ITT: A Growth Stock with High Earnings and Cash Flow Growth

Keysight Technologies' shares have fallen following its fiscal Q3 results. The company specializes in electronic design, test and measurement solutions for various industries, including commercial communications, automotive, semiconductor, energy, and consumer electronics. Net sales are distributed across the US, the Americas, China, Asia/Pacific, and Europe.

Title: Keysight Technologies' Q3 Earnings: Stock Falls Amid Mixed Market Sentiment

Keysight Technologies, Inc. (KEYS) reported its fiscal Q3 results on July 2, 2025, with shares falling following the announcement. The company, which specializes in electronic design, test, and measurement solutions, reported a revenue of $1.35 billion, surpassing FactSet's estimate of $1.32 billion [1].

Despite the revenue beat, Keysight's stock price declined, with shares trading at $163.36, down from $164.61. This drop was partly attributed to mixed market sentiment, with some investors recalibrating their views on the company's prospects [2].

Analysts have mixed opinions on Keysight's valuation. While the company's annual revenue growth of 6.2% and net income growth of 12.5% indicate strong fundamentals, the stock's valuation score of 2 out of 6 suggests it is undervalued on only two key financial checks, leaving room for debate [2].

A discounted cash flow (DCF) analysis estimates Keysight's intrinsic value at $166.28 per share, suggesting the stock is slightly undervalued by 1.7% [2]. However, the price-to-earnings (PE) ratio of 37.9x, which is above the Electronic industry average of 23.0x but lower than its peer group’s average of 46.4x, indicates that the stock may be overvalued based on this metric [2].

Institutional investors have also shown mixed activity. JPMorgan Chase & Co. reduced its stake by 6.1%, selling 69,297 shares, while other institutional investors such as Kovitz Investment Group Partners LLC, Price T Rowe Associates Inc. MD, Victory Capital Management Inc., Point72 Asset Management L.P., and GAMMA Investing LLC increased their holdings [3].

Keysight Technologies' shares have experienced a 3.3% decrease in stock price, currently trading around $164.61, with a market capitalization of $28.33 billion. The company's debt-to-equity ratio is 0.46, and its quick ratio is 2.75, indicating a strong financial position [3].

Investors should closely monitor Keysight Technologies' earnings and market sentiment to make informed decisions. The company's future prospects depend on its ability to maintain strong growth in a volatile market.

References:
[1] https://www.marketscreener.com/news/earnings-flash-keys-keysight-technologies-inc-reports-q3-revenue-1-35b-vs-factset-est-of-1-3-ce7c51dddf8df327
[2] https://finance.yahoo.com/news/evaluating-keysight-recent-earnings-beat-100450713.html
[3] https://www.marketbeat.com/instant-alerts/filing-keysight-technologies-inc-nysekeys-shares-sold-by-jpmorgan-chase-co-2025-08-15/