NetApp (NASDAQ:NTAP) Updates Q1 2027 Earnings Guidance

NetApp (NASDAQ:NTAP) updated its first quarter 2027 earnings guidance on Thursday. The company provided earnings per share guidance of 2.050-2.150 for the period, compared to the consensus earnings per share estimate of 1.780. The company issued revenue guidance of $1.8 billion-$1.9 billion, compared to the consensus revenue estimate of $1.7 billion. NetApp also updated its FY 2027 guidance to 8.700-9.000 EPS.

Analysts Set New Price Targets

Several brokerages have recently commented on NTAP. Bank of America raised their price objective on shares of NetApp from $125.00 to $150.00 and gave the stock a “neutral” rating in a research report on Friday. UBS Group reaffirmed a “neutral” rating and set a $160.00 price objective on shares of NetApp in a research report on Friday. Wells Fargo & Company raised their price objective on shares of NetApp from $115.00 to $180.00 and gave the stock an “equal weight” rating in a research report on Friday. Weiss Ratings downgraded shares of NetApp from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Friday, March 13th. Finally, Northland Securities raised their price objective on shares of NetApp from $137.00 to $171.00 and gave the stock an “outperform” rating in a research report on Friday. Four research analysts have rated the stock with a Buy rating, ten have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of “Hold” and an average price target of $157.50.

NetApp Stock Performance

NASDAQ NTAP opened at $174.29 on Friday. The company has a fifty day simple moving average of $112.46 and a 200 day simple moving average of $107.95. NetApp has a 12-month low of $93.69 and a 12-month high of $192.83. The company has a current ratio of 1.39, a quick ratio of 1.36 and a debt-to-equity ratio of 2.15. The company has a market cap of $34.39 billion, a P/E ratio of 27.40, a PEG ratio of 2.60 and a beta of 1.28.

NetApp (NASDAQ:NTAP) last posted its quarterly earnings results on Thursday, May 28th. The data storage provider reported $2.03 earnings per share (EPS) for the quarter, missing the consensus estimate of $2.27 by ($0.24). NetApp had a net margin of 18.43% and a return on equity of 126.01%. The business had revenue of $1.95 billion during the quarter, compared to analyst estimates of $1.87 billion. During the same period in the previous year, the business posted $1.93 EPS. The business’s revenue for the quarter was up 12.5% compared to the same quarter last year. NetApp has set its FY 2027 guidance at 8.700-9.000 EPS and its Q1 2027 guidance at 2.050-2.150 EPS. Sell-side analysts predict that NetApp will post 7.14 earnings per share for the current fiscal year.

NetApp Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, July 29th. Investors of record on Friday, July 10th will be given a $0.52 dividend. The ex-dividend date of this dividend is Friday, July 10th. This represents a $2.08 annualized dividend and a yield of 1.2%. NetApp’s dividend payout ratio (DPR) is presently 32.70%.

Insider Buying and Selling at NetApp

In other NetApp news, EVP Elizabeth M. O’callahan sold 1,000 shares of NetApp stock in a transaction on Monday, May 11th. The shares were sold at an average price of $117.73, for a total transaction of $117,730.00. Following the transaction, the executive vice president directly owned 18,382 shares of the company’s stock, valued at $2,164,112.86. The trade was a 5.16% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CAO Lorenzo Daniel De sold 275 shares of NetApp stock in a transaction on Monday, May 18th. The stock was sold at an average price of $120.00, for a total transaction of $33,000.00. Following the transaction, the chief accounting officer directly owned 1,090 shares in the company, valued at $130,800. This represents a 20.15% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last three months, insiders sold 3,275 shares of company stock valued at $347,650. 0.28% of the stock is currently owned by insiders.

Key Headlines Impacting NetApp

Here are the key news stories impacting NetApp this week:

• Positive Sentiment: NetApp reported fiscal Q4 revenue of $1.95 billion, topping estimates and rising 12.5% year over year, while non-GAAP EPS came in at $2.43, also above expectations. NetApp Q4 Earnings and Revenues Top Estimates
• Positive Sentiment: Management issued FY2027 guidance above Wall Street estimates, pointing to revenue of about $7.3 billion-$7.6 billion and EPS of $8.70-$9.00, which supports optimism for continued growth and margin expansion. Why NetApp Stock Soared 35% Friday Morning
• Positive Sentiment: Analysts sharply lifted price targets after the report, including JPMorgan, Bank of America, Citigroup, Wedbush, Susquehanna, Northland, and Wells Fargo, signaling that the earnings beat may lead to higher estimates even if several firms kept neutral or hold-type ratings. Analyst price target updates
• Positive Sentiment: NetApp also announced a quarterly dividend and a new $1 billion share repurchase program, adding to shareholder returns and potentially supporting the stock. NetApp Announces New $1 Billion Share Repurchase Program

Hedge Funds Weigh In On NetApp

Hedge funds have recently bought and sold shares of the company. Sivia Capital Partners LLC purchased a new position in NetApp during the 2nd quarter worth $315,000. EFG International AG purchased a new position in NetApp during the 4th quarter worth $206,000. B. Riley Wealth Advisors Inc. purchased a new position in NetApp during the 2nd quarter worth $203,000. Ancora Advisors LLC boosted its holdings in NetApp by 1,759.3% during the 3rd quarter. Ancora Advisors LLC now owns 1,004 shares of the data storage provider’s stock worth $119,000 after acquiring an additional 950 shares during the last quarter. Finally, Transamerica Financial Advisors LLC raised its stake in shares of NetApp by 16.8% during the 4th quarter. Transamerica Financial Advisors LLC now owns 833 shares of the data storage provider’s stock worth $89,000 after purchasing an additional 120 shares during the period. 92.17% of the stock is owned by hedge funds and other institutional investors.

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.