NetApp (NASDAQ:NTAP) Releases FY 2026 Earnings Guidance

NetApp (NASDAQ:NTAP) issued an update on its FY 2026 earnings guidance on Thursday morning. The company provided earnings per share guidance of 7.920-8.020 for the period, compared to the consensus earnings per share estimate of 7.290. The company issued revenue guidance of $6.8 billion-$6.9 billion, compared to the consensus revenue estimate of $6.8 billion. NetApp also updated its Q4 2026 guidance to 2.210-2.310 EPS.

NetApp Trading Down 0.1%

Shares of NASDAQ:NTAP traded down $0.11 during midday trading on Friday, hitting $99.03. The company had a trading volume of 5,113,746 shares, compared to its average volume of 2,374,097. The company has a current ratio of 1.34, a quick ratio of 1.30 and a debt-to-equity ratio of 2.52. NetApp has a 12 month low of $71.84 and a 12 month high of $126.66. The firm has a fifty day simple moving average of $103.14 and a 200 day simple moving average of $111.27. The stock has a market cap of $19.61 billion, a price-to-earnings ratio of 16.56, a PEG ratio of 3.44 and a beta of 1.38.

NetApp (NASDAQ:NTAP) last released its earnings results on Thursday, February 26th. The data storage provider reported $2.12 earnings per share for the quarter, beating the consensus estimate of $2.07 by $0.05. The firm had revenue of $1.71 billion for the quarter, compared to analyst estimates of $1.70 billion. NetApp had a return on equity of 122.76% and a net margin of 18.07%.The company’s quarterly revenue was up 4.4% on a year-over-year basis. During the same quarter in the prior year, the firm posted $1.91 earnings per share. NetApp has set its Q4 2026 guidance at 2.210-2.310 EPS and its FY 2026 guidance at 7.920-8.020 EPS. On average, analysts predict that NetApp will post 5.89 EPS for the current year.

NetApp Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, April 22nd. Shareholders of record on Friday, April 3rd will be paid a $0.52 dividend. This represents a $2.08 annualized dividend and a yield of 2.1%. The ex-dividend date of this dividend is Thursday, April 2nd. NetApp’s dividend payout ratio is presently 36.17%.

Wall Street Analyst Weigh In

Several brokerages have recently issued reports on NTAP. Northland Securities set a $137.00 price target on shares of NetApp and gave the company an “outperform” rating in a report on Wednesday, November 26th. Wedbush reaffirmed a “neutral” rating and set a $115.00 price objective on shares of NetApp in a research note on Wednesday. Wells Fargo & Company boosted their target price on NetApp from $100.00 to $115.00 and gave the company a “positive” rating in a research note on Wednesday, November 26th. Weiss Ratings restated a “hold (c+)” rating on shares of NetApp in a report on Thursday, January 22nd. Finally, 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 price target on the stock. One analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating and nine have given a Hold rating to the stock. According to data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus target price of $122.69.

Insider Activity

In other news, EVP Elizabeth M. O’callahan sold 1,000 shares of the business’s stock in a transaction dated Tuesday, February 10th. The stock was sold at an average price of $103.45, for a total value of $103,450.00. Following the sale, the executive vice president directly owned 20,075 shares in the company, valued at $2,076,758.75. The trade was a 4.74% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. 0.28% of the stock is owned by corporate insiders.

Key NetApp News

Here are the key news stories impacting NetApp this week:

• Positive Sentiment: Q3 earnings beat and healthy top‑line: NetApp reported $2.12 EPS vs. $2.07 expected and $1.71B revenue (vs. $1.70B est.), with revenue up ~4.4% year/year — headlines credit AI‑ready infrastructure and strong all‑flash demand for the upside. NetApp Q3 Earnings Beat on Healthy Top-Line Growth
• Positive Sentiment: Raised guidance: Management bumped FY‑2026 EPS guidance to $7.92–8.02 (well above street) and Q4 EPS to $2.21–2.31, signaling confidence in AI and cloud momentum — a primary driver of upbeat market reactions. NetApp surges on earnings beat and raised guidance
• Positive Sentiment: Dividend boost: NetApp declared a $0.52 quarterly dividend (annualized yield ~2.1%), with record/ex‑dividend dates set — supports the income case and signals capital‑allocation discipline.
• Neutral Sentiment: Forward revenue target: Management outlined an ~8% Q4 revenue growth target and highlighted accelerating AI/cloud subscription demand — positive if achieved, but forward guidance carries execution risk. NetApp outlines 8% Q4 revenue growth target
• Neutral Sentiment: Call details and metrics: Conference call, slide deck and transcripts provide detail on margin drivers, product mix (all‑flash, AI infra, cloud subs) and customer traction — useful for modeling but not an immediate directional catalyst. NetApp Q3 2026 Earnings Call Highlights Q3 Earnings Call Transcript
• Negative Sentiment: Strategic/valuation questions: Analysts and pieces are probing whether NetApp’s push toward AI‑focused cloud subscriptions materially changes its margin profile and valuation — that uncertainty may cap near‑term multiple expansion despite the beat. Is NetApp’s Shift Toward AI-Focused Cloud Subscriptions Altering The Investment Case?

Institutional Investors Weigh In On NetApp

Institutional investors have recently bought and sold shares of the company. Transamerica Financial Advisors LLC grew 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 acquiring an additional 120 shares in the last quarter. Voleon Capital Management LP boosted its holdings in NetApp by 3.9% during the third quarter. Voleon Capital Management LP now owns 3,849 shares of the data storage provider’s stock worth $456,000 after purchasing an additional 143 shares during the last quarter. Hilltop Holdings Inc. boosted its holdings in NetApp by 3.5% during the third quarter. Hilltop Holdings Inc. now owns 5,404 shares of the data storage provider’s stock worth $640,000 after purchasing an additional 184 shares during the last quarter. Zions Bancorporation National Association UT grew its position in NetApp by 99.5% in the fourth quarter. Zions Bancorporation National Association UT now owns 385 shares of the data storage provider’s stock valued at $41,000 after purchasing an additional 192 shares in the last quarter. Finally, Coldstream Capital Management Inc. increased its stake in NetApp by 4.8% in the 3rd quarter. Coldstream Capital Management Inc. now owns 4,320 shares of the data storage provider’s stock valued at $512,000 after buying an additional 199 shares during the last quarter. 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.