Investors Buy Shares of NetApp, Inc. (NTAP) on Weakness

Investors bought shares of NetApp, Inc. (NASDAQ:NTAP) on weakness during trading hours on Tuesday. $58.04 million flowed into the stock on the tick-up and $16.51 million flowed out of the stock on the tick-down, for a money net flow of $41.53 million into the stock. Of all companies tracked, NetApp had the 7th highest net in-flow for the day. NetApp traded down ($0.71) for the day and closed at $43.66

Several analysts have recently issued reports on the stock. BidaskClub lowered shares of NetApp from a “buy” rating to a “hold” rating in a research report on Saturday, August 12th. Credit Suisse Group lifted their target price on shares of NetApp from $37.00 to $40.00 and gave the company a “neutral” rating in a research report on Wednesday, August 9th. Oppenheimer Holdings, Inc. restated a “hold” rating on shares of NetApp in a research report on Wednesday, October 4th. Robert W. Baird restated a “hold” rating and set a $46.00 price target (up from $44.00) on shares of NetApp in a research report on Wednesday, October 4th. Finally, Citigroup Inc. boosted their price target on shares of NetApp from $41.00 to $43.00 and gave the stock a “neutral” rating in a research report on Thursday, August 17th. Two equities research analysts have rated the stock with a sell rating, twenty-one have given a hold rating and thirteen have given a buy rating to the stock. The stock has a consensus rating of “Hold” and a consensus price target of $45.12.

The company has a market capitalization of $11.78 billion, a price-to-earnings ratio of 21.08 and a beta of 1.26. The stock’s 50-day moving average is $40.97 and its 200 day moving average is $40.77.

NetApp (NASDAQ:NTAP) last released its quarterly earnings results on Wednesday, August 16th. The data storage provider reported $0.62 earnings per share for the quarter, topping analysts’ consensus estimates of $0.55 by $0.07. NetApp had a net margin of 10.47% and a return on equity of 24.13%. The business had revenue of $1.33 billion during the quarter, compared to the consensus estimate of $1.32 billion. During the same quarter last year, the company earned $0.46 earnings per share. The business’s quarterly revenue was up 2.4% compared to the same quarter last year. On average, equities analysts expect that NetApp, Inc. will post $3.12 earnings per share for the current year.

The business also recently declared a quarterly dividend, which will be paid on Wednesday, October 25th. Stockholders of record on Friday, October 6th will be given a dividend of $0.20 per share. This represents a $0.80 dividend on an annualized basis and a dividend yield of 1.83%. The ex-dividend date of this dividend is Thursday, October 5th. NetApp’s payout ratio is currently 38.65%.

In other news, CEO George Kurian sold 4,570 shares of the firm’s stock in a transaction that occurred on Wednesday, August 30th. The shares were sold at an average price of $37.98, for a total transaction of $173,568.60. Following the completion of the sale, the chief executive officer now owns 23,028 shares of the company’s stock, valued at $874,603.44. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Richard P. Wallace sold 34,000 shares of the firm’s stock in a transaction that occurred on Friday, September 29th. The stock was sold at an average price of $43.53, for a total transaction of $1,480,020.00. Following the sale, the director now directly owns 24,132 shares of the company’s stock, valued at approximately $1,050,465.96. The disclosure for this sale can be found here. Insiders have sold 52,450 shares of company stock valued at $2,250,560 in the last three months. Corporate insiders own 0.47% of the company’s stock.

Several hedge funds have recently added to or reduced their stakes in NTAP. UBS Asset Management Americas Inc. grew its position in shares of NetApp by 4.1% during the first quarter. UBS Asset Management Americas Inc. now owns 1,072,654 shares of the data storage provider’s stock worth $44,891,000 after buying an additional 42,544 shares in the last quarter. Blair William & Co. IL acquired a new stake in shares of NetApp during the first quarter worth approximately $216,000. Neuberger Berman Group LLC grew its position in shares of NetApp by 10.5% during the first quarter. Neuberger Berman Group LLC now owns 8,143 shares of the data storage provider’s stock worth $341,000 after buying an additional 773 shares in the last quarter. Alliancebernstein L.P. grew its position in shares of NetApp by 16.4% during the first quarter. Alliancebernstein L.P. now owns 600,881 shares of the data storage provider’s stock worth $25,147,000 after buying an additional 84,748 shares in the last quarter. Finally, Principal Financial Group Inc. grew its position in shares of NetApp by 20.4% during the first quarter. Principal Financial Group Inc. now owns 519,987 shares of the data storage provider’s stock worth $21,761,000 after buying an additional 88,130 shares in the last quarter. 92.08% of the stock is owned by institutional investors and hedge funds.

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