NetScout Systems (NASDAQ:NTCT) Announces FY 2027 Earnings Guidance

NetScout Systems (NASDAQ:NTCT) updated its FY 2027 earnings guidance on Thursday morning. The company provided earnings per share guidance of 2.650-2.800 for the period, compared to the consensus earnings per share estimate of 2.620. The company issued revenue guidance of $885.0 million-$915.0 million, compared to the consensus revenue estimate of $904.9 million.

Analyst Upgrades and Downgrades

Several research firms have weighed in on NTCT. Royal Bank Of Canada upped their price target on NetScout Systems from $38.00 to $43.00 and gave the stock a “sector perform” rating in a research note on Thursday, August 6th. B. Riley Financial reissued a “buy” rating and issued a $50.00 price objective on shares of NetScout Systems in a research report on Sunday, August 9th. after the company reported F1Q27 results. Wall Street Zen raised shares of NetScout Systems from a “buy” rating to a “strong-buy” rating in a research note on Saturday, August 8th. Zacks Research lowered NetScout Systems from a “strong-buy” rating to a “hold” rating in a research report on Thursday, October 8th. Finally, Weiss Ratings raised shares of NetScout Systems from a “hold (c)” rating to a “hold (c+)” rating in a research report on Thursday, October 8th. One analyst has rated the stock with a Buy rating and three have issued a Hold rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of “Hold” and an average price target of $46.50.

NetScout Systems Price Performance

NTCT opened at $31.83 on Friday. The firm has a market capitalization of $2.31 billion, a PE ratio of 19.41 and a beta of 0.72. The business’s 50-day moving average is $38.82 and its two-hundred day moving average is $36.47. NetScout Systems has a 1 year low of $25.29 and a 1 year high of $45.28.

NetScout Systems (NASDAQ:NTCT) last released its quarterly earnings results on Thursday, November 5th. The technology company reported $0.71 EPS for the quarter, beating the consensus estimate of $0.66 by $0.05. NetScout Systems had a net margin of 13.71% and a return on equity of 9.25%. The business had revenue of $222.19 million during the quarter, compared to analyst estimates of $218.77 million. During the same period in the prior year, the firm posted $0.62 earnings per share. The company’s quarterly revenue was up 1.4% on a year-over-year basis. NetScout Systems has set its FY 2027 guidance at 2.650-2.800 EPS. As a group, sell-side analysts expect that NetScout Systems will post 2.15 EPS for the current year.

Insider Activity

In other NetScout Systems news, COO Sanjay Munshi sold 2,269 shares of the firm’s stock in a transaction that occurred on Monday, August 17th. The shares were sold at an average price of $39.27, for a total value of $89,103.63. Following the completion of the sale, the chief operating officer directly owned 6,729 shares in the company, valued at $264,247.83. This trade represents a 25.22% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Christopher Perretta sold 7,000 shares of NetScout Systems stock in a transaction on Friday, September 11th. The stock was sold at an average price of $38.00, for a total transaction of $266,000.00. Following the completion of the transaction, the director directly owned 40,866 shares in the company, valued at $1,552,908. This represents a 14.62% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders have sold 21,269 shares of company stock worth $813,184. Insiders own 4.74% of the company’s stock.

Key Stories Impacting NetScout Systems

Here are the key news stories impacting NetScout Systems this week:

• Positive Sentiment: NetScout earned $0.71 per share, topping the $0.66 consensus estimate and improving from $0.62 a year earlier. Revenue of $222.19 million also beat the $218.77 million estimate. Zacks earnings report
• Positive Sentiment: Fiscal 2027 EPS guidance of $2.65–$2.80 is above the $2.62 consensus, a potential positive for investors assessing the full-year outlook. NETSCOUT second-quarter results and outlook
• Neutral Sentiment: Revenue rose 1.4% year over year. Management said first-half performance keeps the company on track for fiscal 2027, characterizing second-quarter results as consistent with expectations. NETSCOUT second-quarter results
• Negative Sentiment: Fiscal 2027 revenue guidance of $885 million–$915 million has a $900 million midpoint, slightly below the $904.9 million consensus estimate. This may temper the positive reaction to the earnings and EPS outlook. NETSCOUT guidance announcement

About NetScout Systems

NetScout Systems, Inc (NASDAQ: NTCT) provides network performance management, service assurance and cybersecurity solutions for enterprises, communications service providers, government organizations and other large institutions. Its technologies are designed to help customers monitor network traffic, identify performance issues, maintain service availability and detect or respond to cyberthreats.

The company’s offerings include the nGeniusONE service assurance platform, InfiniStream network monitoring and packet-based visibility technologies, and solutions associated with its Arbor portfolio for distributed denial-of-service protection, network detection and response, and other cybersecurity applications.