NetApp, Inc. (NTAP) AI Stock Analysis

NetApp, Inc. provides cloud-centric and data-driven solutions to manage and synchronize data across on-premises, private cloud, and public cloud environments. Operating through its Hybrid Cloud and Public Cloud segments, the company offers storage infrastructure and intelligent data management software, including NetApp ONTAP, Snapshot, SnapCenter, SolidFire, and StorageGRID. NetApp also delivers cloud data services such as NetApp Cloud Volumes ONTAP, Azure NetApp Files, and Amazon FSx for NetApp ONTAP. In addition, NetApp provides cloud operations services through NetApp Cloud Insights and Spot by NetApp, alongside professional strategic consulting, implementation, and ongoing support services.

NetApp grew revenue from $6.32B in FY2022 to $6.92B in FY2026, representing a 5-year revenue CAGR of 3.8%. Operating margin expanded from 18.3% in FY2022 to 24.5% in FY2026, while gross margin improved from 66.8% to 70.7%. Net income increased from $937.0M in FY2022 to $1.28B in FY2026, with diluted EPS rising from $5.29 to $7.31. For the trailing twelve months, revenue reached $7.39B with an operating margin of 26.7% and net margin of 19.2%. In the latest quarter ended July 31, 2026, quarterly revenue increased 29.9% year-over-year and quarterly earnings grew 63.5%.

As of July 31, 2026, NetApp held $3.58B in cash and short-term investments against total debt of $2.53B, yielding net cash of $1.04B. The company reported a current ratio of 1.24 and debt-to-equity of 1.69 on shareholders' equity of $1.50B. During FY2026, operating cash flow was $2.07B and capital expenditures were $198.0M, generating $1.87B in free cash flow. NetApp returned capital by spending $950.0M on share buybacks and $413.0M on dividends paid, helping reduce share count by 12.7% over 5 years.

NetApp trades at a trailing P/E of 28.7x, below the median of its S&P 500 Technology peers of 31.5x. Its forward P/E of 21.4x is slightly above the peer group median of 20.3x. NetApp carries an EV-to-EBITDA of 17.4x and price-to-sales of 5.4x, compared to peer medians of 19.9x and 6.3x. Over the past year, NetApp shares gained 73.3%, outperforming the S&P 500 return of 16.8%. Over 5 years, the stock returned 141.1% compared to 83.0% for the index.

NetApp pays a quarterly dividend with an annualized forward payout of $2.08 per share, representing a dividend yield of 1.02% and a payout ratio of 26.5%. The company has paid consecutive dividends for 14 years and achieved a 5-year annualized dividend growth rate of 1.6%. Its last ex-dividend date was October 9, 2026.

Wall Street coverage consists of 7 Strong Buy, 1 Buy, and 12 Hold ratings, with 0 Sell or Strong Sell ratings. The mean price target of $211.69 implies upside of 3.9% over the last close of $203.80. For the current fiscal year ending April 30, 2027, consensus estimates project revenue of $8.18B and EPS of $10.01, representing 23.1% EPS growth. NetApp beat EPS estimates in all of the last 4 quarters. The next earnings date is November 24, 2026.

This page is an AI-written research summary of NetApp, Inc. (NTAP). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

Related: NTAP income statement, NTAP balance sheet, NTAP key metrics, NTAP analyst forecast, NTAP chart. See the NTAP stock overview for the latest quote and news.