NETGEAR Stock Price and Value Analysis

Should you buy NETGEAR stock? (NasdaqGS:NTGR). Let's see how it does in our automated value investing analysis system.

NTGR Free Cash Flow Trend

Free Cash Flow trendline for NTGR
Free Cash Flow trendline for NETGEAR

Based on historical returns, we believe that NETGEAR can grow its free cash at a rate of about 1%. That's positive!

AdvantagesDisadvantagesNeutral
  • This stock is on sale.
  • This company is solid.
  • This company is making money at a modest rate.
  • This company has wild ups and downs.
  • This company pays no dividend.

Inside the NTGR Numbers

NTGR Price
(NETGEAR stock price per share)
$38.24
[?] NTGR Fair Price
(based on intrinsic value)
$45.67
[?] NTGR Safety Price (based on a variable margin of safety) $29.69
[?] PE Ratio versus Sector 22% higher than other Technology stocks
[?] PE Ratio versus Industry 19% lower than other Communication Equipment stocks
[?] Cash Yield 11.27%
[?] Free Cash Flow Jitter 55%

This stock has short interest! This means that people have shorted it.

Why does that matter? They've made a bet that price will decrease from where they bought it. Maybe there are financial problems, or maybe there's a value play.

As of the latest analysis, there are 3,233,592 shares shorted. With 29,902,743 shares available for purchase and an average trading volume over the past 10 trading days of 352,285, it would take at least 9.179 days for all of the short holders to cover their shorts.

Is NETGEAR Stock on Sale?

We believe that NETGEAR may be worth examining further. It's making money, which is a very positive sign. Is it on sale?

NETGEAR looks like a price in the fair value range. Based on our analysis—if the company keeps making money the way it has been—you could be looking at a good stock. See Before You Buy for your next steps.

Should You Buy NTGR Stock?

Does NETGEAR have a coherent story? Does it have a plan to continue to make money? Is it worth your time? Only you can decide where to go from here. Our investment guide helps you ask the right questions, including how to buy stocks. Use these research links for more information.