F5 Networks (NASDAQ:FFIV) shares fell around 3% intra-day today after the Q2 earnings release, with both EPS of $2.53 and revenue of $703 million coming in better than the Street estimates, but guidance missed expectations.
For Q3/23, the company expects EPS in the range of $2.78-$2.90, compared to the Street estimate of $3.05. Revenue is seen at $690-710 million, compared to the Street estimate of $747 million.
According to the analysts at RBC Capital, Q2 results were supported by stronger-than-expected systems shipments on backlog burn-off as well as strong global services performance while software remained challenged due to continued macro headwinds.
The analysts lowered their price target on the stock to $146 from $155 while reiterating their Sector Perform rating.