NETGEAR Profitability Analysis
| NTGR Stock | USD 22.43 0.25 1.10% |
Net Income | First Reported 2001-03-31 | Previous Quarter -6.4 M | Current Value -4.8 M | Quarterly Volatility 18.8 M |
| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Gross Profit Margin | 0.24 | 0.26 |
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For NETGEAR profitability analysis, we use financial ratios and fundamental drivers that measure the ability of NETGEAR to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well NETGEAR utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between NETGEAR's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of NETGEAR over time as well as its relative position and ranking within its peers.
NETGEAR's Revenue Breakdown by Earning Segment
Check out Correlation Analysis.
NETGEAR Revenue Breakdown by Earning Segment
By analyzing NETGEAR's earnings estimates, investors can diagnose different trends across NETGEAR's analyst sentiment over time as well as compare current estimates against different timeframes.
Is Communications Equipment space 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 NETGEAR. If investors know NETGEAR 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 NETGEAR listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.69) | Earnings Share (0.90) | Revenue Per Share | Quarterly Revenue Growth 0.009 | Return On Assets |
The market value of NETGEAR is measured differently than its book value, which is the value of NETGEAR that is recorded on the company's balance sheet. Investors also form their own opinion of NETGEAR's value that differs from its market value or its book value, called intrinsic value, which is NETGEAR's 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 NETGEAR's market value can be influenced by many factors that don't directly affect NETGEAR's 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 NETGEAR's value and its price as these two are different measures arrived at by different means. Investors typically determine if NETGEAR is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, NETGEAR's 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.
NETGEAR Return On Asset vs. Return On Equity Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining NETGEAR's current stock value. Our valuation model uses many indicators to compare NETGEAR value to that of its competitors to determine the firm's financial worth. NETGEAR is rated below average in return on equity category among its peers. It is rated below average in return on asset category among its peers . At this time, NETGEAR's Return On Equity is relatively stable compared to the past year. Comparative valuation analysis is a catch-all technique that is used if you cannot value NETGEAR by discounting back its dividends or cash flows. It compares the stock's price multiples to nearest competition to determine if the stock is relatively undervalued or overvalued.NETGEAR Return On Asset vs. Return On Equity
Return on Equity or ROE tells company stockholders how effectually their money is being utilized or reinvested. It is a useful ratio when analyzing company profitability or the management effectiveness given the capital invested by the shareholders. ROE shows how efficiently a company utilizes investments to generate income.
NETGEAR |
| = | -0.0494 |
For most industries, Return on Equity between 10% and 30% are considered desirable to provide dividends to owners and have funds for the future growth of the company. Investors should be very careful using ROE as the only efficiency indicator because ROE can be high if a company is heavily leveraged.
Return on Asset or ROA shows how effective is the management of the company in generating income from utilizing all of the assets at their disposal. It is a useful ratio to evaluate the performance of different departments of a company as well as to understand management performance over time.
NETGEAR |
| = | -0.0239 |
Return on Asset measures overall efficiency of a company in generating profits from its total assets. It is expressed as the percentage of profits earned per dollar of Asset. A low ROA typically means that a company is asset-intensive and therefore will needs more money to continue generating revenue in the future.
NETGEAR Return On Asset Comparison
NETGEAR is currently under evaluation in return on asset category among its peers.
NETGEAR Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in NETGEAR, profitability is also one of the essential criteria for including it into their portfolios because, without profit, NETGEAR will eventually generate negative long term returns. The profitability progress is the general direction of NETGEAR's change in net profit over the period of time. It can combine multiple indicators of NETGEAR, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
| Last Reported | Projected for Next Year | ||
| Accumulated Other Comprehensive Income | 277.1 K | 291 K | |
| Operating Income | 11 M | 10.4 M | |
| Income Before Tax | 28.6 M | 53.4 M | |
| Total Other Income Expense Net | 14.6 M | 15.3 M | |
| Net Income | 11.1 M | 20.3 M | |
| Income Tax Expense | 14.4 M | 26.8 M | |
| Net Loss | -62.1 M | -59 M | |
| Net Income From Continuing Ops | 11.1 M | 21.2 M | |
| Non Operating Income Net Other | 811.8 K | 899.1 K | |
| Interest Income | 14 M | 14.7 M | |
| Net Interest Income | 14 M | 14.7 M | |
| Change To Netincome | 50.5 M | 53 M | |
| Net Income Per Share | 0.49 | 0.72 | |
| Income Quality | 12.00 | 12.60 | |
| Net Income Per E B T | 0.45 | 0.66 |
NETGEAR Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on NETGEAR. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of NETGEAR position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the NETGEAR's important profitability drivers and their relationship over time.
NETGEAR Profitability Trends
NETGEAR profitability trend refers to the progression of profit or loss within a business. An upward trend means that NETGEAR's profit has generally increased over time, and a downward profitability trend means profits are declining. Recognizing problems early in profitability trends allows investors to address revenue and cost issues in advance. Investors and analysts usually monitor three types of profitability trends: gross, operating, and net. Gross profit is the difference between revenue and costs of goods sold. Operating profit is NETGEAR's gross profit minus its overhead. After you account for other unusual revenue, expenses, and costs, you get net profit. Gross profit trends are often a good indicator of future profitability. If you have high gross profit margins, you have a better chance to cover overhead and make money.
NETGEAR Profitability Drivers Correlations
One of the toughest challenges investors face today is learning how to quickly synthesize and read into endless financial statements and information provided by the company, SEC reporting, and various external parties. Understanding the correlation between NETGEAR different financial indicators related to revenue and profit generation helps investors identify and prioritize their investing strategies towards NETGEAR in a much-optimized way. Analyzing correlations between profit drivers that are directly associated with dollar figures is the most effective way to break down NETGEAR's future profitability.
Click cells to compare fundamentals
NETGEAR Earnings Estimation Breakdown
The calculation of NETGEAR's earning per share is based on the data from the past 12 consecutive months, used for reporting the company's financial figures. The next projected EPS of NETGEAR is estimated to be -0.01 with the future projection ranging from a low of -0.04 to a high of 0.01. Please be aware that this consensus of annual earnings estimates for NETGEAR is based on EPS before non-recurring items and includes expenses related to employee stock options.Last Reported EPS
-0.04 Lowest | Expected EPS | 0.01 Highest |
NETGEAR Earnings Projection Consensus
Suppose the current estimates of NETGEAR's value are higher than the current market price of the NETGEAR stock. In this case, investors may conclude that NETGEAR is overpriced and will exhibit bullish sentiment. On the other hand, if the present value is lower than the stock price, analysts may conclude that the market undervalues the equity. These scenarios may suggest that the market is not as efficient as it should be at the estimation time, and NETGEAR's stock will quickly adjusts to the new information provided by the consensus estimate.
| Number of Analysts | Historical Accuracy | Last Reported EPS | Estimated EPS for 31st of March 2026 | Current EPS (TTM) | |
| 3 | 27.69% | 0.0 | -0.01 | -0.9 |
NETGEAR Earnings per Share Projection vs Actual
Actual Earning per Share of NETGEAR refers to what the company shows during its earnings calls or quarterly reports. The Expected EPS is what analysts covering NETGEAR predict the company's earnings will be in the future. The higher the earnings per share of NETGEAR, the better is its profitability. While calculating the Earning per Share, we use the weighted ratio, as the number of shares outstanding can change over time.NETGEAR Estimated Months Earnings per Share
For an investor who is primarily interested in generating an income out of investing in entities such as NETGEAR, the EPS ratio can tell if the company is intending to increase its current dividend. Although EPS is an essential tool for investors, it should not be used in isolation. EPS of NETGEAR should always be considered in relation to other companies to make a more educated investment decision.NETGEAR Quarterly Analyst Estimates and Surprise Metrics
Earnings surprises can significantly impact NETGEAR's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
null | null | null | null | null | 0 | ||
2025-10-29 | 2025-09-30 | -0.09 | 0.12 | 0.21 | 233 | ||
2025-07-30 | 2025-06-30 | -0.15 | 0.06 | 0.21 | 140 | ||
2025-04-30 | 2025-03-31 | -0.37 | 0.02 | 0.39 | 105 | ||
2025-02-05 | 2024-12-31 | -0.24 | -0.06 | 0.18 | 75 | ||
2024-10-30 | 2024-09-30 | -0.04 | 0.17 | 0.21 | 525 | ||
2024-07-31 | 2024-06-30 | -0.81 | -0.74 | 0.07 | 8 | ||
2024-05-01 | 2024-03-31 | -0.28 | -0.28 | 0.0 | 0 | ||
2024-02-07 | 2023-12-31 | 0.05 | 0.09 | 0.04 | 80 | ||
2023-10-25 | 2023-09-30 | -0.04 | 0.23 | 0.27 | 675 | ||
2023-07-26 | 2023-06-30 | -0.34 | -0.16 | 0.18 | 52 | ||
2023-04-26 | 2023-03-31 | -0.1 | -0.19 | -0.09 | 90 | ||
2023-02-01 | 2022-12-31 | -0.08 | -0.03 | 0.05 | 62 | ||
2022-10-26 | 2022-09-30 | 0.08 | 0.21 | 0.13 | 162 | ||
2022-07-27 | 2022-06-30 | -0.24 | -0.19 | 0.05 | 20 | ||
2022-04-27 | 2022-03-31 | 0.1 | -0.28 | -0.38 | 380 | ||
2022-02-02 | 2021-12-31 | 0.126 | 0.27 | 0.144 | 114 | ||
2021-10-27 | 2021-09-30 | 0.42 | 0.5 | 0.08 | 19 | ||
2021-07-21 | 2021-06-30 | 0.71 | 0.66 | -0.05 | 7 | ||
2021-04-21 | 2021-03-31 | 0.66 | 0.99 | 0.33 | 50 | ||
2021-02-03 | 2020-12-31 | 0.84 | 0.99 | 0.15 | 17 | ||
2020-10-21 | 2020-09-30 | 0.66 | 1.13 | 0.47 | 71 | ||
2020-07-22 | 2020-06-30 | 0.22 | 0.54 | 0.32 | 145 | ||
2020-04-22 | 2020-03-31 | 0.16 | 0.21 | 0.05 | 31 | ||
2020-02-05 | 2019-12-31 | 0.3 | 0.34 | 0.04 | 13 | ||
2019-10-23 | 2019-09-30 | 0.6 | 0.65 | 0.05 | 8 | ||
2019-07-24 | 2019-06-30 | 0.25 | 0.28 | 0.03 | 12 | ||
2019-04-24 | 2019-03-31 | 0.49 | 0.6 | 0.11 | 22 | ||
2019-02-06 | 2018-12-31 | 0.48 | 0.68 | 0.2 | 41 | ||
2018-10-25 | 2018-09-30 | 0.47 | 0.76 | 0.29 | 61 | ||
2018-07-23 | 2018-06-30 | 0.51 | 0.57 | 0.06 | 11 | ||
2018-04-25 | 2018-03-31 | 0.6 | 0.62 | 0.02 | 3 | ||
2018-02-06 | 2017-12-31 | 0.64 | 0.71 | 0.07 | 10 | ||
2017-10-25 | 2017-09-30 | 0.68 | 0.81 | 0.13 | 19 | ||
2017-07-26 | 2017-06-30 | 0.54 | 0.6 | 0.06 | 11 | ||
2017-04-26 | 2017-03-31 | 0.61 | 0.64 | 0.03 | 4 | ||
2017-02-07 | 2016-12-31 | 0.77 | 0.88 | 0.11 | 14 | ||
2016-10-26 | 2016-09-30 | 0.71 | 0.76 | 0.05 | 7 | ||
2016-07-27 | 2016-06-30 | 0.6 | 0.72 | 0.12 | 20 | ||
2016-04-27 | 2016-03-31 | 0.6 | 0.74 | 0.14 | 23 | ||
2016-02-04 | 2015-12-31 | 0.66 | 0.83 | 0.17 | 25 | ||
2015-10-22 | 2015-09-30 | 0.51 | 0.67 | 0.16 | 31 | ||
2015-07-23 | 2015-06-30 | 0.3 | 0.29 | -0.01 | 3 | ||
2015-04-23 | 2015-03-31 | 0.51 | 0.46 | -0.05 | 9 | ||
2015-02-05 | 2014-12-31 | 0.63 | 0.65 | 0.02 | 3 | ||
2014-10-23 | 2014-09-30 | 0.61 | 0.72 | 0.11 | 18 | ||
2014-07-24 | 2014-06-30 | 0.55 | 0.58 | 0.03 | 5 | ||
2014-04-24 | 2014-03-31 | 0.54 | 0.59 | 0.05 | 9 | ||
2014-02-06 | 2013-12-31 | 0.55 | 0.59 | 0.04 | 7 | ||
2013-10-24 | 2013-09-30 | 0.58 | 0.58 | 0.0 | 0 | ||
2013-07-25 | 2013-06-30 | 0.56 | 0.62 | 0.06 | 10 | ||
2013-04-25 | 2013-03-31 | 0.49 | 0.5 | 0.01 | 2 | ||
2013-02-12 | 2012-12-31 | 0.54 | 0.55 | 0.01 | 1 | ||
2012-10-25 | 2012-09-30 | 0.65 | 0.65 | 0.0 | 0 | ||
2012-07-26 | 2012-06-30 | 0.69 | 0.64 | -0.05 | 7 | ||
2012-04-25 | 2012-03-31 | 0.68 | 0.73 | 0.05 | 7 | ||
2012-02-07 | 2011-12-31 | 0.64 | 0.69 | 0.05 | 7 | ||
2011-10-27 | 2011-09-30 | 0.61 | 0.79 | 0.18 | 29 | ||
2011-07-28 | 2011-06-30 | 0.57 | 0.65 | 0.08 | 14 | ||
2011-04-28 | 2011-03-31 | 0.52 | 0.65 | 0.13 | 25 | ||
2011-02-08 | 2010-12-31 | 0.48 | 0.44 | -0.04 | 8 | ||
2010-10-26 | 2010-09-30 | 0.38 | 0.45 | 0.07 | 18 | ||
2010-07-21 | 2010-06-30 | 0.32 | 0.38 | 0.06 | 18 | ||
2010-04-21 | 2010-03-31 | 0.3 | 0.48 | 0.18 | 60 | ||
2010-02-09 | 2009-12-31 | 0.22 | 0.34 | 0.12 | 54 | ||
2009-10-22 | 2009-09-30 | 0.08 | 0.31 | 0.23 | 287 | ||
2009-07-22 | 2009-06-30 | -0.01 | -0.02 | -0.01 | 100 | ||
2009-04-22 | 2009-03-31 | -0.08 | 0.05 | 0.13 | 162 | ||
2009-02-12 | 2008-12-31 | 0.07 | -0.08 | -0.15 | 214 | ||
2008-10-23 | 2008-09-30 | 0.26 | 0.19 | -0.07 | 26 | ||
2008-07-23 | 2008-06-30 | 0.35 | 0.41 | 0.06 | 17 | ||
2008-04-24 | 2008-03-31 | 0.43 | 0.39 | -0.04 | 9 | ||
2008-02-13 | 2007-12-31 | 0.45 | 0.41 | -0.04 | 8 | ||
2007-10-25 | 2007-09-30 | 0.41 | 0.44 | 0.03 | 7 | ||
2007-07-26 | 2007-06-30 | 0.39 | 0.38 | -0.01 | 2 | ||
2007-04-26 | 2007-03-31 | 0.37 | 0.44 | 0.07 | 18 | ||
2007-02-15 | 2006-12-31 | 0.37 | 0.43 | 0.06 | 16 | ||
2006-10-26 | 2006-09-30 | 0.32 | 0.35 | 0.03 | 9 | ||
2006-07-27 | 2006-06-30 | 0.28 | 0.3 | 0.02 | 7 | ||
2006-04-26 | 2006-03-31 | 0.26 | 0.31 | 0.05 | 19 | ||
2006-02-16 | 2005-12-31 | 0.28 | 0.27 | -0.01 | 3 | ||
2005-10-26 | 2005-09-30 | 0.27 | 0.27 | 0.0 | 0 | ||
2005-07-28 | 2005-06-30 | 0.24 | 0.25 | 0.01 | 4 | ||
2005-04-28 | 2005-03-31 | 0.22 | 0.25 | 0.03 | 13 | ||
2005-02-17 | 2004-12-31 | 0.21 | 0.23 | 0.02 | 9 | ||
2004-10-28 | 2004-09-30 | 0.18 | 0.2 | 0.02 | 11 | ||
2004-07-29 | 2004-06-30 | 0.14 | 0.17 | 0.03 | 21 | ||
2004-05-05 | 2004-03-31 | 0.13 | 0.14 | 0.01 | 7 | ||
2004-02-12 | 2003-12-31 | 0.11 | 0.14 | 0.03 | 27 | ||
2003-10-28 | 2003-09-30 | 0.09 | 0.08 | -0.01 | 11 |
Use NETGEAR in pair-trading
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if NETGEAR position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in NETGEAR will appreciate offsetting losses from the drop in the long position's value.NETGEAR Pair Trading
NETGEAR Pair Trading Analysis
The ability to find closely correlated positions to NETGEAR could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace NETGEAR when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back NETGEAR - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling NETGEAR to buy it.
The correlation of NETGEAR is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as NETGEAR moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if NETGEAR moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for NETGEAR can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Use Investing Themes to Complement your NETGEAR position
In addition to having NETGEAR 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?
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Alcohol
Companies involved in production and distribution of wines and alcoholic beverages. The Alcohol theme has 10 constituents at this time.
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Additional Tools for NETGEAR Stock Analysis
When running NETGEAR's price analysis, check to measure NETGEAR's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy NETGEAR is operating at the current time. Most of NETGEAR's value examination focuses on studying past and present price action to predict the probability of NETGEAR's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move NETGEAR's price. Additionally, you may evaluate how the addition of NETGEAR to your portfolios can decrease your overall portfolio volatility.