How Schwab Network’s view on $NTAP changed

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2026-09-03Bearish

“Thursday's First Moves: NTAP, FIVE & VSXY Earnings”

NTAP faces selling pressure due to a 35% drop in free cash flow and high pre-earnings expectations, with analysts viewing the current valuation as fully priced despite better-than-expected results.

Diane, let's start with the fluctuations that occurred even in the post- closing session for NetApp, which achieved strong results in revenue and profits, and raised its forecasts for the entire year.

We were initially on a high, and now of course we are down by about 9%. The question is: What went wrong ? If the earnings exceeded expectations, and if the guidance was slightly better than expected, then what happened here?

Watch the source00:08

2026-09-03Bearish

“Half of SPX Stocks Below 50-Day SMA, NVDA Buying Hugging Face for $12.93B”

NTAP has strong fundamentals and raised guidance, but margin pressure from input costs is a negative catalyst for the stock.

NetApp announced earnings of $2.58 per share , exceeding estimates of around $2.13. And if you look at some of NetApp's revenue figures, yes, $2.03 billion in revenue. That was a 30% year-on-year increase.

All Flash storage arrays generated $1.31 billion in revenue. That was a 47% year-over- year increase, making it the primary growth driver for NetApp. Hybrid cloud revenues reached 1.82 billion.

That was a 30% increase, and public cloud revenues rose by about 28% year-over-year.

Watch the source07:27

2026-09-02

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