Movement Alert|F5 Inc Falls 6.95% in Regular Trading, Profit-Taking Follows Q3 Earnings Beat

Market Focus07-28

On July 28, F5 Inc fell 6.95% in regular trading, trading at $398.46/share, with turnover of $89.86 million. The decline came despite the company reporting strong Q3 results after the close on July 27.

F5 posted adjusted earnings per share of $4.73, beating the consensus estimate of $4.00 by 18.25% and representing a 13.7% year-over-year increase. Revenue came in at $865 million, exceeding the $832.5 million estimate by approximately 3.9%. The company also issued strong Q4 guidance. Despite the comprehensive beat, the stock had already surged over 50% from its February low of approximately $275 to around $416 ahead of the earnings release, triggering classic sell-the-news profit-taking pressure.

Following the report, multiple analysts raised their price targets. Morgan Stanley lifted its target to $415 from $380 while maintaining an Equalweight rating. RBC had previously raised its target to $490. The average analyst rating remains overweight with a mean price target of $440.11.

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