NetApp (NASDAQ:NTAP) Issues Q1 2027 Earnings Guidance

Key Points

• NetApp raised its Q1 2027 guidance, projecting EPS of $2.05 to $2.15 and revenue of $1.8 billion to $1.9 billion, both above Wall Street expectations.
• The company also lifted full-year FY 2027 guidance to EPS of $8.70 to $9.00, signaling management expects stronger performance ahead.
• NetApp recently beat fiscal Q4 2026 revenue estimates and authorized a new $1 billion share repurchase program, which could support earnings per share and reflects confidence in cash generation.

NetApp (NASDAQ:NTAP - Get Free Report) updated its first quarter 2027 earnings guidance on Thursday. The company provided EPS guidance of 2.050-2.150 for the period, compared to the consensus EPS 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.

Wall Street Analysts Forecast Growth

Several equities research analysts have issued reports on the stock. Wedbush reiterated a "neutral" rating and issued a $115.00 price target on shares of NetApp in a research note on Wednesday, February 25th. Bank of America lifted their price target on shares of NetApp from $118.00 to $125.00 and gave the company a "neutral" rating in a research note on Wednesday, May 20th. JPMorgan Chase & Co. lowered shares of NetApp from an "overweight" rating to a "neutral" rating and lowered their price target for the company from $125.00 to $110.00 in a research note on Thursday, April 16th. Weiss Ratings lowered shares of NetApp from a "buy (b-)" rating to a "hold (c+)" rating in a research note on Friday, March 13th. Finally, Citigroup lowered shares of NetApp from a "neutral" rating to a "mixed" rating in a research note on Thursday, May 14th. One investment analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating and eight have given a Hold rating to the company. According to MarketBeat.com, the company presently has a consensus rating of "Hold" and an average target price of $122.27.

NetApp Stock Performance

Shares of NTAP traded down $0.34 during midday trading on Thursday, reaching $142.40. The stock had a trading volume of 5,991,844 shares, compared to its average volume of 2,505,100. The firm has a 50 day simple moving average of $110.18 and a 200-day simple moving average of $107.28. NetApp has a one year low of $93.69 and a one year high of $143.65. The firm has a market cap of $28.10 billion, a PE ratio of 23.81, a P/E/G ratio of 2.53 and a beta of 1.28. The company has a current ratio of 1.39, a quick ratio of 1.36 and a debt-to-equity ratio of 2.15.

NetApp (NASDAQ:NTAP - Get Free Report) last announced its quarterly earnings data on Thursday, February 26th. The data storage provider reported $2.12 EPS for the quarter, beating analysts' consensus estimates of $2.07 by $0.05. NetApp had a net margin of 18.07% and a return on equity of 118.11%. The company had revenue of $1.71 billion during the quarter, compared to the consensus estimate of $1.70 billion. During the same quarter last year, the firm posted $1.91 EPS. The company's quarterly revenue was up 4.4% on a year-over-year basis. As a group, sell-side analysts anticipate that NetApp will post 6.48 EPS for the current year.

Insider Transactions at NetApp

In other news, CAO Lorenzo Daniel De sold 275 shares of NetApp stock in a transaction dated Monday, May 18th. The shares were sold at an average price of $120.00, for a total value of $33,000.00. Following the completion of the transaction, the chief accounting officer owned 1,090 shares of the company's stock, valued at $130,800. This trade represents a 20.15% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, EVP Elizabeth M. O'callahan sold 1,000 shares of NetApp stock in a transaction dated Monday, May 11th. The shares were sold at an average price of $117.73, for a total transaction of $117,730.00. Following the completion of the transaction, the executive vice president directly owned 18,382 shares of the company's stock, valued at approximately $2,164,112.86. This trade represents a 5.16% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders sold 3,275 shares of company stock valued at $347,650. Insiders own 0.28% of the company's stock.

NetApp News Summary

Here are the key news stories impacting NetApp this week:

• Positive Sentiment: NetApp posted fiscal Q4 2026 results that topped revenue expectations, with revenue of $1.95 billion versus the $1.87 billion consensus. Article Title
• Positive Sentiment: The company issued upbeat guidance for Q1 2027, with EPS guidance of 2.05-2.15 and revenue guidance of $1.8 billion-$1.9 billion, both above Wall Street estimates.
• Positive Sentiment: NetApp also raised full-year FY 2027 guidance to EPS of 8.70-9.00 and revenue of $7.3 billion-$7.6 billion, ahead of consensus.
• Positive Sentiment: The board authorized a new $1.0 billion share repurchase program, which can help support earnings per share and signals confidence in cash generation. Article Title
• Neutral Sentiment: Despite the strong report, the quarter was mixed on profitability versus expectations: EPS came in below consensus in one third-party summary, which may be creating some volatility around the results. Article Title
• Neutral Sentiment: Recent analyst commentary remains mixed, with at least one underweight rating still on the stock, even as price targets have been revised higher by some firms.
• Negative Sentiment: Some market coverage notes that NTAP has faced concerns around slower IT spending and cloud-related pressure, which may limit upside if the outlook cools later in the year. Article Title

Institutional Trading of NetApp

Several hedge funds and other institutional investors have recently modified their holdings of NTAP. DV Equities LLC bought a new stake in shares of NetApp during the 4th quarter worth about $30,000. Gen Wealth Partners Inc bought a new stake in shares of NetApp during the 4th quarter worth about $30,000. Measured Wealth Private Client Group LLC bought a new stake in shares of NetApp during the 3rd quarter worth about $35,000. Zions Bancorporation National Association UT increased its position in NetApp by 99.5% during the 4th quarter. Zions Bancorporation National Association UT now owns 385 shares of the data storage provider's stock worth $41,000 after buying an additional 192 shares during the period. Finally, Sunbelt Securities Inc. increased its position in NetApp by 92.8% during the 3rd quarter. Sunbelt Securities Inc. now owns 480 shares of the data storage provider's stock worth $57,000 after buying an additional 231 shares during the period. Institutional investors 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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