NetScout Systems, Inc. logo NTCT - NetScout Systems, Inc.

Price: -- -- | CONSENSUS: Hold DETAILS
STRONG
BUY
0
BUY 8
HOLD 11
SELL 2
STRONG
SELL
0
| PRICE TARGET: $43.00 DETAILS
HIGH: $43.00
LOW: $43.00
MEDIAN: $43.00
CONSENSUS: $43.00
UPSIDE: 10.74%
AlphaVal

AlphaVal

Deterministic, archetype-aware fair value

Stable Earnings Power 40% confidence

Primary model: P/Adj-EPS × Normalized Multiple

Valuation Signal Overvalued Moderate
Trading 38.9% above fair value
Current Price $38.83
Bear Case $23.40 39.7% downside ($23.40 - $38.83) / $38.83 = -39.7% $1.30 × 18x P/E
Fair Value $27.95 28.0% downside ($27.95 - $38.83) / $38.83 = -28.0% $1.30 × 22x P/E
Bull Case $32.50 16.3% downside ($32.50 - $38.83) / $38.83 = -16.3% $1.30 × 25x P/E

Adjust Assumptions

21.5x
1.3$

Key Value Driver

Normalized P/E multiple (22x base case)

Implied Market Multiple 29.9x

Plain-Language Summary

Applying a 22x P/E to adjusted EPS of $1.30, the base-case value is $27.95 per share.

Analyst Consensus (External Reference)

Never blended into the bear/base/bull estimates above -- shown only as an outside comparison.

Average Target (21 analysts) $43.00
Analyst Range $43.00 – $43.00
Divergence from AlphaVal 35%

Warnings

Wall Street's average price target is $43.00 (from 21 analysts). Our estimate is 35% below the consensus -- consider that gap carefully.

Key Risks

  • Growth DCF inappropriate — terminal value assumptions dominate
  • EV/EBITDA misleading for regulated businesses where capex is mandated
  • Regulatory risk is a fat tail not visible in normal multiples