NetApp, Inc. (NTAP) on Decifer

Decifer ranks NTAP number 150 of 277 tracked names on durable business quality.

Why it ranks here

• It earns strong returns on the money it puts to work, around 19% and those returns have been improving and it turns most of its profit into real cash.
• Revenue is expected to grow about 5% a year, profits grew 11% over the past year, and growth is speeding up, not slowing down.
• It keeps a high share of every sale as profit, and that has stayed steady over the years, a sign of real pricing power, with profitability widening as it grows.
• It is riding an active market tailwind and has the balance sheet to fund its growth.
• It is not watering down its owners with new shares and it returns cash to shareholders.
• Our durability check found pressure on this name, which costs it a few points.
• Strong returns near 19% and widening margins with momentum of 27 out of 35 are appealing, but revenue expected to grow only about 5% and no worldview role limit how far it can run.

The current read

The evidence on NTAP lines up on the supportive side: a live market force supports this name through its theme connection. One signal disagrees: the longer-term story is intact, but price is not rewarding it: semiconductor stocks are down 7.4% this week. The drop is large enough to signal near-term caution, worth watching but not the weight of the evidence.

Themes

• Semiconductors & AI Compute: NetApp - hybrid cloud and data-centric storage infrastructure, ONTAP software and all-flash FAS arrays deployed in AI data-centre storage tiers; $34.6B FMP-verified

Read the full NTAP research brief · See all quality rankings

Intelligence data powered by Decifer. Not financial advice. For informational purposes only.