NetGear Earnings Preview

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Watch NetGear's (NAS: NTGR) earnings report to see if it can beat analyst expectations for the fourth consecutive quarter. The company will unveil its latest earnings on Wednesday, April 25. Netgear designs, develops, and markets networking products for home users and for small business.

What analysts say:

  • Buy, sell, or hold?: Analysts strongly back NetGear, with four out of seven rating it a buy and the remainder rating it a hold. Analysts like NetGear better than competitor Arris Group overall.
  • Revenue forecasts: On average, analysts predict $318.6 million in revenue this quarter. That would represent a rise of 14.3% from the year-ago quarter.
  • Wall Street earnings expectations: The average analyst estimate is earnings of $0.62 per share. Estimates range from $0.60 to $0.64.

What our community says:
CAPS All-Stars are solidly supporting the stock, with 98.9% assigning it an outperform rating. The community at large agrees with the All-Stars, with 96.9% giving it a rating of outperform. NetGear has a bullish CAPS rating of five out of five stars that is about on par with the Fool community assessment.


Management:
NetGear's profit has risen year over year by an average of 80.8% over the past five quarters.

Now, a look at how efficient management has been at running the business. Traditionally, margins represent the efficiency with which companies capture portions of sales dollars. NetGear has seen increasing net margins year over year for the last four quarters. Net margins reflect what percentage of each dollar earned by the company becomes profit. Here is how NetGear has been doing for the last four quarters:

Quarter

Q4

Q3

Q2

Q1

Gross Margin

30.7%

31.9%

31.0%

31.5%

Operating Margin

10.9%

11.0%

9.5%

11.0%

Net Margin

7.4%

8.9%

7.1%

7.6%

For all our NetGear-specific analysis, including earnings and beyond, add NetGear to My Watchlist.

Motley Fool newsletter services have recommended buying shares of Netgear. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Earnings estimates provided by Zacks.

At the time this article was published

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