NTGR
NETGEAR Inc
Price:  
29.98 
USD
Volume:  
331,654
United States | Communications Equipment

NTGR DCF Valuation - Growth Exit 5Y

11.1 %
Upside

What is the DCF valuation of NTGR?

The Discounted Cash Flow (DCF) valuation of NETGEAR Inc (NTGR) is 33.30 USD. With the latest stock price at 29.98 USD, the upside of NETGEAR Inc based on DCF is 11.1%.

Is NTGR a buy or a sell?

Based on the latest price of 29.98 USD and our DCF valuation, NETGEAR Inc (NTGR) is a buy. Buying NTGR stocks now will result in a potential gain of 11.1%.

Range Selected
WACC / Discount Rate6.8% - 8.4%7.6%
Long-term Growth Rate 2.5% - 4.5%3.5%
Fair Price25.87 - 52.2233.30
Upside-13.7% - 74.2%11.1%
29.98 USD
Stock Price
33.30 USD
Fair Price
REVENUE & EXPENSES
CAPEX
D&A
WORKING CAPITAL
TERMINAL VALUE

NTGR DCF Valuation: Revenue & Expenses Forecast

(USD in millions)Projections
12-202412-202512-202612-202712-202812-2029
Revenue674706745776802818
% Growth
9%5%6%4%3%2%
Cost of goods sold(478)(490)(507)(518)(525)(525)
% of Revenue71%70%68%67%65%64%
Selling, G&A expenses(176)(185)(195)(203)(210)(214)
% of Revenue26%26%26%26%26%26%
Research & Development(81)(85)(90)(93)(97)(98)
% of Revenue12%12%12%12%12%12%
Net interest & other expenses86909599103105
% of Revenue13%13%13%13%13%13%
Tax expense(13)(9)(12)(15)(18)(21)
Tax rate50%25%25%25%25%25%
Net profit122737465665
% Margin2%4%5%6%7%8%