The stock of NetApp Inc. (NASDAQ:NTAP) decreased by -$0.16 on Tuesday to finish at $76.29, down -0.21 percent. The last five days have seen an average of 1,785,720 shares of common stock traded. 26 times new highs were reached in the current year, with a gain of $16.23. The average number of shares traded over the last 20 days was 2,465,055, while the average volume over the last 50 days totaled 2,213,440.
NTAP stock dropped -2.22% since last month. On 08/14/23, the company’s shares reached a one-month low of $76.05. The stock touched a high of $80.53 on 07/21/23, after rallying from a low of $58.08 in 52 weeks. The price of NTAP stock has risen by 27.02% or $16.23 this year, reaching a new high 26 times. Still, the stock price is down -5.27% from the 52-week high.
Insider Transactions
NTAP stock investors should be aware that NetApp Inc. (NTAP) stock had its last reported insider trading activity 6 days ago on Aug 10. On Aug 10, EVP, Chief Legal Officer O’Callahan Elizabeth M sold 871 shares at $77.24 each. This transaction resulted in the insider making $67,276. On Aug 08, Kurian George sold 4,500 shares at a price of US$77.66. After the transaction, the insider now owns 274,050 shares. Chief Executive Officer Kurian George had earlier sold 4,500 shares on Jul 11 for $78.52 a share. The transaction was completed for $353,322.
Valuation Metrics
NetApp Inc. (NTAP) has a trailing price-to-earnings (P/E) ratio of 13.18. Beta for the stock is 1.20. There are also a few other valuation ratios worth considering, including the trailing price-to-sales (P/S) ratio of 2.53, the price-to-book (PB) ratio of 14.08, and the price-to-cash flow ratio of 18.55.
Company paid $0.50 per share in dividends, remained unchanged from $0.50 last year. A $0.02 dividend increase was reported on Wednesday June 2 2021.
Financial Health
For the three months ended April 29, NetApp Inc.’s quick ratio was 1.30, while its current ratio was 1.30, indicating its ability to pay off its debt. The company’s long-term debt to equity ratio for the quarter ending April 29 is 2.06, and the total debt to equity ratio is 2.06. As far as profitability goes, gross margin for the trailing twelve months is 66.20% percent. NetApp Inc.’s EBITDA margin for the year ended April 29 was 22.89%, whereas its operating margin stood at 16.00% for the same period. Based on annual data, it had gross profit of $4.21 billion and revenue of $6.36 billion.
Investors will also look at the performance of the company’s management in order to determine the potential profitability of their investment. NTAP’s return on assets (ROA) during the last 12 months has been 13.10%. There was a 34.60% return on investment (ROI) in the past year. In the meantime, the return on equity (ROE) for the last 12 months was 123.70%.
Earnings Surprise
According to NetApp Inc.’s quarterly financial report for the quarter that ended April 29, it had $2.39 billion in total debt versus $754.0 million in cash and short-term investments. A higher net income was reported in the quarter under review than the previous quarter. Net income for the quarter came in at $1.58 billion, while revenues fell by -58.0% to $1.53 billion. It was predicted that NetApp Inc.’s quarterly earnings would be $1.54, but it ended up being $1.34, beating the consensus by 14.90%. EBITDA was $375.0 million for the quarter. At the end of NetApp Inc.’s most recent quarter ended April 29, its liabilities totaled 8.66 billion, while its total debt was $2.68 billion. Equity owned by shareholders amounts to $212.43 million.
Technical Picture
Here’s a quick look at NetApp Inc.’s (NTAP) price momentum from a technical perspective. As of 15 August, the RSI 9-day stood at 36.65%, suggesting the stock is Neutral, with a 16.56% historical volatility rate.
The stochastic %K and %D were 7.84% and 7.17% respectively, while the average true range (ATR) was 1.28. Based on the 14-day stochastic reading of 6.05%, the RSI (14) reading is 44.67%. On the 9-day MACD Oscillator, the stock is at -0.89, and the 14-day reading is at -1.17.
Analyst Ratings
In its most recent analyst report, Morgan Stanley raised its rating on NetApp Inc. (NASDAQ: NTAP) to an Equal-weight. Prior to this, analysts firm rated the stock as an Underweight. Analysts have assigned NetApp Inc. (NTAP) an Hold rating. NTAP is a stock that is recommended for selling by 0 brokerage firms, while 14 companies recommend holding. The stock is underweighted by 1 analyst. Among the analysts who rate the stock, 2 rates it overweight and 5 others recommend it as a buy.
What is NTAP’s price target for the next 12 months?
The current consensus forecast for the stock is between $61.00 and $89.00, with a median target price of $77.00. In analyzing these forecasts, the average price target given by analysts for NetApp Inc. (NTAP) is $76.17.
