NetApp (NASDAQ:NTAP) Updates Q3 Earnings Guidance

NetApp (NASDAQ:NTAP) updated its third quarter earnings guidance on Thursday. The company provided earnings per share (EPS) guidance of $1.85-1.95 for the period, compared to the consensus estimate of $1.85. The company issued revenue guidance of $1.61-1.76 billion, compared to the consensus revenue estimate of $1.68 billion. NetApp also updated its FY 2025 guidance to 7.200-7.400 EPS.

Analyst Ratings Changes

Several equities research analysts have recently issued reports on NTAP shares. Oppenheimer began coverage on NetApp in a report on Wednesday, November 13th. They set a “market perform” rating for the company. Citigroup increased their target price on NetApp from $120.00 to $130.00 and gave the stock a “neutral” rating in a research note on Thursday, August 15th. Loop Capital raised NetApp from a “hold” rating to a “buy” rating and increased their price target for the company from $121.00 to $150.00 in a research report on Tuesday, September 3rd. Bank of America lifted their price target on shares of NetApp from $105.00 to $110.00 and gave the company an “underperform” rating in a research report on Thursday, August 29th. Finally, Stifel Nicolaus upped their price objective on NetApp from $138.00 to $140.00 and gave the stock a “buy” rating in a research report on Thursday, August 29th. One research analyst has rated the stock with a sell rating, eleven have issued a hold rating and six have given a buy rating to the stock. Based on data from MarketBeat.com, NetApp presently has an average rating of “Hold” and an average target price of $129.06.

NetApp Price Performance

NASDAQ:NTAP traded up $3.23 during trading hours on Thursday, reaching $126.68. The stock had a trading volume of 4,385,619 shares, compared to its average volume of 1,823,943. The company has a 50 day moving average price of $121.56 and a two-hundred day moving average price of $122.36. NetApp has a 52 week low of $77.46 and a 52 week high of $135.01. The company has a debt-to-equity ratio of 1.34, a quick ratio of 0.91 and a current ratio of 0.96. The stock has a market capitalization of $25.94 billion, a PE ratio of 24.11, a PEG ratio of 3.13 and a beta of 1.24.

NetApp (NASDAQ:NTAP) last announced its quarterly earnings data on Thursday, November 21st. The data storage provider reported $1.87 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.78 by $0.09. The business had revenue of $1.66 billion during the quarter, compared to the consensus estimate of $1.65 billion. NetApp had a net margin of 17.01% and a return on equity of 121.41%. The firm’s quarterly revenue was up 6.1% compared to the same quarter last year. During the same quarter last year, the firm earned $1.23 earnings per share. As a group, sell-side analysts anticipate that NetApp will post 5.71 earnings per share for the current fiscal year.

NetApp Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Wednesday, January 22nd. Shareholders of record on Friday, January 3rd will be given a dividend of $0.52 per share. This represents a $2.08 dividend on an annualized basis and a yield of 1.64%. NetApp’s dividend payout ratio is currently 40.63%.

Insider Activity at NetApp

In related news, CEO George Kurian sold 8,500 shares of the company’s stock in a transaction that occurred on Monday, October 21st. The stock was sold at an average price of $126.11, for a total value of $1,071,935.00. Following the completion of the transaction, the chief executive officer now directly owns 292,778 shares of the company’s stock, valued at $36,922,233.58. This represents a 2.82 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CAO Lorenzo Daniel De sold 1,685 shares of NetApp stock in a transaction on Tuesday, September 24th. The shares were sold at an average price of $123.60, for a total transaction of $208,266.00. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 23,049 shares of company stock worth $2,807,851. 0.47% of the stock is owned by corporate insiders.

NetApp Company Profile

NetApp, Inc provides cloud-led and data-centric services to manage and share data on-premises, and private and public clouds worldwide. It operates in two segments, Hybrid Cloud and Public Could. The company offers intelligent data management software, such as NetApp ONTAP, NetApp Snapshot, NetApp SnapCenter Backup Management, NetApp SnapMirror Data Replication, NetApp SnapLock Data Compliance, and storage infrastructure solutions, including NetApp All-Flash FAS series, NetApp Fabric Attached Storage, NetApp E/EF series, and NetApp StorageGRID.