NetApp (NASDAQ:NTAP) Price Target Raised to $195.00 at Susquehanna

NetApp (NASDAQ:NTAP) had its price objective raised by investment analysts at Susquehanna from $185.00 to $195.00 in a research report issued on Thursday, Benzinga reports. The brokerage currently has a “neutral” rating on the data storage provider’s stock. Susquehanna’s price objective indicates a potential upside of 7.87% from the stock’s current price.

NTAP has been the topic of several other reports. Argus lifted their price target on NetApp from $130.00 to $200.00 and gave the company a “buy” rating in a research report on Monday, June 1st. Morgan Stanley upgraded shares of NetApp from an “underweight” rating to an “equal weight” rating and raised their price objective for the company from $137.00 to $173.00 in a research note on Monday, August 10th. Wall Street Zen downgraded NetApp from a “strong-buy” rating to a “buy” rating in a report on Wednesday, July 29th. Barclays reaffirmed an “overweight” rating and issued a $219.00 target price on shares of NetApp in a research report on Thursday. Finally, Wells Fargo & Company reiterated a “positive” rating on shares of NetApp in a research report on Thursday. Six analysts have rated the stock with a Buy rating and nine have given a Hold rating to the stock. According to data from MarketBeat, NetApp has an average rating of “Hold” and an average price target of $187.15.

NetApp Price Performance

NTAP stock opened at $180.77 on Thursday. The company has a current ratio of 1.44, a quick ratio of 1.39 and a debt-to-equity ratio of 1.84. The firm’s 50-day moving average price is $177.45 and its two-hundred day moving average price is $139.96. The stock has a market capitalization of $35.47 billion, a price-to-earnings ratio of 28.42, a PEG ratio of 2.49 and a beta of 1.44. NetApp has a 12-month low of $93.69 and a 12-month high of $209.06.

NetApp (NASDAQ:NTAP) last released its quarterly earnings results on Wednesday, September 2nd. The data storage provider reported $2.58 EPS for the quarter, beating analysts’ consensus estimates of $2.12 by $0.46. The business had revenue of $2.02 billion during the quarter, compared to analyst estimates of $1.84 billion. NetApp had a return on equity of 117.23% and a net margin of 18.43%.NetApp’s quarterly revenue was up 29.9% compared to the same quarter last year. During the same quarter in the prior year, the company posted $1.15 EPS. NetApp has set its FY 2027 guidance at 9.730-10.030 EPS and its Q2 2027 guidance at 2.540-2.640 EPS. As a group, equities analysts predict that NetApp will post 7.34 earnings per share for the current year.

Insider Activity at NetApp

In related news, EVP Elizabeth M. O’callahan sold 1,000 shares of the company’s stock in a transaction dated Monday, August 10th. The shares were sold at an average price of $193.82, for a total transaction of $193,820.00. Following the transaction, the executive vice president directly owned 30,297 shares in the company, valued at approximately $5,872,164.54. This represents a 3.20% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, President Cesar Cernuda sold 2,608 shares of the stock in a transaction that occurred on Monday, August 17th. The stock was sold at an average price of $204.48, for a total value of $533,283.84. Following the completion of the sale, the president owned 46,530 shares in the company, valued at approximately $9,514,454.40. The trade was a 5.31% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 55,072 shares of company stock valued at $8,719,520 over the last ninety days. Corporate insiders own 0.36% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the stock. West Financial Advisors LLC bought a new position in NetApp in the 2nd quarter worth about $37,000. Park Square Financial Group LLC raised its position in NetApp by 68.7% during the 4th quarter. Park Square Financial Group LLC now owns 253 shares of the data storage provider’s stock valued at $29,000 after purchasing an additional 103 shares in the last quarter. Gen Wealth Partners Inc bought a new position in shares of NetApp during the 4th quarter worth $30,000. DV Equities LLC bought a new stake in shares of NetApp in the fourth quarter valued at about $30,000. Finally, Measured Wealth Private Client Group LLC purchased a new stake in NetApp in the third quarter worth about $35,000. 92.17% of the stock is currently owned by institutional investors.

NetApp News Summary

Here are the key news stories impacting NetApp this week:

• Positive Sentiment: NetApp reported record fiscal Q1 revenue of approximately $2.03 billion, up nearly 30% year over year, while non-GAAP EPS of $2.58 exceeded the roughly $2.12 analyst consensus. All-flash array revenue increased 47% to $1.31 billion, supported by AI and hybrid-cloud demand. NetApp Stock Tanks Despite Strong Q1 Earnings Print
• Positive Sentiment: The company raised its fiscal 2027 outlook to approximately $8.0 billion-$8.2 billion in revenue and $9.73-$10.03 in non-GAAP EPS, well above consensus expectations. It also issued Q2 EPS guidance of $2.54-$2.64, ahead of estimates. NetApp Raises Guidance
• Positive Sentiment: NetApp announced new ONTAP capabilities validated for VMware Cloud Foundation 9.1 and disclosed the acquisition of AI data-infrastructure company DataPelago, potentially strengthening its position in AI workloads and private cloud. NetApp VMware Cloud Foundation Announcement
• Neutral Sentiment: NetApp maintained its quarterly dividend at $0.52 per share, payable October 28 to shareholders of record October 9, implying an annualized yield of about 1.2%.
• Negative Sentiment: Investors reacted negatively to management’s warning that second-quarter gross margin will decline. Non-GAAP gross margin was 70.6% in Q1, while product margins came under sequential pressure from higher component costs and a less favorable product mix. NetApp Warns Gross Margin Will Fall
• Negative Sentiment: Free cash flow fell to approximately $401 million, while operating cash flow was $503 million and inventory increased. The weaker cash conversion raised concerns about execution and valuation after a substantial prior run-up, prompting profit-taking despite the earnings and guidance beats. NetApp Free Cash Flow Decline

NetApp Company Profile

NetApp, Inc (NASDAQ: NTAP) is a data management and storage company that delivers hybrid cloud data services for applications and data. Founded in 1992 as Network Appliance and rebranded as NetApp in 2008, the company is headquartered in Sunnyvale, California. NetApp’s offering focuses on enabling organizations to store, manage, protect and move data across on-premises environments and major public clouds.

The company’s product portfolio centers on the ONTAP data management software and a range of storage systems and services built around it.