Why NetScout Systems Jumped

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Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Shares of NetScout Systems (NAS: NTCT) are jumping today by as much as 14% after the company reported fiscal-first-quarter earnings.

So what: Revenue totaled $76.5 million, leading to earnings per share of $0.19. Both figures slide past analyst estimates, which were calling for just $74.7 million in sales and $0.18 per share in profit. The top and bottom lines were also on the high end of management's guidance.


Now what: The company also announced the acquisition of Accanto Systems, which is expected to have minimal impact on the current year's non-GAAP results. CEO Anil Singhal said the acquisition will bolster NetScout's packet flow strategy and add important voice service monitoring capabilities. Full-year guidance is forecast between $340 million and $355 million, with adjusted earnings per share in the range of $1.21-$1.30.

Interested in more info on NetScout Systems? Add it to your watchlist byclicking here.

The article Why NetScout Systems Jumped originally appeared on Fool.com.

Fool contributorEvan Niuholds no position in any company mentioned.Click hereto see his holdings and a short bio. The Motley Fool has adisclosure policy. We Fools may not all hold the same opinions, but we all believe thatconsidering a diverse range of insightsmakes us better investors. Try any of our Foolish newsletter servicesfree for 30 days.

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