N-able (NABL) AI Stock Analysis

• Market Cap: $1.42B
• Dividend Yield: N/A
• Average Volume (3M): 858.14K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.94
• Revenue Growth: 8.65%
• EPS Growth: -117.14%
• Country: US
• Employees: 1,800
• Sector: Technology
• Sector Strength: 88
• Industry: Information Technology Services
• EPS (TTM): 0.13
• Shares Outstanding: 186,329,600
• 10 Day Avg. Volume: 797,564
• 30 Day Avg. Volume: 858,142
• PEG Ratio: 1.82
• Price to Book (P/B): 2.28
• Price to Sales (P/S): 3.71
• P/FCF Ratio: 27.97
• Enterprise Value/Market Cap: 1.22
• Enterprise Value/Revenue: 3.49
• Enterprise Value/Gross Profit: 4.43
• Enterprise Value/Ebitda: 21.94
• 1Y Price Target: $9.56
• Price Target Upside: 26.46% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 5
• EPS Forecast (FY): 0.42
• Revenue Forecast (FY): $508.17M

• Rating: 61 Neutral
• Price Target: $8.00 ▲(5.82% Upside)

The overall stock score of 61 reflects a mixed financial performance with strong revenue growth but challenges in profitability and cash flow. Technical indicators suggest potential bearish momentum, while valuation metrics indicate overvaluation concerns. The earnings call provided positive guidance and strategic advancements, and recent corporate events enhance financial flexibility.

Positive Factors

Revenue Growth

The significant ARR growth indicates strong demand for N-able's services, suggesting a robust market position and potential for continued expansion.

AI Integration

AI integration enhances N-able's product offerings, potentially increasing efficiency and attracting more customers, which supports long-term growth.

Financial Flexibility

The amendment provides N-able with financial flexibility for strategic initiatives like acquisitions, supporting long-term growth and competitiveness.

Negative Factors

Profitability Challenges

Low profitability limits N-able's ability to reinvest in growth and may impact its competitive positioning if not addressed.

Cash Flow Constraints

Reduced cash flow growth can hinder N-able's ability to fund operations and strategic initiatives, affecting long-term sustainability.

Decreased Gross Margin

A declining gross margin suggests rising costs or pricing pressures, which could erode profitability if not managed effectively.

N-able Business Overview & Revenue Model

Company Description

N-able, Inc. provides cloud-based software solutions for managed service providers (MSPs) in the United States, the United Kingdom, and internationally. The company's solutions enable MSPs to support digital transformation and growth within small and medium-sized enterprises. Its software platform is designed to be an enterprise-grade solution that serves as an operating system for its MSP partners and scales as their businesses grow. The company's platform consists of solution categories including remote monitoring and management; security and data protection solutions through its data protection, patch management, endpoint security, web protection, e-mail security and archiving, and vulnerability assessment solutions; and business management, such as professional services automation, automation and scripting management, password management policies and reporting and analytics. The company was founded in 2000 and is headquartered in Burlington, Massachusetts.

How the Company Makes Money

N-able generates revenue primarily through a subscription-based model, where MSPs pay recurring fees for access to its software and services. Key revenue streams include monthly or annual subscriptions for its RMM platform, backup solutions, and security products. Additionally, N-able may earn income from professional services, training, and support. Strategic partnerships with other technology providers and integrations with third-party software can also enhance its offerings and contribute to its revenue. The growth in the managed services market and the increasing need for cybersecurity solutions further support its revenue generation.

N-able Financial Statement Overview

Summary

N-able shows moderate revenue growth and strong gross margins, but faces challenges in profitability and cash flow generation. The balance sheet is stable with manageable debt levels, but low return on equity indicates room for improvement in generating returns for shareholders.

Income Statement

N-able's income statement shows moderate revenue growth with a TTM growth rate of 2.29%. Gross profit margins are strong at 79.27%, indicating efficient cost management. However, the net profit margin is low at 0.59% due to a recent net loss, suggesting challenges in converting revenue into profit. EBIT and EBITDA margins have decreased compared to previous years, reflecting potential operational inefficiencies.

Balance Sheet

The balance sheet reveals a stable financial position with a debt-to-equity ratio of 0.46, indicating manageable leverage. Return on equity is low at 0.37%, suggesting limited profitability relative to shareholder equity. The equity ratio stands at 58.18%, reflecting a solid equity base relative to total assets, which enhances financial stability.

Cash Flow

Cash flow analysis shows a decline in free cash flow growth by 5.71% TTM, indicating potential cash generation issues. The operating cash flow to net income ratio is healthy at 0.61, suggesting good cash conversion from operations. However, the free cash flow to net income ratio of 0.84 indicates that free cash flow is not fully covering net income, highlighting potential cash flow constraints.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	497.67M	466.15M	421.88M	371.77M	346.46M	302.87M
Gross Profit	392.56M	385.47M	353.67M	313.16M	294.02M	239.70M
EBITDA	79.17M	110.03M	94.65M	72.55M	65.09M	89.44M
Net Income	-6.51M	30.96M	23.41M	16.71M	113.00K	-7.16M
Balance Sheet
Total Assets	1.40B	1.34B	1.16B	1.08B	1.06B	1.08B
Cash, Cash Equivalents and Short-Term Investments	101.44M	85.20M	153.05M	98.85M	66.74M	99.79M
Total Debt	369.03M	369.19M	374.52M	375.87M	381.53M	390.15M
Total Liabilities	584.67M	579.56M	451.43M	436.79M	437.34M	448.54M
Stockholders Equity	813.39M	759.29M	711.36M	642.07M	618.36M	631.20M
Cash Flow
Free Cash Flow	70.26M	55.71M	67.75M	50.40M	10.51M	69.53M
Operating Cash Flow	93.85M	79.44M	90.09M	71.41M	45.34M	85.67M
Investing Cash Flow	-128.83M	-122.42M	-22.34M	-30.21M	-34.83M	-16.14M
Financing Cash Flow	-40.33M	-22.59M	-15.17M	-10.40M	-42.32M	-10.56M

N-able Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 7.56
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NABL, the sentiment is Neutral. The current price of 7.56 is above the 20-day moving average (MA) of 7.36, below the 50-day MA of 7.66, and below the 200-day MA of 7.70, indicating a neutral trend. The MACD of -0.02 indicates Negative momentum. The RSI at 53.01 is Neutral, neither overbought nor oversold. The STOCH value of 77.51 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for NABL.

N-able Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FLYW	69 Neutral	$1.72B	―	-0.29%	―	22.71%	-111.24%
TASK	62 Neutral	$1.11B	14.30	15.40%	―	19.88%	51.03%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
NABL	61 Neutral	$1.42B	―	-0.83%	―	8.65%	-117.14%
BBAI	49 Neutral	$2.89B	―	-111.83%	―	-6.95%	-53.69%
VYX	49 Neutral	$1.38B	―	-3.73%	―	-22.36%	94.85%
AI	47 Neutral	$2.23B	―	-46.77%	―	1.84%	-27.74%

N-able Corporate Events

N-able Amends Credit Agreement to Boost Term Loan

On November 26, 2025, N-able International Holdings II, LLC, a subsidiary of N-able, Inc., amended its Credit Agreement to increase its term loan facility from $336 million to $400 million and extend its maturity to 2032. This amendment also extended the maturity of its revolving credit facility to 2030 and reduced the interest rate on borrowings, positioning the company to use these funds for corporate purposes, including acquisitions and share repurchases.