Zacks Research Has Optimistic Outlook of NetApp Q3 Earnings

NetApp, Inc. (NASDAQ:NTAP - Free Report) - Zacks Research raised their Q3 2025 EPS estimates for shares of NetApp in a research report issued on Thursday, December 12th. Zacks Research analyst V. Doshi now forecasts that the data storage provider will post earnings of $1.51 per share for the quarter, up from their previous estimate of $1.43. The consensus estimate for NetApp's current full-year earnings is $5.83 per share. Zacks Research also issued estimates for NetApp's Q4 2025 earnings at $1.54 EPS, Q2 2026 earnings at $1.50 EPS, Q3 2026 earnings at $1.58 EPS and FY2027 earnings at $6.82 EPS.

NTAP has been the subject of several other research reports. Susquehanna reissued a "positive" rating and issued a $155.00 target price on shares of NetApp in a research note on Monday, August 26th. TD Cowen boosted their price objective on shares of NetApp from $145.00 to $160.00 and gave the company a "buy" rating in a research report on Friday, November 22nd. UBS Group upped their price objective on shares of NetApp from $121.00 to $134.00 and gave the company a "neutral" rating in a research note on Thursday, August 29th. Wedbush reaffirmed a "neutral" rating and issued a $120.00 target price on shares of NetApp in a research note on Friday, November 22nd. Finally, Bank of America increased their price target on NetApp from $115.00 to $121.00 and gave the stock an "underperform" rating in a research note on Friday, November 22nd. One investment analyst has rated the stock with a sell rating, ten have assigned a hold rating and seven have issued a buy rating to the company's stock. According to MarketBeat, the stock presently has an average rating of "Hold" and a consensus target price of $138.27.

NetApp Price Performance

Shares of NTAP traded up $4.15 during mid-day trading on Monday, hitting $126.10. The company's stock had a trading volume of 2,130,948 shares, compared to its average volume of 1,852,724. The firm has a 50-day simple moving average of $122.94 and a 200 day simple moving average of $124.11. NetApp has a 1-year low of $83.62 and a 1-year high of $135.45. The firm has a market capitalization of $25.64 billion, a P/E ratio of 23.18, a P/E/G ratio of 2.94 and a beta of 1.23. The company has a current ratio of 0.91, a quick ratio of 0.84 and a debt-to-equity ratio of 1.39.

NetApp (NASDAQ:NTAP - Get Free Report) last posted its quarterly earnings results 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. NetApp had a net margin of 17.78% and a return on equity of 123.63%. The firm had revenue of $1.66 billion during the quarter, compared to analysts' expectations of $1.65 billion. During the same period in the prior year, the company posted $1.23 earnings per share. The firm's revenue for the quarter was up 6.1% on a year-over-year basis.

NetApp Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, January 22nd. Stockholders of record on Friday, January 3rd will be paid a $0.52 dividend. This represents a $2.08 dividend on an annualized basis and a dividend yield of 1.65%. The ex-dividend date of this dividend is Friday, January 3rd. NetApp's dividend payout ratio is presently 38.24%.

Insider Activity at NetApp

In other news, CAO Lorenzo Daniel De sold 326 shares of the firm's stock in a transaction that occurred on Monday, November 18th. The shares were sold at an average price of $117.44, for a total transaction of $38,285.44. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, EVP Elizabeth M. O'callahan sold 705 shares of the company's stock in a transaction on Thursday, October 10th. The shares were sold at an average price of $126.20, for a total transaction of $88,971.00. Following the completion of the sale, the executive vice president now directly owns 11,694 shares in the company, valued at $1,475,782.80. This represents a 5.69 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 23,049 shares of company stock worth $2,807,851. 0.47% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently modified their holdings of NTAP. Hollencrest Capital Management bought a new position in shares of NetApp during the second quarter valued at approximately $26,000. Northwest Investment Counselors LLC bought a new position in shares of NetApp during the third quarter worth about $27,000. Redwood Wealth Management Group LLC bought a new stake in NetApp in the 2nd quarter valued at about $32,000. True Wealth Design LLC grew its position in NetApp by 2,833.3% in the 3rd quarter. True Wealth Design LLC now owns 352 shares of the data storage provider's stock worth $43,000 after purchasing an additional 340 shares during the last quarter. Finally, Capital Performance Advisors LLP acquired a new stake in shares of NetApp in the third quarter valued at approximately $44,000. 92.17% of the stock is owned by institutional investors and hedge funds.

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.