NETGEAR (NASDAQ:NTGR) Rating Lowered to “Sell” at Wall Street Zen

NETGEAR (NASDAQ:NTGR) was downgraded by equities researchers at Wall Street Zen from a “hold” rating to a “sell” rating in a research note issued to investors on Saturday.

Separately, Weiss Ratings reiterated a “sell (d)” rating on shares of NETGEAR in a research note on Wednesday, June 24th. Two research analysts have rated the stock with a Buy rating, one has given a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat, the stock presently has an average rating of “Hold” and an average target price of $36.50.

NETGEAR Price Performance

NASDAQ NTGR traded down $0.89 on Friday, reaching $21.09. The company had a trading volume of 362,822 shares, compared to its average volume of 337,107. The firm has a market capitalization of $573.23 million, a PE ratio of -22.68 and a beta of 1.20. NETGEAR has a 1 year low of $19.00 and a 1 year high of $36.86. The firm has a 50-day moving average of $23.00 and a 200-day moving average of $23.35.

NETGEAR (NASDAQ:NTGR) last posted its quarterly earnings data on Thursday, August 6th. The communications equipment provider reported $0.16 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.01 by $0.15. NETGEAR had a negative net margin of 3.71% and a negative return on equity of 2.79%. The company had revenue of $168.56 million for the quarter, compared to analyst estimates of $157.80 million. During the same quarter last year, the firm posted $0.06 earnings per share. The business’s quarterly revenue was down 1.2% on a year-over-year basis. As a group, sell-side analysts expect that NETGEAR will post -0.52 EPS for the current fiscal year.

Insider Buying and Selling at NETGEAR

In related news, Director Laura Durr sold 2,000 shares of the stock in a transaction dated Monday, June 1st. The shares were sold at an average price of $25.94, for a total value of $51,880.00. Following the sale, the director owned 43,059 shares of the company’s stock, valued at $1,116,950.46. This trade represents a 4.44% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Sarah Butterfass sold 2,704 shares of the stock in a transaction that occurred on Monday, June 1st. The stock was sold at an average price of $26.90, for a total value of $72,737.60. Following the completion of the transaction, the director directly owned 38,953 shares of the company’s stock, valued at $1,047,835.70. This trade represents a 6.49% 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 quarter, insiders have sold 12,085 shares of company stock valued at $313,933. Corporate insiders own 3.10% of the company’s stock.

Institutional Investors Weigh In On NETGEAR

A number of institutional investors have recently added to or reduced their stakes in NTGR. Continuum Advisory LLC acquired a new position in NETGEAR during the second quarter worth about $25,000. Johnson Financial Group Inc. acquired a new position in shares of NETGEAR in the 4th quarter worth approximately $25,000. Comerica Bank raised its holdings in shares of NETGEAR by 64.8% in the 3rd quarter. Comerica Bank now owns 1,091 shares of the communications equipment provider’s stock worth $35,000 after purchasing an additional 429 shares in the last quarter. IFP Advisors Inc lifted its stake in NETGEAR by 161.7% during the fourth quarter. IFP Advisors Inc now owns 2,243 shares of the communications equipment provider’s stock valued at $55,000 after purchasing an additional 1,386 shares during the last quarter. Finally, Persistent Asset Partners Ltd acquired a new stake in NETGEAR during the second quarter valued at approximately $58,000. 82.97% of the stock is currently owned by institutional investors and hedge funds.

NETGEAR Company Profile

NETGEAR, Inc (NASDAQ: NTGR) is a global provider of networking solutions for consumer, business and service provider markets. The company designs, develops and markets a comprehensive portfolio of products that enable high-speed connectivity, data storage and network security for homes, small to medium-sized businesses and large enterprises.

Its product lineup includes Wi-Fi routers, mesh networking systems, cable modems, mobile broadband gateways and Ethernet switches—offered in both managed and unmanaged configurations.