NetApp (NASDAQ:NTAP) Downgraded to "Hold" Rating by Wall Street Zen

Key Points

• Wall Street Zen downgraded NetApp (NASDAQ:NTAP) from "buy" to "hold," amid mixed analyst actions — Goldman Sachs initiated coverage with a "buy" and $128 target while Citi, Weiss, Wedbush and JPMorgan moved toward neutral/hold — leaving a MarketBeat consensus rating of Hold and a $120.75 average price target.
• NetApp beat quarterly estimates with $2.12 EPS (vs. $2.07) and $1.71B revenue (vs. $1.70B) and set Q4 FY2026 guidance of 2.210–2.310 EPS and FY2026 guidance of 7.920–8.020 EPS; the stock trades near $104.53 with a ~$20.6B market cap and a ~17.5 PE.

NetApp (NASDAQ:NTAP - Get Free Report) was downgraded by analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a research note issued to investors on Sunday.

Several other research firms also recently issued reports on NTAP. Citigroup boosted their price target on NetApp from $110.00 to $114.00 and gave the company a "neutral" rating in a research note on Monday, March 2nd. The Goldman Sachs Group assumed coverage on NetApp in a research report on Tuesday, January 13th. They set a "buy" rating and a $128.00 target price for the company. Weiss Ratings downgraded NetApp from a "buy (b-)" rating to a "hold (c+)" rating in a research report on Friday, March 13th. Wedbush reiterated a "neutral" rating and set a $115.00 target price on shares of NetApp in a research report on Wednesday, February 25th. Finally, JPMorgan Chase & Co. downgraded NetApp from an "overweight" rating to a "neutral" rating and cut their target price for the company from $125.00 to $110.00 in a research report on Thursday. One investment analyst has rated the stock with a Strong Buy rating, four have given a Buy rating and ten have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the stock currently has an average rating of "Hold" and a consensus price target of $120.75.

NetApp Stock Performance

NTAP opened at $104.53 on Friday. The business has a fifty day simple moving average of $101.05 and a 200 day simple moving average of $107.24. The company has a market capitalization of $20.63 billion, a PE ratio of 17.48, a price-to-earnings-growth ratio of 3.21 and a beta of 1.30. NetApp has a 1 year low of $80.64 and a 1 year high of $126.66. The company has a debt-to-equity ratio of 2.15, a current ratio of 1.39 and a quick ratio of 1.36.

NetApp (NASDAQ:NTAP - Get Free Report) last released its quarterly earnings results on Thursday, February 26th. The data storage provider reported $2.12 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.07 by $0.05. The business had revenue of $1.71 billion during the quarter, compared to the consensus estimate of $1.70 billion. NetApp had a return on equity of 118.11% and a net margin of 18.07%.The firm's quarterly revenue was up 4.4% on a year-over-year basis. During the same period in the previous year, the company posted $1.91 EPS. NetApp has set its Q4 2026 guidance at 2.210-2.310 EPS and its FY 2026 guidance at 7.920-8.020 EPS. Research analysts expect that NetApp will post 5.89 EPS for the current year.

Insider Activity at NetApp

In other news, EVP Elizabeth M. O'callahan sold 1,000 shares of the business's stock in a transaction on Friday, April 10th. The stock was sold at an average price of $96.25, for a total transaction of $96,250.00. Following the completion of the transaction, the executive vice president owned 19,382 shares of the company's stock, valued at approximately $1,865,517.50. The trade was a 4.91% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Over the last ninety days, insiders sold 3,000 shares of company stock worth $300,370. 0.28% of the stock is currently owned by insiders.

Hedge Funds Weigh In On NetApp

A number of institutional investors have recently modified their holdings of NTAP. Norges Bank acquired a new position in shares of NetApp during the 4th quarter worth $458,060,000. SG Americas Securities LLC raised its holdings in shares of NetApp by 378.9% during the 1st quarter. SG Americas Securities LLC now owns 1,329,475 shares of the data storage provider's stock worth $136,125,000 after buying an additional 1,051,863 shares in the last quarter. Pacer Advisors Inc. raised its holdings in shares of NetApp by 103.6% during the 3rd quarter. Pacer Advisors Inc. now owns 1,783,103 shares of the data storage provider's stock worth $211,226,000 after buying an additional 907,233 shares in the last quarter. Arrowstreet Capital Limited Partnership raised its holdings in shares of NetApp by 94.6% during the 3rd quarter. Arrowstreet Capital Limited Partnership now owns 1,823,292 shares of the data storage provider's stock worth $215,987,000 after buying an additional 886,485 shares in the last quarter. Finally, AQR Capital Management LLC raised its holdings in shares of NetApp by 71.6% during the 3rd quarter. AQR Capital Management LLC now owns 1,849,218 shares of the data storage provider's stock worth $219,058,000 after buying an additional 771,835 shares in the last quarter. Institutional investors and hedge funds own 92.17% of the company's stock.

About NetApp

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.

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