U.S. markets closed
  • S&P Futures

    3,841.75
    +22.50 (+0.59%)
     
  • Dow Futures

    31,949.00
    +173.00 (+0.54%)
     
  • Nasdaq Futures

    12,392.75
    +95.50 (+0.78%)
     
  • Russell 2000 Futures

    2,217.10
    +16.30 (+0.74%)
     
  • Crude Oil

    65.09
    +0.04 (+0.06%)
     
  • Gold

    1,681.40
    +3.40 (+0.20%)
     
  • Silver

    25.27
    +0.00 (+0.00%)
     
  • EUR/USD

    1.1850
    -0.0003 (-0.02%)
     
  • 10-Yr Bond

    1.5960
    +0.0420 (+2.70%)
     
  • Vix

    25.47
    +0.81 (+3.28%)
     
  • GBP/USD

    1.3823
    +0.0001 (+0.01%)
     
  • USD/JPY

    109.1070
    +0.2060 (+0.19%)
     
  • BTC-USD

    52,169.34
    +885.82 (+1.73%)
     
  • CMC Crypto 200

    1,058.59
    +34.38 (+3.36%)
     
  • FTSE 100

    6,719.13
    +88.61 (+1.34%)
     
  • Nikkei 225

    28,695.15
    -48.10 (-0.17%)
     

Here's Why NETGEAR (NTGR) is a Solid Pick for Investors

  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
Zacks Equity Research
·3 min read
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.

Shares of NETGEAR, Inc. NTGR have gained 44.5% in the past year against 6.8% decline of the industry. The stock currently sports a Zacks Rank #1 (Strong Buy) and has a VGM Score of B.



You can see the complete list of today’s Zacks #1 Rank stocks here.

This San Jose, CA-based company delivered a trailing four-quarter positive earnings surprise of 60%, on average. The Zacks Consensus Estimate for its next-year earnings has been revised 9.2% upward over the past 60 days.

Growth Drivers

NETGEAR is a global company that delivers innovative networking and Internet-connected products to consumers and businesses. It operates in two segments — Connected Home, and Small and Medium Business. It continues to capitalize on technology inflections, create new categories and build recurring service revenues to maintain its market leadership.

The company is benefiting from an accretive subscriber base and strong demand for connected home products, driven by the work-from-home trend. It is well positioned to serve the demand trends in the marketplace. Its revenues are primarily driven by the rapid increase in Internet-connected devices such as smartphones, tablets and the advent of Smart Home, which have boosted the need for networking solutions.

The company is focused on introducing products into growth areas that form the basis of Smart Homes. NETGEAR expects continued strength in its end-market demand for home networks. It is confident of remaining a leader in new product introduction, based on the Wi-Fi 6 standards.

The company brings products and services that hinge on affordability, reliability and ease of use. It has introduced two new mobile products — the Nighthawk 4G LTE Wi-Fi 6 router and the NETGEAR 4G LTE modem. These provide the capability of connecting a home or office network in the absence of traditional cable or fiber broadband.

Other Key Choices

Some other top-ranked stocks in the broader industry are Corning GLW, Arista Networks ANET and Airgain AIRG, each carrying a Zacks Rank #2 (Buy).

Corning delivered a trailing four-quarter positive earnings surprise of 40.7%, on average.

Arista delivered a trailing four-quarter positive earnings surprise of 9.5%, on average.

Airgain delivered a trailing four-quarter positive earnings surprise of 62.5%, on average. The company’s earnings beat the Zacks Consensus Estimate in three of the last four quarters.

5 Stocks Set to Double

Each was hand-picked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2020. Each comes from a different sector and has unique qualities and catalysts that could fuel exceptional growth.

Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.

Today, See These 5 Potential Home Runs >>


Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
 
Corning Incorporated (GLW) : Free Stock Analysis Report
 
NETGEAR, Inc. (NTGR) : Free Stock Analysis Report
 
Arista Networks, Inc. (ANET) : Free Stock Analysis Report
 
Airgain, Inc. (AIRG) : Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
Zacks Investment Research