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Washington-based F5, Inc. (FFIV) provides multi-cloud application security and delivery solutions. Valued at a market cap of $15.2 billion, Its application, delivery, and networking products improve the performance, availability, and security of applications running on networks that use the Internet Protocol (IP). It is expected to announce its fiscalQ1 earnings results after the market closes on Tuesday, Jan. 28.
Prior to this event, analysts expect the tech company to report a profit of $2.59 per share, down 2.6% from $2.66 per share in the year-ago quarter. The company has a promising trajectory of consistently beating Wall Street's bottom-line estimates in the last four quarters. Its adjusted earnings of $3.67 per share in the previous quarter outpaced the consensus estimates by 6.4%.
For fiscal 2025, analysts expect F5 to report an EPS of $11.01, up 5.4% from $10.45 in fiscal 2024.
Shares of F5 have rallied 48.2% over the past 52 weeks, significantly outpacing both the S&P 500 Index's ($SPX) 24.4% rise and the Technology Select Sector SPDR Fund’s (XLK) 23.9% return over the same time frame.
Shares of F5skyrocketed 10.1% following its better-than-expected Q4 earnings release on Oct. 28. Robust increase in the company’s software revenues primarily led to a 5.6% annual growth in its top-line figure to $746.7 million, which came in 2.3% above the consensus estimates. Moreover, its adjusted earnings of $3.67 per share climbed nearly 4.9% from the year-ago quarter and surpassed the forecasted figure by 6.4%. F5 also provided an optimistic outlook for fiscal 2025, anticipating revenue growth of 4% to 5% and adjusted EPS growth of 5% to 7%.
Despite this, Wall Street analysts are cautious about F5’s stock, with a "Hold" rating overall. Among 12 analysts covering the stock, 11 recommend "Hold," and one suggests a “Moderate Sell.” As of writing, F5 is trading 9.2% above its mean price target of $237.11.
