Morgan Stanley Has Concerns About NetApp Due to Revenue Deceleration
In a report published Thursday, Morgan Stanley analyst Katy L. Huberty reiterated an Equal-Weight rating on NetApp (NASDAQ: NTAP).
In the report, Morgan Stanley noted, “F3Q revenue failed to surprise despite constructive C4Q checks and F4Q guidance implies negative revenue growth again. GM surprised positively for the second straight quarter, but could dip with more aggressive pricing in F4Q. Without signs of a positive revenue growth inflection near-term, we expect shares to fall below $40.”
NetApp closed on Wednesday at $42.59.
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