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About The Company

CEO

Mr. George Kurian

Market Cap

13.38 Billion USD

Sector

Technology

Website

https://www.netapp.com

Description

NetApp, Inc. provides cloud-led and data-centric services to manage and share data on-premises, and private and public clouds worldwide.

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Overview

Value

51

Growth

28

Health

40

Management

69

Analyst Opinion

89

Total

55

All Scores Out Of 100

Best Features

  • Earnings growth has improved recently
  • Has a history of share buybacks
  • Price-to-earnings ratio of 10.6 is lower than the market average (19.6x)
  • Liked by analysts
  • Has strong dividend growth
  • Very safe dividend

Risk Factors

  • Has a high level of debt
  • Poor earnings and cashflow growth
  • Accounting anomalies: Growing revenues without a corresponding growth in cash flows.

Market Peers

NTAP

Key Figures

PE Ratio (TTM)

10.58

Margin Of Safety (DCF)

1.86%

Revenue Growth (5 Year Average)

6.13%

Ratings Consensus

Strong Buy

Share Buybacks

4.49%

Dividend Yeild (TTM)

3.27%

Valuation

Value Score

51

  • Price-to-earnings ratio of 10.6 is lower than the market average (19.6x)
  • Free-cashflow-yeild of 7.60% is better than the market average (4.7%)
  • Estimated intrinsic-value of 63.59 USD is higher than current price ( 62.57 USD)
  • Margin-of-safety of 1.86% is worse than the market average (17.95%)

Desired Margin Of Safety

0%

Tip: Set your desired Margin Of Safety

Free Cash Flow Type

Annual Cashflow Growth

0%

Discount Rate

0%

Buy Target: < 113.1 USD

Current Price: 62.4 USD

How Does This Work?

Show Advanced Options

This calculator helps investors estimate the Intrinsic Value of a company based on the current value of future cash flows. To use the tool, simply input a desired Margin Of Safety, which is an additional discount applied to the present value of the expected future cash flows. The tool calculates the present value using a discount rate that reflects the risk and time value of money, and provides an estimated target price for the company based on the selected margin of safety. The calculator defaults to using 5 Year Free Cash Flow Growth % and a discount rate based on the US 10-year treasury bond coupon rate. Use our performance analyser to get a feel the impact this has on longterm investment returns and discover a margin of safety you are comfortable with. This can be a useful tool for investors looking to make informed decisions about whether to buy or sell shares of a particular company.

Price/Earnings

10.58x

Free Cashflow Yeild

7.60%

PE/Earnings Growth

0.38

Price/Book

12.12x

Growth

Growth Score

28

  • 5 Year Average Earnings growth of 17.53% is higher than the market average (14.48%)
  • Earnings growth has improved this year
  • Free Cashflow growth has improved this year
  • 5 Year Average Revenue growth of 6.13% is lower than the market average (10.97%)
  • Revenue growth has slowed this year
  • 5 Year Average Free Cashflow growth of -14.48% is lower than the market average (12.35%)

Revenue Growth

6.13%

Earnings Growth

17.53%

Cashflow Growth

-14.48%

Health

Health Score

40

  • Assets cover liabilities
  • Normal operation does not require debt to be sustainable
  • Debt repayments do not significantly impact cashflow
  • Has a high level of debt

Altman Z Score

2.12

Piostroski Score

5.00

Debt/Equity

3.51x

Current Assets/Liabilities

1.50x

Free Cashflow/Total Debt

0.34x

Debt/Capital

0.49x

Dividend

Secure Dividend Score

74

  • Dividend yeild of 3.27% is more than the market average (1.85%)
  • Very safe
  • Payout ratio (TTM) of 33.93% is lower than the average (40%)
  • Dividends have shown growth over the last 5 years
  • Spending a lower percentage of their income on dividends than last 5 years
  • Long term dividend payout ratio of 95.15% is high and may limit growth
  • Dividend growth has been slowing recently

Dividend Yeild

3.27%

Dividend Growth

4.45%

Payout Ratio (Earnings)

33.93%

Payout Ratio (Cashflow)

43.05%

Management

Management Score

69

  • Has repurchased shares when value is good
  • Has a history of returning value to shareholders through stock buybacks
  • Has returned higher dividends when earnings have risen
  • Return-on-equity of 107.21% is higher than the market average (15%)
  • Return-on-capital-employed of 11.13% is higher than the market average (10%)

Average Buybacks/Dilution

4.49%

Recent Buybacks/Dilution

-4.08%

5 Year Price Volitility

21.27%

Return On Assets

8.96%

Return On Capital Employed

11.13%

Return On Equity

107.21%

Return On Free Cashflow

76.72%

Return On Investments

N/A

Analysts

Analyst Opinion

89

  • Ratings consensus is Strong Buy

SEC Filings

Find yearly (10-K), quaterly (10-Q) and disclosure (8-K) report here, on the Securities and Exchange Commission's EDGAR database. If reading through reports isn't your cup of tea, don't worry. We've made it easy for you by summarizing all the important bits.

Other Information

Company Name

NetApp, Inc.

Currency

USD

Beta

1.173623

Vol Avg

1891361

Ceo

Mr. George Kurian

Cik

0001002047

Cusip

64110D104

Exchange

NASDAQ Global Select

Full Time Employees

12000

Industry

Computer Hardware

Sector

Technology

Ipo Date

1995-11-21

Address

3060 Olsen Drive

City

San Jose

State

CA

Country

US

Zip

95128

Phone

408 822 6000

All financial data provided by FMP

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