NTAP Research | Milton Maxwell

NTAP

NetApp, Inc.

113.09

-1.02-0.89%

Dec 16, 4:00:01 PM EST

Upcoming Earnings

Report date

-/-

Earnings Call Transcripts

This Quarter (Q1 '26)

No earnings call transcript available yet

Last Quarter (Q4 '25)

FY Q3 '26

Reaffirms memory handling, AI adoption details

2/25/26Feb 25, 2026

Q&A largely reaffirmed prepared remarks on memory inflation mitigation, stressing no Q3 or Q4 pull-forwards amid large deal closes and Europe/public sector recovery. Management split AI wins 60% data prep/40% production, cautioning AFX/AIDE ramps won't mirror past products despite early neocloud traction. Analysts grilled pricing pass-through; execs highlighted hybrid flash interest, multi-supplier agility, and dollar-based customer budgets—no demand destruction yet. Public Cloud levers: cohort expansion, AI ties. No pull-forwards fueled the beat. Confident outlook holds; watch memory elasticity on mix and margins.

Key Stats

Market Cap

22.57B

P/E (TTM)

19.70

Basic EPS (TTM)

5.74

Dividend Yield

0.02%

Recent Filings

10-Q

Q3 FY2026 results

2/26/26Feb 26, 2026

NetApp posted Q3 FY2026 revenue of $1.7B, up 4% y/y, with product up 4% to $786M and services up 5% to $927M; gross margin expanded to 70.6% from 69.8%. Operating income hit $434M, up 20% y/y, driving diluted EPS of $1.67, up 16%. Hybrid Cloud drove growth while Public Cloud held steady at $174M. Cash from operations tallied $1.1B YTD; repaid $750M debt notes due June 2025, leaving $2.5B long-term debt and $3.0B in cash/short-term investments, with $1B credit facility undrawn. Returned $750M via buybacks, $310M dividends. Strong margins persist. Patent litigation lingers.

8-K

Q3 revenues up 4%, all-flash record

2/26/26Feb 26, 2026

NetApp posted Q3 FY26 revenues of $1.71B, up 4% year-over-year, with all-flash arrays hitting a record $1.0B and billings rising 10% to $1.89B. Record non-GAAP EPS reached $2.12 amid AI-driven momentum; Hybrid Cloud revenue grew 5%. Q4 revenues eyed at $1.795B–$1.945B. Cash flow dipped yet repurchases rolled on.

8-K

Appoints ServiceNow exec to board

1/12/26Jan 12, 2026

NetApp expanded its board from nine to ten directors, appointing Paul Fipps, ServiceNow's President of Global Customer Operations, effective January 8, 2026. Fipps brings over 20 years scaling sales, customer success, and AI solutions. His expertise bolsters execution for AI-ready data infrastructure. Nine directors now independent.

10-Q

Q2 FY2026 results

11/25/25Nov 25, 2025

NetApp posted Q2 FY2026 revenue of $1.7B, up 3% y/y, with product sales climbing 3% to $788M on all-flash demand while services grew 3% to $917M; gross margin expanded to 72.0% from 71.0%. Operating income rose to $399M (up 16% y/y), driving diluted EPS of $1.51 (up 6% y/y, confirmed vs. 202M shares). Cash from operations hit $800M in H1, funding $550M buybacks, $207M dividends, and $750M debt repayment—leaving $3.0B in cash/short-term investments against $2.5B long-term debt (due 2027–2035). Hybrid Cloud dominates at 90% of revenue. Restructuring trimmed costs. Patent litigation lingers.

8-K

Q2 revenues up 3%, AI drives

11/25/25Nov 25, 2025

NetApp posted Q2 FY26 revenues of $1.71B, up 3% year-over-year, with all-flash arrays hitting $1.0B and public cloud services surging 32%. Record GAAP operating profit reached $399M at 23.4% margin; billings climbed 4%. AI innovations fuel growth. Q3 revenues guided $1.615B-$1.765B.

About

NetApp, Inc. provides a range of enterprise software, systems, and services that customers use to transform their data infrastructures in the United States, Canada, Latin America, Europe, the Middle East, Africa, and the Asia Pacific. It operates through two segments, Hybrid Cloud and Public Cloud. The company offers data management software, such as NetApp ONTAP, ONTAP One, NetApp Snapshot, NetApp SnapCenter Backup Management, NetApp SnapMirror Data Replication, and NetApp SnapLock Data Compliance; and storage infrastructure solutions, including NetApp All-Flash FAS (AFF A-Series), NetApp All-Flash FAS with capacity flash (AFF C-Series), NetApp All-Flash SAN Array (ASA A-Series & C-Series), NetApp Fabric Attached Storage (FAS), NetApp E/EF series, and NetApp StorageGRID. It also provides cloud storage services comprising NetApp Cloud Volumes ONTAP, Azure NetApp Files, Amazon FSx for NetApp ONTAP, and Google Cloud NetApp Volumes, as well as NetApp BlueXP, BlueXP Copy and Sync, BlueXP Backup and Recovery, BlueXP Classification, and BlueXP Ransomware Protection. In addition, the company offers operational services, such as NetApp Data Infrastructure Insights and Instaclustr; and professional and support services offerings include storage-as-a-service (STaaS), strategic consulting, professional, managed, and support services, as well as assessment, design, implementation, migration, and proactive support services to help customers optimize the performance and efficiency of their on-premises and hybrid multicloud storage environments. It serves various industries comprising energy, financial services, government, technology, internet, life sciences, healthcare services, manufacturing, media, entertainment, animation, video postproduction, and telecommunications through a direct sales force and an ecosystem of partners, including the leading cloud providers. NetApp, Inc. was incorporated in 1992 and is headquartered in San Jose, California.

CEO

Mr. George Kurian

IPO

11/21/1995

Website

https://www.netapp.com

Employees

11,700

Sector

Technology

Industry

Software - Infrastructure