Demystifying Harmonic: Insights From 4 Analyst Reviews

Providing a diverse range of perspectives from bullish to bearish, 4 analysts have published ratings on Harmonic HLIT in the last three months.

The table below summarizes their recent ratings, showcasing the evolving sentiments within the past 30 days and comparing them to the preceding months.

Analysts have recently evaluated Harmonic and provided 12-month price targets. The average target is $17.5, accompanied by a high estimate of $18.00 and a low estimate of $16.00. This current average represents a 5.41% decrease from the previous average price target of $18.50.

Exploring Analyst Ratings: An In-Depth Overview

The analysis of recent analyst actions sheds light on the perception of Harmonic by financial experts. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

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 Harmonic. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Offering insights into predictions, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Harmonic compared to the broader market.
• Price Targets: Understanding forecasts, analysts offer estimates for Harmonic's future value. Examining the current and prior targets provides insight into analysts' changing expectations.

For valuable insights into Harmonic's market performance, consider these analyst evaluations alongside crucial financial indicators. Stay well-informed and make prudent decisions using our Ratings Table.

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Unveiling the Story Behind Harmonic

Harmonic Inc designs and manufactures video infrastructure products and system solutions to deliver video and broadband services to consumer devices. The firm operates in two segments: Video, which sells video processing, production, and playout solutions to cable operators and satellite and telecommunications providers; and Broadband which sells broadband access solutions and related services. Majority of the revenue generated from the company is from United States.

A Deep Dive into Harmonic's Financials

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.

Positive Revenue Trend: Examining Harmonic's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 1.68% as of 31 December, 2023, showcasing a substantial increase in top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Information Technology sector.

Net Margin: Harmonic's net margin is impressive, surpassing industry averages. With a net margin of 50.18%, the company demonstrates strong profitability and effective cost management.

Return on Equity (ROE): Harmonic's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 21.56% ROE, the company effectively utilizes shareholder equity capital.

Return on Assets (ROA): Harmonic's financial strength is reflected in its exceptional ROA, which exceeds industry averages. With a remarkable ROA of 11.63%, the company showcases efficient use of assets and strong financial health.

Debt Management: With a below-average debt-to-equity ratio of 0.36, Harmonic adopts a prudent financial strategy, indicating a balanced approach to debt management.

The Basics of Analyst Ratings

Ratings come from analysts, or specialists within banking and financial systems that report for specific stocks or defined sectors (typically once per quarter for each stock). Analysts usually derive their information from company conference calls and meetings, financial statements, and conversations with important insiders to reach their decisions.

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.