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NetScout SystemsNTCT +0.67%56 PB Ratio is 1.81 as of Jul. 21, 2026, which is 71% above its 10-year median of 1.06. GuruFocus rates NTCT with a GF Score™ of 56/100 and a GF Value™ of $23.61 (Significantly Overvalued). The stock has 7 warning signs investors should review. Among 2,636 Software companies, NetScout Systems ranks better than 62.63% on this metric.
The PB Ratio, or Price-to-Book ratio, or Price/Book, is a financial ratio used to compare a company's market price to its Book Value per Share. As of today (2026-07-21), NetScout Systems's share price is $41.795. NetScout Systems's Book Value per Share for the quarter that ended in Mar. 2026 was $23.08. Hence, NetScout Systems's PB Ratio of today is 1.81.
Warning Sign:
NetScout Systems Inc stock PB Ratio (=1.8) is close to 10-year high of 1.89.
The historical rank and industry rank for NetScout Systems's PB Ratio or its related term are showing as below:
NTCT'
s PB Ratio Range Over the Past 10 Years
Min: 0.67 Med: 1.06 Max: 1.89
Current: 1.81
During the past 13 years, NetScout Systems's highest PB Ratio was 1.89. The lowest was 0.67. And the median was 1.06.
NTCT's PB Ratio is ranked better than 62.63% of 2636
companies
in the Software industry
Industry Median: 2.37
vs NTCT: 1.81
During the past 12 months, NetScout Systems's average Book Value Per Share Growth Rate was 6.60% per year.
During the past 3 years, the average Book Value Per Share Growth Rate was -6.80% per year.
During the past 5 years, the average Book Value Per Share Growth Rate was -4.60% per year.
During the past 10 years, the average Book Value Per Share Growth Rate was -1.00% per year.
During the past 13 years, the highest 3-Year average Book Value Per Share Growth Rate of NetScout Systems was 42.50% per year. The lowest was -8.00% per year. And the median was 6.00% per year.
The PB Ratio works the best for the businesses that earn most of their profit from their assets, e.g. banks and insurance companies.
Be Aware
Some businesses have very light assets, such as software companies or insurance agencies. The PB Ratio does not work well for these companies. Some companies even have negative equity, so the PB Ratio cannot be applied to them.
NetScout Systems PB Ratio Related Terms
NetScout Systems PB Ratio Historical Data
* Premium members only.
The historical data trend for NetScout Systems's PB Ratio can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Software - Infrastructure subindustry, NetScout Systems's PB Ratio, along with its competitors' market caps and PB Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
NetScout Systems PB Ratio vs Software Industry
For the Software industry and Technology sector, NetScout Systems's PB Ratio distribution charts can be found below:
* The bar in red indicates where NetScout Systems's PB Ratio falls into.
The PB Ratio, or Price-to-Book ratio, or Price/Book, is a financial ratio used to compare a company's market price to its Book Value per Share. It is a ratio widely used to value stocks.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
It can also be calculated from the numbers for the whole company:
A closely related ratio is called Price-to-Tangible-Book. The difference between Price-to-Tangible-Book and PB Ratio is that book value other than intangibles are used in the calculation.
NetScout Systems (NTCT) has a PB Ratio of 1.81 as of Jul. 21, 2026. Price-to-Book ratio is the ratio of share price to a company's book value per share. View historical data on NetScout Systems and its competitors. This is 71% above median its historical median of 1.06. Over the past decade, NetScout Systems' PB Ratio has ranged from 0.67 to 1.89. According to the industry distribution chart, NetScout Systems ranks #985 out of 2636 companies in the Software industry, placing it in the top 37.4%.
Is NetScout Systems' PB Ratio too high?
NetScout Systems' current PB Ratio of 1.81 is 71% above median its 10-year median of 1.06. Over the past 10 years, this metric has ranged from a low of 0.67 to a high of 1.89. The Software industry median PB Ratio is 2.37. NetScout Systems' value of 1.81 is 23.6% below this industry median. Based on the distribution chart, NetScout Systems ranks #985 out of 2636 companies in the Software industry, which is above the industry midpoint. Overall, NetScout Systems has a GF Score™ of 56/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does NetScout Systems' PB Ratio compare to INFQ and PAY?
According to the Software industry distribution chart, NetScout Systems ranks #985 out of 2636 companies for PB Ratio. This puts NetScout Systems in the upper half of its industry. The industry median PB Ratio is 2.37. NetScout Systems' value of 1.81 is 23.6% below this benchmark. Historically, NetScout Systems' own PB Ratio has ranged from 0.67 to 1.89 over the past decade. While the company's 10-year median is 1.06 vs. the industry median of 2.37, NetScout Systems has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good PB Ratio for a Software company?
The median PB Ratio among Software companies is 2.37, based on 2,636 companies in the industry. Companies in the top quartile (top 25%) have a PB Ratio significantly above this median, while those in the bottom quartile fall well below. However, PB Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. NetScout Systems's current PB Ratio of 1.81 is 23.6% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high PB Ratio mean?
A high PB Ratio can signal that a stock is expensive relative to its fundamentals. Price-to-Book ratio is the ratio of share price to a company's book value per share. View historical data on NetScout Systems and its competitors. For the Software industry, the median PB Ratio is 2.37 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. NetScout Systems's current PB Ratio is 1.81, which is 71% above median its own 10-year median of 1.06. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is NetScout Systems stock overvalued right now?
Based on GuruFocus' analysis, NetScout Systems (NTCT) is currently considered Significantly Overvalued. The stock's GF Value™ is $23.61, compared to a current price of $41.80 — trading 77% above its estimated fair value. The current PB Ratio is 1.81, which is 71% above median its 10-year median of 1.06 and 23.6% below the Software industry median of 2.37. NetScout Systems' overall GF Score™ is 56/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is PB Ratio calculated?
PB Ratio is calculated from a company's financial statements. For NetScout Systems (NTCT), the current PB Ratio is 1.81 as of Jul. 21, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is NetScout Systems (NTCT) Overvalued in 2026?
Based on GuruFocus' analysis, NetScout Systems stock appears to be overvalued.
The current stock price of $41.80 is trading 77% above its estimated GF Value™ of $23.61.
GuruFocus considers NetScout Systems to be Significantly Overvalued.
Key valuation signals for NTCT:
PB Ratio: 1.81 (71% above median its 10-year median of 1.06)
GF Value™: $23.61 vs. price of $41.80 (77% above fair value)
Industry Position: 23.6% below the Software median (#985 of 2636)
No single metric tells the full story. See the NTCT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
NetScout Systems Inc is engaged in providing enterprise network observability, carrier service assurance, cybersecurity, and Distributed Denial-of-Service (DDoS), protection solutions. It bases its solutions on proprietary adaptive service intelligence technology, which helps customers monitor and identify performance issues and provides insight into network-based security threats. These solutions also deliver real-time and historical information, which provides insight to restore service and understand the quality of user experience. The company derives revenue from the sale of network management tools and security solutions. Its geographical regions include USA, which derives maximum revenue, Europe, Asia, and Rest of the World.
56GF Score
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