Wells Fargo Maintains Outperform on NetApp

Wells Fargo is out with its report today on NetApp

, maintaining Outperform. In a note to clients, Wells Fargo writes, "We attended NetApp's Analyst Day where the company provided a bullish FY12 outlook. Guidance for FY12 calls for revenue of $6.6-$6.94B and EPS of $2.46-$2.62 and compares to the consensus of rev $6.6B/EPS $2.47 and our $6.76B/$2.50. Importantly, NTAP addressed one of the key investor concerns, providing better than expected gross margin (62.5% GM vs our 62.1% est) and better operating margin guidance including the impact of Engenio (19% OM vs our 18.3% est). Management also reaffirmed its Q1 guidance. We are not changing our model at this time, as our FY12 estimates are within the guidance range. Maintain Outperform." At the time of posting, shares of NTAP were trading at $53.24, up 0.88% from Thursday's close.