NetApp (NASDAQ:NTAP) Updates Q2 2025 Earnings Guidance

NetApp (NASDAQ:NTAP) updated its second quarter 2025 earnings guidance on Wednesday. The company provided EPS guidance of 1.730-1.830 for the period, compared to the consensus EPS estimate of 1.700. The company issued revenue guidance of $1.6 billion-$1.7 billion, compared to the consensus revenue estimate of $1.6 billion. NetApp also updated its FY 2025 guidance to 7.000-7.200 EPS.

NetApp Stock Down 7.3 %

Shares of NASDAQ NTAP traded down $9.62 during midday trading on Thursday, hitting $122.29. The company’s stock had a trading volume of 1,249,069 shares, compared to its average volume of 1,893,954. The firm has a market capitalization of $25.17 billion, a price-to-earnings ratio of 26.34, a price-to-earnings-growth ratio of 4.96 and a beta of 1.27. NetApp has a 1 year low of $70.82 and a 1 year high of $135.01. The company has a debt-to-equity ratio of 1.74, a current ratio of 1.19 and a quick ratio of 1.15. The business’s fifty day simple moving average is $127.67 and its two-hundred day simple moving average is $113.33.

NetApp (NASDAQ:NTAP) last posted its quarterly earnings results on Wednesday, August 28th. The data storage provider reported $1.24 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.15 by $0.09. The company had revenue of $1.54 billion for the quarter, compared to analyst estimates of $1.53 billion. NetApp had a return on equity of 114.54% and a net margin of 15.73%. NetApp’s revenue for the quarter was up 7.6% compared to the same quarter last year. During the same quarter last year, the company earned $0.84 EPS. On average, equities analysts predict that NetApp will post 5.47 EPS for the current year.

NetApp Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, October 23rd. Investors of record on Friday, October 4th will be given a $0.52 dividend. This represents a $2.08 dividend on an annualized basis and a dividend yield of 1.70%. NetApp’s dividend payout ratio (DPR) is 44.83%.

NetApp declared that its board has approved a stock repurchase program on Thursday, May 30th that permits the company to buyback $1.00 billion in outstanding shares. This buyback authorization permits the data storage provider to buy up to 4% of its shares through open market purchases. Shares buyback programs are typically an indication that the company’s leadership believes its stock is undervalued.

Analyst Upgrades and Downgrades

NTAP has been the subject of several research reports. UBS Group upped their price target on shares of NetApp from $121.00 to $134.00 and gave the company a neutral rating in a research report on Thursday. Stifel Nicolaus upped their price objective on NetApp from $138.00 to $140.00 and gave the company a buy rating in a research note on Thursday. Bank of America boosted their price objective on shares of NetApp from $105.00 to $110.00 and gave the company an underperform rating in a research note on Thursday. Barclays raised their target price on shares of NetApp from $116.00 to $119.00 and gave the stock an equal weight rating in a research note on Thursday. Finally, Argus boosted their price target on shares of NetApp from $130.00 to $140.00 and gave the stock a buy rating in a research note on Wednesday, June 5th. One equities research analyst has rated the stock with a sell rating, eleven have issued a hold rating and five have issued a buy rating to the company. According to data from MarketBeat, the company has an average rating of Hold and an average target price of $127.67.

Insider Buying and Selling

In other NetApp news, CEO George Kurian sold 8,500 shares of the firm’s stock in a transaction on Monday, July 15th. The stock was sold at an average price of $130.36, for a total transaction of $1,108,060.00. Following the completion of the transaction, the chief executive officer now owns 314,274 shares of the company’s stock, valued at $40,968,758.64. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. In other news, President Cesar Cernuda sold 22,000 shares of NetApp stock in a transaction on Friday, June 28th. The stock was sold at an average price of $129.46, for a total value of $2,848,120.00. Following the completion of the sale, the president now owns 64,789 shares of the company’s stock, valued at $8,387,583.94. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Also, CEO George Kurian sold 8,500 shares of the stock in a transaction dated Monday, July 15th. The stock was sold at an average price of $130.36, for a total value of $1,108,060.00. Following the transaction, the chief executive officer now owns 314,274 shares in the company, valued at $40,968,758.64. The disclosure for this sale can be found here. Insiders sold 41,786 shares of company stock worth $5,395,146 in the last ninety days. Insiders own 0.37% of the company’s stock.

About NetApp

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.