N-able (NYSE:NABL) Posts Quarterly Earnings Results, Meets Estimates

N-able (NYSE:NABL) issued its earnings results on Monday. The company reported $0.10 EPS for the quarter, hitting the consensus estimate of $0.10, FiscalAI reports. N-able had a negative net margin of 1.99% and a positive return on equity of 3.40%. The company had revenue of $138.22 million for the quarter, compared to the consensus estimate of $138.08 million. During the same period in the previous year, the firm earned $0.11 earnings per share. The firm’s revenue for the quarter was up 5.3% on a year-over-year basis.

Here are the key takeaways from N-able’s conference call:

• Q2 ARR reached $544 million, up 6% year over year, while revenue increased 6% to $138 million and adjusted EBITDA was $40 million, representing a 29% margin.
• N-Able lowered its 2026 outlook to revenue of $539 million–$542 million and ARR of $562 million–$565 million, citing weaker-than-expected UEM and EDR renewal rates, pricing pressure, and near-term disruption from its go-to-market leadership transition.
• The company said its largest renewal cohort produced rates in the mid-80% range versus the previously expected high-80% range, with customers sometimes reducing quantities or prices and some EDR customers moving to competitors.
• N-Able plans to reduce headcount by approximately 6%, lowering annualized operating expenses by $11 million–$13 million, while maintaining a 29%–30% full-year adjusted EBITDA margin and $116 million–$120 million of unlevered free cash flow.
• Data protection and security operations continued to outperform, with data protection ARR above $200 million and leading net new ARR growth; the company expects new offerings including DRaaS, Google Workspace Backup, Incident Response, and FedRAMP EDR to support growth into 2027.

N-able Stock Performance

Shares of N-able stock opened at $3.22 on Tuesday. N-able has a 12 month low of $2.92 and a 12 month high of $8.73. The firm has a market capitalization of $606.58 million, a P/E ratio of -64.40 and a beta of 0.50. The company has a current ratio of 1.26, a quick ratio of 1.26 and a debt-to-equity ratio of 0.49. The business has a fifty day simple moving average of $4.00 and a two-hundred day simple moving average of $4.57.

N-able News Summary

Here are the key news stories impacting N-able this week:

• Positive Sentiment: Second-quarter adjusted earnings were $0.10 per share, matching analyst expectations, while revenue of $138.22 million slightly exceeded the $138.08 million consensus estimate. Revenue increased 5.3% year over year, indicating continued top-line growth. N-able Announces Second Quarter 2026 Results
• Positive Sentiment: Management reiterated a goal of approximately 30% adjusted EBITDA margin for 2026, which may support the long-term profitability outlook as the company works through its go-to-market transition. N-able 2026 Revenue and EBITDA Margin Outlook
• Neutral Sentiment: N-able’s quarterly performance was broadly in line with expectations, although EPS declined from $0.11 in the comparable period last year to $0.10. The company also maintained full-year revenue guidance of $539 million to $542 million.
• Negative Sentiment: Third-quarter revenue guidance of $134.5 million to $135.5 million is well below the $142.0 million analyst consensus. Full-year guidance of $539 million to $542 million also trails the $556.3 million consensus, signaling slower near-term growth and likely contributing to the share-price decline. N-able Q2 Earnings and Guidance
• Negative Sentiment: The company disclosed a material weakness in revenue controls, raising the risk of accounting errors, financial restatements, remediation costs and investor concern. This disclosure adds governance and reporting uncertainty on top of the reduced outlook. N-able Material Weakness Disclosure

Institutional Inflows and Outflows

A number of large investors have recently bought and sold shares of the business. Invesco Ltd. grew its holdings in N-able by 11.7% in the fourth quarter. Invesco Ltd. now owns 371,226 shares of the company’s stock worth $2,777,000 after purchasing an additional 38,879 shares during the period. State of Tennessee Department of Treasury boosted its position in shares of N-able by 103.2% in the 4th quarter. State of Tennessee Department of Treasury now owns 34,381 shares of the company’s stock worth $257,000 after purchasing an additional 17,461 shares in the last quarter. XTX Topco Ltd purchased a new stake in shares of N-able in the 4th quarter worth approximately $117,000. Zacks Investment Management bought a new position in N-able during the 4th quarter valued at approximately $519,000. Finally, VARCOV Co. purchased a new position in N-able during the fourth quarter valued at $337,000. 96.35% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

A number of analysts have recently weighed in on the stock. Royal Bank Of Canada lowered shares of N-able from an “outperform” rating to a “sector perform” rating and set a $4.00 target price for the company. in a report on Tuesday. Scotiabank upped their price target on N-able from $5.25 to $5.75 and gave the company a “sector perform” rating in a research report on Friday, May 8th. Wall Street Zen raised N-able from a “hold” rating to a “buy” rating in a research note on Saturday, May 16th. Zacks Research downgraded N-able from a “hold” rating to a “strong sell” rating in a report on Thursday, July 16th. Finally, Weiss Ratings reaffirmed a “sell (d)” rating on shares of N-able in a research note on Friday, July 17th. Two equities research analysts have rated the stock with a Buy rating, three have issued a Hold rating and three have given a Sell rating to the company’s stock. Based on data from MarketBeat, the stock has a consensus rating of “Reduce” and an average target price of $5.85.

About N-able

N-able (NYSE:NABL) is a cloud-based software provider specializing in solutions for managed service providers (MSPs). The company’s platform offers remote monitoring and management (RMM), backup and disaster recovery, endpoint detection and response (EDR), security information and event management (SIEM), and automation tools. By integrating these services into a unified interface, N-able enables MSPs to streamline IT operations, enhance security posture, and deliver proactive maintenance across on-premises, cloud, and hybrid environments.

Headquartered in Toronto, Canada, N-able traces its origins to the managed services division of SolarWinds before completing a spin-off and initial public offering in mid-2021.