A Business at a Glance
0 of 5 daily views used (5 remaining). Sign up free for 10 daily views, or try AAPL for a full preview.
F5, INC.
FFIV
$23.0B
Mkt Cap
$392.21
+1.06%
F5, INC. (FFIV) has a current P/E ratio of 32.5, compared to its historical median P/E of 24.6. The stock is currently considered Expensive based on its historical valuation range.
F5, INC. (FFIV) has a 5-year average return on invested capital (ROIC) of 22.6%. This indicates strong capital allocation and a potential competitive advantage.
F5, INC. (FFIV) has a market capitalization of $22.3B. It is classified as a large-cap stock.
F5, INC. (FFIV) does not currently pay a regular dividend. However, the company returns capital to shareholders through share buybacks, with a buyback yield of 2.26%.
Based on historical P/E analysis, F5, INC. (FFIV) appears expensive. The current P/E of 32.5 is 32% above its historical median of 24.6. The estimated fair value CAGR (P/E method) is 7.7%.
F5, INC. (FFIV) operates in the Computer Communications Equipment industry, within the Technology sector.
F5, INC. (FFIV) reported annual revenue of $3.1 billion in its most recent fiscal year, based on SEC EDGAR filings.
F5 is a multicloud application delivery and security provider that enables enterprises, public sector institutions, and service providers to optimize and secure applications and APIs across hybrid and multicloud environments. The company operates through three primary geographic regions—Americas, EMEA, and APAC—and generates revenue through multiple consumption models including perpetual software licenses, subscription-based software, usage-based consumption, SaaS, and managed services, alongside hardware systems and global services such as maintenance, consulting, and training. F5's core product portfolio comprises three families: F5 BIG-IP (optimized for traditional, on-premises, and cloud-deployed applications), F5 NGINX (designed for modern, container-native, and microservices-based applications and APIs), and F5 Distributed Cloud Services (a unified SaaS and managed services platform for hybrid and multicloud environments). The company's business model combines recurring subscription revenue from its software and SaaS offerings with transactional hardware sales and services revenue, creating a diversified revenue stream with strong visibility through multi-year agreements and maintenance renewals. F5 differentiates itself through its infrastructure-agnostic approach, enabling customers to deploy solutions across any environment—on-premises, cloud, or edge—and through its comprehensive portfolio that addresses both legacy and modern application architectures, a capability the company positions as unique in the market. The company is leveraging artificial intelligence across its platform to support AI workload delivery, runtime security, and inference optimization, while also pursuing partnerships with global AI leaders and developing new offerings to address evolving security and data protection needs.
【Hybrid multicloud and AI-driven growth】 Management expects three significant market forces to reshape customer operations in fiscal 2026 and beyond: hybrid multicloud adoption, expanding threat landscapes, and AI inference inflection. The company anticipates these trends will drive strong demand for its products and services in the second half of fiscal 2026, with particular strength in systems revenue driven by technology refresh cycles, data center modernization, and new use cases including data sovereignty and AI readiness. Management expects software revenue to grow at mid-single-digit rates in fiscal 2026, followed by a reacceleration in fiscal 2027 as a larger renewal base comes up for renewal with anticipated expansion opportunities. The company is making targeted investments in sales capacity to capitalize on these growth opportunities and is positioning its newly introduced F5 Application Delivery and Security Platform as a key driver of customer adoption and platform consolidation. F5 continues to invest in expanding its SaaS-based Distributed Cloud Services and is leveraging AI capabilities across its portfolio to enhance product efficacy and create new offerings aligned with evolving customer needs around AI workload protection and security.
| Metric | Target | Period |
|---|---|---|
| Revenue growth | 7%-8% | FY2026 |
| Q3 Revenue | $820 million-$840 million | Q3 FY2026 |
| Q3 Non-GAAP Gross Margin | 82.5%-83.5% | Q3 FY2026 |
| Q3 Non-GAAP Operating Expenses | $406 million-$418 million | Q3 FY2026 |
| Q3 Non-GAAP EPS | $3.91-$4.03 per share | Q3 FY2026 |
| FY2026 Non-GAAP Gross Margin | 82.5%-83.5% | FY2026 |
| FY2026 Non-GAAP Operating Margin | 34%-35% | FY2026 |
| FY2026 Non-GAAP Effective Tax Rate | 20%-21% | FY2026 |
| FY2026 Non-GAAP EPS | $16.25-$16.55 | FY2026 |
| Full year share repurchase | at least 50% of free cash flow | FY2026 |
“We are raising our FY 2026 outlook. We now expect FY 2026 revenue growth of 7%-8%, up from our prior outlook of 5%-6%.”
Generated solely from the company's own reports listed below — not from third-party data. Hallucination risk is low. · Sources: 10-K, Q2 FY2026 Earnings Call, Q1 FY2026 Earnings Call, Q4 FY2025 Earnings Call, Q3 FY2025 Earnings Call
| Metric | TTM | FY2025 | FY2024 | FY2023 | FY2022 | FY2021 |
|---|---|---|---|---|---|---|
| Revenue | 3.2B | 3.1B | 2.8B | 2.8B | 2.7B | 2.6B |
| Net Income | 708M | 692M | 567M | 395M | 322M | 331M |
| EPS | $12.35 | $11.80 | $9.55 | $6.55 | $5.27 | $5.34 |
| Free Cash Flow | 963M | 906M | 762M | 599M | 409M | 615M |
| ROIC | 30.4% | 30.5% | 26.5% | 20.7% | 16.6% | 18.9% |
| Gross Margin | 81.5% | 57.1% | 55.4% | 78.9% | 80.0% | 49.5% |
| Debt/Equity | 0.00 | 0.76 | 0.79 | 0.00 | 0.14 | 0.16 |
| Dividends/Share | $0.00 | - | - | - | - | - |
| Operating Income | 795M | 766M | 659M | 473M | 404M | 394M |
| Operating Margin | 24.7% | 24.8% | 23.4% | 16.8% | 15.0% | 15.1% |
| ROE | 19.4% | 20.6% | 19.1% | 15.0% | 13.3% | 14.4% |
| Shares Outstanding | 57M | 59M | 59M | 60M | 61M | 62M |
F5, INC. passes 6 of 9 quality checks, suggesting mixed fundamentals.
F5, INC. trades at 32.5x trailing earnings, compared to its 15-year median P/E of 24.6x, suggesting it is currently Expensive relative to its historical range. On a free-cash-flow basis, the stock trades at 25.7x vs a median of 16.6x. The company's 5-year average ROIC is 22.6% with a gross margin of 64.2%. Total shareholder yield (buybacks) is 2.3%. At current prices, the estimated annualized return to fair value is +3.8%.
F5, INC. (FFIV) has a net profit margin of 22.4%. This is a strong margin indicating high profitability.
F5, INC. (FFIV) generated $906 million in free cash flow in its most recent fiscal year. Positive free cash flow supports dividends, buybacks, and debt reduction.
F5, INC. (FFIV) has a debt-to-equity ratio of 0.76. This indicates moderate leverage.
F5, INC. (FFIV) reported earnings per share (EPS) of $11.80 in its most recent fiscal year.
F5, INC. (FFIV) has a return on equity (ROE) of 20.6%. This indicates the company generates strong returns for shareholders.
F5, INC. (FFIV) has a 5-year average gross margin of 64.2%. This high margin suggests strong pricing power and a potential competitive moat.
The Ledger Terminal provides 18 years of financial data for F5, INC. (FFIV), sourced directly from SEC EDGAR filings. This includes income statements, balance sheets, cash flow statements, and key financial ratios.
F5, INC. (FFIV) has a book value per share of $61.22, based on its most recent annual SEC filing.
Based on recent SEC filings and earnings disclosures, Management expects three significant market forces to reshape customer operations in fiscal 2026 and beyond: hybrid multicloud adoption, expanding threat landscapes, and AI inference inflection. The company anticipates these trends will drive strong demand for its products and services in the second half of fiscal 2026, with particular strength in systems revenue driven by technology refresh cycles, data center modernization, and new use cases including data sovereignty and AI readiness. Management expects software revenue to grow at mid-single-digit rates in fiscal 2026, followed by a reacceleration in fiscal 2027 as a larger renewal base comes up for renewal with anticipated expansion opportunities. The company is making targeted investments in sales capacity to capitalize on these growth opportunities and is positioning its newly introduced F5 Application Delivery and Security Platform as a key driver of customer adoption and platform consolidation. F5 continues to invest in expanding its SaaS-based Distributed Cloud Services and is leveraging AI capabilities across its portfolio to enhance product efficacy and create new offerings aligned with evolving customer needs around AI workload protection and security.
Based on recent SEC filings and earnings calls, F5, INC. (FFIV) has provided the following forward guidance: Revenue growth: 7%-8% (FY2026); Q3 Revenue: $820 million-$840 million (Q3 FY2026); Q3 Non-GAAP Gross Margin: 82.5%-83.5% (Q3 FY2026); Q3 Non-GAAP Operating Expenses: $406 million-$418 million (Q3 FY2026); Q3 Non-GAAP EPS: $3.91-$4.03 per share (Q3 FY2026), plus 5 additional metrics.
Q3 Revenue (Q3 FY2026): “We expect Q3 revenue in a range of $820 million-$840 million, reflecting approximately 6.5% growth at the midpoint.”
Q3 Non-GAAP Gross Margin (Q3 FY2026): “We expect non-GAAP gross margin in the range of 82.5%-83.5%.”
Q3 Non-GAAP Operating Expenses (Q3 FY2026): “We estimate Q3 non-GAAP operating expenses of $406 million-$418 million.”
Q3 Non-GAAP EPS (Q3 FY2026): “We anticipate Q3 non-GAAP EPS in a range of $3.91-$4.03 per share.”
FY2026 Non-GAAP Gross Margin (FY2026): “We expect FY 2026 non-GAAP gross margin in a range of 82.5%-83.5%.”
FY2026 Non-GAAP Operating Margin (FY2026): “We expect non-GAAP operating margin in a range of 34%-35%.”
FY2026 Non-GAAP Effective Tax Rate (FY2026): “We now expect our FY 2026 non-GAAP effective tax rate will be in a range of 20%-21%.”