Piper Jaffray Cos. cut shares of NetApp (NASDAQ:NTAP) from an overweight rating to a neutral rating in a research report sent to investors on Monday morning, TheFlyOnTheWall.com reports. The firm currently has $38.00 price target on the stock, down from their previous price target of $45.00.
“We are downgrading shares of NTAP to Neutral and lowering our price target to $38 (previously $45). Near term, we believe demand weakened, primarily in the U.S. Federal sector, though we also noted some softness in the enterprise market. Longer term, we believe EMC’s new VNX2 has narrowed the gap with NetApp across a number of features (snapshots, tiering and replication). Given the relatively weak demand environment, coupled with increasing competitive headwinds, we see limited opportunity for upside to estimates going forward and would not be surprised if consensus estimates are reduced following the company’s upcoming earnings call in November 13. Therefore, we are lowering our rating to Neutral and price target to $38.,” the firm’s analyst wrote.
NetApp (NASDAQ:NTAP) traded up 0.23% on Monday, hitting $38.60. 1,938,273 shares of the company’s stock traded hands. NetApp has a 52-week low of $26.26 and a 52-week high of $44.65. The stock has a 50-day moving average of $41.37 and a 200-day moving average of $39.73. The company has a market cap of $13.128 billion and a P/E ratio of 26.85.
NetApp (NASDAQ:NTAP) last issued its quarterly earnings data on Wednesday, August 14th. The company reported $0.53 earnings per share for the quarter, beating the analysts’ consensus estimate of $0.49 by $0.04. The company had revenue of $1.52 billion for the quarter, compared to the consensus estimate of $1.53 billion. During the same quarter last year, the company posted $0.42 earnings per share. The company’s revenue for the quarter was up 4.9% on a year-over-year basis. Analysts expect that NetApp will post $2.74 EPS for the current fiscal year.
NTAP has been the subject of a number of other recent research reports. Analysts at JPMorgan Chase & Co. cut their price target on shares of NetApp from $46.00 to $45.00 in a research note to investors on Thursday, October 31st. They now have an overweight rating on the stock. Separately, analysts at TheStreet reiterated a buy rating on shares of NetApp in a research note to investors on Sunday, October 27th. Finally, analysts at TheStreet reiterated a buy rating on shares of NetApp in a research note to investors on Friday, October 18th. Two research analysts have rated the stock with a sell rating, sixteen have given a hold rating and fifteen have given a buy rating to the company’s stock. The stock presently has a consensus rating of Hold and a consensus target price of $44.01.
NetApp, Inc (NASDAQ:NTAP) is a provider of storage systems and data management solutions for information technology (IT) infrastructures.
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