Deep Dive Into F5 Stock: Analyst Perspectives (8 Ratings)

Across the recent three months, 8 analysts have shared their insights on F5 FFIV, expressing a variety of opinions spanning from bullish to bearish.

The following table encapsulates their recent ratings, offering a glimpse into the evolving sentiments over the past 30 days and comparing them to the preceding months.

Bullish Somewhat Bullish Indifferent Somewhat Bearish Bearish
Total Ratings 1 1 6 0 0
Last 30D 0 0 1 0 0
1M Ago 1 1 5 0 0
2M Ago 0 0 0 0 0
3M Ago 0 0 0 0 0

Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $201.25, a high estimate of $220.00, and a low estimate of $179.00. This upward trend is evident, with the current average reflecting a 15.19% increase from the previous average price target of $174.71.

price target chart

Investigating Analyst Ratings: An Elaborate Study

In examining recent analyst actions, we gain insights into how financial experts perceive F5. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Analyst Analyst Firm Action Taken Rating Current Price Target Prior Price Target
Matthew Hedberg RBC Capital Maintains Sector Perform $204.00 -
Tim Long Barclays Raises Equal-Weight $206.00 $163.00
Matthew Hedberg RBC Capital Raises Sector Perform $204.00 $185.00
James Fish Piper Sandler Raises Neutral $187.00 $170.00
Michael Ng Goldman Sachs Raises Neutral $179.00 $156.00
Tim Long Barclays Raises Equal-Weight $206.00 $163.00
Alex Henderson Needham Raises Buy $220.00 $200.00
Thomas Blakey Keybanc Raises Overweight $204.00 $186.00

Key Insights:

  • Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to F5. This information provides a snapshot of how analysts perceive the current state of the company.
  • Rating: Analysts unravel qualitative evaluations for stocks, ranging from 'Outperform' to 'Underperform'. These ratings offer insights into expectations for the relative performance of F5 compared to the broader market.
  • Price Targets: Understanding forecasts, analysts offer estimates for F5's future value. Examining the current and prior targets provides insight into analysts' changing expectations.

Capture valuable insights into F5's market standing by understanding these analyst evaluations alongside pertinent financial indicators. Stay informed and make strategic decisions with our Ratings Table.

Stay up to date on F5 analyst ratings.

Discovering F5: A Closer Look

F5 is a market leader in the application delivery controller market. The company sells products for security, application performance, and automation. Its three customer verticals are enterprises, service providers, and government entities. Revenue is evenly split between its services business and products business with revenue trending toward products due to software adoption. The Seattle-based firm was incorporated in 1996, has about 6,500 employees, and generates about 55% its revenue within the Americas, 25% in EMEA, and 20% in APAC/Japan.

Financial Milestones: F5's Journey

Market Capitalization Perspectives: The company's market capitalization falls below industry averages, signaling a relatively smaller size compared to peers. This positioning may be influenced by factors such as perceived growth potential or operational scale.

Negative Revenue Trend: Examining F5's financials over 3 months reveals challenges. As of 31 December, 2023, the company experienced a decline of approximately -1.11% in revenue growth, reflecting a decrease in top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Information Technology sector.

Net Margin: F5's net margin excels beyond industry benchmarks, reaching 19.98%. This signifies efficient cost management and strong financial health.

Return on Equity (ROE): F5's ROE lags behind industry averages, suggesting challenges in maximizing returns on equity capital. With an ROE of 4.89%, the company may face hurdles in achieving optimal financial performance.

Return on Assets (ROA): F5's ROA stands out, surpassing industry averages. With an impressive ROA of 2.61%, the company demonstrates effective utilization of assets and strong financial performance.

Debt Management: With a below-average debt-to-equity ratio of 0.1, F5 adopts a prudent financial strategy, indicating a balanced approach to debt management.

Understanding the Relevance of Analyst Ratings

Experts in banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their comprehensive research involves attending company conference calls and meetings, analyzing financial statements, and engaging with insiders to generate what are known as analyst ratings for stocks. Typically, analysts assess and rate each stock once per quarter.

Some analysts will also offer forecasts for metrics like growth estimates, earnings, and revenue to provide further guidance on stocks. Investors who use analyst ratings should note that this specialized advice comes from humans and may be subject to error.

This article was generated by Benzinga's automated content engine and reviewed by an editor.

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