Remember About The NetScout Systems, Inc. (NASDAQ:NTCT) Share Price2 weeks ago | Simply Wall St
Is NetScout Systems (NASDAQ:NTCT) Using Too Much Debt?1 month ago | Simply Wall St
NetScout Systems, Inc. Just Released Its Second-Quarter And Analysts Have Been Updating Their EstimatesValuation
Is NetScout Systems undervalued compared to its fair value and its price relative to the market?
40.1%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: NTCT ($23.86) is trading below our estimate of fair value ($39.82)
Significantly Below Fair Value: NTCT is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: NTCT is unprofitable, so we can't compare its PE Ratio to the Communications industry average.
PE vs Market: NTCT is unprofitable, so we can't compare its PE Ratio to the US market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate NTCT's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: NTCT is good value based on its PB Ratio (0.9x) compared to the US Communications industry average (1.9x).
Next Steps
Future Growth
How is NetScout Systems forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?
105.2%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: NTCT is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.7%).
Earnings vs Market: NTCT is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: NTCT's is expected to become profitable in the next 3 years.
Revenue vs Market: NTCT's revenue (2.5% per year) is forecast to grow slower than the US market (7.4% per year).
High Growth Revenue: NTCT's revenue (2.5% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if NTCT's Return on Equity is forecast to be high in 3 years time
Next Steps
Past Performance
How has NetScout Systems performed over the past 5 years?
-32.7%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: NTCT is currently unprofitable.
Growing Profit Margin: NTCT is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: NTCT is unprofitable, and losses have increased over the past 5 years at a rate of -32.7% per year.
Accelerating Growth: Unable to compare NTCT's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: NTCT is unprofitable, making it difficult to compare its past year earnings growth to the Communications industry (17.3%).
Return on Equity
High ROE: NTCT has a negative Return on Equity (-1.61%), as it is currently unprofitable.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is NetScout Systems's financial position?
Financial Position Analysis
Short Term Liabilities: NTCT's short term assets ($573.0M) exceed its short term liabilities ($350.6M).
Long Term Liabilities: NTCT's short term assets ($573.0M) do not cover its long term liabilities ($778.6M).
Debt to Equity History and Analysis
Debt Level: NTCT's debt to equity ratio (23.2%) is considered satisfactory.
Reducing Debt: Insufficient data to determine if NTCT's debt to equity ratio has reduced over the past 5 years.
Debt Coverage: NTCT's debt is well covered by operating cash flow (36.8%).
Interest Coverage: NTCT is unprofitable, therefore interest payments are not well covered by earnings.
Balance Sheet
Inventory Level: NTCT has a low level of unsold assets or inventory.
Debt Coverage by Assets: NTCT's debt is covered by short term assets (assets are 1.3x debt).
Next Steps
Dividend
What is NetScout Systems's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: Unable to evaluate NTCT's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate NTCT's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if NTCT's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if NTCT's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of NTCT's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
What is the CEO of NetScout Systems's salary, the management and board of directors tenure and is there insider trading?
12.8yrs
Average management tenure
CEO
Anil Singhal (65yo)
35.5yrs
Tenure
US$2,745,534
Compensation
Mr. Anil K. Singhal co-founded NetScout Systems Inc. in 1984 and has been its Chief Executive Officer and Director since June 1984. Mr. Singhal has been Chairman of the Board and President at NetScout Syst ...
CEO Compensation Analysis
Compensation vs Market: Anil's total compensation ($USD2.75M) is about average for companies of similar size in the US market ($USD3.87M).
Compensation vs Earnings: Anil's compensation has increased whilst the company is unprofitable.
Management Age and Tenure
12.8yrs
Average Tenure
61yo
Average Age
Experienced Management: NTCT's management team is seasoned and experienced (12.8 years average tenure).
Board Age and Tenure
3.5yrs
Average Tenure
65yo
Average Age
Experienced Board: NTCT's board of directors are considered experienced (3.5 years average tenure).
Insider Trading
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Management Team
Anil Singhal (65yo)
Co-Founder
- Tenure: 35.5yrs
- Compensation: US$2.75m
Michael Szabados (67yo)
Vice Chairman & COO
- Tenure: 0.8yrs
- Compensation: US$1.62m
Thor Wallace
Chief Information Officer & Senior VP
- Tenure: 2.9yrs
John Downing (61yo)
Executive Vice President of Worldwide Sales Operations
- Tenure: 12.9yrs
- Compensation: US$1.40m
Tom Raimondi (61yo)
Chief Marketing Officer
- Tenure: 0yrs
Bruce Kelley (56yo)
CTO, Senior VP & Service Provider
- Tenure: 18.9yrs
Jean Bua (60yo)
Executive VP
- Tenure: 8.1yrs
- Compensation: US$1.43m
Jeff Levinson
VP, General Counsel & Secretary
- Tenure: 14.1yrs
Kevin Keough
Senior Vice President of Corporate Development
- Tenure: 4.4yrs
Tony Piazza
Vice President of Corporate Finance
- Tenure: 0yrs
Board Members
Jack Egan (61yo)
Lead Independent Director
- Tenure: 0yrs
- Compensation: US$306.30k
Anil Singhal (65yo)
Co-Founder
- Tenure: 35.5yrs
- Compensation: US$2.75m
Michael Szabados (67yo)
Vice Chairman & COO
- Tenure: 0.8yrs
- Compensation: US$1.62m
Joe Hadzima (67yo)
Independent Director
- Tenure: 21.4yrs
- Compensation: US$265.05k
Vivian Vitale (65yo)
Independent Director
- Tenure: 0.8yrs
- Compensation: US$116.83k
Bob Donahue (70yo)
Independent Director
- Tenure: 6.8yrs
- Compensation: US$275.80k
Sue Spradley (58yo)
Independent Director
- Tenure: 1.7yrs
- Compensation: US$247.38k
Chris Perretta (61yo)
Independent Director
- Tenure: 5.3yrs
- Compensation: US$250.30k
Al Grasso (60yo)
Independent Director
- Tenure: 1.7yrs
- Compensation: US$247.13k
Company Information
NetScout Systems, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: NetScout Systems, Inc.
- Ticker: NTCT
- Exchange: NasdaqGS
- Founded: 1984
- Industry: Communications Equipment
- Sector: Tech
- Market Cap: US$1.801b
- Shares outstanding: 74.84m
- Website: https://www.netscout.com
Number of Employees
Location
- NetScout Systems, Inc.
- 310 Littleton Road
- Westford
- Massachusetts
- 1886
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| NTCT | NasdaqGS (Nasdaq Global Select) | Yes | Common Stock | US | USD | Aug 1999 |
| NSZ | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Aug 1999 |
Biography
NetScout Systems, Inc. provides service assurance, security, and business analytics for digital business services against disruptions in availability, performance, and security. The company offers nGeniusO ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/12/10 23:39 |
| End of Day Share Price | 2019/12/10 00:00 |
| Earnings | 2019/09/30 |
| Annual Earnings | 2019/03/31 |
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.