NetScout Systems (NTCT) Stock Fundamentals, Analysis & Risk Signals

Health score, price, valuation, risk signals, and key metrics at a glance.

NetScout Systems

NasdaqGS•Technology•Software - Infrastructure

$38.51+0.14(<0.01%)Pre-market

Market Cap

$2.82B

P/E

29.6x

P/S

3.3x

P/B

1.7x

NetScout Systems, Inc. provides carrier service assurance, cybersecurity, and Distributed Denial-of-Service (DDoS) solutions to protect digital business services against disruptions. It offers nGeniusONE management software to predict, preempt, and resolve network and service delivery problems, as well as facilitate the optimization and capacity planning of their network infrastructures; and specialized platforms and analytic modules to analyze and troubleshoot traffic in radio access and Wi-Fi networks; and Omnis Insights, a solution that is designed to generate a high-fidelity and curated dataset that strengthens observability and cybersecurity operations. Its platform provides real-time generation and analysis of information-rich, high-volume network-derived data for use its applications and partner networks. In addition, it offers ISNG, a real-time information platform that provides insights to optimize network performance; packet flow systems that delivers targeted network traffic access to a range of monitoring and cybersecurity tools and systems, including the nGeniusONE application; vSTREAM, a virtualized form factor version; Infinistream, an advanced passive network probe; and markets test access points that enables full and non-disruptive access to network traffic. Further, the company provides cybersecurity solutions to protect networks against DDoS attacks under the Arbor solutions, including Arbor Sightline, Arbor Threat Mitigation System, Arbor Insight, Arbor Edge Defense, and Omnis Cyber Intelligence solutions. It serves enterprise customers in financial services, technology, manufacturing, healthcare, utilities, education, transportation, and retail; mobile, wireline, and cable operators, internet service providers, and cloud providers industries; and government and associated agencies through a direct sales force, and indirect reseller and distribution channels. The company was incorporated in 1984 and is headquartered in Westford, Massachusetts.

How this company scores

GoodMetricSide Score: 71/100

Strongest: Cash & Earnings Quality (22/25); weakest: Balance Sheet & Red Flags (15/25).

Profitability16/25

Growth18/25

Balance Sheet & Red Flags15/25

Cash & Earnings Quality22/25

Strengths

Rising free cash flowRising earningsInterest easily coveredProfit converts from growth

Valuation vs. 5-year range

Today's multiple positioned against its own trailing range — a visual premium/discount check.

P/E · 29.6x5y range 20.6x – 83.8x

Currently near its 14-quarter median.

P/S · 3.3x5y range 1.6x – 3.3x

Currently above its 20-quarter median.

P/B · 1.7x5y range 0.8x – 1.7x

Watch items

Data-driven signals worth keeping an eye on across the last 8 quarters

High Risk

Margin Pressure

Red Flag

The company posted negative operating margins in recent quarters — core operations are unprofitable.

Earnings Quality

Watch

FCF/Net Income has dropped below 0.7x in 3 quarters — monitor for earnings quality deterioration.

Price & Volume

Market Cap $2.82B

Metrics at a Glance

as of March 2026

Revenue & Profit

Revenue, EBITDA, operating income, net income, EPS, and shares

TTM Revenue: $859.48M
Q. Revenue: $203.03M
TTM EBITDA: $166.38M
TTM Op. Income: $109.83M
Q. Op. Income: $19.59M
TTM Net Income: $95.53M
Q. Net Income: $18.24M
EPS: $0.254
Shares Out.: $71.92M

$859.48M in TTM revenue grew 4.5% YoY, reaching $203.03M last quarter. TTM EBITDA of $166.38M and TTM operating income of $109.83M show growth is flowing through to the bottom line. TTM net income of $95.53M means revenue is converting into profit. Across the last 8 quarters, TTM revenue has fallen for 2 consecutive quarters — a weakening trend.

Margins

Gross, EBITDA, operating, and net margin trends

Gross Margin: 78.4%
EBITDA Margin: 16.7%
Op. Margin: 9.6%
Net Margin: 9.0%

Op. margin of 9.6% is down 0.1% YoY — costs are rising relative to revenue. Net margin at 9.0% and gross margin of 78.4% show how much of each revenue dollar survives to profit. Over the past year, operating margin is down 1% — a weakening trend.

Price Ratios

P/E, P/S, P/B, EV/EBITDA, FCF yield, and earnings yield

P/E Ratio: 29.6x
P/S Ratio: 3.3x
P/B Ratio: 1.7x

At 29.6x P/E, the stock trades within typical market levels. P/S of 3.3x and P/B of 1.7x provide additional context. Use the growth and margin sections to judge whether the multiple is justified. Over the past year, P/E is up 0% — a weakening trend.

Assets & Liabilities

Total assets, cash, debt, book value, and leverage

Total Assets: $2.35B
Cash: $586.50M
Long-Term Debt: N/A
Book Value: $1.65B
D/E Ratio: N/A
Debt/EBITDA: 0.0

Cash Flow

Operating cash flow, free cash flow, FCF margin, and earnings quality

Op. Cash Flow: $152.26M
TTM Free Cash Flow: $309.82M
FCF Margin: 36.0%
FCF / Net Income: 3.2

TTM FCF of $309.82M on $152.26M in operating cash flow. The FCF / Net Income ratio of 3.2x means free cash flow covers net income — earnings are backed by cash. Across the last 8 quarters, free cash flow has risen for 7 consecutive quarters — an improving trend.