Seattle, Washington-based F5, Inc. (FFIV) provides multicloud application security and delivery solutions in the United States and internationally. The company has a market capitalization of $15.5 billion, and its distributed cloud services enable customers to deploy, secure, and operate applications across any architecture, from on-premises to public cloud.
Shares of F5 have underperformed the broader market over the past 52 weeks. FFIV stock has declined 12.8% over this time frame, while the broader S&P 500 Index ($SPX) has rallied 11.9%. However, shares of the company are up 6% on a year-to-date (YTD) basis, compared to SPX’s marginal decline.
Narrowing the focus, FFIV stock has also underperformed the State Street Technology Select Sector SPDR ETF’s (XLK) 16.3% rise over the past 52 weeks.
F5 stock has been in hot water recently owing to a number of subsequent events. Firstly, a class action lawsuit has been filed against F5 on behalf of purchasers or acquirers of F5 securities between October 28, 2024, and October 27, 2025, which alleges that throughout the Class Period, F5 created the false impression that the company possessed reliable information pertaining to F5's projected revenue outlook and anticipated growth while also minimizing risk from seasonality and macroeconomic fluctuations.
Moreover, investors are hesitant to make long-term commitments to FFIV stock due to a declining average ARR, static operating margin, and projected soft demand and weak growth.
For the fiscal year ending in September 2026, analysts expect FFIV's EPS to grow 2.2% year over year to $12.13. The company's earnings surprise history is strong. It beat the consensus estimates in the last four quarters.
FFIV stock has a consensus “Moderate Buy” rating overall - an upgrade from a “Hold” rating a month back. Of the 13 analysts covering the stock, opinions include three “Strong Buys,” one “Moderate Buy,” eight “Holds,” and one “Moderate Sell.”
Wall Street’s mood has turned a bit bullish for the stock over the past month, with it having an overall “Moderate Buy” rating, upgrading from a “Hold” just one month ago.
On Jan. 28, Goldman Sachs analyst Michael Ng reaffirmed a "Neutral" rating for F5 stock and raised its price target from $285 to $320.
The mean price target of $313.67 indicates a 15.9% premium to FFIV’s current price levels. Its Street-high target of $345 suggests a 27.5% potential upside.
On the date of publication, Sristi Jayaswal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
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