NetApp Q1 Earnings Analyst Report

Following its fiscal 2015 first quarter earnings release, a number of analysts have published notes describing their view on NetApp Inc.

- Neutral, $40 "Given changing competitive dynamics and increasing competition in storage, NetApp may continue to struggle to achieve historic growth rates." For 2015 and '16, Credit Suisse has raised its EPS estimates from $2.99 and $3.32 to $3.04 and $3.35, respectively.

- Hold, $40 "The company saw some rebound in enterprise spending and a pickup in deals >$1 million in the quarter, while OEM sales declined as expected. Management maintained full-year guidance, with branded sales expected to expected to improve as we move through fiscal-year 2015." For 2015 and '16, Deustche Bank has raised its EPS estimates from $2.34 and $2.55 to $2.37 and $2.65, respectively, on better margin assumptions.

- Market Perform, $37-41 "While we believe NetApp has a strong position in the storage market, product growth declined low-single-digit percent in FY13 and FY14. While we believe macro is likely the bigger issue, we think investor sentiment is one of "reasonable doubt" relative to competition and secular pressures and, hence, we do not expect multiple expansion until there is greater clarity." Wells Fargo's 2015 and '16 EPS estimates have increased slighty from $2.97 and $3.07 to $3.01 and $3.09, respectively.