Financial Performance - NetApp reported quarterly earnings of $1.56 per share, exceeding the Zacks Consensus Estimate of $1.46 per share, and up from $1.15 per share a year ago, representing an earnings surprise of 6.85% [1] - The company posted revenues of $1.54 billion for the quarter ended July 2024, surpassing the Zacks Consensus Estimate by 0.46% and increasing from $1.43 billion year-over-year [1] Market Performance - NetApp shares have increased approximately 51% since the beginning of the year, significantly outperforming the S&P 500's gain of 17.9% [2] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $1.70 on revenues of $1.62 billion, and for the current fiscal year, it is $6.86 on revenues of $6.55 billion [4] - The estimate revisions trend for NetApp is currently favorable, leading to a Zacks Rank 2 (Buy) for the stock, indicating expected outperformance in the near future [4] Industry Context - The Computer-Storage Devices industry is ranked in the top 41% of over 250 Zacks industries, suggesting that stocks in the top 50% tend to outperform those in the bottom 50% by more than 2 to 1 [5]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended July 26, 2024 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 000-27130 NetApp, Inc. (Exact name of registrant as specified in its charter) (State or other jurisdiction of (I.R.S. Employer incorp ...

Net revenues of $1.54 billion for the first quarter; 8% year-over-year increase SAN JOSE, Calif.—August 28, 2024—NetApp (NASDAQ: NTAP), the intelligent data infrastructure company, today reported financial results for the first quarter of fiscal year 2025, which ended on July 26, 2024. "We started fiscal year 2025 on a high note, delivering strong revenue growth and setting records for first quarter operating margin and EPS. These results are a testament to our strong execution in a continued uncertain macr ...

Core Insights - NetApp, Inc. is set to release its first-quarter earnings results on August 28, with analysts expecting earnings of $1.45 per share, an increase from $1.15 per share in the same period last year [1][2] - Projected revenue for the quarter is $1.53 billion, according to Benzinga Pro [2] - The company's shares closed at $133.12, reflecting a 0.5% gain [2] Analyst Ratings - Wedbush analyst Matt Bryson has a Neutral rating with a price target of $120 [2] - Citigroup analyst Jim Suva maintains a Neutral rating, raising the price target from $120 to $130 [2] - Evercore ISI Group analyst Amit Daryanani holds an In-Line rating, increasing the price target from $120 to $130 [2] - Stifel analyst Matthew Sheerin has a Buy rating, raising the price target from $130 to $138 [2] - Morgan Stanley analyst Meta Marshall maintains an Equal-Weight rating, increasing the price target from $106 to $127 [2] - The consensus price target for NTAP stock is $130.5 based on the ratings of 23 analysts, with a high of $150 and a low of $65 [2]

Core Viewpoint - NetApp (NTAP) is expected to report strong earnings for the first quarter of fiscal 2025, with non-GAAP EPS projected between $1.40 and $1.50, reflecting a 27% increase year-over-year, and net revenues anticipated to be between $1.455 billion and $1.605 billion, indicating a 7.1% increase from the previous year [1][2]. Group 1: Earnings Expectations - Non-GAAP EPS is projected to be between $1.40 and $1.50, with a consensus estimate of $1.46, marking a 27% increase from the previous year [1]. - Net revenues are expected to range from $1.455 billion to $1.605 billion, with a consensus estimate of $1.53 billion, representing a 7.1% increase year-over-year [1]. - The company has beaten estimates in three of the last four quarters, with an average earnings surprise of 8.8% [1]. Group 2: Revenue Drivers - Continued momentum in all-flash products and hyperscaler services is expected to drive top-line performance [2]. - Increasing adoption of new products like the AFF A-Series and Keystone, along with ransomware protection solutions, is likely to contribute positively [2]. - The company benefits from digital and cloud transformations, including business analytics and AI [2]. Group 3: Segment Performance - Hybrid Cloud revenues are estimated at $1,368 million, reflecting a 7% increase from the previous year [3]. - Public Cloud revenues are projected to grow to $161.1 million, a 4.6% increase year-over-year [3]. Group 4: Challenges - Global macroeconomic volatility, cautious IT spending, and cloud cost optimization efforts by clients are potential concerns [3]. - Unfavorable foreign exchange movements, high interest rates, and rising NAND prices from suppliers may negatively impact earnings [4]. Group 5: Earnings Prediction Model - Current model does not predict an earnings beat for NTAP, with an Earnings ESP of 0.00% and a Zacks Rank of 3 [5].

Wall Street analysts expect NetApp (NTAP) to post quarterly earnings of $1.46 per share in its upcoming report, which indicates a year-over-year increase of 27%. Revenues are expected to be $1.53 billion, up 7.1% from the year-ago quarter.Over the last 30 days, there has been no revision in the consensus EPS estimate for the quarter. This signifies the covering analysts' collective reconsideration of their initial forecasts over the course of this timeframe.Before a company announces its earnings, it is ess ...

The most recent trading session ended with NetApp (NTAP) standing at $131.70, reflecting a +0.92% shift from the previouse trading day's closing. The stock lagged the S&P 500's daily gain of 0.97%. Elsewhere, the Dow gained 0.58%, while the tech-heavy Nasdaq added 1.39%.The data storage company's stock has climbed by 3.39% in the past month, exceeding the Computer and Technology sector's loss of 5.36% and the S&P 500's loss of 1.85%.Market participants will be closely following the financial results of NetA ...

Core Viewpoint - NetApp's shares have increased by 51.1% year to date, outperforming the sub-industry and S&P 500 growth rates of 47.1% and 16.6% respectively [1] Company Overview - NetApp specializes in enterprise storage, data management software, and hardware products, helping businesses manage cloud environments and adopt technologies like AI and Kubernetes [1] - The company has a Zacks Rank of 2 (Buy) and a Growth Score of B, indicating solid investment potential [1] Financial Performance - The stock is currently down 13.9% from its 52-week high of $135.01, suggesting potential for upside [2] - NetApp's earnings have exceeded the Zacks Consensus Estimate in three of the last four quarters, with an average surprise of 8.8% [2] Growth Drivers - Strong demand for all-flash and cloud storage is driving revenue growth, with digital transformations in AI and data security acting as key growth factors [3] - The new AFF A-series products are expected to capture more market share in the all-flash segment [3] - The All-Flash Array Business reported an annualized net revenue run rate of $3.6 billion, up 17% year over year, with total billings increasing by 8% to $1.8 billion [3] Strategic Initiatives - Frequent product launches and enhanced go-to-market strategies are contributing to revenue growth [4] - The company is focusing on ransomware protection solutions and partnerships with hyper-scalers to meet the rising demand for generative AI [4] Revenue Projections - For fiscal 2025, NetApp expects revenues between $6.45 billion and $6.65 billion, up from $6.27 billion the previous year [5] - Public Cloud Services recorded revenues of $152 million in Q4 fiscal 2024, reflecting a 1% year-over-year increase [5] Capital Allocation - As of April 26, 2024, NetApp had $3.252 billion in cash and cash equivalents, with long-term debt of $1.992 billion [6] - The company generated $613 million in net cash from operations in Q4, compared to $235 million in the prior year, with free cash flow of $567 million [6] - NetApp returned $204 million in dividends and $1.32 billion in share repurchases in the fiscal fourth quarter, along with a 4% increase in its quarterly dividend [6] Earnings Estimates - The Zacks Consensus Estimate for fiscal 2025 and 2026 revenues is $6.55 billion and $6.81 billion, indicating year-over-year growth of 4.4% and 4.1% respectively [7] - Earnings per share estimates for fiscal 2025 and 2026 are projected to rise by 6.2% and 7.1% to $6.86 and $7.34 respectively [7] Challenges - The company faces headwinds from an unfavorable macroeconomic environment and rising NAND prices [8] - Competition from Pure Storage in the all-flash and cloud storage markets poses additional challenges [8]

NetApp (NTAP) has been one of the most searched-for stocks on Zacks.com lately. So, you might want to look at some of the facts that could shape the stock's performance in the near term.Shares of this data storage company have returned -5.6% over the past month versus the Zacks S&P 500 composite's -0.4% change. The Zacks Computer- Storage Devices industry, to which NetApp belongs, has lost 13.8% over this period. Now the key question is: Where could the stock be headed in the near term?Although media report ...

NetApp (NTAP) appears an attractive pick, as it has been recently upgraded to a Zacks Rank #2 (Buy). This upgrade is essentially a reflection of an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices.The Zacks rating relies solely on a company's changing earnings picture. It tracks EPS estimates for the current and following years from the sell-side analysts covering the stock through a consensus measure -- the Zacks Consensus Estimate.The power of a changing earning ...