Track market-moving stories before they get noisy

A downtrend has been apparent in NetScout Systems (NTCT - Free Report) lately. While the stock has lost 6.6% over the past four weeks, it could witness a trend reversal as a hammer chart pattern was formed in its last trading session. This could mean that the bulls have been able to counteract the bears to help the stock find support.

While the formation of a hammer pattern is a technical indication of nearing a bottom with potential exhaustion of selling pressure, rising optimism among Wall Street analysts about the future earnings of this provider of products that gauge network performance is a solid fundamental factor that enhances the prospects of a trend reversal for the stock.

Understanding Hammer Chart and the Technique to Trade ItThis is one of the popular price patterns in candlestick charting. A minor difference between the opening and closing prices forms a small candle body, and a higher difference between the low of the day and the open or close forms a long lower wick (or vertical line). The length of the lower wick being at least twice the length of the real body, the candle resembles a 'hammer.'

In simple terms, during a downtrend, with bears having absolute control, a stock usually opens lower compared to the previous day's close, and again closes lower. On the day the hammer pattern is formed, maintaining the downtrend, the stock makes a new low. However, after eventually finding support at the low of the day, some amount of buying interest emerges, pushing the stock up to close the session near or slightly above its opening price.

When it occurs at the bottom of a downtrend, this pattern signals that the bears might have lost control over the price. And, the success of bulls in stopping the price from falling further indicates a potential trend reversal.

Hammer candles can occur on any timeframe -- such as one-minute, daily, weekly -- and are utilized by both short-term as well as long-term investors.

Like every technical indicator, the hammer chart pattern has its limitations. Particularly, as the strength of a hammer depends on its placement on the chart, it should always be used in conjunction with other bullish indicators.

Here's What Makes the Trend Reversal More Likely for NTCTAn upward trend in earnings estimate revisions that NTCT has been witnessing lately can certainly be considered a bullish indicator on the fundamental side. That's because empirical research shows that trends in earnings estimate revisions are strongly correlated with near-term stock price movements.

Over the last 30 days, the consensus EPS estimate for the current year has increased 4.4%. What it means is that the sell-side analysts covering NTCT are majorly in agreement that the company will report better earnings than they predicted earlier.

If this is not enough, you should note that NTCT currently has a Zacks Rank #1 (Strong Buy), which means it is in the top 5% of more than 4,000 stocks that we rank based on trends in earnings estimate revisions and EPS surprises. And stocks carrying a Zacks Rank #1 or 2 usually outperform the market. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .

Moreover, a Zacks Rank of 1 for NetScout is a more conclusive indication of a potential trend reversal, as the Zacks Rank has proven to be an excellent timing indicator that helps investors identify precisely when a company's prospects are beginning to improve.

WESTFORD, Mass.--(BUSINESS WIRE)--NETSCOUT® SYSTEMS, INC. (NASDAQ: NTCT), a leading provider of observability, AIOps, cybersecurity, and DDoS attack protection solutions, expands its data platform to provide the trusted operational context required to build the foundation for enterprise AI. The NETSCOUT data platform observes digital interactions, converts packets into high-fidelity, compact, contextualized evidence in real time, and curates that evidence at scale for observability, service ass.

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WESTFORD, Mass.--(BUSINESS WIRE)--NETSCOUT SYSTEMS, INC. (NASDAQ: NTCT), a leading provider of network observability, AIOps, carrier service assurance, cybersecurity, and DDoS attack protection, today announced that the Company will participate in the 9th Annual B. Riley Securities Consumer & TMT Conference in New York City on September 10, 2026.

CFO Tony Piazza, CTO Representative Dr. Vikram Saksena, and VP Corporate Finance Scott Dressel will be available to take meetings with investors.

About NETSCOUT
NETSCOUT SYSTEMS, INC. (NASDAQ: NTCT) protects the connected world from cyberattacks and performance and availability disruptions through its unique visibility platform and solutions powered by its pioneering deep packet inspection at scale technology. As a leading provider of network observability, AIOps, carrier service assurance, cybersecurity, and Distributed Denial-of-Service (DDoS) attack protection solutions, NETSCOUT serves the world’s largest enterprises, service providers, and public sector organizations. Learn more at www.netscout.com or follow @NETSCOUT on LinkedIn, X, or Facebook.

©2026 NETSCOUT SYSTEMS, INC. All rights reserved. NETSCOUT and the NETSCOUT logo are registered trademarks or trademarks of NETSCOUT SYSTEMS, INC., and/or its subsidiaries and/or affiliates in the USA and/or other countries.

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Deutsche Bank AG purchased a new position in NetScout Systems, Inc. (NASDAQ:NTCT – Free Report) in the second quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor purchased 177,624 shares of the technology company’s stock, valued at approximately $7,736,000. Deutsche Bank AG owned approximately 0.24% of NetScout Systems at the end of the most recent reporting period.

Other institutional investors and hedge funds have also bought and sold shares of the company. ProShare Advisors LLC grew its holdings in shares of NetScout Systems by 3.3% during the 4th quarter. ProShare Advisors LLC now owns 13,587 shares of the technology company’s stock worth $368,000 after acquiring an additional 437 shares during the period. IFP Advisors Inc lifted its stake in shares of NetScout Systems by 147.2% in the 4th quarter. IFP Advisors Inc now owns 1,011 shares of the technology company’s stock valued at $27,000 after purchasing an additional 602 shares during the period. Quantinno Capital Management LP lifted its stake in shares of NetScout Systems by 6.2% in the 2nd quarter. Quantinno Capital Management LP now owns 10,552 shares of the technology company’s stock valued at $262,000 after purchasing an additional 615 shares during the period. Northwestern Mutual Wealth Management Co. boosted its position in shares of NetScout Systems by 14.5% during the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 4,883 shares of the technology company’s stock valued at $132,000 after purchasing an additional 618 shares in the last quarter. Finally, Farther Finance Advisors LLC boosted its position in shares of NetScout Systems by 92.8% during the fourth quarter. Farther Finance Advisors LLC now owns 1,290 shares of the technology company’s stock valued at $35,000 after purchasing an additional 621 shares in the last quarter. 91.64% of the stock is currently owned by hedge funds and other institutional investors.

NetScout Systems Price Performance Shares of NTCT opened at $38.49 on Monday. The stock has a market cap of $2.80 billion, a P/E ratio of 23.47 and a beta of 0.69. The business’s 50 day moving average price is $40.70 and its 200-day moving average price is $36.23. NetScout Systems, Inc. has a 52 week low of $22.75 and a 52 week high of $45.28.

NetScout Systems (NASDAQ:NTCT – Get Free Report) last posted its quarterly earnings data on Thursday, August 6th. The technology company reported $0.52 earnings per share for the quarter, beating analysts’ consensus estimates of $0.38 by $0.14. The company had revenue of $210.42 million during the quarter, compared to analyst estimates of $196.17 million. NetScout Systems had a return on equity of 9.25% and a net margin of 13.71%.The firm’s revenue for the quarter was up 12.7% on a year-over-year basis. During the same quarter last year, the company earned $0.34 EPS. NetScout Systems has set its FY 2027 guidance at 2.650-2.800 EPS. On average, equities analysts anticipate that NetScout Systems, Inc. will post 2.15 EPS for the current year. Analyst Ratings Changes NTCT has been the subject of a number of research reports. Royal Bank Of Canada increased their price objective on NetScout Systems from $29.00 to $38.00 and gave the stock a “sector perform” rating in a report on Friday, May 8th. Weiss Ratings raised shares of NetScout Systems from a “hold (c)” rating to a “hold (c+)” rating in a research report on Thursday, August 13th. Zacks Research raised shares of NetScout Systems from a “hold” rating to a “strong-buy” rating in a research report on Wednesday, August 19th. Finally, Wall Street Zen upgraded shares of NetScout Systems from a “buy” rating to a “strong-buy” rating in a research note on Saturday, August 8th. Two research analysts have rated the stock with a Strong Buy rating and two have given a Hold rating to the company’s stock. According to MarketBeat.com, the company currently has a consensus rating of “Buy” and an average price target of $35.50.

Read Our Latest Stock Analysis on NTCT

Insider Buying and Selling at NetScout Systems In other news, EVP John Downing sold 8,000 shares of the firm’s stock in a transaction on Tuesday, August 11th. The stock was sold at an average price of $38.41, for a total transaction of $307,280.00. Following the completion of the transaction, the executive vice president directly owned 127,809 shares in the company, valued at $4,909,143.69. This trade represents a 5.89% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, COO Sanjay Munshi sold 2,269 shares of NetScout Systems stock in a transaction dated Monday, August 17th. The stock was sold at an average price of $39.27, for a total value of $89,103.63. Following the completion of the transaction, the chief operating officer directly owned 6,729 shares of the company’s stock, valued at approximately $264,247.83. This represents a 25.22% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 18,269 shares of company stock valued at $718,704 over the last 90 days. Corporate insiders own 4.74% of the company’s stock.

NetScout Systems Company Profile (Free Report)

NetScout Systems, Inc is a leading provider of network performance management, service assurance and cybersecurity solutions. The company designs and delivers hardware and software platforms that capture and analyze real-time and historical packet data, enabling IT teams and service providers to monitor application performance, troubleshoot network issues and defend against distributed denial-of-service (DDoS) attacks. NetScout’s flagship offerings include the nGeniusONE service assurance platform and the InfiniStream packet broker, which together provide end-to-end visibility across hybrid and multi-cloud environments.

Founded in 1984 and headquartered in Westford, Massachusetts, NetScout has built a reputation for scalable and resilient monitoring infrastructure.

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Enhanced Arbor Edge Defense Identifies Attack Sources Hidden Behind CDN Proxies

WESTFORD, Mass.--(BUSINESS WIRE)--NETSCOUT® (NASDAQ: NTCT), a leading provider of observability, AIOps, cybersecurity, and DDoS attack protection solutions, today announced enhancements to its Arbor Edge Defense (AED) solution that helps enterprises maintain the availability of revenue-generating and mission-critical applications against sophisticated DDoS attacks that evade or bypass content delivery network (CDN) DDoS defenses. The enhancements identify malicious sources concealed behind shared CDN infrastructure and apply precise, service-specific countermeasures to block attacks without denying access to legitimate customers using the same CDN.

“Cybercriminals launch DDoS attacks for many reasons, but the ultimate outcome is to drain the targeted organization's resources,” said Christopher Rodriguez, research director, security and trust, IDC. “These attacks pose significant operational and financial risk because adversaries can target multiple layers of an organization’s infrastructure and rapidly shift attack methods. Effective DDoS defense must be dynamic, highly performant, and broad enough to protect critical services across the attack surface.”

Organizations rely on CDNs to accelerate digital experiences and absorb large-scale traffic surges, but CDN deployment alone does not eliminate DDoS risk. Dynamic applications, APIs, authentication services, uncached requests, and exposed origin infrastructure can remain vulnerable. Attackers exploit these gaps by sending DDoS attacks disguised as application-layer traffic that resembles legitimate user activity. CDN DDoS defenses can miss this traffic because they focus on detecting volumetric DDoS attacks and rely on generic protections that are not customized to the individual customer applications being protected. These advanced application-layer DDoS attacks bypass CDN DDoS protections to the customer datacenter, causing outages and impacting revenue. Defenders must either allow the attack through or block it, including the legitimate traffic along with it. NETSCOUT restores source-level visibility and enables precise mitigation of all CDN traffic closer to the protected service.

The enhanced AED solution enables enterprises to:

Reveal Attack sources hidden by CDN proxies: AED integrates a high-performance TLS transparent proxy to decrypt and inspect application traffic, identify its true source from application headers, and apply precise application-layer DDoS countermeasures to block DDoS traffic that CDNs do not. Stop application layer attacks: Detect traffic designed to exhaust application, API, authentication or infrastructure resources. Protect applications with service-specific policies: Apply countermeasures tailored to the behavior and requirements of each protected service. Preserve legitimate customer access: Block malicious traffic precisely without denying service to broad ranges of users behind shared CDN infrastructure and without impacting other traffic arriving from the CDN proxy. Defend direct and CDN-mediated traffic paths: Mitigate attacks that pass through the CDN as well as attacks that bypass it and target origin infrastructure directly. Extend existing CDN investments: Add an independent layer of protection and visibility without requiring the enterprise to replace their CDN provider. “Enterprises cannot assume that putting a CDN in front of an application protects every path attackers can use to reach it,” said Scott Iekel-Johnson, AVP, product management, NETSCOUT. “Attackers increasingly look for ways around defenses, including targeting origin infrastructure directly or slipping through the CDN by mimicking legitimate traffic. AED closes those gaps by extending DDoS protection beyond the CDN, closer to the application itself, securing the paths attackers still exploit, enabling enterprises to protect critical applications precisely while keeping legitimate customers connected.”

The AED enhancements extend NETSCOUT’s established DDoS protection portfolio into an increasingly important point of enterprise exposure: the connection between shared cloud delivery infrastructure and business-critical applications. By complementing existing CDN investments rather than requiring organizations to replace them, AED helps customers address a significant area of exposure while extracting greater security value from current infrastructure investments. For enterprises whose revenue, operations and public services depend on application availability, this provides an additional layer of resilience at the point where an attack can have the greatest business impact.

Resources:

Explore NETSCOUT Arbor Edge Defense and its CDN-aware DDoS protection capabilities. Learn why CDNs alone are not sufficient for modern DDoS Protection. Review current global DDoS attack trends in the NETSCOUT DDoS Threat Intelligence Report. About NETSCOUT

NETSCOUT SYSTEMS, INC. (NASDAQ: NTCT) protects the connected world from cyberattacks and performance and availability disruptions through its unique visibility platform and solutions powered by its pioneering deep packet inspection at scale technology. As a leading provider of network observability, AIOps, carrier service assurance, cybersecurity, and Distributed Denial-of-Service (DDoS) attack protection solutions, NETSCOUT serves the world’s largest enterprises, service providers, and public sector organizations. Learn more at www.netscout.com or follow @NETSCOUT on LinkedIn, X, or Facebook.

©2026 NETSCOUT SYSTEMS, INC. All rights reserved. Third-party trademarks mentioned are the property of their respective owners.

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WESTFORD, Mass.--(BUSINESS WIRE)--NETSCOUT® (NASDAQ: NTCT), a leading provider of observability, AIOps, cybersecurity, and DDoS attack protection solutions, today announced an extension of its Adaptive DDoS Protection (ADP) solution enabling service providers to automatically detect and mitigate outbound DDoS attack traffic. By extending protection from the attack target towards its source, NETSCOUT helps operators prevent compromised subscriber devices from disrupting their own networks, consu.

NetScout Systems, Inc. (NTCT) Q1 2027 Earnings Call Transcript

- Delivers Strong First Quarter Results Providing Solid Start to the Fiscal Year; Reaffirms Full Year Outlook -

WESTFORD, Mass.--(BUSINESS WIRE)--NETSCOUT SYSTEMS, INC. (NASDAQ: NTCT), a leading provider of network observability, AIOps, carrier service assurance, cybersecurity, and DDoS attack protection, announced financial results for its first quarter ended June 30, 2026.

Delivering strong Q1 results, we provided a solid start to FY27. Enterprises and service providers continue to rely on NETSCOUT for mission-critical, high-fidelity visibility across increasingly complex digital environments. We reaffirmed our FY outlook.

Share Remarks by Anil Singhal, NETSCOUT’s President & Chief Executive Officer:

“We delivered strong first quarter results, providing a solid start to our fiscal year 2027. Performance was driven by our Service Assurance offering, which benefited in part from government-related orders, some of which were received earlier than anticipated. Growth also reflected traction in some of our newest innovations, including our Omnis Sensor and Streamer solutions. Our Cybersecurity revenue was consistent with the prior year against a strong comparison. Together, these underscore how enterprises and service providers continue to rely on NETSCOUT for mission-critical, high-fidelity visibility across increasingly complex digital environments and reflect our continued focus on technology advancements across our portfolio. Additionally, in June, we marked a major milestone in NETSCOUT’s 40-year history of innovation with the issuance of our 750th patent.

“We are reaffirming our fiscal year 2027 outlook as we continue to execute on our strategy to drive revenue, expand margins, and generate solid free cash flow. As customers accelerate adoption of new AI-enabled applications, we are well positioned to deliver the intelligence that strengthens network resilience, improves operational efficiency, and supports confident, data-driven decision-making.”

First Quarter Financial Results: FY2027 compared with FY2026

Total revenue grew 12.7% to $210.4 million, compared with $186.7 million. Product revenue increased 17.8% to $86.0 million, or 41% of total revenue, compared with $73.0 million, or 39%. As of June 30, 2026, total product backlog was $33 million, including $28 million of fulfillable backlog, compared with $31 million and $23 million, respectively, as of June 30, 2025. Service revenue increased 9.4% to $124.4 million, or 59% of total revenue, compared with $113.8 million, or 61%. GAAP income from operations was $14.5 million, or 6.9% of total revenue. This compares with a GAAP loss from operations of $6.6 million, or negative 3.5% of total revenue. Non-GAAP income from operations was $43.7 million, or 20.8% of total revenue, compared with $26.6 million, or 14.2%. GAAP net income was $21.8 million, or $0.29 per diluted share, compared with GAAP net loss of $3.7 million, or a loss of $0.05 per diluted share. Non-GAAP net income was $38.6 million, or $0.52 per diluted share, compared with $24.7 million, or $0.34 per diluted share. Adjusted EBITDA was $46.9 million, or 22.3% of total revenue, compared with $29.3 million, or 15.7%. A reconciliation of GAAP and non-GAAP results is included in the financial tables below. As of June 30, 2026, cash, cash equivalents, and short and long-term marketable securities totaled $668.5 million, compared with $705.1 million as of March 31, 2026, primarily reflecting the impact of the previously disclosed acquisition of DigiCert's DDoS attack protection business assets.

Financial Outlook

For fiscal year 2027, NETSCOUT is reaffirming its outlook, reflecting anticipated continued growth and margin expansion:

Revenue to range from $885.0 million to $915.0 million, implying 4.7% year-over-year growth at the midpoint; GAAP net income per diluted share to range from $1.55 to $1.70; and Non-GAAP net income per diluted share to range from $2.65 to $2.80, implying 9.9% year-over-year growth at the midpoint. A reconciliation between GAAP and non-GAAP fiscal year 2027 outlook is in the financial tables below. Recent Highlights

In July, NETSCOUT announced the doubling of Arbor Cloud mitigation capacity to 33 terabits per second, building directly on our May acquisition of DigiCert’s DDoS attack protection business assets. Together, these actions reflect a deliberate strategy to scale Arbor Cloud with greater control, efficiency, and speed by bringing the platform fully in-house, enabling faster and more efficient capacity investment, tighter alignment between infrastructure and threat intelligence, accelerated innovation, and improved margin potential from recurring revenue, while strengthening our ability to deliver resilient, high-performance protection against increasingly complex and large-scale attacks. In June, NETSCOUT was awarded its 750th patent for “Systems and Methods for Performing Computer Network Service Chain Analysis.” The patent portfolio covers a broad spectrum of technologies, including packet capture and real-time analysis at carrier and enterprise scale; DDoS attack detection, classification, and automated mitigation; mobile network performance monitoring, 5G service assurance, and radio access network observability; network detection and response; artificial intelligence and machine learning-driven analytics; adaptive threat detection; and smart data that is primed for AI and agentic AI workloads. Conference Call Instructions:

NETSCOUT will host a conference call to discuss its first quarter financial results and full fiscal year 2027 financial outlook:

August 6, 2026 at 8:30 a.m. ET Webcast live at https://ir.netscout.com/investors/overview/default.aspx Dial-in to (800) 267-6316, or (203) 518-9783 for international callers, code NTCTQ127. To access a replay, call (800) 839-3734, or (402) 220-2976 internationally, available today after 12:00 p.m. ET for approximately one week or listen on NETSCOUT’s website for one year. Use of Non-GAAP Financial Information:

To supplement the financial measures presented in NETSCOUT's press release in accordance with accounting principles generally accepted in the United States (GAAP), NETSCOUT also reports the following non-GAAP measures: non-GAAP gross profit, non-GAAP income from operations, non-GAAP operating margin, non-GAAP net income, non-GAAP diluted net income per share, and adjusted EBITDA. Non-GAAP gross profit removes expenses related to the amortization of acquired intangible assets, share-based compensation expense, and acquisition-related depreciation expense from gross profit (GAAP). Non-GAAP income from operations includes the aforementioned adjustments related to non-GAAP gross profit and also removes executive transition costs and restructuring charges from income from operations (GAAP). Non-GAAP operating margin is non-GAAP income from operations expressed as a percentage of revenue. Non-GAAP net income includes the foregoing adjustments related to non-GAAP income from operations and also removes the income tax effects of such adjustments as well as any loss on extinguishment of debt from net income (GAAP). Non-GAAP diluted net income per share is non-GAAP net income divided by total outstanding shares on a diluted basis. Adjusted EBITDA includes the aforementioned adjustments related to non-GAAP net income and also removes interest and other expense, income tax expense, and depreciation from net income (GAAP). Beginning in the third quarter of fiscal year 2026, we have renamed non-GAAP EBITDA from operations to adjusted EBITDA. Investors are encouraged to review the related GAAP financial measures and the reconciliation of these non-GAAP financial measures to their most directly comparable GAAP financial measures included in the attached tables within this press release.

These non-GAAP measures are not prepared in accordance with GAAP, should not be considered an alternative for measures prepared in accordance with GAAP (gross profit, income from operations, operating margin, net income, and diluted net income per share), and may have limitations because they do not reflect all NETSCOUT’s results of operations as determined in accordance with GAAP. These non-GAAP measures should only be used to evaluate NETSCOUT’s results of operations in conjunction with the corresponding GAAP measures. The presentation of non-GAAP information is not meant to be considered superior to, in isolation from, or as a substitute for results prepared in accordance with GAAP. NETSCOUT believes these non-GAAP financial measures will enhance the reader’s overall understanding of NETSCOUT’s current financial performance and NETSCOUT's prospects for the future by providing a higher degree of transparency for certain financial measures and providing a level of disclosure that helps investors understand how the Company plans and measures its own business. NETSCOUT believes that providing these non-GAAP measures affords investors a view of NETSCOUT’s operating results that may be more easily compared to peer companies and also enables investors to consider NETSCOUT’s operating results on both a GAAP and non-GAAP basis during and following the integration period of NETSCOUT’s acquisitions. Presenting the GAAP measures on their own, without the supplemental non-GAAP disclosures, might not be indicative of NETSCOUT’s core operating results. Furthermore, NETSCOUT believes that the presentation of non-GAAP measures when shown in conjunction with the corresponding GAAP measures provides useful information to management and investors regarding present and future business trends relating to its financial condition and results of operations.

NETSCOUT management regularly uses supplemental non-GAAP financial measures internally to understand, manage and evaluate its business and to make operating decisions. These non-GAAP measures are among the primary factors that management uses in planning and forecasting.

About NETSCOUT

NETSCOUT SYSTEMS, INC. (NASDAQ: NTCT) protects the connected world from cyberattacks and performance and availability disruptions through its unique visibility platform and solutions powered by its pioneering deep packet inspection at scale technology. As a leading provider of network observability, AIOps, carrier service assurance, cybersecurity, and Distributed Denial-of-Service (DDoS) attack protection solutions, NETSCOUT serves the world’s largest enterprises, service providers, and public sector organizations. Learn more at www.netscout.com or follow @NETSCOUT on LinkedIn, X, or Facebook.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934, which are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and other federal securities laws. Examples of forward-looking statements include statements regarding our future financial performance or position, liquidity, results of operations, business strategy, plans and objectives of management for future operations, and other statements that are not historical fact. You can identify forward-looking statements by their use of forward-looking words such as “may,” “will,” “anticipate,” “expect,” “believe,” “estimate,” “intend,” “plan,” “should,” “seek,” or other comparable terms. Investors are cautioned that such forward-looking statements in this press release include, without limitation, statements regarding NETSCOUT continuing to execute on its strategy to drive revenue growth, margin expansion, and solid free cash flow, and believes it is well positioned to deliver the intelligence that strengthens network resilience, improves operational efficiency, and supports confident, data-driven decision making; NETSCOUT’s financial outlook and expectations; NETSCOUT’s strategic objectives, plans, commitments, aspirations and goals. Actual results could differ materially from those indicated in the forward-looking statements due to known and unknown risks, uncertainties, assumptions, and other factors, including macroeconomic factors and slowdowns or downturns in economic conditions generally and in the market for advanced networks, service assurance and cybersecurity solutions specifically; the volatile foreign exchange environment; the Company’s relationships with strategic partners and resellers; dependence upon broad-based acceptance of the Company’s network performance management solutions; the presence of competitors with greater financial resources than the Company has, and their strategic response to the Company’s products; the Company’s ability to retain key executives and employees; potential lower than expected demand for the Company’s products and services; and the Company’s ability to recognize the expected gain from its acquisition of the assets of DigiCert, Inc.’s DDoS protection business. The risks included above are not exhaustive. For a more detailed description of the risk factors associated with the Company, please refer to the “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and “Risk Factors” sections of the Company’s filings with the Securities and Exchange Commission, including but not limited to, our annual report on Form 10-K and quarterly reports on Form 10-Q. Any forward-looking information in this press release is as of the date of this press release, and NETSCOUT undertakes no obligation to update such information unless required by law. We may not actually achieve the plans, intentions, or expectations disclosed in our forward-looking statements, and you should not place undue reliance on our forward-looking statements. NETSCOUT’s financial guidance is based on estimates and assumptions that are subject to significant uncertainties.

©2026 NETSCOUT SYSTEMS, INC. All rights reserved. NETSCOUT and the NETSCOUT logo are registered trademarks or trademarks of NETSCOUT SYSTEMS, INC. and/or its subsidiaries and/or affiliates in the USA and/or other countries.

NETSCOUT SYSTEMS, INC.

Condensed Consolidated Statements of Operations

(In thousands, except for per share data)

(Unaudited)

Three Months Ended

June 30,

2026

2025

Revenue:

Product

$

86,006

$

72,993

Service

124,417

113,754

Total revenue

$

210,423

$

186,747

Cost of revenue:

Product

$ 

9,672

$ 11,925

Service

34,818

31,497

Total cost of revenue

$

44,490

$

43,422

Gross profit

$

165,933

$

143,325

Operating expenses:

Research and development

$ 42,354

$ 39,789

Sales and marketing

72,751

70,595

General and administrative

25,716

27,857

Amortization of acquired intangible assets

10,610

11,119

Restructuring charges

25

529

Total operating expenses

$

151,456

$

149,889

Income (loss) from operations

$ 14,477

$ (6,564

)

Interest and other income, net

4,481

3,736

Income (loss) before income tax (benefit) expense

$

18,958

$

(2,828

)

Income tax (benefit) expense

(2,877

)

851

Net income (loss)

$

21,835

$

(3,679

)

Basic net income (loss) per share

$

0.30

$

(0.05

)

Diluted net income (loss) per share

$

0.29

$

(0.05

)

Weighted average common shares outstanding used in computing:

Net income (loss) per share - basic

71,812

71,729

Net income (loss) per share - diluted

74,597

71,729

NETSCOUT SYSTEMS, INC.

Condensed Consolidated Balance Sheets

(In thousands)

(Unaudited)

June 30,

March 31,

2026

2026

Assets

Current assets:

Cash, cash equivalents and marketable securities

$

629,411

$

667,957

Accounts receivable and unbilled costs, net

79,966

151,473

Inventories and deferred costs

20,909

13,321

Prepaid expenses and other current assets

41,972

35,131

Total current assets

$

772,258

$

867,882

Fixed assets, net

26,158

23,558

Operating lease right-of-use assets

36,026

35,553

Goodwill and intangible assets, net

1,323,326

1,284,887

Long-term marketable securities

39,062

37,188

Other assets

114,008

105,449

Total assets

$

2,310,838

$

2,354,517

Liabilities and Stockholders' Equity

Current liabilities:

Accounts payable

$ 

23,536

$ 

23,492

Accrued compensation

61,162

84,515

Accrued other

14,256

21,667

Deferred revenue and customer deposits

313,327

330,601

Current portion of operating lease liabilities

10,836

9,874

Total current liabilities

$

423,117

$

470,149

Other long-term liabilities

6,430

6,568

Deferred tax liability

2,189

2,225

Accrued long-term retirement benefits

27,938

28,336

Long-term deferred revenue and customer deposits

158,996

168,261

Operating lease liabilities, net of current portion

29,144

29,718

Total liabilities

$

647,814

$

705,257

Stockholders' equity:

Common stock

138

136

Additional paid-in capital

3,342,802

3,325,400

Accumulated other comprehensive income

3,893

4,032

Treasury stock, at cost

(1,756,732

)

(1,731,396

)

Retained earnings

72,923

51,088

Total stockholders' equity

$

1,663,024

$

1,649,260

Total liabilities and stockholders' equity

$

2,310,838

$

2,354,517

NETSCOUT SYSTEMS, INC.

Reconciliation of Current GAAP to Current and Historical Non-GAAP Financial Measures

(In thousands, except for per share data)

(Unaudited)

Three Months Ended

Three Months Ended

June 30,

March 31,

2026

2025

2026

Revenue

$

210,423

$

186,747

$

203,035

Gross profit (GAAP)

$

165,933

$

143,325

$

159,108

Share-based compensation expense (1)

3,117

3,160

2,176

Amortization of acquired intangible assets (2)

642

550

550

Acquisition related depreciation expense (3)

—

2

2

Non-GAAP gross profit

$

169,692

$

147,037

$

161,836

Income (loss) from operations (GAAP)

$

14,477

$

(6,564

)

$

19,588

GAAP operating margin

6.9

%

(3.5

)%

9.6

%

Share-based compensation expense (1)

17,965

19,959

12,599

Amortization of acquired intangible assets (2)

11,252

11,669

11,715

Restructuring charges

25

529

25

Acquisition related depreciation expense (3)

—

12

12

Executive transition costs (4)

—

959

—

Non-GAAP income from operations

$

43,719

$

26,564

$

43,939

Non-GAAP operating margin

20.8

%

14.2

%

21.6

%

Net income (loss) (GAAP)

$

21,835

$

(3,679

)

$

18,240

Share-based compensation expense (1)

17,965

19,959

12,599

Amortization of acquired intangible assets (2)

11,252

11,669

11,715

Restructuring charges

25

529

25

Acquisition related depreciation expense (3)

—

12

12

Executive transition costs (4)

—

959

—

Income tax adjustments (5)

(12,517

)

(4,712

)

(4,116

)

Non-GAAP net income

$

38,560

$

24,737

$

38,475

Diluted net income (loss) per share (GAAP)

$

0.29

$

(0.05

)

$

0.25

Share impact of non-GAAP adjustments identified above

0.23

0.39

0.27

Non-GAAP diluted net income per share

$

0.52

$

0.34

$

0.52

Shares used in computing non-GAAP diluted net income per share

74,597

73,376

74,171

NETSCOUT SYSTEMS, INC.

Reconciliation of Current GAAP to Current and Historical Non-GAAP Financial Measures - Continued

(In thousands)

(Unaudited)

Three Months Ended

Three Months Ended

June 30,

March 31,

2026

2025

2026

(1)

Share-based compensation expense included in these amounts is as follows:

Cost of product revenue

$

403

$

413

$

275

Cost of service revenue

2,714

2,747

1,901

Research and development

5,310

5,532

3,843

Sales and marketing

6,242

6,889

4,412

General and administrative

3,296

4,378

2,168

Total share-based compensation expense

$

17,965

$

19,959

$

12,599

(2)

Amortization expense related to acquired software and product technology, tradenames, customer relationships included in these amounts is as follows:

Cost of product revenue

$

372

$

550

$

550

Cost of service revenue

270

—

—

Operating expenses

10,610

11,119

11,165

Total amortization expense

$

11,252

$

11,669

$

11,715

(3)

Acquisition related depreciation expense included in these amounts is as follows:

Cost of product revenue

$

—

$

2

$

2

Research and development

—

8

8

Sales and marketing

—

2

2

Total acquisition related depreciation expense

$

—

$

12

$

12

(4)

Executive transition costs included in these amounts is as follows:

General and administrative

$

—

$

959

$

—

Total executive transition costs

$

—

$

959

$

—

(5)

Total income tax adjustment included in this amount is as follows:

Tax effect of non-GAAP adjustments above

$

(12,517

)

$

(4,712

)

$

(4,116

)

Total income tax adjustments

$

(12,517

)

$

(4,712

)

$

(4,116

)

NETSCOUT SYSTEMS, INC.

Reconciliation of Current GAAP to Current and Historical Non-GAAP Financial Measures -

Adjusted EBITDA

(In thousands)

(Unaudited)

Three Months

Three Months Ended

June 30,

March 31,

2026

2025

2026

Net income (loss) (GAAP)

$

21,835

$

(3,679

)

$

18,240

Net income (loss) (GAAP) as a % of revenue

10.4

%

(2.0

)%

9.0

%

Share-based compensation expense (1)

17,965

19,959

12,599

Amortization of acquired intangible assets (2)

11,252

11,669

11,715

Restructuring charges

25

529

25

Acquisition related depreciation expense (3)

—

12

12

Executive transition costs (4)

—

959

—

Income tax adjustments (5)

(12,517

)

(4,712

)

(4,116

)

Net income non-GAAP

$

38,560

$

24,737

$

38,475

Interest and other income, net GAAP

(4,481

)

(3,736

)

(3,758

)

Depreciation and amortization excluding amortization of acquired intangible assets and acquisition related-depreciation expense

3,186

2,776

2,496

Income tax expense non-GAAP

9,640

5,563

9,222

Adjusted EBITDA

$

46,905

$

29,340

$

46,435

Adjusted EBITDA as a % of revenue

22.3

%

15.7

%

22.9

%

NETSCOUT SYSTEMS, INC.

Reconciliation of GAAP Financial Outlook to Non-GAAP Financial Outlook

(Unaudited)

(In millions, except net income per share - diluted)

FY'26

FY'27

Revenue

$

859.5

~$885 million to ~$915 million

FY'26

FY'27

GAAP net income (loss)

$

95.5

~$115 million to ~$126 million

Amortization of intangible assets

46.8

~$46 million

Share-based compensation expenses

59.9

~$55 million

Business development & integration expenses

—

~Less than $1 million

Restructuring charges

0.9

—

Executive transition costs

1.0

—

Total adjustments

$

108.6

~$102 million

Related impact of adjustments on income tax

(22.1

)

(~$20 million)

Non-GAAP net income

$

182.0

~$197 million to ~$208 million

GAAP net income per share (diluted)

$

1.30

~$1.55 to ~$1.70

Non-GAAP net income per share (diluted)

$

2.48

~$2.65 to ~$2.80

Average weighted shares outstanding (diluted GAAP)

73.4

~74 million to ~75 million

Average weighted shares outstanding (diluted non-GAAP)

73.4

~74 million to ~75 million

**Figures in table may not total due to rounding

WESTFORD, Mass.--(BUSINESS WIRE)--NETSCOUT® (NASDAQ: NTCT), a leading provider of observability, AIOps, cybersecurity, and DDoS attack protection solutions, today announced continued investments in infrastructure and technology to double its Arbor® Cloud DDoS attack mitigation capacity to 33 Tbps, which is aimed at keeping critical digital services available during DDoS attacks, protecting revenue-generating digital operations, supporting always-on AI-driven businesses, and maintaining customer.

On July 09, 2026, NetScout Systems Inc (NTCT) shares rose 4.2% to $44.84, continuing a strong upward trend with a year-to-date gain of 65.7%. The stock has fluc

Posted by Defense World Staff on Mar 30th, 2026

JPMorgan Chase & Co. raised its position in NetScout Systems, Inc. (NASDAQ:NTCT – Free Report) by 65.8% in the third quarter, according to its most recent Form 13F filing with the SEC. The institutional investor owned 343,551 shares of the technology company’s stock after buying an additional 136,377 shares during the period. JPMorgan Chase & Co. owned about 0.48% of NetScout Systems worth $8,874,000 at the end of the most recent quarter.

Other large investors have also modified their holdings of the company. Strs Ohio boosted its stake in shares of NetScout Systems by 1.9% during the 3rd quarter. Strs Ohio now owns 32,700 shares of the technology company’s stock worth $845,000 after acquiring an additional 600 shares in the last quarter. Quantinno Capital Management LP raised its holdings in NetScout Systems by 6.2% in the 2nd quarter. Quantinno Capital Management LP now owns 10,552 shares of the technology company’s stock worth $262,000 after purchasing an additional 615 shares during the period. Hsbc Holdings PLC raised its holdings in NetScout Systems by 0.7% in the 2nd quarter. Hsbc Holdings PLC now owns 113,771 shares of the technology company’s stock worth $2,824,000 after purchasing an additional 815 shares during the period. CI Investments Inc. boosted its position in NetScout Systems by 48.4% during the third quarter. CI Investments Inc. now owns 2,707 shares of the technology company’s stock worth $70,000 after purchasing an additional 883 shares in the last quarter. Finally, Allworth Financial LP boosted its position in NetScout Systems by 90.1% during the third quarter. Allworth Financial LP now owns 2,083 shares of the technology company’s stock worth $54,000 after purchasing an additional 987 shares in the last quarter. Institutional investors and hedge funds own 91.64% of the company’s stock.

Analysts Set New Price Targets A number of analysts have recently commented on NTCT shares. Wall Street Zen upgraded NetScout Systems from a “hold” rating to a “buy” rating in a research report on Saturday, February 28th. Royal Bank Of Canada decreased their target price on NetScout Systems from $31.00 to $29.00 and set a “sector perform” rating on the stock in a research report on Monday, January 5th. Finally, Weiss Ratings reissued a “hold (c)” rating on shares of NetScout Systems in a research note on Monday, December 29th. One equities research analyst has rated the stock with a Strong Buy rating and two have given a Hold rating to the company. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $31.00.

View Our Latest Stock Report on NetScout Systems

NetScout Systems Stock Performance NTCT stock opened at $31.86 on Monday. NetScout Systems, Inc. has a 12-month low of $18.12 and a 12-month high of $32.87. The stock has a market cap of $2.30 billion, a price-to-earnings ratio of 24.51 and a beta of 0.63. The business’s 50-day moving average is $29.27 and its 200 day moving average is $27.72.

NetScout Systems (NASDAQ:NTCT – Get Free Report) last posted its quarterly earnings data on Thursday, February 5th. The technology company reported $1.00 EPS for the quarter, topping the consensus estimate of $0.86 by $0.14. The company had revenue of $250.68 million during the quarter, compared to analyst estimates of $233.69 million. NetScout Systems had a return on equity of 8.49% and a net margin of 11.13%.NetScout Systems’s quarterly revenue was down .5% on a year-over-year basis. During the same period in the previous year, the business earned $0.94 EPS. NetScout Systems has set its FY 2026 guidance at 2.370-2.450 EPS. As a group, equities analysts forecast that NetScout Systems, Inc. will post 1.5 EPS for the current fiscal year.

Insider Activity at NetScout Systems In related news, EVP John Downing sold 3,000 shares of the stock in a transaction on Friday, February 20th. The stock was sold at an average price of $30.00, for a total value of $90,000.00. Following the completion of the transaction, the executive vice president directly owned 129,494 shares of the company’s stock, valued at approximately $3,884,820. This represents a 2.26% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Insiders own 3.82% of the company’s stock.

NetScout Systems Profile (Free Report)

NetScout Systems, Inc is a leading provider of network performance management, service assurance and cybersecurity solutions. The company designs and delivers hardware and software platforms that capture and analyze real-time and historical packet data, enabling IT teams and service providers to monitor application performance, troubleshoot network issues and defend against distributed denial-of-service (DDoS) attacks. NetScout’s flagship offerings include the nGeniusONE service assurance platform and the InfiniStream packet broker, which together provide end-to-end visibility across hybrid and multi-cloud environments.

Founded in 1984 and headquartered in Westford, Massachusetts, NetScout has built a reputation for scalable and resilient monitoring infrastructure.

Featured Articles Five stocks we like better than NetScout Systems Want to see what other hedge funds are holding NTCT? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for NetScout Systems, Inc. (NASDAQ:NTCT – Free Report).

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WESTFORD, Mass.--(BUSINESS WIRE)--NETSCOUT SYSTEMS, INC. (NASDAQ: NTCT), a leading provider of enterprise network observability, carrier service assurance, cybersecurity, and Distributed Denial-of-Service (DDoS) protection solutions, today announced that the Company will participate in the following investor conferences. 21st Annual Needham Technology, Media, & Consumer 1x1 Conference Thursday, May 14, 2026 Virtual One-on-one meetings with investors CFO Tony Piazza and CTO Representative Dr.

NetScout Systems (NTCT - Free Report) came out with quarterly earnings of $0.52 per share, beating the Zacks Consensus Estimate of $0.46 per share. This compares to earnings of $0.52 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of +13.04%. A quarter ago, it was expected that this provider of products that gauge network performance would post earnings of $0.86 per share when it actually produced earnings of $1, delivering a surprise of +16.28%.

Over the last four quarters, the company has surpassed consensus EPS estimates four times.

NetScout, which belongs to the Zacks Computer - Networking industry, posted revenues of $203.04 million for the quarter ended March 2026, surpassing the Zacks Consensus Estimate by 1.54%. This compares to year-ago revenues of $204.99 million. The company has topped consensus revenue estimates four times over the last four quarters.

The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.

NetScout shares have added about 31.3% since the beginning of the year versus the S&P 500's gain of 7.6%.

What's Next for NetScout?While NetScout has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?

There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.

Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.

Ahead of this earnings release, the estimate revisions trend for NetScout was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.39 on $197.51 million in revenues for the coming quarter and $2.53 on $886.29 million in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Computer - Networking is currently in the top 30% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

Another stock from the same industry, Cisco Systems (CSCO - Free Report) , has yet to report results for the quarter ended April 2026. The results are expected to be released on May 13.

This seller of routers, switches, software and services is expected to post quarterly earnings of $1.04 per share in its upcoming report, which represents a year-over-year change of +8.3%. The consensus EPS estimate for the quarter has been revised 0.6% higher over the last 30 days to the current level.

Cisco Systems' revenues are expected to be $15.58 billion, up 10.1% from the year-ago quarter.

I revise my rating for NetScout Systems from 'Hold' to 'Buy' following my evaluation of its results and outlook. The company's 4QFY2026 bottom-line represented a 14.3% beat, thanks to strong demand for AI-related threat solutions and the stability of its government client base's expenditures. NTCT is guiding for a 10% EPS growth in FY27, supported by its latest M&A and new AI product rollouts.

A strong stock as of late has been NetScout Systems (NTCT - Free Report) . Shares have been marching higher, with the stock up 23.3% over the past month. The stock hit a new 52-week high of $41.87 in the previous session. NetScout has gained 51.6% since the start of the year compared to the 17.5% move for the Zacks Computer and Technology sector and the 55.9% return for the Zacks Computer - Networking industry.

What's Driving the Outperformance?The stock has a great record of positive earnings surprises, as it hasn't missed our earnings consensus estimate in any of the last four quarters. In its last earnings report on May 7, 2026, NetScout reported EPS of $0.52 versus consensus estimate of $0.46.

For the current fiscal year, NetScout is expected to post earnings of $2.71 per share on $903.4 in revenues. This represents a 9.27% change in EPS on a 5.11% change in revenues. For the next fiscal year, the company is expected to earn $2.85 per share on $943.09 in revenues. This represents a year-over-year change of 4.98% and 4.39%, respectively.

Valuation MetricsNetScout may be at a 52-week high right now, but what might the future hold for the stock? A key aspect of this question is taking a look at valuation metrics in order to determine if the company has run ahead of itself.

On this front, we can look at the Zacks Style Scores, as these give investors a variety of ways to comb through stocks (beyond looking at the Zacks Rank of a security). These styles are represented by grades running from A to F in the categories of Value, Growth, and Momentum, while there is a combined VGM Score as well. Investors should consider the style scores a valuable tool that can help you to pick the most appropriate Zacks Rank stocks based on their individual investment style.

NetScout has a Value Score of C. The stock's Growth and Momentum Scores are B and A, respectively, giving the company a VGM Score of B.

In terms of its value breakdown, the stock currently trades at 15.1X current fiscal year EPS estimates, which is not in-line with the peer industry average of 25.6X. On a trailing cash flow basis, the stock currently trades at 15.5X versus its peer group's average of 21.5X. This isn't enough to put the company in the top echelon of all stocks we cover from a value perspective.

Zacks RankWe also need to consider the stock's Zacks Rank, as this is even more important than the company's VGM Score. Fortunately, NetScout currently has a Zacks Rank of #2 (Buy) thanks to favorable earnings estimate revisions from covering analysts.

Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if NetScout passes the test. Thus, it seems as though NetScout shares could still be poised for more gains ahead.

How Does NTCT Stack Up to the Competition?Shares of NTCT have been soaring, and the company still appears to be a decent choice, but what about the rest of the industry? One industry peer that looks good is Digi International Inc. (DGII - Free Report) . DGII has a Zacks Rank of #2 (Buy) and a Value Score of D, a Growth Score of A, and a Momentum Score of B.

Earnings were strong last quarter. Digi International Inc. beat our consensus estimate by 6.90%, and for the current fiscal year, DGII is expected to post earnings of $2.48 per share on revenue of $521.62 million.

Shares of Digi International Inc. have gained 16.8% over the past month, and currently trade at a forward P/E of 26.68X and a P/CF of 24.36X.

The Computer - Networking industry is in the top 18% of all the industries we have in our universe, so it looks like there are some nice tailwinds for NTCT and DGII, even beyond their own solid fundamental situation.

Momentum investing is all about the idea of following a stock's recent trend, which can be in either direction. In the "long context," investors will essentially be "buying high, but hoping to sell even higher." And for investors following this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving in that direction. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades.

Even though momentum is a popular stock characteristic, it can be tough to define. Debate surrounding which are the best and worst metrics to focus on is lengthy, but the Zacks Momentum Style Score, part of the Zacks Style Scores, helps address this issue for us.

Below, we take a look at NetScout Systems (NTCT - Free Report) , a company that currently holds a Momentum Style Score of A. We also talk about price change and earnings estimate revisions, two of the main aspects of the Momentum Style Score.

It's also important to note that Style Scores work as a complement to the Zacks Rank, our stock rating system that has an impressive track record of outperformance. NetScout Systems currently has a Zacks Rank of #1 (Strong Buy). Our research shows that stocks rated Zacks Rank #1 (Strong Buy) and #2 (Buy) and Style Scores of "A or B" outperform the market over the following one-month period.

You can see the current list of Zacks #1 Rank Stocks here >>>

Set to Beat the Market? In order to see if NTCT is a promising momentum pick, let's examine some Momentum Style elements to see if this provider of products that gauge network performance holds up.

A good momentum benchmark for a stock is to look at its short-term price activity, as this can reflect both current interest and if buyers or sellers currently have the upper hand. It's also helpful to compare a security to its industry; this can show investors the best companies in a particular area.

For NTCT, shares are up 6.63% over the past week while the Zacks Computer - Networking industry is flat over the same time period. Shares are looking quite well from a longer time frame too, as the monthly price change of 28.69% compares favorably with the industry's 8.5% performance as well.

While any stock can see a spike in price, it takes a real winner to consistently outperform the market. Shares of NetScout Systems have increased 44.15% over the past quarter, and have gained 79.01% in the last year. In comparison, the S&P 500 has only moved 9.16% and 30.94%, respectively.

Investors should also take note of NTCT's average 20-day trading volume. Volume is a useful item in many ways, and the 20-day average establishes a good price-to-volume baseline; a rising stock with above average volume is generally a bullish sign, whereas a declining stock on above average volume is typically bearish. Right now NTCT is averaging 561,357 shares for the last 20 days..

Earnings OutlookThe Zacks Momentum Style Score encompasses many things, including estimate revisions and a stock's price movement. Investors should note that earnings estimates are also significant to the Zacks Rank, and a nice path here can be promising. We have recently been noticing this with NTCT.

Over the past two months, 2 earnings estimates moved higher compared to none lower for the full year. These revisions helped boost NTCT's consensus estimate, increasing from $2.53 to $2.71 in the past 60 days. Looking at the next fiscal year, 2 estimates have moved upwards while there have been no downward revisions in the same time period.

Bottom LineTaking into account all of these elements, it should come as no surprise that NTCT is a #1 (Strong Buy) stock with a Momentum Score of A. If you've been searching for a fresh pick that's set to rise in the near-term, make sure to keep NetScout Systems on your short list.