Why N-Able Stock Is Firing Today

Author: Anusuya Lahiri | March 29, 2023 07:40am

On March 28, N-Able, Inc (NYSE:NABL) disclosed that it would replace iStar Inc (NYSE:STAR) in the S&P SmallCap 600 effective before trading on Monday, April 3.
S&P SmallCap 600 constituent Safehold Inc (NYSE:SAFE) is acquiring iStar effective before the opening of trading on March 31.
Immediately before its acquisition by Safehold, iStar will distribute shares in Star Holdings (NASDAQ:STHOV).
Star Holdings is not eligible for the S&P SmallCap 600 following the spin-off transaction as it does not represent the small-cap market space.
In February, N-Able reported fourth-quarter revenue growth of 7% year-on-year to $95.8 million, beating the consensus of $93.6 million.
Subscription revenue grew by 7% Y/Y to $93.4 million.
The adjusted gross margin expanded by 410 bps to 27.8%.
Adjusted EPS of $0.10 beat the consensus of $0.07.
N-Able shares gained 17.9% YTD, beating the broader index SPDR S&P 500 (NYSE:SPY), which gained 3.9%.
Price Action: NABL shares traded higher by 13.7% at $13.81 premarket on the last check Wednesday.