Three Reasons Why FFIV is Risky and One Stock to Buy Instead

StockStory2024-12-27

Three Reasons Why FFIV is Risky and One Stock to Buy Instead The past six months have been a windfall for F5’s shareholders. The company’s stock price has jumped 50.5%, hitting $257.62 per share. ...

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The company’s stock price has jumped 50.5%, hitting $257.62 per share. ...</p>\n\n<a href=\"https://finance.yahoo.com/news/three-reasons-why-ffiv-risky-090917760.html\">Source Link</a>\n\n</div>\n","source":"yahoofinance","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Three Reasons Why FFIV is Risky and One Stock to Buy Instead</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nThree Reasons Why FFIV is Risky and One Stock to Buy Instead\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-12-27 17:09 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://finance.yahoo.com/news/three-reasons-why-ffiv-risky-090917760.html><strong>StockStory</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Three Reasons Why FFIV is Risky and One Stock to Buy Instead \n \n\nThe past six months have been a windfall for F5’s shareholders. The company’s stock price has jumped 50.5%, hitting $257.62 per share. ...</p>\n\n<a href=\"https://finance.yahoo.com/news/three-reasons-why-ffiv-risky-090917760.html\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"BK4211","symbol_name":"区域性银行","start_time":0,"source_url":"https://finance.yahoo.com/news/three-reasons-why-ffiv-risky-090917760.html","article_id":"2494802958","we_media_id":null,"thumbnails":[],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2494802958","pubTimestamp":1735290557,"columns":[],"sourceInfo":{"source_id":"yahoofinance","name":"雅虎金融"},"weMediaInfo":null,"summary":"The past six months have been a windfall for F5’s shareholders. The company’s stock price has jumped 50.5%, hitting $257.62 per share. This was partly thanks to its solid quarterly results, and the run-up might have investors contemplating their next move.Is there a buying opportunity in F5, or does it present a risk to your portfolio?We’re happy investors have made money, but we're swiping left on F5 for now. Here are three reasons why there are better opportunities than FFIV and a stock we'd rather own.Initially started as a hardware appliances company in the late 1990s, F5  makes software that helps large enterprises ensure their web applications are always available by distributing network traffic and protecting them from cyberattacks.F5 isn’t a terrible business, but it doesn’t pass our quality test. Following the recent surge, the stock trades at 5.2× forward price-to-sales . Investors with a higher risk tolerance might like the company, but we don’t really see a big opportunity ","collect":0,"end_time":0,"defaultTopTitle":"yahoo.com","property":[],"viewcount":null,"language":"en","relate_stocks":{"BK4211":"区域性银行","BK4532":"文艺复兴科技持仓","CAC":"卡姆登国家银行","LU2506952097.USD":"BNP PARIBAS SUSTAINABLE GLOBAL LOW VOL EQUITY \"CRH\" (USDHDG) ACC","LU2506951958.HKD":"BNP PARIBAS SUSTAINABLE GLOBAL LOW VOL EQUITY \"CRH\" (HKDHDG) INC","FFIV":"F5 Inc","BK4585":"ETF&股票定投概念","LU0823417653.USD":"BNP PARIBAS SUSTAINABLE GLOBAL LOW VOL EQUITY \"C\" (USD) ACC","BK4020":"通信设备","BK4588":"碎股","LU0950375773.USD":"BNP PARIBAS SUSTAINABLE GLOBAL LOW VOL EQUITY \"C\" (USD) INC A","LU2506951875.HKD":"BNP PARIBAS SUSTAINABLE GLOBAL LOW VOL EQUITY \"CRH\" (HKDHDG) ACC","LU0823417737.USD":"BNP PARIBAS SUSTAINABLE GLOBAL LOW VOL EQUITY \"C\" (USD) INC","LU2506952170.USD":"BNP PARIBAS SUSTAINABLE GLOBAL LOW VOL EQUITY \"CRH\" (USDHDG) INC"},"translate_title":"FFIV有风险的三个原因以及值得购买的一只股票","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"CAC":1,"FFIV":1},"content_text":"Three Reasons Why FFIV is Risky and One Stock to Buy Instead \n \n\nThe past six months have been a windfall for F5’s shareholders. The company’s stock price has jumped 50.5%, hitting $257.62 per share. This was partly thanks to its solid quarterly results, and the run-up might have investors contemplating their next move. \nIs there a buying opportunity in F5, or does it present a risk to your portfolio? \nGet the full stock story straight from our expert analysts, it’s free. \nWe’re happy investors have made money, but we're swiping left on F5 for now. Here are three reasons why there are better opportunities than FFIV and a stock we'd rather own. \nWhy Is F5 Not Exciting?\nInitially started as a hardware appliances company in the late 1990s, F5 (NASDAQ:FFIV) makes software that helps large enterprises ensure their web applications are always available by distributing network traffic and protecting them from cyberattacks. \n1. Long-Term Revenue Growth Disappoints\nA company’s long-term performance is an indicator of its overall quality. While any business can experience short-term success, top-performing ones enjoy sustained growth for years. Regrettably, F5’s sales grew at a weak 2.6% compounded annual growth rate over the last three years. This fell short of our benchmarks. \n2. Declining Billings Reflect Product and Sales Weakness\nBillings is a non-GAAP metric that is often called “cash revenue” because it shows how much money the company has collected from customers in a certain period. This is different from revenue, which must be recognized in pieces over the length of a contract. \nF5’s billings came in at $772 million in Q3, and it averaged 1.8% year-on-year declines over the last four quarters. This performance was underwhelming and shows the company faced challenges in acquiring and retaining customers. It also suggests there may be increasing competition or market saturation. \n3. Long Payback Periods Delay Returns\nThe customer acquisition cost (CAC) payback period represents the months required to recover the cost of acquiring a new customer. Essentially, it’s the break-even point for sales and marketing investments. A shorter CAC payback period is ideal, as it implies better returns on investment and business scalability. \nF5’s recent customer acquisition efforts haven’t yielded returns as its CAC payback period was negative this quarter, meaning its sales and marketing investments outpaced its revenue. The company’s inefficiency indicates it operates in a highly competitive environment where there is little differentiation between F5’s products and its peers. \nFinal Judgment\nF5 isn’t a terrible business, but it doesn’t pass our quality test. Following the recent surge, the stock trades at 5.2× forward price-to-sales (or $257.62 per share). Investors with a higher risk tolerance might like the company, but we don’t really see a big opportunity at the moment. We're fairly confident there are better stocks to buy right now. We’d recommend looking at Microsoft, the most dominant software business in the world. \nStocks We Like More Than F5\nThe elections are now behind us. With rates dropping and inflation cooling, many analysts expect a breakout market to cap off the year - and we’re zeroing in on the stocks that could benefit immensely. \nTake advantage of the rebound by checking out our Top 6 Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 175% over the last five years. \nStocks that made our list in 2019 include now familiar names such as Nvidia (+2,691% between September 2019 and September 2024) as well as under-the-radar businesses like Comfort Systems (+783% five-year return). Find your next big winner with StockStory today for free.","kind":"highlight","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"-1","news_tag":"","news_rank":0,"symbols":[],"gpt_button":1},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.29.4","shortVersion":"4.29.4","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2494802958"}