Latest Ratios: P/E Ratio 32.4x · EV/EBITDA 14.6x · ROE 6.0%. (1999–2026 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $3.0B | $2.3B | $1.5B | $1.6B | $2.1B | $2.4B | $2.1B | $1.8B | $2.2B | $2.3B | $3.5B |
| Enterprise Value | $2.5B | $1.7B | $1.1B | $1.4B | $1.9B | $2.2B | $2.1B | $2.0B | $2.3B | $2.6B | $3.5B |
| P/E Ratio → | 32.39 | 24.45 | — | — | 34.94 | 66.83 | 108.31 | — | — | 29.28 | 105.42 |
| P/S Ratio | 3.50 | 2.65 | 1.85 | 1.88 | 2.29 | 2.82 | 2.50 | 1.99 | 2.43 | 2.36 | 3.03 |
| P/B Ratio | 1.83 | 1.38 | 0.98 | 0.83 | 1.03 | 1.17 | 1.04 | 0.92 | 1.07 | 1.12 | 1.45 |
| P/FCF | 10.55 | 7.99 | 7.23 | 29.75 | 14.33 | 8.43 | 10.53 | 8.67 | 17.47 | 11.30 | 18.02 |
| P/OCF | 10.22 | 7.74 | 7.00 | 26.54 | 13.36 | 8.14 | 9.72 | 7.91 | 14.73 | 10.45 | 15.48 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 2.02 | 1.39 | 1.63 | 2.09 | 2.62 | 2.52 | 2.29 | 2.58 | 2.59 | 3.03 |
| EV / EBITDA | 14.65 | 10.31 | — | — | 11.07 | 15.52 | 14.67 | 15.26 | 36.57 | 17.31 | 15.80 |
| EV / EBIT | 22.06 | 15.52 | — | — | 24.35 | 44.01 | 63.18 | 90.60 | — | — | 57.38 |
| EV / FCF | — | 6.07 | 5.42 | 25.80 | 13.12 | 7.85 | 10.62 | 9.95 | 18.58 | 12.41 | 18.00 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 74.2% | 74.2% | 78.3% | 77.4% | 75.6% | 75.0% | 73.3% | 72.8% | 72.1% | 72.4% | 70.2% |
| Operating Margin | 13.0% | 13.0% | -44.7% | -18.1% | 8.5% | 5.7% | 4.5% | 2.0% | -7.9% | -0.4% | 5.3% |
| Net Profit Margin | 11.1% | 11.1% | -44.6% | -17.8% | 6.5% | 4.2% | 2.3% | -0.3% | -8.1% | 8.1% | 2.9% |
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 6.0% | 6.0% | -21.3% | -7.5% | 2.9% | 1.8% | 1.0% | -0.1% | -3.5% | 3.5% | 1.4% |
| ROA | 4.2% | 4.2% | -15.3% | -5.5% | 2.0% | 1.1% | 0.6% | -0.1% | -2.2% | 2.3% | 0.9% |
| ROIC | 7.3% | 7.3% | -19.3% | -6.4% | 3.1% | 1.9% | 1.3% | 0.6% | -2.4% | -0.1% | 1.9% |
| ROCE | 6.1% | 6.1% | -18.5% | -6.6% | 3.1% | 1.8% | 1.4% | 0.6% | -2.4% | -0.1% | 2.0% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.02 | 0.02 | 0.05 | 0.10 | 0.10 | 0.23 | 0.24 | 0.31 | 0.27 | 0.29 | 0.12 |
| Debt / EBITDA | 0.24 | 0.24 | — | — | 1.21 | 3.25 | 3.39 | 4.50 | 8.57 | 4.07 | 1.35 |
| Net Debt / Equity | — | -0.33 | -0.24 | -0.11 | -0.09 | -0.08 | 0.01 | 0.13 | 0.07 | 0.11 | -0.00 |
| Net Debt / EBITDA | -3.25 | -3.25 | — | — | -1.03 | -1.16 | 0.12 | 1.95 | 2.18 | 1.55 | -0.02 |
| Debt / FCF | — | -1.92 | -1.81 | -3.95 | -1.22 | -0.58 | 0.09 | 1.27 | 1.11 | 1.11 | -0.02 |
| Interest Coverage | — | — | -50.09 | -15.70 | 7.68 | 6.33 | 3.05 | 1.09 | -2.55 | -0.48 | 6.68 |
Net cash position: cash ($586M) exceeds total debt ($40M)
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.85 | 1.85 | 1.75 | 1.70 | 1.36 | 1.94 | 1.76 | 1.65 | 2.11 | 1.82 | 1.86 |
| Quick Ratio | 1.82 | 1.82 | 1.72 | 1.67 | 1.32 | 1.89 | 1.71 | 1.60 | 2.04 | 1.74 | 1.77 |
| Cash Ratio | 1.42 | 1.42 | 1.20 | 1.07 | 0.92 | 1.48 | 1.16 | 0.97 | 1.28 | 1.09 | 0.96 |
| Asset Turnover | — | 0.37 | 0.38 | 0.32 | 0.32 | 0.27 | 0.27 | 0.29 | 0.28 | 0.29 | 0.32 |
| Inventory Turnover | 16.64 | 16.64 | 16.09 | 13.30 | 12.71 | 10.09 | 11.46 | 11.26 | 9.67 | 7.82 | 8.65 |
| Days Sales Outstanding | — | 64.33 | 72.61 | 84.53 | 57.41 | 63.24 | 86.81 | 87.39 | 94.39 | 78.95 | 92.46 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | — | — | — | — | — | — | — | — | — | — | — |
| Payout Ratio | — | — | — | — | — | — | — | — | — | — | — |
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 3.1% | 4.1% | — | — | 2.9% | 1.5% | 0.9% | — | — | 3.4% | 0.9% |
| FCF Yield | 9.5% | 12.5% | 13.8% | 3.4% | 7.0% | 11.9% | 9.5% | 11.5% | 5.7% | 8.9% | 5.5% |
| Buyback Yield | 2.5% | 3.4% | 1.7% | 3.2% | 7.2% | 1.5% | 0.2% | 9.8% | 0.7% | 21.6% | 2.5% |
| Total Shareholder Yield | 2.5% | 3.4% | 1.7% | 3.2% | 7.2% | 1.5% | 0.2% | 9.8% | 0.7% | 21.6% | 2.5% |
| Shares Outstanding | — | $72M | $73M | $71M | $73M | $75M | $74M | $75M | $79M | $88M | $93M |
Cyclical Carrier Capex Exposure
According to current market data, NTCT trades at a forward P/E of 17.23, which, when compared to its PEG ratio of 0.84, suggests that investors are pricing in significant skepticism regarding the company's ability to achieve sustainable long-term organic growth in its core service assurance segments.
The valuation multiples appear to reflect a market view of NTCT as a mature utility rather than a high-growth security provider. While the forward P/E is relatively modest, the discrepancy between the TTM P/E of 31.99 and forward expectations implies that the market is banking on a recovery in earnings that may be hindered by ongoing carrier capital expenditure volatility.
Based on reported financial figures, NTCT's ROIC has struggled to maintain momentum, fluctuating from a peak of 4.1% in 2026Q3 to a negative 23.8% in 2025Q1, indicating that the company is currently failing to generate returns that consistently exceed its cost of capital over the long term.
The erratic nature of these returns suggests that the company's heavy reliance on past acquisitions, reflected in significant goodwill, continues to weigh on capital efficiency. Investors should monitor whether management can improve asset utilization as they transition toward a more software-centric, recurring revenue model.
As reported in recent quarterly filings, NTCT's cash conversion cycle has shown significant instability, ranging from 39 days in 2026Q2 to 91 days in 2024Q4, which highlights the operational challenges inherent in managing a complex mix of hardware-based product sales and long-term service maintenance contracts.
The wide swings in DSO and CCC suggest that the company's ability to collect cash is highly sensitive to the timing of large-scale carrier procurement cycles. This lack of consistency in working capital management may indicate that the company lacks the leverage to dictate payment terms with its primary service provider customers.
Based on the latest quarterly balance sheet data, NTCT maintains a current ratio of 1.85 and a quick ratio of 1.82, providing a substantial liquidity cushion that appears more than adequate to withstand the cyclical downturns typical of the infrastructure software and network visibility industry.
The company's ability to maintain such high liquidity ratios, supported by over $580 million in cash, suggests a defensive posture that prioritizes financial stability over aggressive expansion. This liquidity position serves as a critical buffer against the lumpy revenue recognition patterns that often characterize the company's quarterly performance.
Investors frequently misapply the P/E ratio to NTCT, as reported in financial statements, because it fails to account for the significant non-cash charges and stock-based compensation that distort GAAP earnings and mask the company's underlying cash-generating capacity in its transition to a subscription-based model.
A more appropriate metric for this business model would be EV/FCF or an adjusted EBITDA multiple that strips out the amortization of intangibles from past acquisitions. Relying on P/E alone obscures the true economic value of the company's recurring maintenance base and its potential for future cash flow expansion.
Includes 30+ ratios · 28 years · Updated daily
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Quick answers to the most common questions about buying NTCT stock.
NetScout Systems, Inc.'s current P/E ratio is 32.4x. The historical average is 42.4x. This places it at the 56th percentile of its historical range.
NetScout Systems, Inc.'s current EV/EBITDA is 14.6x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 23.2x.
NetScout Systems, Inc.'s return on equity (ROE) is 6.0%. The historical average is 4.1%.
Based on historical data, NetScout Systems, Inc. is trading at a P/E of 32.4x. This is at the 56th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
NetScout Systems, Inc. has 74.2% gross margin and 13.0% operating margin. Operating margin between 10-20% is typical for established companies.
NetScout Systems, Inc.'s Debt/EBITDA ratio is 0.2x, indicating low leverage. A ratio below 2x is generally considered financially healthy.