For Q2, Netgear guides revenues of $270. million compared to consensus of $241. million.
Netgear benefited from its product innovations. Particularly noteworthy new products are in the realm of cable gateways and network storage. Netgear introduced 20 new products in the last quarter.
What to do now?
Those holding the stock long may consider scaling out starting right here to mid $40s. Those not experienced in scaling out may refer to ZYX Change Method Trade Management guidelines.
The quantitative analysis screen of the ZYX Change Method shows fair value to be $40. The stock is likely to overshoot giving investors an opportunity to exit. Please note that the revenue projections for Q2 are flat with actual revenues in Q1.
Those not in the stock may not consider buying at the point. There are plenty of better opportunities. Please see ZYX BUY CHANGE ALERTS.
