F5, Inc. research snapshot
FFIV AI stock analysis as of the August 2, 2026 data cutoff reads F5 as a profitable application delivery and security company that just reported another strong quarter and raised its fiscal 2026 guidance. Q3 fiscal 2026 revenue rose 11% to $865 million, product revenue grew 19%, non-GAAP EPS came in at $4.73 versus a $4.00 consensus, and F5 now guides fiscal 2026 revenue growth of 9% to 10% with non-GAAP EPS of $17.21 to $17.33. At the July 31, 2026 close of $402.57, F5 has a market cap near $22.9 billion, trades at about 32x trailing EPS and 23.2x forward EPS, and holds a net cash position of about $1.39 billion. The AI score is 76 out of 100, reflecting strong recent execution offset by a premium valuation. The stock stays above its 200-day and 50-day moving averages but below the 20-day after a pullback from the 52-week high near $435. This analysis is informational research, not investment advice, and forecast ranges are scenarios rather than guaranteed prices.
Current price
$402.57
Market cap
$22.88 billion
AI score
76 / 100
Rating
Profitable app security compounder with premium valuation risk
Trend status
Above the 200-day and 50-day moving averages after a Q3 beat, short-term neutral below the 20-day
Data cutoff (updated monthly)
August 4, 2026
Informational use only. This page is not investment advice.
| Dimension | Conclusion | Confidence |
|---|---|---|
| Business quality | F5 sells application delivery, security, API protection, load balancing, NGINX, BIG-IP, AI security, and managed services that help enterprises run apps across data centers, cloud, edge, and hybrid multicloud environments. | High |
| Moat | The moat comes from a mission-critical installed base, traffic control depth, security policy knowledge, enterprise integrations, partner channels, NGINX developer reach, and switching costs, but the market remains competitive. | Medium-high |
| Management | CEO Francois Locoh-Donou has led F5 since 2017 through the shift from legacy application delivery hardware toward software, security, subscription, SaaS, and AI-oriented offerings, with eight consecutive quarters of double-digit product growth. | Medium-high |
| Financial trend | FY2025 revenue was $3.088 billion and net income was $692.4 million. Q3 FY2026 revenue rose 11% to $865 million with 82.2% GAAP gross margin, 24.7% GAAP operating margin, and a $4.73 non-GAAP EPS beat. | High |
| Valuation | At $402.57, FFIV traded near 32.07x TTM EPS, 23.16x forward EPS, 6.91x sales, 5.93x book value, and 23.59x free cash flow with an EV/EBITDA near 23.6. | Medium |
| Technical trend | FFIV closed above its 50-day moving average near $401 and well above the 200-day near $311, but below the 20-day near $410, with the 14-day RSI near 50. | Medium |
| Risk level | Key risks are valuation compression after a large 52-week gain, systems and hardware cyclicality, cloud security competition, renewal timing, and slower-than-expected AI security monetization. | Medium-high |
| AI confidence | Descriptive data confidence is high because SEC filings, company releases, and third-party data agree. Return confidence is lower because market multiples and product cycles are less knowable. | High data confidence |
| Investment certainty | FFIV looks like a high-quality enterprise infrastructure stock, but not a high-certainty bargain unless earnings growth and cash conversion keep validating the premium multiple. | Medium |
FFIV AI stock forecast
The FFIV AI stock forecast uses the $402.57 price reference and the $17.27 midpoint of the fiscal 2026 non-GAAP EPS guidance F5 raised on July 27, 2026. The three-year scenario model produced a bearish area near $293, a base area near $487, and a bullish area near $621 before dividends, buybacks, or multiple changes beyond the stated assumptions. Analyst price targets range from $300 to $515 with an average near $436. These are scenario ranges, not promises.
$600 to $640
More likely if fiscal 2026 guidance proves conservative, product and systems revenue keep compounding, AI security demand converts into software growth, services renewals stay durable, and investors hold a mid-20s to high-20s forward multiple.
$470 to $510
More likely if EPS compounds in the mid single digits from the $17.27 base, software and services offset systems cyclicality, free cash flow stays near $1 billion, and FFIV settles near a low-20s forward multiple consistent with the analyst average near $436.
$285 to $305
More likely if systems demand normalizes hard, renewal growth slows, competitors compress pricing, AI security spending takes longer to monetize, or the multiple contracts toward the high teens after the stock already ran from the 52-week low near $224.
FFIV AI technical analysis
FFIV AI technical analysis as of the August 2, 2026 data cutoff is constructive but neutral in the short term. F5 closed at $402.57 on July 31, 2026, above the 50-day moving average near $401 and well above the 200-day near $311, but below the 20-day near $410 after a pullback from the 52-week high near $435. The 14-day RSI near 50 is neither overbought nor oversold.
| Level | Value | Why it matters |
|---|---|---|
| Current price | $402.57 | Reference quote used for market cap and valuation math at the July 31, 2026 close. |
| Immediate support | $394 to $398 | The July 31 low near $394.01 and the 5-day moving average near $397.94 form the first support zone. |
| 50-day moving average | $401.02 | The stock closed just above this level, making it the first short-term trend test on any pullback. |
| Next support | $356 to $357 | The 100-day moving average near $356.54 is the next major structural zone. |
| Major support | $310 to $311 | The 200-day moving average near $310.98 is the long-term trend line that would decide the wider trend. |
| Near resistance | $406 to $410 | The July 31 high near $405.85 and the 20-day moving average near $409.67 cap the short-term range. |
| Major resistance | $435 | The 52-week high near $435.00 is the breakout reference after the pullback. |
| Momentum | RSI near 50.24, ADX near 23.56 | Barchart showed neutral RSI with a moderate directional index, so momentum is balanced after the July move. |
| Volume | 20-day average near 648,000 shares | Breakouts above $410 and $435 need volume confirmation rather than price-only strength. |
| Volatility | 14-day ATR near $16.30, historical volatility near 41% | Daily swings are wider than the 2025 average, so position sizing should allow more room per bar. |
| Invalidation | Close below $394, then below $356 | A break of the July low and the 100-day average would weaken the setup, while a 200-day break near $311 would damage the long-term trend. |
FFIV AI trading strategy
The FFIV AI trading strategy below is a rules-based research framework, not personal advice. It connects product and systems revenue growth, software renewals, free cash flow, raised guidance, competitive pricing, and technical invalidation levels.
Watch for FFIV to reclaim the $406 to $410 resistance band on above-average volume while holding the 50-day near $401, with the next earnings update confirming product growth, software traction, and fiscal 2026 EPS guidance.
A failed move above resistance or a close back below the 50-day near $401 should reduce setup confidence, especially if management commentary points to slower systems orders or weaker renewals.
If FFIV pulls back toward the $356 to $357 100-day area without a guidance reset, compare the lower entry price with TTM EPS, free cash flow per share, software growth, and peer security infrastructure multiples.
Do not treat a pullback as benign if product revenue slows, distributor concentration rises, free cash flow weakens, or competitive discounting appears in filings or earnings commentary.
Track product, systems, software, and services revenue, renewal base strength, gross margin, operating margin, free cash flow, cash and debt, buybacks, AI security adoption, and customer concentration.
Position sizing should reflect that FFIV is a profitable infrastructure company at a premium multiple, not a guaranteed AI security winner.
Investment research summary
Customers pay F5 because modern applications and APIs need fast, available, and secure delivery across on-premises systems, cloud, edge, and AI workloads, and F5 secures that traffic across the hybrid multicloud stack.
F5 benefits from a mission-critical installed base, BIG-IP depth, NGINX reach, security policy knowledge, partner distribution, and switching costs. The moat can narrow if cloud-native rivals bundle similar delivery and security functions at lower friction.
The thesis fails if systems and product growth is a hardware cycle rather than durable demand, if software growth cannot offset that cyclicality, if AI security demand is slower than expected, or if valuation compresses faster than earnings rise.
Francois Locoh-Donou has led F5 since 2017 through the shift from application delivery hardware toward software, subscription, SaaS, security, and AI. The management test is whether this mix shift keeps raising recurring revenue, cash flow, and guidance discipline.
F5 sits in application delivery, API security, zero trust access, DDoS defense, WAF, NGINX, and AI application security. These are long-duration needs, but enterprise buyers can shift budgets toward hyperscalers, security suites, or edge platforms.
At $402.57, the market expects continued product recovery, raised guidance, and durable free cash flow. Margin of safety improves if earnings compound while valuation moderates, or if the stock resets near major support without damage to software growth or cash conversion.
Source-backed data
Every metric below includes a source and last verification date.
| Metric | Value | Source | Last verified |
|---|---|---|---|
| FFIV quote reference | $402.57 close on July 31, 2026, up 3.55% on the day | StockAnalysis.com and Yahoo Finance quote feed | July 31, 2026 |
| Market cap and share count | $22.88 billion market cap, 56.83 million shares | StockAnalysis statistics | August 1, 2026 |
| 52-week range | $223.76 to $435.00 | StockAnalysis.com overview | August 1, 2026 |
| Q3 FY2026 revenue | $865 million, up 11% from $780 million | F5 Q3 FY2026 earnings release | July 27, 2026 |
| Q3 FY2026 segment revenue | Systems $240M up 32%, Software $223M up 7%, Services $402M up 3% | F5 Q3 FY2026 earnings release | July 27, 2026 |
| Q3 FY2026 margins | GAAP gross 82.2%, non-GAAP gross 84.2%, non-GAAP operating 35.0% | F5 Q3 FY2026 earnings release | July 27, 2026 |
| Q3 FY2026 EPS | GAAP $3.62, non-GAAP $4.73 versus $4.00 consensus | F5 Q3 FY2026 earnings release | July 27, 2026 |
| FY2026 guidance raised | Revenue growth 9% to 10% (from 7% to 8%), non-GAAP EPS $17.21 to $17.33 (from $16.25 to $16.55) | F5 Q3 FY2026 earnings release outlook | July 27, 2026 |
| FY2025 revenue and net income | $3.088 billion revenue, $692.4 million net income | StockAnalysis.com financials and F5 2025 Form 10-K | August 1, 2026 |
| TTM financials | $3.31 billion revenue, $726.5 million net income, $12.55 EPS, $17.06 FCF per share | StockAnalysis statistics | August 1, 2026 |
| Valuation ratios | 32.07x PE, 23.16x forward PE, 6.91x sales, 5.93x book, 23.59x FCF, EV/EBITDA 23.63 | StockAnalysis statistics and financial_rigor.py verification | August 1, 2026 |
| Balance sheet | $1.61 billion cash, $218.7 million debt, $1.39 billion net cash | StockAnalysis statistics | August 1, 2026 |
| Analyst consensus | Hold with an average target of $436.10 across 13 analysts, low $300 and high $515, median $438 | StockAnalysis.com forecast | July 28, 2026 |
| Recent analyst target updates | J.P. Morgan $515, RBC Capital $508, Piper Sandler $461, Morgan Stanley $415, Goldman Sachs $400, Barclays $397, Bank of America $300 | StockAnalysis.com forecast latest forecasts | July 28, 2026 |
| Technical snapshot | 50-day $401.02, 200-day $310.98, RSI 50.24, 20-day volume 648,625 | StockAnalysis statistics and Barchart technical analysis | July 31, 2026 |
This FFIV AI stock analysis is an informational research tool only. It is not investment advice, a recommendation, or a promise of future returns. Forecast ranges are scenarios based on available public data as of August 2, 2026 and may be wrong if fundamentals, valuation multiples, market conditions, or source data change.
Design trading strategies visually with 10+ indicators. Set entry/exit conditions and risk management, then generate Pine Script code with no coding required.
Filter and discover stocks based on market cap, dividend yield, P/E ratio, sector, and more. Screen thousands of stocks with real-time data.
Smart AI-driven stock selection with fundamental screening, analyst estimates, and key metrics. Filter by P/E, market cap, dividends, and more.
