F5 Networks Downgraded to “Neutral” at Goldman Sachs Group Inc. (FFIV)
F5 Networks (NASDAQ:FFIV) was downgraded by equities researchers at Goldman Sachs Group Inc. from a “buy” rating to a “neutral” rating in a research report issued on Tuesday, TheFlyOnTheWall.com reports. They currently have a $93.00 target price on the stock. Goldman Sachs Group Inc.’s price target would indicate a potential upside of 4.30% from the stock’s previous close.
The analysts wrote, “We are downgrading F5 shares to Neutral from Buy as we only have 4% upside to our $93 12-month price target. We believe consensus largely reflects the near-to-intermediate term revenue opportunity from the ongoing BIG-IP product cycle and Cisco application delivery controller (ADC) displacements. Also, we see limited upside to consensus EPS over the next two quarters as F5 invests to reinvigorate product sales growth and expand into security. Since we added F5 to the Buy List on November 13, 2012, shares are +4% vs. the S&P 500′s +24% largely due to weaker than we had expected product sales, especially after telco spend disappointed in 1Q13.”
F5 Networks (NASDAQ:FFIV) traded down 1.98% during mid-day trading on Tuesday, hitting $87.40. The stock had a trading volume of 600,449 shares. F5 Networks has a 52 week low of $67.53 and a 52 week high of $111.00. The stock has a 50-day moving average of $88.59 and a 200-day moving average of $81.79. The company has a market cap of $6.844 billion and a price-to-earnings ratio of 26.30.
F5 Networks (NASDAQ:FFIV) last issued its quarterly earnings data on Wednesday, July 24th. The company reported $1.12 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.08 by $0.04. The company had revenue of $370.30 million for the quarter, compared to the consensus estimate of $360.50 million. During the same quarter last year, the company posted $1.14 earnings per share. F5 Networks’s revenue was up 5.0% compared to the same quarter last year. Analysts expect that F5 Networks will post $4.52 EPS for the current fiscal year.
Several other analysts have also recently commented on the stock. Analysts at Cantor Fitzgerald initiated coverage on shares of F5 Networks (NASDAQ:FFIV) in a research note to investors on Thursday, September 19th. They set a “buy” rating and a $110.00 price target on the stock. Separately, analysts at Oppenheimer reiterated an “outperform” rating on shares of F5 Networks (NASDAQ:FFIV) in a research note to investors on Friday, August 16th. They now have a $98.00 price target on the stock. Finally, analysts at Barclays Capital upgraded shares of F5 Networks (NASDAQ:FFIV) from an “equal weight” rating to an “overweight” rating in a research note to investors on Monday, August 12th. They now have a $107.00 price target on the stock, up previously from $89.00.
Twelve analysts have rated the stock with a hold rating and twenty-five have given a buy rating to the company. The stock presently has a consensus rating of “Buy” and a consensus price target of $95.13.
F5 Networks, Inc is a provider of Application Delivery Networking (NASDAQ:FFIV) technology that secures and optimizes the delivery of network-based applications and the security, performance and availability of servers, and other network resources.
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