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NetApp (NTAP - Free Report) closed the most recent trading day at $167.77, moving +1.9% from the previous trading session. The stock's performance was ahead of the S&P 500's daily gain of 0.05%. Elsewhere, the Dow gained 0.46%, while the tech-heavy Nasdaq lost 0.64%.

Heading into today, shares of the data storage company had gained 6.5% over the past month, outpacing the Computer and Technology sector's loss of 3.62% and the S&P 500's gain of 0.61%.

Market participants will be closely following the financial results of NetApp in its upcoming release. The company's upcoming EPS is projected at $2.11, signifying a 36.13% increase compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $1.83 billion, indicating a 17.61% upward movement from the same quarter last year.

For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $8.88 per share and a revenue of $7.49 billion, representing changes of +9.23% and +8.14%, respectively, from the prior year.

Investors should also pay attention to any latest changes in analyst estimates for NetApp. These recent revisions tend to reflect the evolving nature of short-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. NetApp is holding a Zacks Rank of #3 (Hold) right now.

Digging into valuation, NetApp currently has a Forward P/E ratio of 18.55. For comparison, its industry has an average Forward P/E of 14.5, which means NetApp is trading at a premium to the group.

Also, we should mention that NTAP has a PEG ratio of 2.43. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The average PEG ratio for the Computer- Storage Devices industry stood at 1.37 at the close of the market yesterday.

The Computer- Storage Devices industry is part of the Computer and Technology sector. At present, this industry carries a Zacks Industry Rank of 23, placing it within the top 10% of over 250 industries.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.

Posted by Defense World Staff on Jul 22nd, 2026

California Public Employees Retirement System cut its stake in NetApp, Inc. (NASDAQ:NTAP – Free Report) by 30.3% in the first quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm owned 357,345 shares of the data storage provider’s stock after selling 155,675 shares during the period. California Public Employees Retirement System owned about 0.18% of NetApp worth $36,589,000 at the end of the most recent quarter.

Several other institutional investors and hedge funds have also recently bought and sold shares of NTAP. Watershed Asset Management L.L.C. increased its holdings in NetApp by 10.2% during the 1st quarter. Watershed Asset Management L.L.C. now owns 4,518 shares of the data storage provider’s stock worth $463,000 after purchasing an additional 419 shares during the period. Assetmark Inc. boosted its stake in shares of NetApp by 3.0% in the 1st quarter. Assetmark Inc. now owns 3,540 shares of the data storage provider’s stock valued at $362,000 after buying an additional 104 shares during the period. Gallacher Capital Management LLC grew its position in shares of NetApp by 115.1% during the first quarter. Gallacher Capital Management LLC now owns 8,993 shares of the data storage provider’s stock worth $921,000 after buying an additional 4,812 shares in the last quarter. Financiere des Professionnels Fonds d investissement inc. acquired a new position in shares of NetApp during the first quarter worth about $356,000. Finally, Allspring Global Investments Holdings LLC increased its stake in shares of NetApp by 4.9% during the first quarter. Allspring Global Investments Holdings LLC now owns 10,212 shares of the data storage provider’s stock worth $1,042,000 after buying an additional 474 shares during the period. 92.17% of the stock is owned by institutional investors and hedge funds.

Insider Buying and Selling In other NetApp news, EVP Elizabeth M. O’callahan sold 1,000 shares of the company’s stock in a transaction on Friday, July 10th. The shares were sold at an average price of $170.92, for a total value of $170,920.00. Following the completion of the transaction, the executive vice president owned 31,297 shares in the company, valued at $5,349,283.24. This represents a 3.10% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, CAO Lorenzo Daniel De sold 225 shares of the firm’s stock in a transaction dated Monday, June 1st. The stock was sold at an average price of $171.09, for a total value of $38,495.25. Following the transaction, the chief accounting officer directly owned 1,090 shares in the company, valued at approximately $186,488.10. The trade was a 17.11% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 52,964 shares of company stock worth $8,181,642 in the last ninety days. 0.28% of the stock is owned by corporate insiders.

NetApp Price Performance NTAP stock opened at $165.76 on Wednesday. The business has a 50 day moving average price of $155.14 and a 200 day moving average price of $121.40. The company has a quick ratio of 1.39, a current ratio of 1.44 and a debt-to-equity ratio of 1.84. The stock has a market cap of $32.53 billion, a price-to-earnings ratio of 26.06, a PEG ratio of 2.94 and a beta of 1.46. NetApp, Inc. has a fifty-two week low of $93.69 and a fifty-two week high of $192.83.

NetApp (NASDAQ:NTAP – Get Free Report) last announced its quarterly earnings results on Thursday, May 28th. The data storage provider reported $2.03 EPS for the quarter, missing the consensus estimate of $2.27 by ($0.24). NetApp had a net margin of 18.43% and a return on equity of 117.23%. The company had revenue of $1.95 billion during the quarter, compared to analysts’ expectations of $1.87 billion. During the same quarter in the prior year, the company earned $1.93 earnings per share. The business’s revenue for the quarter was up 12.5% on a year-over-year basis. NetApp has set its FY 2027 guidance at 8.700-9.000 EPS and its Q1 2027 guidance at 2.050-2.150 EPS. Equities research analysts anticipate that NetApp, Inc. will post 7.16 earnings per share for the current fiscal year.

NetApp Dividend Announcement The business also recently announced a quarterly dividend, which will be paid on Wednesday, July 29th. Investors of record on Friday, July 10th will be given a $0.52 dividend. This represents a $2.08 dividend on an annualized basis and a dividend yield of 1.3%. The ex-dividend date of this dividend is Friday, July 10th. NetApp’s dividend payout ratio (DPR) is 32.70%.

Wall Street Analysts Forecast Growth Several analysts recently weighed in on NTAP shares. Wedbush raised their target price on shares of NetApp from $115.00 to $150.00 and gave the company a “neutral” rating in a report on Friday, May 29th. Susquehanna boosted their price target on shares of NetApp from $110.00 to $185.00 and gave the stock a “neutral” rating in a report on Friday, May 29th. Wells Fargo & Company increased their price objective on shares of NetApp from $115.00 to $180.00 and gave the company an “equal weight” rating in a research report on Friday, May 29th. Bank of America raised their price objective on shares of NetApp from $125.00 to $150.00 and gave the company a “neutral” rating in a report on Friday, May 29th. Finally, UBS Group reaffirmed a “neutral” rating and set a $160.00 price objective on shares of NetApp in a research report on Friday, May 29th. Five equities research analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the stock presently has an average rating of “Hold” and a consensus price target of $169.33.

View Our Latest Stock Report on NetApp

NetApp Profile (Free Report)

NetApp, Inc (NASDAQ: NTAP) is a data management and storage company that delivers hybrid cloud data services for applications and data. Founded in 1992 as Network Appliance and rebranded as NetApp in 2008, the company is headquartered in Sunnyvale, California. NetApp’s offering focuses on enabling organizations to store, manage, protect and move data across on-premises environments and major public clouds.

The company’s product portfolio centers on the ONTAP data management software and a range of storage systems and services built around it.

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Key Takeaways NTAP's Public Cloud revenue grew 11% in Q4 fiscal 2026, led by first-party and marketplace services.NetApp expanded AI cloud use cases, helping customers scale secure hybrid and multi-cloud deployments.NTAP expects enterprise IT spending and AI adoption to sustain cloud storage demand in fiscal 2027. NetApp, Inc. (NTAP - Free Report) is benefiting from rising demand for public cloud services as enterprises continue expanding their cloud environments and increasing AI adoption. The company’s Public Cloud business maintained strong momentum in fiscal 2026, supported by growing demand for hyperscaler first-party and marketplace storage services. In the fourth quarter of fiscal 2026, Public Cloud revenue increased 11% year over year to $182 million, while excluding the prior-year contribution from the divested Spot business, revenue grew 18%. Management attributed this performance to strong demand for first-party and marketplace storage services, reflecting customers’ continued adoption of NetApp’s cloud offerings.

For fiscal 2026, Public Cloud revenue reached $688 million. Management stated that first-party and marketplace cloud services grew 30% during the year, driven by increasing demand from both new and existing customers that are extending NetApp’s capabilities deeper into their cloud environments. Customers are using NetApp to simplify and scale hybrid and multi-cloud deployments through unified data management capabilities that provide operational consistency and agility.

The company also noted that its expanding cloud portfolio is creating new opportunities across AI and additional industry verticals. Examples include an insurance company connecting Azure Databricks directly to data stored in Azure NetApp Files for secure financial risk modeling and data science, and an engineering company deploying a GenAI chatbot on AWS using FSx for NetApp ONTAP to enable secure, permission-aware access to data while reducing operational overhead.

Management also emphasized the profitability of the Public Cloud business, with fourth-quarter gross margin reaching 85.7%, driven by continued margin expansion. The company believes that continued growth in Public Cloud can provide additional earnings leverage as the business becomes a larger part of the overall revenue mix.

NetApp’s fiscal 2027 outlook assumes continued momentum in enterprise IT spending alongside increasing AI activity. Management expects these trends to support cloud use cases that connect governed enterprise data with AI and analytics services while sustaining strong demand for first-party and marketplace cloud storage services.

Taking a Look at NTAP’s CompetitorsSeagate Technology Holdings plc (STX - Free Report) is strengthening its position in cloud infrastructure as hyperscale customers continue expanding AI-driven data center capacity. In the March quarter, cloud demand helped data center revenue rise 55% year over year to $2.5 billion, accounting for 80% of total revenues. The company is accelerating the rollout of its Mozaic platform, with shipments reaching 75% of leading global cloud customers and full qualification expected soon. Its HAMR-based high-capacity drives provide a cost- and power-efficient solution for large-scale cloud storage, while long-term supply agreements, build-to-order contracts and sustained hyperscaler investments support strong demand and revenue visibility through 2028 and beyond.

Western Digital Corporation (WDC - Free Report) is strengthening its cloud storage business by delivering high-capacity HDD technologies that support the rapid expansion of AI and hyperscale data centers. The company is working closely with leading cloud providers, shipping 222 exabytes in the quarter, up 34% year over year, while accelerating adoption of its ePMR, UltraSMR and upcoming HAMR technologies. It has secured firm purchase orders with its top seven customers through 2026 and multi-year agreements extending into 2028. Western Digital also continues qualifying next-generation HDDs and PCIe Gen5 data center SSDs with major cloud companies, positioning it to benefit from sustained cloud infrastructure investments.

NTAP Price Performance, Valuation & EstimatesShares of NetApp have gained 3.8% in the past month against the Computer-Storage Devices industry’s decline of 36.9%.

Image Source: Zacks Investment Research

Regarding the price/book ratio, NTAP is trading at 23.77, higher than the sector’s multiple of 15.11.

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for NTAP’s earnings for fiscal 2027 has been revised upward over the past 60 days.

Image Source: Zacks Investment Research

NTAP currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Embedding GPU-accelerated intelligence enables enterprises to easily discover, govern, and activate data for AI and analytics at the source

SAN JOSE, Calif.--(BUSINESS WIRE)--NetApp® (NASDAQ: NTAP), the Intelligent Data Infrastructure company, today announced it has acquired DataPelago, a California-based AI data infrastructure company recognized for its innovative approach to eliminating data processing bottlenecks for AI and analytics workloads. The acquisition marks a foundational expansion of NetApp's portfolio, enabling GPU-accelerated data processing aligned directly with the storage layer. With this acquisition, NetApp establishes itself as the company that makes zero-copy activation of enterprise data for AI real.

AI is the defining platform shift of our era, but enterprises are discovering that their greatest bottleneck is preparing, governing, and activating their data fast enough to put AI into production. The key to accomplishing this objective is to enable accelerated computing where the data is created and stored. DataPelago solves this challenge by fundamentally reimagining where accelerated compute happens: at the data layer, not above it.

"As AI models and the chips that power them get ever more effective, enterprises need data infrastructure that is just as intelligent and powerful to harness the potential of their data," said George Kurian, Chief Executive Officer at NetApp. "NetApp is leading the industry in helping customers drive innovation and generate business value by giving them full command of their most important asset: their data. With DataPelago, we are extending our ability to help customers understand and process their data with the agility required to unleash competitive advantage.”

DataPelago's core technology, Nucleus, is a universal data processing engine that uses heterogeneous accelerated computing across CPUs and GPUs to process data where it lives. By processing data at the storage layer rather than moving it to external compute clusters, Nucleus reduces infrastructure costs by up to 80 percent and delivers performance up to 10 times faster than conventional approaches. In addition, by not requiring customers to copy their data from their operational systems to AI-systems, DataPelago eliminates the single biggest bottleneck in enterprise AI deployment. DataPelago’s technology is delivering value at large enterprises across multiple industries, accelerating demanding workloads while improving infrastructure efficiency at scale.

"DataPelago is on a mission to eliminate the data processing bottlenecks that prevent AI innovation from reaching its full potential," said Rajan Goyal, Founder and Chief Executive Officer of DataPelago. "Joining NetApp gives us the opportunity to combine our breakthrough processing technology with the industry's best data infrastructure portfolio. Enterprises have invested billions in GPUs and AI models, but their data remains fragmented, leaving valuable computing resources to sit idle rather than putting these investments to work. Together, we’re positioned to help customers simplify and accelerate AI deployment at scale."

"DataPelago's Nucleus engine brings software-defined acceleration directly to the storage layer, processing data across CPUs and GPUs so enterprises can prepare, govern, and activate their data for AI without moving it. This is true zero-copy activation," said Syam Nair, Chief Product Officer at NetApp. "NetApp manages more enterprise data across more environments than anyone in the industry. The next phase of AI will be won by those who make that data work at the source, and the DataPelago team brings the technical depth and velocity to get us there faster."

Following the acquisition, DataPelago will operate as a wholly owned subsidiary of NetApp. This news signals a continued growth trajectory for NetApp, following recent industry-leading partnerships with Cisco, Google Cloud, Red Hat, and SK Telecom, among others.

"Safe Harbor" Statement Under U.S. Private Securities Litigation Reform Act of 1995

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements include, but are not limited to, statements about the anticipated benefits of the acquisition of DataPelago, including the ability to align GPU-accelerated data processing with the storage layer and enable zero-copy activation of enterprise data for AI; the ability of the technologies to reduce infrastructure costs, accelerate performance, and eliminate data processing bottlenecks for enterprise AI deployment; our business, economic and market outlook; our overall future prospects; demand for our AI solutions and other offerings; and our ability to deliver increasing results and value for our stakeholders. These and other important factors are described in reports and documents we file from time to time with the Securities and Exchange Commission, including the factors described under the sections titled "Risk Factors" in our most recently filed annual report on Form 10-K and quarterly report on Form 10-Q. All statements made in this release are made only as of the date set forth at the beginning of this release. We disclaim any obligation to update information contained in this press release whether as a result of new information, future events, or otherwise.

Statement of Product Direction

This press release discusses NetApp's vision for future innovation, including the anticipated alignment of DataPelago's technology with NetApp’s portfolio. This information is shared solely for informational purposes and should not be relied upon in making purchasing decisions. NetApp makes no commitment and has no obligation to develop or deliver any products, services, integrations, or any related features, material, code or functionality described herein, including any capabilities resulting from the acquisition of DataPelago. The development, release and timing of any features or functionality for NetApp products and services, including those offering DataPelago's technology, remains at the sole discretion of NetApp. NetApp's strategy and possible future developments, product and platform directions, and functionality, including plans related to DataPelago's technology, are all subject to change without notice. We disclaim any obligation to update information contained in this press release whether as a result of new information, future events, or otherwise.

About NetApp

For more than three decades, NetApp has helped the world’s leading organizations navigate change – from the rise of enterprise storage to the intelligent era defined by data and AI. Today, NetApp is the Intelligent Data Infrastructure company, helping customers turn data into a catalyst for innovation, resilience, and growth.

At the heart of that infrastructure is the NetApp data platform – the unified, enterprise-grade, intelligent foundation that connects, protects, and activates data across every cloud, workload, and environment. Built on the proven power of NetApp ONTAP, our leading data management software and OS, and enhanced by automation through the AI Data Engine and AFX, it delivers observability, resilience, and intelligence at scale.

Disaggregated by design, the NetApp data platform separates storage, services, and control so enterprises can modernize faster, scale efficiently, and innovate without lock-in. As the only enterprise storage platform natively embedded in the world’s largest clouds, it gives organizations the freedom to run any workload anywhere with consistent performance, governance, and protection.

With NetApp, data is always ready – ready to defend against threats, ready to power AI, and ready to drive the next breakthrough. That’s why the world’s most forward-thinking enterprises trust NetApp to turn intelligence into advantage.

Learn more at www.netapp.com or follow us on X, LinkedIn, Facebook, and Instagram.

NETAPP, the NETAPP logo, and the marks listed at www.netapp.com/TM are trademarks of NetApp, Inc. Other company and product names may be trademarks of their respective owners.

About DataPelago

DataPelago is driving the data acceleration revolution that AI demands. Today, AI's relentless hunger for data acceleration at massive scale has created the ultimate chokepoint — without economically scaled data processing, AI innovation itself will be throttled. At DataPelago, we’re unleashing breakthrough thinking to transform data processing economics and ignite the next wave of AI-powered revolution.

DataPelago Nucleus is the world's first universal data processing engine built for accelerated computing, purpose-built to process any type of data, operate across any hardware, and support any query engine, delivering new price/performance benefits that make it viable to extract value from all the data in the world, igniting an AI-powered revolution.

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Stock to Watch: NetApp (NTAP - Free Report) NetApp provides enterprise storage as well as data management software and hardware products and services. The San Jose, CA-based company assists enterprises in managing multiple clouds environments, adopting next-generation technologies like artificial intelligence (AI), Kubernetes, and contemporary databases, and navigating the complexity brought about by the quick development of data and cloud usage.

NTAP is a #3 (Hold) on the Zacks Rank, with a VGM Score of B.

Additionally, the company could be a top pick for growth investors. NTAP has a Growth Style Score of A, forecasting year-over-year earnings growth of 9.2% for the current fiscal year.

Seven analysts revised their earnings estimate upwards in the last 60 days for fiscal 2027. The Zacks Consensus Estimate has increased $0.28 to $8.88 per share. NTAP boasts an average earnings surprise of +4.7%.

With a solid Zacks Rank and top-tier Growth and VGM Style Scores, NTAP should be on investors' short list.

New single-stock ETFs give investors amplified leveraged daily participation tied to NetApp, Inc. (NASDAQ: NTAP), Teradata Corporation (NYSE: TDC) and Bitdeer Technologies Group (NASDAQ: BTDR).

NEW YORK, July 14, 2026 (GLOBE NEWSWIRE) -- GraniteShares, an independent ETF issuer known for its lineup of leveraged single-stock ETFs, today announced the launch of:

GraniteShares 2x Long NTAP Daily ETF (Ticker: NTAL)GraniteShares 2x Long TDC Daily ETF (Ticker: TDCL)GraniteShares 2x Long BTDR Daily ETF (Ticker: BTDL) NTAL seeks daily investment results, before fees and expenses, of 200% (2x) of the daily percentage change in the price of NetApp, Inc. common stock (NASDAQ: NTAP).

TDCL seeks daily investment results, before fees and expenses, of 200% (2x) of the daily percentage change in the price of Teradata Corporation common stock (NYSE: TDC).

BTDL seeks daily investment results, before fees and expenses, of 200% (2x) of the daily percentage change in the price of Bitdeer Technologies Group common stock (NASDAQ: BTDR).

The new funds provide traders with a convenient way to seek amplified daily returns on three actively traded technology and digital infrastructure companies through a single ticker, without the need for a margin account, options approval, or borrowing costs. Each fund resets its leverage daily, providing a defined 2x objective at the start of every trading session. Shares can be bought and sold intraday through any standard brokerage account.

NTAL, TDCL and BTDL join GraniteShares' lineup of leveraged single-stock ETFs, one of the largest in the market, covering high-conviction names across technology, AI, crypto, and consumer sectors.

"Traders want simple, efficient tools to act on short-term conviction," said Will Rhind, Founder and CEO of GraniteShares. "NTAL, TDCL and BTDL deliver 2x daily leveraged exposure to companies at the forefront of enterprise data infrastructure, analytics, and digital asset mining, all in a single trade. No margin account, no options chains, just a ticker. That simplicity is why leveraged single-stock ETFs have become one of the fastest-growing categories in the market, and why we continue to expand our lineup."

Fund Details

Fund NameTickerUnderlying StockGraniteShares 2x Long NTAP Daily ETFNTALNetAPP Inc.GraniteShares 2x Long TDC Daily ETFTDCLTeradata CorporationGraniteShares 2x Long BTDR Daily ETFBTDLBitdeer Technologies 
Each Fund seeks its stated investment objective for a single day only, before fees and expenses. Due to the daily reset of leverage and the effects of compounding, returns over periods longer than one day will likely differ in amount and possibly direction from 2x the return of the underlying stock over the same period. The Funds are intended for knowledgeable investors who understand these risks and are willing to monitor their positions frequently.

About GraniteShares

GraniteShares is an independent investment firm specializing in exchange-traded products (ETPs). Founded in 2016, the firm has established itself as a market leader in leveraged single-stock ETFs and ETPs, providing investors with innovative tools to express tactical market views across some of the world's most actively traded companies and themes.

GraniteShares manages approximately $12.382 billion in assets under management as of July 09, 2026, and offers a broad range of investment solutions listed on major exchanges across Europe and the United States. The firm's product suite includes leveraged and short ETPs, commodity ETPs, and income-focused investment strategies designed to meet investors' evolving needs.

For more information, visit graniteshares.com

Media Contact
GraniteShares, Inc.
250 Broadway, 24th Floor,
New York, NY 10007
[email protected]

RISK FACTORS AND IMPORTANT DISCLOSURE

This material must be preceded or accompanied by a Prospectus. Carefully consider the Fund’s investment objectives risk factors, charges and expenses before investing. Please read the prospectus before investing.

The Fund is not suitable for all investors. The investment program of the funds is speculative, entails substantial risks and include asset classes and investment techniques not employed by most ETFs and mutual funds. Investments in the ETFs are not bank deposits and are not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The Fund is designed to be utilized only by knowledgeable investors who understand the potential consequences of seeking daily leveraged (2X) investment results, understand the risks associated with the use of leverage and are willing to monitor their portfolios frequently. For periods longer than a single day, the Fund will lose money if the Underlying Stock’s performance is flat, and it is possible that the Fund will lose money even if the Underlying Stock’s performance increases over a period longer than a single day. An investor could lose the full principal value of his/her investment within a single day.

The Fund seeks daily leveraged investment results and are intended to be used as short-term trading vehicles. This Fund attempts to provide daily investment results that correspond to the respective long leveraged multiple of the performance of its underlying stock (a leverage Fund).

Investors should note that such Leverage Long Fund pursues daily leveraged investment objectives, which means that the Fund is riskier than alternatives that do not use leverage because the Fund magnifies the performance of its underlying stock. The volatility of the underlying security may affect a Funds return as much as, or more than, the return of the underlying security.

Because of daily rebalancing and the compounding of each day’s return over time, the return of the Fund for periods longer than a single day will be the result of each day’s returns compounded over the period, which will very likely differ from 200% of the return of the Underlying Stock over the same period. The Fund will lose money if the Underlying Stock’s performance is flat over time, and as a result of daily rebalancing, the Underlying Stock volatility and the effects of compounding, it is even possible that the Fund will lose money

over time while the Underlying Stock's performance increases over a period longer than a single day.

Shares are bought and sold at market price (not NAV) and are not individually redeemed from the ETF. There can be no guarantee that an active trading market for ETF shares will develop or be maintained, or that their listing will continue or remain unchanged. Buying or selling ETF shares on an exchange may require the payment of brokerage commissions and frequent trading may incur brokerage costs that detract significantly from investment returns.

An investment in the Fund involves risk, including the possible loss of principal. The Fund is non-diversified and includes risks associated with the Fund concentrating its investments in a particular industry, sector, or geographic region which can result in increased volatility. The use of derivatives such as futures contracts and swaps are subject to market risks that may cause their price to fluctuate over time. Risks of the Fund include effects of Compounding and Market Volatility Risk, Leverage Risk, Market Risk, Counterparty Risk, Rebalancing Risk, Intra-Day Investment Risk, Other Investment Companies (including ETFs) Risk, and risks specific to the securities of the Underlying Stock and the sector in which it operates. These and other risks can be found in the prospectus.

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GraniteShares Launches NTAL, TDCL and BTDL, 2x Long ETFs on NetApp, Teradata and Bitdeer

The NFL today announced that the league's Global Partner, NetApp (NASDAQ: NTAP), the Intelligent Data Infrastructure company, will return as Presenting Partner

6.7.2026 22:30

Americké akciové indexy vykázaly v úvodní seanci po prodlouženém víkendu kladnou bilanci v čele s technologickým Nasdaqem (+1,12 %). Širší index S&P500 přidal 0,72 % a Dow Jones 0,29 %. Mírný zisk registrovaly také dluhopisy vyjma nejdelších maturit. Výnos 10letého vládního bondu se posunul na 4,47 % z pátečních 4,48 %. V červeném uzavřely drahé kovy. Zlato odepsalo 0,3 % na 4162 USD/oz, stříbro končilo slabší o 0,64 % na 62 USD/oz. V energetickém sektoru se dařilo zemnímu plynu, který zpevnil téměř o 1,7 % na 3,25 USD/mmbtu. Ropa končila beze změny na 68,7 USD/barel.

Závěrečné hodnoty:

Index Dow Jones 0,29 % na 53055,91 b.
Index Nasdaq Composite 1,12 % na 26121,16 b.
Index S&P 500 +0,72 % na 7537,43 b.

Nejsilnější sektory S&P Změna Nejslabší sektory S&P Změna Sektor komunikací +1,6 % Zdravotní péče -1,2 % Informační technologie +1,3 % Utility -1,1 % Nezbytná spotřeba +1 % Reality -0,9 % Nejsilnější akcie S&P Změna Nejslabší akcie S&P Změna Arista Networks (ANET) +8,3 % O'Reilly Automotive (ORLY) -6,7 % Western Digital (WDC) +7,1 % AutoZone (AZO) -6,4 % Tesla (TSLA) +6,7 % Alexandria Real Estate Equities (ARE) -5,2 % Advanced Micro Devices (AMD) +6,6 % Constellation Brands (STZ) -4,9 % NetApp (NTAP) +6,1 % Tractor Supply (TSCO) -4,8 % Zdroj: Reuters

David Lamač
Fio banka, a.s.
Prohlášení

NetApp is rated a buy with an FY 2027 price target of $178, implying 14% upside driven by AI-focused data center tailwinds. NTAP posted robust Q4 results: 12% YoY revenue growth, 71.5% non-GAAP gross margin, and $1.87B in free cash flow, signaling strong fundamentals. Management guides for 8% FY 2027 revenue growth; further upside hinges on NTAP achieving market share gains over competitors like Dell and Everpure.

Listen to the audio version of this article (generated by AI).

AI just joined the payroll.

At Kalshi, the U.S.-regulated prediction-market platform where traders bet on real-world outcomes, an internal AI agent named Harrison is already performing work that looks a lot like analyst labor. 

It tracks news, monitors competitors, recommends new markets, drafts contract language, and helps resolve markets when they close.

Functionally, AI is starting to look less like software you use and more like labor you deploy — planning, checking, calling tools, retrieving information, revising, and repeating the loop until the job is done.

And that kind of AI is far more compute-hungry than the chatbot world investors first fell in love with.

AI Agents Are Moving From Answers to Action For the first few years of the generative AI era, the story was almost entirely about capability.

ChatGPT conducted and organized research. Sora stunned users with hyper-realistic video. Claude summarized documents, drafted emails, wrote code, and helped professionals move faster. It was dazzling. 

At the same time, impressive as it was, this was still AI in its infancy.

The business model was straightforward: user asks, AI answers, company charges a subscription. The compute profile matched: modest inference on demand, a few thousand tokens in and out, and a model that mostly sat idle between queries.

But an AI agent is different. Give it an objective, and it goes to work — planning, executing, checking its own output, calling tools, querying databases, revising, and iterating until the task is complete. That continuous loop consumes inference compute on a vastly larger scale.

Gartner estimates that agentic workflows consume 5-30x more tokens per task than single-shot generative queries. Goldman Sachs sees the monthly token count for agentic AI applications reaching roughly 120 quadrillion by 2030.

This is the structural shift that most investors are still underestimating.

Why Agentic AI Requires So Much Inference Compute Harrison shows what agentic AI can do across information-heavy workflows: 

Ingesting and summarizing news, social media, filings, and market data Reasoning over that information to identify what matters for Kalshi’s open markets Drafting proposed contract language for new prediction markets Stress-testing that language for ambiguity, edge cases, or potential disputes Monitoring competitor platforms to benchmark Kalshi’s market offerings Every one of those tasks is an inference call — often multiple — with tool use, retrieval, multi-step reasoning, and iterative revision layered on top. Agents like Harrison could be making dozens of API calls per task, around the clock.

Now multiply that by the number of enterprises building their own Harrison. Then multiply that by the number of workflows inside each enterprise that are ripe for agentic automation — compliance review, customer support, financial analysis, coding, procurement, legal research, sales outreach…

This is what we mean when we say we are at the very beginning of the inference demand supercycle.

The Investment Implication: Follow the Inference Demand Follow the compute, and you’ll find the trade. 

It doesn’t matter which app wins, which enterprise deploys the most agents, or which model — GPT, Claude, Gemini, Llama — powers them.

What matters is that every agent is sending traffic through the same physical infrastructure stack. And that stack is finite, expensive to build, and currently being stretched to its limits.

Each layer collects a different kind of toll.

Accelerators: Nvidia and AMD Power the Reasoning Loop Nvidia (NVDA) and AMD (AMD) remain the engine room of inference compute. Every time Harrison runs a reasoning loop — planning, executing, checking its work — it draws on accelerated compute. Nvidia’s Blackwell GPUs remain the preferred hardware for many large-scale AI workloads, and the 12-month order backlog shows how intense demand remains. AMD, meanwhile, is gaining ground in cost-sensitive inference workloads as hyperscalers look for alternatives and bargaining power. Both benefit structurally from the agentic shift. 

Networking and Custom Silicon: Lowering the Cost per Token Every agentic workflow sends repeated traffic across the networking stack. Arista Networks (ANET) has continued raising its AI networking targets as demand from cloud customers accelerates. Its latest results showed revenue growth of 35% year over year, while management described the AI demand environment as unusually strong. Credo Technology (CRDO) supplies the active electrical cables that connect GPUs at the rack level. Broadcom (AVGO) and Marvell (MRVL) are designing the custom chips hyperscalers are deploying to run inference more efficiently and at lower cost per token. 

Memory: The Bottleneck Behind Long-Context Agents Agents maintain large context windows — tracking conversation history, tool outputs, retrieved documents, intermediate reasoning steps — making high-bandwidth memory (HBM) a critical resource. Micron’s (MU) latest quarter showed just how central memory has become to the AI buildout. Fiscal Q3 revenue surged to $41.46 billion, up roughly 346% year over year, while non-GAAP gross margin hit 84.9%. The company also guided fiscal Q4 revenue to $50 billion and said memory demand continues to exceed supply, with tight conditions expected to persist beyond calendar 2027. Only three companies on the planet manufacture HBM at commercial scale. Micron is the only U.S.-headquartered one.

Servers, Racks, and Power: The Always-On Agent Layer All the GPUs running continuous agentic-scale workloads need to live somewhere and be kept cool. Dell (DELL) and Super Micro (SMCI) build the servers and racks. Vertiv (VRT) supplies the power and cooling infrastructure that keeps them running. In Q1 2026, VRT reported $2.65 billion in revenue — up 30.1% year over year — against a $15 billion order backlog. Training happens in big, intense bursts. Agentic inference is different: it can run continuously across millions of workflows. That persistent demand raises the importance of power and cooling infrastructure. 

Storage: Fast Retrieval for Enterprise AI Agents Agents need to retrieve information fast, requiring instant access to large datasets. That means high-performance storage is a must. Pure Storage (PSTG), Seagate (STX), and NetApp (NTAP) are likely beneficiaries as more enterprise workflows require AI systems with fast access to massive datasets. Pure Storage in particular has been gaining strength beneath the surface. In Q1 of FY2027, product revenue surged 55%, while subscription services accounted for 45% of total revenue. Operating profit jumped over 90% year-over-year to $159 million.

Optical Connectivity: The Overlooked Agentic AI Bottleneck This may be the most overlooked constraint in the entire stack — and one of the next bottlenecks the market wakes up to. Moving data between GPUs, servers, and data centers at the speeds required for continuous agentic inference requires optical connectivity. As agent workloads move across servers, clusters, and data centers, more of that traffic depends on fiber, optics, and photonic interconnects. Coherent (COHR), Lumentum (LITE), and Corning (GLW) are building the infrastructure that makes high-throughput inference physically possible. The optics bottleneck is coming. These names are positioned for it before the crowd arrives.

The Bottom Line: Agentic AI Turns Compute Into Labor Cost Kalshi’s Harrison is more than another headline. It’s a signal — that enterprise AI has crossed a threshold, from “interesting capability” to “operational necessity.” 

When a company builds a purpose-built internal agent and deploys it into its core workflows, it is making a structural bet that AI will permanently change how the business operates.

That bet requires infrastructure… and lots of it. 

We are at the very beginning of the inference supercycle — the period where AI demand shifts from episodic to persistent. 

The companies supplying the accelerators, networking, memory, servers, storage, power, cooling, and connectivity behind that shift are not side bets on AI. They are the trade.

Because once AI joins the payroll, compute becomes the new labor cost. 

The billionaires building sovereign AI from the inside already understand this. Their private capital has been moving into the physical layer of this buildout — energy, nuclear, fabrication, hard assets — for longer than the headlines suggest. Most of those positions aren’t available publicly.

Seven of them are.

Here’s what we know.

StorageGRID 12.1 delivers up to 12TB/s throughput and massive scale for AI workloads

SAN JOSE, Calif.--(BUSINESS WIRE)--NetApp® (NASDAQ: NTAP), the Intelligent Data Infrastructure company, today announced the release of StorageGRID 12.1, designed to help customers scale AI and other modern workloads with a federated global namespace. The new capabilities improve how data is accessed, processed, and managed across distributed environments to support AI data pipelines, data lakes, and modern object-based applications.

Organizations are contending with rapid growth in unstructured data to serve AI workloads while also managing that data across increasingly distributed hybrid environments. In its Object Storage Solutions Landscape, Q1 2026 report, Forrester notes that the rise of generative AI has pushed object storage further into an AI‑optimized data platform beyond its historical uses supporting enterprise data strategies with scalable, durable storage for unstructured data, media, and backups. The updates to NetApp StorageGRID enable organizations to leverage their object data for these emerging uses with new capabilities that simplify operations, improve performance, and reduce costs for data-intensive workloads such as AI.

“As organizations race to turn rapidly growing and distributed volumes of unstructured data into insight and action, they need infrastructure that makes data intelligent, accessible, and ready for AI,” said Sandeep Singh, Senior Vice President and General Manager, Platform at NetApp. “With StorageGRID 12.1, NetApp is extending the power of our data platform, giving customers a globally unified namespace to manage data at scale, accelerate AI and analytics workloads, and extract more value from their data wherever it lives.”

StorageGRID 12.1 enables organizations to scale AI and modern workloads across globally distributed environments with new capabilities including:

Global Federated Namespace: Customers can now operate at massive scale without rearchitecting applications or workflows with the introduction of federated namespaces. Federated namespaces enable management of multiple globally-distributed StorageGRID systems scaling up to 10 Exabytes in a single namespace. Large Performance, Efficiency, and Data Management Improvements: Helping customers reduce compute costs and improve efficiency of modern workloads, StorageGRID 12.1 delivers up to 400 percent higher throughput compared to 12.0 depending on workload and object size. With the performance enhancements, StorageGRID can now deliver up to 12 TB/s of throughput to AI Factories. Batch operations allow customers to easily execute operations on billions of objects. New capabilities enable AI agents to easily track changes to object storage buckets since the last scan, enhancing the ability to build comprehensive AI data pipelines. Expanded security and governance capabilities: Stronger controls for regulated environments help enable customers to accelerate innovation while protecting their data with multi-admin verification. Recognizing NetApp among top object storage solutions, Forrester named NetApp a Leader in The Forrester Wave™: Object Storage Solutions, Q2 2026. According to the report, "NetApp has a compelling vision of enterprise data infrastructure optimized for hybrid, multicloud, and sovereign use cases," and is "a strong fit for large enterprises managing distributed, regulated object estates that want to balance governance and hybrid consistency against the need for AI-native storage services." This is Forrester's inaugural Wave evaluation of the object storage market.

Additional Resources

StorageGRID Optimize Your Data with Modern Object Storage Forrester does not endorse any company, product, brand, or service included in its research publications and does not advise any person to select the products or services of any company or brand based on the ratings included in such publications. Information is based on the best available resources. Opinions reflect judgment at the time and are subject to change. This report is part of a broader collection of Forrester resources, including interactive models, frameworks, tools, data, and access to analyst guidance. For more information, read about Forrester’s objectivity here.

About NetApp

For more than three decades, NetApp has helped the world’s leading organizations navigate change – from the rise of enterprise storage to the intelligent era defined by data and AI. Today, NetApp is the Intelligent Data Infrastructure company, helping customers turn data into a catalyst for innovation, resilience, and growth.

At the heart of that infrastructure is the NetApp data platform – the unified, enterprise-grade, intelligent foundation that connects, protects, and activates data across every cloud, workload, and environment. Built on the proven power of NetApp ONTAP, our leading data management software and OS, and enhanced by automation through the AI Data Engine and AFX, it delivers observability, resilience, and intelligence at scale.

Disaggregated by design, the NetApp data platform separates storage, services, and control so enterprises can modernize faster, scale efficiently, and innovate without lock-in. As the only enterprise storage platform natively embedded in the world’s largest clouds, it gives organizations the freedom to run any workload anywhere with consistent performance, governance, and protection.

With NetApp, data is always ready – ready to defend against threats, ready to power AI, and ready to drive the next breakthrough. That’s why the world’s most forward-thinking enterprises trust NetApp to turn intelligence into advantage.

Learn more at www.netapp.com or follow us on X, LinkedIn, Facebook, and Instagram.

NETAPP, the NETAPP logo, and the marks listed at www.netapp.com/TM are trademarks of NetApp, Inc. Other company and product names may be trademarks of their respective owners.

Key Takeaways NetApp delivered record fiscal 2026 all-flash revenues of $4.2B, up 11% year over year.NTAP recorded about 500 AI and data prep wins in Q4, exceeding 1,100 for fiscal 2026.NetApp expects higher enterprise AI activity in fiscal 2027 and guided revenues of $7.325B-$7.575B. NetApp, Inc. (NTAP - Free Report) is benefiting from the growing adoption of all-flash storage as enterprises modernize their infrastructure and expand AI deployments. The company delivered record all-flash performance for fiscal 2026, with all-flash revenue reaching $4.2 billion, an increase of 11% year over year. Fourth-quarter all-flash revenue was $1.2 billion, up 18% from the prior-year quarter, reflecting strong customer demand for high-performance storage solutions.

Management attributed this momentum to broad adoption across public cloud, all-flash and Keystone offerings as customers continue to modernize infrastructure and scale AI workloads.

AI adoption has emerged as a major driver of all-flash demand. NetApp stated that enterprises are investing in high-performance flash, capacity flash and block storage environments to ensure GPUs remain fully utilized by providing continuous access to large volumes of data. The company noted that approximately 500 AI and data preparation wins were recorded in the fourth quarter alone, bringing the fiscal 2026 total to more than 1,100. Management added that all elements of its flash portfolio performed strongly in enterprise AI deployments, while hybrid flash also gained traction in less demanding AI environments.

NetApp is strengthening its all-flash portfolio through new AI-focused innovations. In fiscal 2026, it introduced AFX and the AI Data Engine, both of which management said are seeing encouraging early customer and partner momentum. The company also enhanced the performance and capabilities of its all-flash arrays and expanded its converged AI solutions to simplify AI infrastructure, eliminate data silos and accelerate data pipelines. Early AFX deployments have secured wins in Neo cloud, financial services, hedge funds and life sciences, while AI Data Engine is helping customers organize large volumes of unstructured data for AI projects.

The company believes cyber resilience is another differentiator for its all-flash offerings. A European aerospace customer selected NetApp’s all-flash arrays in a competitive greenfield deployment, citing their high performance, ransomware protection, cyber resilience capabilities and seamless partner ecosystem integration. NetApp expects enterprise AI activity in fiscal 2027 to be higher compared with fiscal 2026 and has guided revenue in the range of $7.325 billion to $7.575 billion.

Taking a Look at NTAP’s CompetitorsSeagate Technology Holdings plc (STX - Free Report) is well poised to gain from AI-led storage demand, a robust technology roadmap anchored in Mozaic and HAMR and disciplined execution focused on converting demand into profitable growth and long-term value creation. Cloud drives most data center revenue, with Mozaic shipments reaching 75% of top cloud customers, and full qualification expected in the ongoing quarter. It expects stronger FCF throughout 2026, driven by steady demand, efficiency gains and disciplined spending. Management raised its long-term outlook, now expecting at least 20% annual revenue growth over the next few years, driven by strong cloud demand and continued hyperscaler investments in AI infrastructure, with the March quarter marking the 10th straight quarter of cloud-led revenue growth. Fiscal 2026 capex is expected to stay within 4-6% of sales.

Western Digital Corporation (WDC - Free Report) is gaining from strength across end markets, riding on AI-led storage needs and multi-year agreements extending through 2028-29. Cloud end market derives a lion’s share of its sales, fueled by strong demand for high-capacity nearline drives and favorable pricing. Higher-capacity drives and solid UltraSMR uptake that improved customer TCO are aiding margins, while strong operating leverage, lower interest costs and tax efficiency are fueling EPS growth. The company is advancing areal density and boosting performance with high-bandwidth drives. It strengthened the balance sheet by selling 5.8 million SanDisk shares, cutting debt by $3.1 billion, leaving $1.6 billion in convertible debt and ending with a $450 million net cash position. Western Digital expects fiscal fourth-quarter revenue of $3.65B, up 40% year over year at the midpoint.

NTAP Price Performance, Valuation & EstimatesShares of NetApp have gained 34.2% in the past month against the Computer- Storage Devices industry’s growth of 54%.

Image Source: Zacks Investment Research

Regarding the price/book ratio, NTAP is trading at 23.16, lower than the sector’s multiple of 23.56.

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for NTAP’s earnings for fiscal 2027 has been revised upwards over the past 60 days.

Image Source: Zacks Investment Research

NTAP currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Investors interested in Computer- Storage Devices stocks are likely familiar with Teradata (TDC) and NetApp (NTAP). But which of these two companies is the best option for those looking for undervalued stocks?

SAN JOSE, Calif.--(BUSINESS WIRE)--NetApp (NASDAQ: NTAP), the Intelligent Data Infrastructure company, today reported financial results for the fourth quarter and fiscal year 2026, which ended on April 24, 2026.

“Fiscal year 2026 was a landmark year for NetApp with record results across revenue, gross profit, operating income, cash flow from operations, and free cash flow. Our industry-leading hybrid cloud, intelligent data infrastructure platform, trusted by the world’s leading organizations, is powering customers’ AI driven transformations, delivering secure, high-performance access to data wherever it resides,” said George Kurian, Chief Executive Officer. “We achieved our target operating margin while launching next-generation AI solutions and expanding strategic partnerships. As enterprises scale their AI ambitions, NetApp’s unified data platform and flexible offerings position us for sustained growth. I am proud of our team’s execution and excited for the opportunities ahead in fiscal year 2027 and beyond.”

Fourth Quarter and Fiscal Year 2026 Financial Results

($ in millions, except earnings per share)

GAAP Results

Q4 FY26

Q4 FY25

% Change

FY2026

FY2025

% Change

Net revenues

$

1,948

$

1,732

12

%

$

6,925

$

6,572

5

%

Hybrid Cloud segment revenues

$

1,766

$

1,568

13

%

$

6,237

$

5,907

6

%

Public Cloud segment revenues

$

182

$

164

11

%

$

688

$

665

3

%

Gross profit

$

1,365

$

1,193

14

%

$

4,899

$

4,613

6

%

Net income

$

404

$

340

19

%

$

1,276

$

1,186

8

%

Earnings per share

$

2.03

$

1.65

23

%

$

6.35

$

5.67

12

%

Net cash provided by operating activities

$

950

$

675

41

%

$

2,067

$

1,506

37

%

  Non-GAAP Results

Q4 FY26

Q4 FY25

% Change

FY2026

FY2025

% Change

Billings

$

2,163

$

2,032

6

%

$

7,206

$

6,780

6

%

Net revenues

$

1,948

$

1,732

12

%

$

6,925

$

6,572

5

%

Hybrid Cloud segment revenues

$

1,766

$

1,568

13

%

$

6,237

$

5,907

6

%

Public Cloud segment revenues

$

182

$

164

11

%

$

688

$

665

3

%

Gross profit

$

1,374

$

1,203

14

%

$

4,938

$

4,671

6

%

Net income

$

483

$

397

22

%

$

1,635

$

1,516

8

%

Earnings per share

$

2.43

$

1.93

26

%

$

8.13

$

7.25

12

%

Free cash flow

$

900

$

640

41

%

$

1,869

$

1,338

40

%

Constant Currency — Q4 Fiscal Year 2026 versus Q4 Fiscal Year 2025

In constant currency, year-over-year, net revenues increased by 10% and billings increased by 4%. The year-over-year fluctuations of GAAP and non-GAAP net income presented in the tables above each include a favorable impact of approximately $24 million from foreign currency exchange rate changes. The year-over-year fluctuations of GAAP and non-GAAP earnings per share presented in the tables above each include a favorable impact of approximately $0.12 from foreign currency exchange rate changes. Constant Currency — Fiscal Year 2026 versus Fiscal Year 2025

In constant currency, year-over-year, net revenues increased by 4% and billings increased by 4%. The year-over-year fluctuations of GAAP and non-GAAP net income presented in the tables above each include a favorable impact of approximately $65 million from foreign currency exchange rate changes. The year-over-year fluctuations of GAAP and non-GAAP earnings per share presented in the tables above each include a favorable impact of approximately $0.32 from foreign currency exchange rate changes. First Quarter of Fiscal Year 2027 Financial Outlook

  The Company provided the following financial guidance for the first quarter of fiscal year 2027:

  Net revenues are expected to be in the range of:

$1.750 billion - $1.900 billion

GAAP

Non-GAAP

Consolidated gross margins are expected to be in the range of:

68.1% - 69.1%

69.1% - 70.1%

Operating margins are expected to be in the range of:

19.4% - 20.4%

28.4% - 29.4%

Earnings per share is expected to be in the range of:

$1.35 - $1.45

$2.05 - $2.15

  Full Fiscal Year 2027 Financial Outlook

  The Company provided the following financial guidance for the full fiscal year 2027:

  Net revenues are expected to be in the range of:

$7.325 billion - $7.575 billion

GAAP

Non-GAAP

Consolidated gross margins are expected to be in the range of:

67.5% - 68.5%

68.5% - 69.5%

Operating margins are expected to be in the range of:

22.1% - 23.1%

29.1% - 30.1%

Earnings per share is expected to be in the range of:

$6.51 - $6.81

$8.70 - $9.00

Dividend

The next cash dividend of $0.52 per share is to be paid on July 29, 2026, to stockholders of record as of the close of business on July 10, 2026.

Fourth Quarter of Fiscal Year 2026 Business Highlights

Leading Product and Cloud Service Innovation

NetApp announced new next-generation EF50 and EF80 high-performance storage systems designed to deliver faster throughput, improved efficiency, and scalable performance for demanding workloads like AI, HPC, and databases. NetApp launched the AI Data EngineTM, an end-to-end AI data platform co-engineered with NVIDIA that enables enterprises to find, manage, and prepare data for production AI workloads through a global metadata catalog and integrated ecosystem. NetApp announced the general availability of iSCSI block storage and previews of unified file/block and ONTAPTM-mode for Google Cloud NetApp Volumes, enabling enterprises to run mission-critical workloads in the cloud with high performance, resilience, and simplified operations. NetApp announced the general availability of NetApp Data Migrator, a simple, multicloud data migration service that moves data across environments without specialized expertise. NetApp launched NetApp ConsoleTM Disaster Recovery for Google Cloud NetApp Volumes, providing a simple, low-cost way to protect VMware workloads across on‑premises and cloud environments to reduce the complexity and cost of traditional disaster recovery solutions. NetApp announced the public preview of Azure NetApp Files Elastic zone-redundant storage service level to help customers modernize mission-critical workloads with enterprise resilience, meet availability commitments, and reduce operational overhead. NetApp introduced a public preview integration between Cloud Volumes ONTAPTM and Microsoft OneLake enabling enterprises to run AI and analytics on existing NAS data in place without migration, reducing cost and accelerating time to value. NetApp announced TridentTM 26.02, a new software release that improves Kubernetes scalability and performance through parallelism while adding automation, cloud integrations, and cost-optimizing features like AutoGrow and auto-tiering. Customer and Partner Momentum

NetApp announced an expanded, multi-year collaboration with Google Cloud to deliver secure by design data infrastructure for Google Distributed Cloud environments, enabling AI-driven workloads in highly regulated, air-gapped sovereign and private cloud environments. NetApp announced a partnership with Nutanix to integrate ONTAP-based data infrastructure with the Nutanix Cloud Platform, enabling simplified virtualization modernization, faster migration, and enhanced hybrid multicloud operations. NetApp announced a strategic alliance with Commvault to deliver a closed-loop recovery architecture that combines early ransomware detection signals with an automated, validated recovery workflow at scale. NetApp partnered with Elastio to enhance ransomware resilience by integrating continuous backup inspection and recovery validation into its NetApp Ransomware ResilienceTM Solution for end-to-end, defense-in-depth data protection. NetApp announced that Red Hat OpenShift Virtualization supports Google Cloud NetApp Volumes and NetApp Trident as a generally available option for a unified platform to run and manage virtual machines (VMs) and containers side-by-side. NetApp achieved AWS High Performance Computing Competency for ONTAP, validating its ability to deliver scalable, high-performance storage solutions for HPC workloads on AWS. NetApp collaborated with Enkrypt AI to integrate AI risk insights with data-layer security, enabling real-time, context-aware enforcement of data access decisions to reduce exposure and strengthen AI governance. NetApp expanded its collaboration with Cyera to integrate enterprise data risk intelligence with storage-layer enforcement, enabling real-time, policy-driven access control and automated remediation of sensitive data exposure. Awards and Recognition

For the seventh time, NetApp won the 2026 Google Cloud Infrastructure Modernization Partner of the Year for Storage Award for helping customers modernize infrastructure and run enterprise workloads using Google Cloud NetApp Volumes. NetApp was named a Leader and Fast Mover in GigaOm’s Radar for Globally Distributed File Systems, showcasing FlexCache and ONTAP capabilities for delivering consistent, secure, and high-performance global file access. NetApp AFF A-Series won the Primary Storage category of the Storage Newsletter Awards, which recognized top products in data management, protection, and storage. Webcast and Conference Call Information

NetApp will host a conference call to discuss these results today at 2:30 p.m. Pacific Time. To access the live webcast of this event, go to the NetApp Investor Relations website at investors.netapp.com. In addition, this press release and other information related to the call will be posted on the Investor Relations website. An audio replay will be available on the website after 4:30 p.m. Pacific Time today. NetApp uses its website as a tool to disclose important information about NetApp and comply with its disclosure obligations under Regulation Fair Disclosure.

“Safe Harbor” Statement Under U.S. Private Securities Litigation Reform Act of 1995

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements include, but are not limited to, all of the statements made in the First Quarter of Fiscal Year 2027 Financial Outlook section and the Full Fiscal Year 2027 Financial Outlook section, and statements about our business, economic and market outlook, financial guidance, our overall future prospects, demand for our AI solutions and other offerings, our ability to provide our customers secure, high-performance access to their data, our ability to maintain our operating margins, our ability to sustain growth, our platform and offerings, and our ability to capitalize on opportunities and deliver increasing results and value for our stakeholders. Actual results may differ materially from these statements for a variety of reasons, including, without limitation, our ability to keep pace with the rapid industry, technological and market trends and changes in the markets in which we operate; our ability to execute our evolved cloud strategy and introduce and gain market acceptance for our products and services; our ability to maintain our customer, partner, supplier and contract manufacturer relationships on favorable terms and conditions; global political, macroeconomic and market conditions, including inflation, fluctuating interest rates, tariffs, changes in trade policy, regulations, monetary policy shifts, recession risks, and foreign exchange volatility and the resulting impact on demand for our products; the impact of new or ongoing geopolitical conflicts and sanctions; adoption or changes to laws, regulations, standards, or policies affecting our operations, products, services, the storage industry, or AI usage; material cybersecurity and other security breaches; the impact of supply chain disruptions on our business operations, financial performance and results of operations; changes and related uncertainty in U.S. government spending or policy, including due to prolonged federal government shutdowns; changes in overall technology spending by our customers; revenue seasonality; changes in laws or regulations, including those relating to privacy, data protection and information security; the timing of orders and their fulfillment; and our ability to manage our gross profit margins, including managing component costs. These and other equally important factors are described in reports and documents we file from time to time with the Securities and Exchange Commission, including the factors described under the sections titled “Risk Factors” in our most recently filed annual report on Form 10-K and quarterly report on Form 10-Q. All statements made in this release are made only as of the date set forth at the beginning of this release. We disclaim any obligation to update information contained in this press release, whether as a result of new information, future events, or otherwise.

NetApp, the NetApp logo, and the marks listed at http://www.netapp.com/TM are trademarks of NetApp, Inc. All other marks are the property of their respective owners.

NetApp Usage of Non-GAAP Financial Information

To supplement NetApp’s condensed consolidated financial statement information presented in accordance with generally accepted accounting principles in the United States (GAAP), NetApp provides investors with certain non-GAAP measures, including, but not limited to, historical non-GAAP gross margins, non-GAAP gross profit, non-GAAP operating income, non-GAAP operating margins, non-GAAP net income, non-GAAP effective tax rate, free cash flow, billings, and historical and projected non-GAAP earnings per share.

NetApp believes that the presentation of its non-GAAP measures, when shown in conjunction with the corresponding GAAP measures, provides useful information to investors and management regarding financial and business trends relating to its financial condition and results of operations. Non-GAAP financial measures are used to: (1) measure company performance against historical results, (2) facilitate comparisons to our competitors’ operating results, and (3) allow greater transparency with respect to information used by management in financial and operational decision making.

NetApp believes that the presentation of non-GAAP gross margins, non-GAAP gross profit, non-GAAP operating income, non-GAAP operating margins, non-GAAP effective tax rate, non-GAAP net income, and non-GAAP earnings per share data provides investors with supplemental metrics that assist in understanding current results and future prospects, earnings and profitability that are complementary to GAAP metrics. Each of these non-GAAP metrics is defined as the applicable GAAP metric adjusted to exclude the items defined in A through I below, as applicable, while our non-GAAP effective tax rate and non-GAAP net income also reflect a non-GAAP tax provision, as described in item J below, instead of our GAAP tax provision. GAAP earnings per share and non-GAAP earnings per share are calculated using the net income divided by the diluted number of shares for the applicable period.

NetApp believes that the presentation of free cash flow, which it defines as the net cash provided by operating activities less cash used to acquire property and equipment, to be a liquidity measure that provides useful information to investors and management because it reflects cash that can be used to, among other things, invest in its business, make strategic acquisitions, repurchase common stock, and pay dividends on its common stock. As free cash flow is not a measure of liquidity calculated in accordance with GAAP, free cash flow should be considered in addition to, but not as a substitute for, the analysis provided in the statement of cash flows.

NetApp approximates billings by adding net revenues as reported on our Condensed Consolidated Statements of Operations for the period to the change in total deferred revenue as reported on our Condensed Consolidated Statements of Cash Flows for the same period. Billings is a performance measure that NetApp believes provides useful information to investors and management because it approximates the amounts under purchase orders received by us during a given period that have been billed.

NetApp excludes the following items from its non-GAAP measures when applicable:

A. Amortization of intangible assets. NetApp records amortization of intangible assets that were acquired in connection with its business combinations. The amortization of intangible assets varies depending on the level of acquisition activity. Management finds it useful to exclude these charges to assess the appropriate level of various operating expenses to assist in budgeting, planning and forecasting future periods and in measuring operational performance.

B. Stock-based compensation expenses. NetApp excludes stock-based compensation expenses from its non-GAAP measures primarily because the amount can fluctuate based on variables unrelated to the performance of the underlying business. While management views stock-based compensation as a key element of our employee retention and long-term incentives, we do not view it as an expense to be used in evaluating operational performance in any given period.

C. Litigation settlements. NetApp may periodically incur charges or benefits related to litigation settlements. NetApp excludes these charges and benefits, when significant, because it does not believe they are reflective of ongoing business and operating results.

D. Acquisition-related expenses. NetApp excludes acquisition-related expenses, including (a) due diligence, legal and other one-time integration charges and (b) write down of assets acquired that NetApp does not intend to use in its ongoing business, from its non-GAAP measures, primarily because they are not related to our ongoing business or cost base and, therefore, are less useful for future planning and forecasting.

E. Restructuring charges. These charges consist of restructuring charges that are incurred based on the particular facts and circumstances of restructuring decisions, including employment and contractual settlement terms, and other related charges, and can vary in size and frequency. We therefore exclude them in our assessment of operational performance.

F. Asset impairments. These are non-cash charges to write down assets when there is an indication that the asset has become impaired. Management finds it useful to exclude these non-cash charges due to the unpredictability of these events in its assessment of operational performance.

G. Gains/losses on the sale or derecognition of assets. These are gains/losses from the sale of our properties and other transactions in which we transfer and/or lose control of assets to a third party. This is inclusive of third-party advisory, legal and other costs that result directly from and are essential to a sale transaction and that would not have been incurred had the decision to sell not been made. Management believes that these transactions do not reflect the results of our underlying, ongoing business and, therefore, are less useful for future planning and forecasting.

H. Gains/losses on the sale of investments in equity securities. These are gains/losses from the sale of our investment in certain equity securities. Typically, such investments are sold as a result of a change in control of the underlying businesses. Management believes that these transactions do not reflect the results of our underlying, ongoing business and, therefore, are less useful for future planning and forecasting.

I. Debt extinguishment costs. NetApp excludes certain non-recurring expenses incurred as a result of the early extinguishment of debt. Management believes such non-recurring costs do not reflect the results of its underlying, ongoing business and, therefore, are less useful for future planning and forecasting.

J. Income tax effects. NetApp’s non-GAAP tax provision is based upon a projected annual non-GAAP effective tax rate for the first three quarters of the fiscal year and an actual non-GAAP tax provision for the fourth quarter of the fiscal year. The non-GAAP tax provision also excludes, when applicable, (a) tax charges or benefits in the current period that relate to one or more prior fiscal periods that are a result of events such as changes in tax legislation, authoritative guidance, income tax audit settlements, statute lapses and/or court decisions, (b) tax charges or benefits that are attributable to unusual or non-recurring book and/or tax accounting method changes, (c) tax charges or benefits that are a result of a non-routine foreign cash repatriation, (d) tax charges or benefits that are a result of infrequent restructuring of the Company’s tax structure, (e) tax charges or benefits that are a result of a change in valuation allowance, and (f) tax charges or benefits resulting from the integration of intellectual property from acquisitions. Management believes that the use of non-GAAP tax provisions provides a more meaningful measure of the Company’s operational performance.

Non-GAAP measures are not in accordance with, or an alternative for, measures prepared in accordance with GAAP and may be different from non-GAAP measures used by other companies. In addition, non-GAAP measures are not based on any comprehensive set of accounting rules or principles. NetApp believes that non-GAAP measures have limitations in that they do not reflect all of the amounts associated with the Company’s results of operations as determined in accordance with GAAP and that these measures should only be used to evaluate the Company’s results of operations in conjunction with the corresponding GAAP measures. NetApp management compensates for these limitations by analyzing current and projected results on a GAAP basis as well as a non-GAAP basis. The presentation of non-GAAP financial information is not meant to be considered in isolation or as a substitute for the directly comparable financial measures prepared in accordance with GAAP. A detailed reconciliation of our non-GAAP to GAAP results can be found herein. In the press release and accompanying financial statements and reconciliations, the terms "operating income" and "income from operations" are used interchangeably. Similarly, "earnings per share" and "net income per share" are also used interchangeably.

Constant Currency

In periods in which the impacts of foreign currency exchange rate changes are significant, NetApp presents certain constant currency growth rates or quantifies the impact of foreign currency exchange rate changes on year-over-year fluctuations, including for net revenues, billings, and earnings. This constant currency information assumes that the same foreign currency exchange rates that were in effect for the comparable prior-year period were used in translation of the current period results.

About NetApp

For more than three decades, NetApp has helped the world’s leading organizations navigate change – from the rise of enterprise storage to the intelligent era defined by data and AI. Today, NetApp is the Intelligent Data Infrastructure company, helping customers turn data into a catalyst for innovation, resilience, and growth.

At the heart of that infrastructure is the NetApp data platform – the unified, enterprise-grade, intelligent foundation that connects, protects, and activates data across every cloud, workload, and environment. Built on the proven power of NetApp ONTAP, our leading data management software and OS, and enhanced by automation through the AI Data Engine and AFX, it delivers observability, resilience, and intelligence at scale.

Disaggregated by design, the NetApp data platform separates storage, services, and control so enterprises can modernize faster, scale efficiently, and innovate without lock-in. As the only enterprise storage platform natively embedded in the world’s largest clouds, it gives organizations the freedom to run any workload anywhere with consistent performance, governance, and protection.

With NetApp, data is always ready – ready to defend against threats, ready to power AI, and ready to drive the next breakthrough. That’s why the world’s most forward-thinking enterprises trust NetApp to turn intelligence into advantage.

Learn more at www.netapp.com or follow us on X, LinkedIn, Facebook, and Instagram.

  NETAPP, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

($ in millions)

(Unaudited)

  April 24, 2026

April 25, 2025

ASSETS

Current assets:

Cash, cash equivalents and investments

$

3,584

$

3,846

Accounts receivable

1,286

1,246

Inventories

198

186

Other current assets

708

573

Total current assets

5,776

5,851

Property and equipment, net

592

563

Goodwill and purchased intangible assets, net

2,794

2,766

Other non-current assets

1,582

1,643

Total assets

$

10,744

$

10,823

LIABILITIES AND STOCKHOLDERS' EQUITY

Current liabilities:

Accounts payable

$

550

$

511

Accrued expenses

1,151

1,122

Current portion of long-term debt

—

750

Short-term deferred revenue

2,320

2,279

Total current liabilities

4,021

4,662

Long-term debt

2,487

2,485

Other long-term liabilities

360

379

Long-term deferred revenue

2,525

2,257

Total liabilities

9,393

9,783

Stockholders' equity

1,351

1,040

Total liabilities and stockholders' equity

$

10,744

$

10,823

  NETAPP, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

($ in millions, except net income per share amounts)

(Unaudited)

  Three Months Ended

Year Ended

April 24, 2026

April 25, 2025

April 24, 2026

April 25, 2025

Revenues:

Product

$

966

$

845

$

3,194

$

3,040

Services

982

887

3,731

3,532

Net revenues

1,948

1,732

6,925

6,572

Cost of revenues:

Cost of product

425

378

1,401

1,284

Cost of services

158

161

625

675

Total cost of revenues

583

539

2,026

1,959

Gross profit

1,365

1,193

4,899

4,613

Operating expenses:

Sales and marketing

488

458

1,869

1,865

Research and development

261

256

991

1,012

General and administrative

85

85

344

311

Restructuring charges

(1

)

45

21

83

Acquisition-related expense

—

1

—

5

Total operating expenses

833

845

3,225

3,276

Income from operations

532

348

1,674

1,337

Other (expense) income, net

(14

)

6

(26

)

46

Income before income taxes

518

354

1,648

1,383

Provision for income taxes

114

14

372

197

Net income

$

404

$

340

$

1,276

$

1,186

Net income per share:

Basic

$

2.05

$

1.67

$

6.41

$

5.81

Diluted

$

2.03

$

1.65

$

6.35

$

5.67

Shares used in net income per share calculations:

Basic

197

203

199

204

Diluted

199

206

201

209

  NETAPP, INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

($ in millions)

(Unaudited)

  Three Months Ended

Year Ended

April 24, 2026

April 25, 2025

April 24, 2026

April 25, 2025

Cash flows from operating activities:

Net income

$

404

$

340

$

1,276

$

1,186

Adjustments to reconcile net income to net cash provided by operating activities:

Depreciation and amortization

49

53

200

243

Non-cash operating lease cost

10

10

42

41

Stock-based compensation

100

95

382

386

Deferred income taxes

87

10

135

(100

)

Other items, net

(3

)

25

55

—

Changes in assets and liabilities, net of acquisitions of businesses:

Accounts receivable

27

(323

)

(36

)

(219

)

Inventories

(89

)

81

(12

)

(1

)

Accounts payable

129

69

31

(8

)

Accrued expenses

225

156

(23

)

62

Deferred revenue

215

300

281

208

Long-term taxes payable

(10

)

(123

)

(7

)

(207

)

Changes in other operating assets and liabilities, net

(194

)

(18

)

(257

)

(85

)

Net cash provided by operating activities

950

675

2,067

1,506

Cash flows from investing activities:

(Purchases) redemptions of investments, net

(130

)

(345

)

(412

)

245

Purchases of property and equipment

(50

)

(35

)

(198

)

(168

)

Other investing activities, net

—

67

15

70

Net cash (used in) provided by investing activities

(180

)

(313

)

(595

)

147

Cash flows from financing activities:

Proceeds from issuance of common stock under employee stock award plans

—

—

103

108

Payments for taxes related to net share settlement of stock awards

(25

)

(31

)

(137

)

(199

)

Repurchase of common stock

(200

)

(250

)

(950

)

(1,150

)

Issuances of debt, net of issuance costs

—

1,240

—

1,240

Repayments and extinguishment of debt

—

—

(750

)

(400

)

Dividends paid

(103

)

(105

)

(413

)

(424

)

Other financing activities, net

—

(3

)

—

(3

)

Net cash (used in) provided by financing activities

(328

)

851

(2,147

)

(828

)

Effect of exchange rate changes on cash, cash equivalents and restricted cash

(2

)

18

1

15

Net change in cash, cash equivalents and restricted cash

440

1,231

(674

)

840

Cash, cash equivalents and restricted cash:

Beginning of period

1,635

1,518

2,749

1,909

End of period

$

2,075

$

2,749

$

2,075

$

2,749

  NETAPP, INC.

RECONCILIATION OF GAAP TO NON-GAAP

INCOME STATEMENT INFORMATION

($ in millions)

Q4 FY26

Q4 FY25

FY2026

FY2025

NET INCOME

$

404

$

340

$

1,276

$

1,186

Adjustments:

Amortization of intangible assets

4

6

21

47

Stock-based compensation

100

95

382

386

Restructuring charges

(1

)

45

21

83

Acquisition-related expense

—

1

—

5

Gains/losses on the sale or derecognition of assets

(11

)

1

(10

)

7

Gain on sale of equity investment

—

(10

)

—

(10

)

Income tax effects

(8

)

(42

)

(50

)

(149

)

Resolution of income tax matters

(5

)

(39

)

(5

)

(39

)

NON-GAAP NET INCOME

$

483

$

397

$

1,635

$

1,516

COST OF REVENUES

$

583

$

539

$

2,026

$

1,959

Adjustments:

Amortization of intangible assets

(3

)

(3

)

(11

)

(28

)

Stock-based compensation

(6

)

(7

)

(28

)

(30

)

NON-GAAP COST OF REVENUES

$

574

$

529

$

1,987

$

1,901

COST OF PRODUCT REVENUES

$

425

$

378

$

1,401

$

1,284

Adjustments:

Stock-based compensation

(1

)

(1

)

(6

)

(6

)

NON-GAAP COST OF PRODUCT REVENUES

$

424

$

377

$

1,395

$

1,278

COST OF SERVICES REVENUES

$

158

$

161

$

625

$

675

Adjustments:

Amortization of intangible assets

(3

)

(3

)

(11

)

(28

)

Stock-based compensation

(5

)

(6

)

(22

)

(24

)

NON-GAAP COST OF SERVICES REVENUES

$

150

$

152

$

592

$

623

GROSS PROFIT

$

1,365

$

1,193

$

4,899

$

4,613

Adjustments:

Amortization of intangible assets

3

3

11

28

Stock-based compensation

6

7

28

30

NON-GAAP GROSS PROFIT

$

1,374

$

1,203

$

4,938

$

4,671

  NETAPP, INC.

RECONCILIATION OF GAAP TO NON-GAAP

INCOME STATEMENT INFORMATION

($ in millions)

Q4 FY26

Q4 FY25

FY2026

FY2025

SALES AND MARKETING EXPENSES

$

488

$

458

$

1,869

$

1,865

Adjustments:

Amortization of intangible assets

(1

)

(3

)

(10

)

(19

)

Stock-based compensation

(41

)

(40

)

(155

)

(162

)

NON-GAAP SALES AND MARKETING EXPENSES

$

446

$

415

$

1,704

$

1,684

RESEARCH AND DEVELOPMENT EXPENSES

$

261

$

256

$

991

$

1,012

Adjustments:

Stock-based compensation

(34

)

(31

)

(126

)

(135

)

NON-GAAP RESEARCH AND DEVELOPMENT EXPENSES

$

227

$

225

$

865

$

877

GENERAL AND ADMINISTRATIVE EXPENSES

$

85

$

85

$

344

$

311

Adjustments:

Stock-based compensation

(19

)

(17

)

(73

)

(59

)

Gains/losses on the sale or derecognition of assets

11

(1

)

10

(4

)

NON-GAAP GENERAL AND ADMINISTRATIVE EXPENSES

$

77

$

67

$

281

$

248

RESTRUCTURING CHARGES

$

(1

)

$

45

$

21

$

83

Adjustments:

Restructuring charges

1

(45

)

(21

)

(83

)

NON-GAAP RESTRUCTURING CHARGES

$

—

$

—

$

—

$

—

ACQUISITION-RELATED EXPENSE

$

—

$

1

$

—

$

5

Adjustments:

Acquisition-related expense

—

(1

)

—

(5

)

NON-GAAP ACQUISITION-RELATED EXPENSE

$

—

$

—

$

—

$

—

OPERATING EXPENSES

$

833

$

845

$

3,225

$

3,276

Adjustments:

Amortization of intangible assets

(1

)

(3

)

(10

)

(19

)

Stock-based compensation

(94

)

(88

)

(354

)

(356

)

Restructuring charges

1

(45

)

(21

)

(83

)

Acquisition-related expense

—

(1

)

—

(5

)

Gains/losses on the sale or derecognition of assets

11

(1

)

10

(4

)

NON-GAAP OPERATING EXPENSES

$

750

$

707

$

2,850

$

2,809

  NETAPP, INC.

RECONCILIATION OF GAAP TO NON-GAAP

INCOME STATEMENT INFORMATION

($ in millions, except net income per share)

Q4 FY26

Q4 FY25

FY2026

FY2025

INCOME FROM OPERATIONS

$

532

$

348

$

1,674

$

1,337

Adjustments:

Amortization of intangible assets

4

6

21

47

Stock-based compensation

100

95

382

386

Restructuring charges

(1

)

45

21

83

Acquisition-related expense

—

1

—

5

Gains/losses on the sale or derecognition of assets

(11

)

1

(10

)

4

NON-GAAP INCOME FROM OPERATIONS

$

624

$

496

$

2,088

$

1,862

OTHER (EXPENSE) INCOME, NET

$

(14

)

$

6

$

(26

)

$

46

Adjustments:

Gains/losses on the sale or derecognition of assets

—

—

—

3

Gain on sale of equity investment

—

(10

)

—

(10

)

NON-GAAP OTHER (EXPENSE) INCOME, NET

$

(14

)

$

(4

)

$

(26

)

$

39

INCOME BEFORE INCOME TAXES

$

518

$

354

$

1,648

$

1,383

Adjustments:

Amortization of intangible assets

4

6

21

47

Stock-based compensation

100

95

382

386

Restructuring charges

(1

)

45

21

83

Acquisition-related expense

—

1

—

5

Gains/losses on the sale or derecognition of assets

(11

)

1

(10

)

7

Gain on sale of equity investment

—

(10

)

—

(10

)

NON-GAAP INCOME BEFORE INCOME TAXES

$

610

$

492

$

2,062

$

1,901

PROVISION FOR INCOME TAXES

$

114

$

14

$

372

$

197

Adjustments:

Income tax effects

8

42

50

149

Resolution of income tax matters

5

39

5

39

NON-GAAP PROVISION FOR INCOME TAXES

$

127

$

95

$

427

$

385

NET INCOME PER SHARE

$

2.03

$

1.65

$

6.35

$

5.67

Adjustments:

Amortization of intangible assets

0.02

0.03

0.10

0.22

Stock-based compensation

0.50

0.46

1.90

1.85

Restructuring charges

(0.01

)

0.22

0.10

0.40

Acquisition-related expense

—

0.01

—

0.03

Gains/losses on the sale or derecognition of assets

(0.05

)

—

(0.05

)

0.03

Gain on sale of equity investment

—

(0.05

)

—

(0.05

)

Income tax effects

(0.04

)

(0.20

)

(0.25

)

(0.71

)

Resolution of income tax matters

(0.02

)

(0.19

)

(0.02

)

(0.19

)

NON-GAAP NET INCOME PER SHARE

$

2.43

$

1.93

$

8.13

$

7.25

  RECONCILIATION OF GAAP TO NON-GAAP

GROSS MARGIN

($ in millions)

Q4 FY26

Q4 FY25

FY2026

FY2025

Gross margin

70.1

%

68.9

%

70.7

%

70.2

%

Cost of revenues adjustments

0.4

%

0.6

%

0.6

%

0.9

%

Non-GAAP Gross margin

70.5

%

69.5

%

71.3

%

71.1

%

Cost of revenues

$

583

$

539

$

2,026

$

1,959

Cost of revenues adjustments:

Amortization of intangible assets

(3

)

(3

)

(11

)

(28

)

Stock-based compensation

(6

)

(7

)

(28

)

(30

)

Non-GAAP Cost of revenues

$

574

$

529

$

1,987

$

1,901

Net revenues

$

1,948

$

1,732

$

6,925

$

6,572

  RECONCILIATION OF GAAP TO NON-GAAP

PRODUCT GROSS MARGIN

($ in millions)

Q4 FY26

Q4 FY25

FY2026

FY2025

Product gross margin

56.0

%

55.3

%

56.1

%

57.8

%

Cost of product revenues adjustments

0.1

%

0.1

%

0.2

%

0.2

%

Non-GAAP Product gross margin

56.1

%

55.4

%

56.3

%

58.0

%

Cost of product revenues

$

425

$

378

$

1,401

$

1,284

Cost of product revenues adjustments:

Stock-based compensation

(1

)

(1

)

(6

)

(6

)

Non-GAAP Cost of product revenues

$

424

$

377

$

1,395

$

1,278

Product revenues

$

966

$

845

$

3,194

$

3,040

  RECONCILIATION OF GAAP TO NON-GAAP

SERVICES GROSS MARGIN

($ in millions)

Q4 FY26

Q4 FY25

FY2026

FY2025

Services gross margin

83.9

%

81.8

%

83.2

%

80.9

%

Cost of services revenues adjustments

0.8

%

1.1

%

0.9

%

1.5

%

Non-GAAP Services gross margin

84.7

%

82.9

%

84.1

%

82.4

%

Cost of services revenues

$

158

$

161

$

625

$

675

Cost of services revenues adjustments:

Amortization of intangible assets

(3

)

(3

)

(11

)

(28

)

Stock-based compensation

(5

)

(6

)

(22

)

(24

)

Non-GAAP Cost of services revenues

$

150

$

152

$

592

$

623

Services revenues

$

982

$

887

$

3,731

$

3,532

  RECONCILIATION OF GAAP TO NON-GAAP

OPERATING MARGIN

($ in millions)

Q4 FY26

Q4 FY25

FY2026

FY2025

Operating margin

27.3

%

20.1

%

24.2

%

20.3

%

Adjustments

4.7

%

8.5

%

6.0

%

8.0

%

Non-GAAP Operating margin

32.0

%

28.6

%

30.2

%

28.3

%

Income from operations

$

532

$

348

$

1,674

$

1,337

Income from operations adjustments:

Amortization of intangible assets

4

6

21

47

Stock-based compensation

100

95

382

386

Restructuring charges

(1

)

45

21

83

Acquisition-related expense

—

1

—

5

Gains/losses on the sale or derecognition of assets

(11

)

1

(10

)

4

Non-GAAP Income from operations

$

624

$

496

$

2,088

$

1,862

Net revenues

$

1,948

$

1,732

$

6,925

$

6,572

  RECONCILIATION OF GAAP TO NON-GAAP

EFFECTIVE TAX RATE

Q4 FY26

Q4 FY25

FY2026

FY2025

Effective tax rate

22.0

%

4.0

%

22.6

%

14.2

%

Adjustments:

Income tax effects

(2.2

)%

4.3

%

(2.2

)%

3.2

%

Resolution of income tax matters

1.0

%

11.0

%

0.3

%

2.8

%

Non-GAAP Effective tax rate

20.8

%

19.3

%

20.7

%

20.2

%

  RECONCILIATION OF NET CASH PROVIDED BY OPERATING ACTIVITIES

TO FREE CASH FLOW (NON-GAAP)

($ in millions)

Q4 FY26

Q4 FY25

FY2026

FY2025

Net cash provided by operating activities

$

950

$

675

$

2,067

$

1,506

Purchases of property and equipment

(50

)

(35

)

(198

)

(168

)

Free cash flow

$

900

$

640

$

1,869

$

1,338

  RECONCILIATION OF NET REVENUES

TO BILLINGS (NON-GAAP)

($ in millions)

Q4 FY26

Q4 FY25

FY2026

FY2025

Net revenues

$

1,948

$

1,732

$

6,925

$

6,572

Change in deferred revenue*

215

300

281

208

Billings

$

2,163

$

2,032

$

7,206

$

6,780

* As reported on our Condensed Consolidated Statements of Cash Flows

NETAPP, INC.

SUPPLEMENTAL DATA

($ in millions, except net income per share, DSO, DPO, and Inventory Turns)

(Unaudited)

Revenues by Segment

Q4 FY26

Q4 FY25

FY2026

FY2025

Product

$

966

$

845

$

3,194

$

3,040

Support

688

625

2,636

2,512

Professional and Other Services

112

98

407

355

Hybrid Cloud Segment Net Revenues

1,766

1,568

6,237

5,907

Public Cloud Segment Net Revenues

182

164

688

665

Net Revenues

$

1,948

$

1,732

$

6,925

$

6,572

Hybrid Cloud Segment Net Revenues by Storage Category

Q4 FY26

Q4 FY25

FY2026

FY2025

All-flash revenues

$

1,216

$

1,034

$

4,178

$

3,763

Hybrid-flash and other revenues

550

534

2,059

2,144

Hybrid Cloud Segment Net Revenues

$

1,766

$

1,568

$

6,237

$

5,907

Gross Profit by Segment

Q4 FY26

Q4 FY25

FY2026

FY2025

Product

$

542

$

468

$

1,799

$

1,762

Support

640

577

2,438

2,315

Professional and Other Services

36

28

126

94

Hybrid Cloud Segment Gross Profit

1,218

1,073

4,363

4,171

Public Cloud Segment Gross Profit

156

130

575

500

Total Segments Gross Profit

1,374

1,203

4,938

4,671

Amortization of Intangible Assets

(3

)

(3

)

(11

)

(28

)

Stock-based Compensation

(6

)

(7

)

(28

)

(30

)

Unallocated Cost of Revenues

(9

)

(10

)

(39

)

(58

)

Gross Profit

$

1,365

$

1,193

$

4,899

$

4,613

Gross Margin by Segment

Q4 FY26

Q4 FY25

FY2026

FY2025

Product

56.1

%

55.4

%

56.3

%

58.0

%

Support

93.0

%

92.3

%

92.5

%

92.2

%

Professional and Other Services

32.1

%

28.6

%

31.0

%

26.5

%

Hybrid Cloud Segment Gross Margin

69.0

%

68.4

%

70.0

%

70.6

%

Public Cloud Segment Gross Margin

85.7

%

79.3

%

83.6

%

75.2

%

  NETAPP, INC.

SUPPLEMENTAL DATA

($ in millions, except net income per share, DSO, DPO, and Inventory Turns)

(Unaudited)

Geographic Mix

% of Q4 FY26

% of Q4 FY25

% of FY 2026

% of FY 2025

Revenue

Revenue

Revenue

Revenue

Americas

50

%

51

%

51

%

51

%

Americas Commercial

40

%

42

%

41

%

40

%

U.S. Public Sector*

10

%

9

%

10

%

11

%

EMEA

36

%

34

%

34

%

34

%

Asia Pacific

14

%

15

%

15

%

15

%

* U.S. Public Sector includes revenue from both 1) the U.S. federal government (“U.S. Fed”) and 2) U.S. state governments, local municipalities and education institutions (“U.S. SLED”).

Pathways Mix

% of Q4 FY26

% of Q4 FY25

% of FY 2026

% of FY 2025

Revenue

Revenue

Revenue

Revenue

Direct

25

%

22

%

24

%

22

%

Indirect

75

%

78

%

76

%

78

%

Non-GAAP Income from Operations, Income before Income Taxes & Effective Tax Rate

Q4 FY26

Q4 FY25

FY2026

FY2025

Non-GAAP Income from Operations

$

624

$

496

$

2,088

$

1,862

Operating Margin

32.0

%

28.6

%

30.2

%

28.3

%

Non-GAAP Income before Income Taxes

$

610

$

492

$

2,062

$

1,901

Non-GAAP Effective Tax Rate

20.8

%

19.3

%

20.7

%

20.2

%

Non-GAAP Net Income

Q4 FY26

Q4 FY25

FY2026

FY2025

Non-GAAP Net Income

$

483

$

397

$

1,635

$

1,516

Non-GAAP Weighted Average Common Shares Outstanding, Diluted

199

206

201

209

Non-GAAP Net Income per Share, Diluted

$

2.43

$

1.93

$

8.13

$

7.25

Select Balance Sheet Items

Q4 FY26

Q4 FY25

Deferred Revenue

$

4,845

$

4,536

DSO (days)

60

65

DPO (days)

86

86

Inventory Turns

12

12

Days sales outstanding (DSO) is defined as accounts receivable divided by net revenues, multiplied by the number of days in the quarter.

Days payables outstanding (DPO) is defined as accounts payable divided by cost of revenues, multiplied by the number of days in the quarter.

Inventory turns is defined as annualized cost of revenues divided by net inventories.

Select Cash Flow Statement Items

Q4 FY26

Q4 FY25

FY2026

FY2025

Net Cash Provided by Operating Activities

$

950

$

675

$

2,067

$

1,506

Purchases of Property and Equipment

$

50

$

35

$

198

$

168

Free Cash Flow

$

900

$

640

$

1,869

$

1,338

Free Cash Flow Margin

46.2

%

37.0

%

27.0

%

20.4

%

Free cash flow is a non-GAAP measure and is defined as net cash provided by operating activities less purchases of property and equipment.

Free cash flow margin is defined as free cash flow as a percentage of net revenues.

Some items may not add or recalculate due to rounding.

NETAPP, INC.

RECONCILIATION OF GAAP GUIDANCE TO NON-GAAP

FIRST QUARTER FISCAL 2027

First Quarter

Fiscal 2027

GAAP Guidance - Gross Margin

68.1% - 69.1%

Adjustments:

Cost of revenues adjustments

1%

Non-GAAP Guidance - Gross Margin

69.1% - 70.1%

First Quarter

Fiscal 2027

GAAP Guidance - Operating Margin

19.4% - 20.4%

Adjustments:

Stock-based compensation expense

6%

Restructuring charges

3%

Non-GAAP Guidance - Operating Margin

28.4% - 29.4%

Some items may not add or recalculate due to rounding.

NETAPP, INC.

RECONCILIATION OF GAAP GUIDANCE TO NON-GAAP

EXPRESSED AS NET INCOME PER SHARE

FIRST QUARTER FISCAL 2027

First Quarter

Fiscal 2027

GAAP Guidance - Net Income Per Share

$1.35 - $1.45

Adjustments of Specific Items to Net Income

Per Share:

Amortization of intangible assets

$0.02

Stock-based compensation expense

$0.52

Restructuring charges

$0.30

Income tax effects

($0.14)

Total Adjustments

$0.70

Non-GAAP Guidance - Net Income Per Share

$2.05 - $2.15

Some items may not add or recalculate due to rounding.

NETAPP, INC.

RECONCILIATION OF GAAP GUIDANCE TO NON-GAAP

FISCAL 2027

Fiscal 2027

GAAP Guidance - Gross Margin

67.5% - 68.5%

Adjustments:

Cost of revenues adjustments

1%

Non-GAAP Guidance - Gross Margin

68.5% - 69.5%

Fiscal 2027

GAAP Guidance - Operating Margin

22.1% - 23.1%

Adjustments:

Stock-based compensation expense

6%

Restructuring charges

1%

Non-GAAP Guidance - Operating Margin

29.1% - 30.1%

Some items may not add or recalculate due to rounding.

NETAPP, INC.

RECONCILIATION OF GAAP GUIDANCE TO NON-GAAP

EXPRESSED AS NET INCOME PER SHARE

FISCAL 2027

Fiscal 2027

GAAP Guidance - Net Income Per Share

$6.51 - $6.81

Adjustments of Specific Items to Net Income

Per Share:

Amortization of intangible assets

$0.11

Stock-based compensation expense

$2.19

Restructuring charges

$0.30

Income tax effects

($0.41)

Total Adjustments

$2.19

Non-GAAP Guidance - Net Income Per Share

$8.70-$9.00

Some items may not add or recalculate due to rounding.

For the quarter ended April 2026, NetApp (NTAP - Free Report) reported revenue of $1.95 billion, up 12.5% over the same period last year. EPS came in at $2.43, compared to $1.93 in the year-ago quarter.

The reported revenue compares to the Zacks Consensus Estimate of $1.86 billion, representing a surprise of +4.51%. The company delivered an EPS surprise of +7.05%, with the consensus EPS estimate being $2.27.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how NetApp performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

Gross margin - Product - Non-GAAP: 56.1% versus the seven-analyst average estimate of 55.5%.Total Revenue - % Change: 12% versus the six-analyst average estimate of 7.4%.Gross margin - Services - Non-GAAP: 84.7% compared to the 84% average estimate based on six analysts.Net revenues- Services: $982 million versus $948.67 million estimated by seven analysts on average. Compared to the year-ago quarter, this number represents a +10.7% change.Net revenues- Product: $966 million compared to the $910.27 million average estimate based on seven analysts. The reported number represents a change of +14.3% year over year.Net revenues- Public Cloud: $182 million compared to the $182 million average estimate based on five analysts. The reported number represents a change of +11% year over year.Net revenues- Hybrid Cloud: $1.77 billion compared to the $1.67 billion average estimate based on five analysts. The reported number represents a change of +12.6% year over year.Net revenues- Support: $688 million versus the four-analyst average estimate of $663.96 million. The reported number represents a year-over-year change of +10.1%.Net revenues- Professional and Other Services: $112 million versus $111.21 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +14.3% change.Gross Profit- Products: $542 million compared to the $505.36 million average estimate based on seven analysts.Gross Profit- Public Cloud: $156 million versus $155.08 million estimated by three analysts on average.Gross Profit- Professional and Other Services: $36 million versus the three-analyst average estimate of $34.72 million.View all Key Company Metrics for NetApp here>>>

Shares of NetApp have returned +31.4% over the past month versus the Zacks S&P 500 composite's +5% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.

NetApp, Inc. (NTAP) Q4 2026 Earnings Call Transcript

NetApp: Excellent Returns, I'm Out (Rating Downgrade)

NetApp (NTAP +0.71%) investors are having a nice Friday. The massive-scale data storage specialist's stock jumped as much as 35.3% around 10:25 a.m. ET. The stock backed down a bit from that extreme gain, but was still up 26% at 12:45 p.m. ET. Yep, that's what a strong earnings report can do, especially when paired with bullish guidance targets.

Today's Change

(

0.71

%) $

1.14

Current Price

$

161.61

Another dot-com peak bites the dust With this surge to more than $170 per share, NetApp's stock finally eclipsed a long-standing record price of $148.63, set in the fall of 2000.

NetApp crushed analyst targets in fiscal Q4 2026. Earnings rose 26% year-over-year to $2.43 per diluted share. Revenue increased 13% to $1.95 billion. The consensus Street view had called for earnings near $2.27 per share on sales in the neighborhood of $1.87 billion.

And that's not even the best part. Management's guidance targets for the next quarter and fiscal year 2027 consistently landed well above current analyst projections.

Image source: Getty Images.

Messy data is NetApp's best friend As expected, NetApp CEO George Kurian celebrated the ongoing AI boom. The company helps enterprise customers manage huge arrays of raw, disorganized data.

Real-world data is often messy, especially if it includes input by real, imperfect, wonderful humans. AI systems prefer working with clean, structured datasets. A quick round of NetApp's data cleanup and organization makes a significant difference to the speed and quality of AI training or inference.

"As enterprise AI adoption scales, the primary challenge is not compute, but activating large volumes of unstructured data," Kurian said in the earnings call. "We are encouraged by the robust demand signals we are seeing and are confident in our ability to maintain this momentum, as reflected in our FY27 outlook."

Anders Bylund has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends NetApp. The Motley Fool has a disclosure policy.

Key Takeaways NTAP reported Q4 EPS of $2.43 on $1.95 billion revenues, exceeding consensus estimates.NTAP logged about 500 AI and data-preparation wins in the quarter, supporting FY2027 confidence.NTAP forecasts FY2027 revenue growth of 8% at midpoint despite higher component costs. NetApp, Inc. (NTAP - Free Report) used its fourth-quarter 2026 earnings call to make a forward-looking case that enterprise AI is shifting from experimentation to real infrastructure spending. Management tied the quarter’s outperformance to large deals, rising all-flash demand and stronger cloud adoption.

The bigger message was about fiscal 2027. Executives said demand remains broad-based, while guidance calls for faster revenue growth even as the company manages higher component costs and watches for pockets of accelerated customer purchasing.

NTAP Ties the Quarter to AI ExecutionChief executive officer George Kurian framed fiscal 2026 as a record year built on hybrid cloud, public cloud and AI-related demand. He said NetApp is benefiting as customers try to activate large pools of unstructured data across on-premises and cloud environments.

That message showed up in the quarter’s numbers. NetApp reported non-GAAP earnings of $2.43 per share, beating the Zacks Consensus Estimate of $2.27. Revenues of $1.95 billion surpassed the Zacks Consensus Estimate of $1.86 billion. The reported surprises were 7.05% for earnings and 4.51% for revenues.

Kurian also emphasized that AI was not a side story. NetApp logged about 500 AI and data-preparation wins in the quarter and more than 1,100 for fiscal 2026, with management presenting that activity as a central reason for its confidence entering the new year.

NetApp Sees Strength Across Cloud and FlashManagement pointed to several businesses hitting new highs. Fiscal 2026 public cloud revenues reached $688 million, while all-flash revenues rose to $4.2 billion. In the fourth quarter alone, all-flash revenues climbed 18% year over year to $1.2 billion, and public cloud revenues rose 11% to $182 million.

Kurian said demand has been strongest where AI workloads require high-performance storage and data mobility. He also highlighted Keystone, revenues for which grew about 65% in fiscal 2026, as customers sought more consumption-based buying models.

The company paired that demand narrative with product and partnership updates, including AI Data Engine, new high-performance storage systems and an expanded Google Cloud collaboration tied to Google Distributed Cloud. Those announcements supported management’s argument that NetApp is widening its reach in sovereign, regulated and AI-intensive deployments.

NTAP Guides for Faster Fiscal 2027 GrowthChief financial officer Wissam Jabre said the company expects fiscal 2027 revenues of $7.33 billion to $7.58 billion and non-GAAP earnings per share of $8.70 to $9.00. At the midpoint, that implies 8% revenue growth and 9% earnings growth, both ahead of the fiscal 2026 pace.

For the first quarter, NetApp expects revenues of $1.75 billion to $1.90 billion and non-GAAP EPS of $2.05 to $2.15. Jabre noted that the quarter includes an extra week, worth about $65 million of revenues, mostly in support and cloud, along with $21 million of added operating expense.

Guidance also reflects a lower non-GAAP gross margin range of 68.5% to 69.5% for fiscal 2027, versus 71.3% in fiscal 2026. Management tied that pressure primarily to memory and component costs, while saying pricing actions are being used to protect profitability.

NetApp Defends Margin and Demand AssumptionsIn Q&A, UBS Investment Bank pressed management on whether all-flash demand was being boosted by customer pull-forwards ahead of price increases. Kurian said accelerated decision-making exists, but he described the effect on fourth-quarter results as minimal and said the upside was mainly tied to large deals already discussed earlier in the year.

On margins, Jabre told analysts that product gross margin should be around a trough in the July quarter, with gradual improvement afterward as pricing changes flow through. He also reiterated that the company’s long-term product gross margin target remains in the mid-50% to high-50% range.

That exchange mattered because it clarified the trade-off embedded in guidance. NetApp is leaning into demand opportunities, but management is also signaling that cost recovery will take time rather than show up immediately.

NTAP Uses Q&A to Sharpen the AI StoryMorgan Stanley asked how much of the fiscal 2027 outlook is tied to AI wins. Kurian did not quantify revenues, but he said the roughly 500 AI wins in the quarter were all on-premises and were split across data preparation, model training and inferencing use cases.

That answer added detail missing from the prepared remarks. It showed NetApp’s AI opportunity is not confined to one narrow workload and that management sees the pipeline as broad across customer types, including enterprise and neo-cloud accounts.

Wells Fargo also asked about newer offerings such as AFX and AI Data Engine. Kurian said AFX has already seen wins in targeted verticals, while AI Data Engine is getting positive feedback from customers trying to organize large data estates for AI projects.

NetApp Leaves the Call in Expansion ModeThe call’s closing tone was confident but measured. Kurian repeatedly returned to the idea that NetApp is positioned at the intersection of AI, cloud and data governance, while Jabre emphasized disciplined execution around pricing, margins and cash flow.

That posture was reinforced by capital allocation. NetApp generated $900 million of fourth-quarter free cash flow, returned $303 million to its shareholders in the quarter and added $1 billion to its share repurchase authorization.

NTAP’s Zacks Signals Remain MixedNTAP currently carries a Zacks Rank #4 (Sell), alongside a Value Score of D, Growth Score of A, Momentum Score of A and VGM Score of B. Under the Zacks framework, a stronger Style Score is most useful when paired with a favorable Zacks Rank, especially a Zacks Rank #1 (Strong Buy) or 2 (Buy).

You can see the complete list of today’s Zacks #1 Rank stocks here.

That leaves a mixed signal. NetApp’s Growth, Momentum and VGM grades indicate favorable style characteristics, but the Zacks Rank remains the more important screening tool in the system. The rank can also change after earnings as estimate revisions adjust to the latest results and outlook.

-

New FlexPod solutions deliver proven performance, security, and unified management for AI

SAN JOSE, Calif.--(BUSINESS WIRE)--NetApp® (NASDAQ: NTAP), the Intelligent Data Infrastructure company, and Cisco (NASDAQ: CSCO) today announced that they have collaborated to offer new validated solutions for secure, scalable, and simplified AI. Expanding the proven success of FlexPod, the new solutions provide a simple, reliable path for enterprises to address the specific challenges AI workloads place on compute, network, and storage infrastructure.

“As IT teams are tasked with delivering reliable, consistent performance across environments, AI workloads are placing increasing demands on their data infrastructure,” said Dallas Olson, Chief Commercial Officer at NetApp. “NetApp and Cisco’s longstanding partnership on FlexPod has already proven effective, saving customers up to 20 percent of their time in infrastructure management and maintenance. Now, we are applying our combined expertise to modern challenges to accelerate AI adoption while reducing risk with built-in security.”

NetApp and Cisco are expanding FlexPod to support AI adoption across different organizational sizes and maturity levels, using pre-tested, validated architectures and enterprise-grade data management as a consistent foundation. These solutions support use cases such as:

Enterprise AI Deployments: Enterprises can simply and quickly deploy high-performance infrastructure for AI use cases including retrieval-augmented generation (RAG) and semantic search using this validated architecture. FlexPod reduces integration complexity while allowing AI capabilities to run directly where the data resides, with built-in, end-to-end security. This architecture includes disaggregated storage for independent scaling of performance and capacity with NetApp AFX; future functionality of data discovery, preparation and governance capabilities from NetApp AI Data Engine (AIDE) which integrates the NVIDIA AI Data Platform reference design; and distributed security and Zero Trust-aligned controls across the AI pipeline for AI-specific risks from Cisco Secure AI Factory with NVIDIA. Underpinning the Secure AI Factory, Cisco AI networking infrastructure with Nexus One transforms the network into a deterministic, high-performance fabric to maximize XPU utilization, reduce job completion times, and deliver predictable AI outcomes at scale. Targeting full-stack enterprise AI use cases, NetApp and Cisco have collaborated with NVIDIA to build FlexPod Solutions based on NVIDIA Enterprise Reference Architectures, enabling organizations to design, deploy, and scale high-performance AI factories. AI Inferencing and RAG Workflows: To enable teams and departments to tap into the benefits of AI with their existing data, this simplified, pre-integrated solution is designed to lower the cost, complexity, and specialized skill requirements associated with deploying AI infrastructure. Edge Computing: This solution enables enterprises to support AI inferencing, containerized, and virtualized workloads at the edge while maintaining low latency and operational consistency. By extending proven FlexPod architecture to remote and edge locations, customers benefit from faster time to value and reduced operational complexity compared to bespoke infrastructure or isolated IT stacks at each site. Combining Cisco Unified Edge with flexible NetApp storage options delivers a flexible, validated converged solution. Centralized fleet management, policy-based configuration, and automated orchestration enable repeatable deployments and simplified operations across highly distributed environments. “As organizations move from AI experimentation to real‑world deployment, security can’t be an afterthought. It has to be built in from the start,” said Jeremy Foster, GM and SVP at Cisco. “By collaborating with NetApp to extend Cisco Secure AI Factory with NVIDIA to our validated FlexPod solution, we’re helping customers address AI‑specific risks such as data exposure, governance gaps, and compliance challenges while simplifying how AI infrastructure is deployed and operated.”

"Enterprises are sitting on vast amounts of data, but without the discovery, governance and preparation built into the infrastructure itself, enterprises will struggle to power production AI,” said Jason Hardy, vice president, Storage Technologies at NVIDIA. “NetApp AI Data Engine, co-engineered on the NVIDIA AI Data Platform and validated with the Cisco Secure AI Factory with NVIDIA, gives organizations the secure, AI-ready data foundation to deploy AI factories on FlexPod infrastructure at scale."

"The new AI capabilities in FlexPod expand our ability to help customers navigate the AI era with confidence," said Brian Bartell, Practice Manager, Compute & Storage at WWT. "Through our long-standing partnerships with NetApp and Cisco, the introduction of NetApp's AI Data Engine, and the ability to validate these architectures hands-on in WWT's AI Proving Ground, we can compress the time from concept to execution, giving our customers a pre-tested, industry-leading foundation to move at the speed of the market and unlock the power of their data."

To learn more about NetApp's partnership with Cisco, visit the NetApp booth #7414 at Cisco Live!, May 31-June 4 at Mandalay Bay in Las Vegas.

Additional Resources

FlexPod: A Secure, Smart, Sustainable, Hybrid Platform NetApp AI Data Engine: An End-to-End, Storage-Integrated AI Data Service NetApp AFX: The Best Data Infrastructure for AI NetApp Collaborates with Cisco on Enterprise-Grade Converged Infrastructure with Disaggregated Storage for AI Cisco & NetApp: Powering Enterprise Data Centers with AI Networking and Storage About NetApp

For more than three decades, NetApp has helped the world’s leading organizations navigate change – from the rise of enterprise storage to the intelligent era defined by data and AI. Today, NetApp is the Intelligent Data Infrastructure company, helping customers turn data into a catalyst for innovation, resilience, and growth.

At the heart of that infrastructure is the NetApp data platform – the unified, enterprise-grade, intelligent foundation that connects, protects, and activates data across every cloud, workload, and environment. Built on the proven power of NetApp ONTAP, our leading data management software and OS, and enhanced by automation through the AI Data Engine and AFX, it delivers observability, resilience, and intelligence at scale.

Disaggregated by design, the NetApp data platform separates storage, services, and control so enterprises can modernize faster, scale efficiently, and innovate without lock-in. As the only enterprise storage platform natively embedded in the world’s largest clouds, it gives organizations the freedom to run any workload anywhere with consistent performance, governance, and protection.

With NetApp, data is always ready – ready to defend against threats, ready to power AI, and ready to drive the next breakthrough. That’s why the world’s most forward-thinking enterprises trust NetApp to turn intelligence into advantage.

Learn more at www.netapp.com or follow us on X, LinkedIn, Facebook, and Instagram.

NETAPP, the NETAPP logo, and the marks listed at www.netapp.com/TM are trademarks of NetApp, Inc. Other company and product names may be trademarks of their respective owners.

About Cisco

Cisco (NASDAQ: CSCO) is the worldwide technology leader that is revolutionizing the way organizations connect and protect in the AI era. For more than 40 years, Cisco has securely connected the world. With its industry leading AI-powered solutions and services, Cisco enables its customers, partners and communities to unlock innovation, enhance productivity and strengthen digital resilience. With purpose at its core, Cisco remains committed to creating a more connected and inclusive future for all. Discover more on The Newsroom and follow us on X at @Cisco.

Cisco and the Cisco logo are trademarks or registered trademarks of Cisco and/or its affiliates in the U.S. and other countries. A listing of Cisco’s trademarks can be found at http://www.cisco.com/go/trademarks. Third-party trademarks mentioned are the property of their respective owners. The use of the word ‘partner’ does not imply a partnership relationship between Cisco and any other company.

More News From NetApp

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NetApp (NTAP - Free Report) has recently been on Zacks.com's list of the most searched stocks. Therefore, you might want to consider some of the key factors that could influence the stock's performance in the near future.

Shares of this data storage company have returned +53.9% over the past month versus the Zacks S&P 500 composite's +5.4% change. The Zacks Computer- Storage Devices industry, to which NetApp belongs, has gained 41.3% over this period. Now the key question is: Where could the stock be headed in the near term?

While media releases or rumors about a substantial change in a company's business prospects usually make its stock 'trending' and lead to an immediate price change, there are always some fundamental facts that eventually dominate the buy-and-hold decision-making.

Revisions to Earnings EstimatesHere at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.

We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.

For the current quarter, NetApp is expected to post earnings of $1.94 per share, indicating a change of +25.2% from the year-ago quarter. The Zacks Consensus Estimate has changed +0.9% over the last 30 days.

The consensus earnings estimate of $8.71 for the current fiscal year indicates a year-over-year change of +7.1%. This estimate has changed +0.7% over the last 30 days.

For the next fiscal year, the consensus earnings estimate of $9.46 indicates a change of +8.6% from what NetApp is expected to report a year ago. Over the past month, the estimate has changed -0.7%.

Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, NetApp is rated Zacks Rank #4 (Sell).

The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:

12 Month EPS

Projected Revenue GrowthWhile earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.

In the case of NetApp, the consensus sales estimate of $1.83 billion for the current quarter points to a year-over-year change of +17.4%. The $7.48 billion and $7.81 billion estimates for the current and next fiscal years indicate changes of +8.1% and +4.4%, respectively.

Last Reported Results and Surprise HistoryNetApp reported revenues of $1.95 billion in the last reported quarter, representing a year-over-year change of +12.5%. EPS of $2.43 for the same period compares with $1.93 a year ago.

Compared to the Zacks Consensus Estimate of $1.86 billion, the reported revenues represent a surprise of +4.51%. The EPS surprise was +7.05%.

The company beat consensus EPS estimates in each of the trailing four quarters. The company topped consensus revenue estimates each time over this period.

ValuationNo investment decision can be efficient without considering a stock's valuation. Whether a stock's current price rightly reflects the intrinsic value of the underlying business and the company's growth prospects is an essential determinant of its future price performance.

Comparing the current value of a company's valuation multiples, such as its price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), to its own historical values helps ascertain whether its stock is fairly valued, overvalued, or undervalued, whereas comparing the company relative to its peers on these parameters gives a good sense of how reasonable its stock price is.

As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.

NetApp is graded D on this front, indicating that it is trading at a premium to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.

Bottom LineThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about NetApp. However, its Zacks Rank #4 does suggest that it may underperform the broader market in the near term.

For new and old investors, taking full advantage of the stock market and investing with confidence are common goals. Zacks Premium provides lots of different ways to do both.

The research service features daily updates of the Zacks Rank and Zacks Industry Rank, full access to the Zacks #1 Rank List, Equity Research reports, and Premium stock screens, all of which will help you become a smarter, more confident investor.

It also includes access to the Zacks Style Scores.

What are the Zacks Style Scores? Developed alongside the Zacks Rank, the Zacks Style Scores are a group of complementary indicators that help investors pick stocks with the best chances of beating the market over the next 30 days.

Each stock is assigned a rating of A, B, C, D, or F based on their value, growth, and momentum characteristics. Just like in school, an A is better than a B, a B is better than a C, and so on -- that means the better the score, the better chance the stock will outperform.

The Style Scores are broken down into four categories:

Value ScoreFinding good stocks at good prices, and discovering which companies are trading under their true value, are what value investors like to focus on. So, the Value Style Score takes into account ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to highlight the most attractive and discounted stocks.

Growth ScoreWhile good value is important, growth investors are more focused on a company's financial strength and health, and its future outlook. The Growth Style Score takes projected and historic earnings, sales, and cash flow into account to uncover stocks that will see long-term, sustainable growth.

Momentum ScoreMomentum traders and investors live by the saying "the trend is your friend." This investing style is all about taking advantage of upward or downward trends in a stock's price or earnings outlook. Employing factors like one-week price change and the monthly percentage change in earnings estimates, the Momentum Style Score can indicate favorable times to build a position in high-momentum stocks.

VGM ScoreWhat if you like to use all three types of investing? The VGM Score is a combination of all Style Scores, making it one of the most comprehensive indicators to use with the Zacks Rank. It rates each stock on their combined weighted styles, which helps narrow down the companies with the most attractive value, best growth forecast, and most promising momentum.

How Style Scores Work with the Zacks Rank The Zacks Rank, which is a proprietary stock-rating model, employs earnings estimate revisions, or changes to a company's earnings expectations, to make building a winning portfolio easier.

#1 (Strong Buy) stocks have produced an unmatched +23.7% average annual return since 1988, which is more than double the S&P 500's performance over the same time frame. However, the Zacks Rank examines a ton of stocks, and there can be more than 200 companies with a Strong Buy rank, and another 600 with a #2 (Buy) rank, on any given day.

But it can feel overwhelming to pick the right stocks for you and your investing goals with over 800 top-rated stocks to choose from.

That's where the Style Scores come in.

To maximize your returns, you want to buy stocks with the highest probability of success. This means picking stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B. If you find yourself looking at stocks with a #3 (Hold) rank, make sure they have Scores of A or B as well to ensure as much upside potential as possible.

The direction of a stock's earnings estimate revisions should always be a key factor when choosing which stocks to buy, since the Scores were created to work together with the Zacks Rank.

Here's an example: a stock with a #4 (Sell) or #5 (Strong Sell) rating, even one with Style Scores of A and B, still has a downward-trending earnings outlook, and a bigger chance its share price will decrease too.

Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.

Stock to Watch: NetApp (NTAP - Free Report) NetApp provides enterprise storage as well as data management software and hardware products and services. The San Jose, CA-based company assists enterprises in managing multiple clouds environments, adopting next-generation technologies like artificial intelligence (AI), Kubernetes, and contemporary databases, and navigating the complexity brought about by the quick development of data and cloud usage.

NTAP is a #3 (Hold) on the Zacks Rank, with a VGM Score of A.

Momentum investors should take note of this Computer and Technology stock. NTAP has a Momentum Style Score of A, and shares are up 35.5% over the past four weeks.

For fiscal 2027, seven analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.26 to $8.88 per share. NTAP boasts an average earnings surprise of +4.7%.

With a solid Zacks Rank and top-tier Momentum and VGM Style Scores, NTAP should be on investors' short list.