NetApp Stock Price and Value Analysis

Should you buy NetApp stock? (NasdaqGS:NTAP). Let's see how it does in our automated value investing analysis system.

NTAP Free Cash Flow Trend

Free Cash Flow trendline for NTAP
Free Cash Flow trendline for NetApp

Based on historical returns, we believe that NetApp can grow its free cash at a rate of about 1%. That's positive!

AdvantagesDisadvantages
  • This company is very stable.
  • This company has fluctuating growth.
  • This company has a large dividend yield!
  • This stock looks overpriced.
  • This company is making money at a modest rate.

Inside the NTAP Numbers

NTAP Price
(NetApp stock price per share)
$61.33
[?] NTAP Fair Price
(based on intrinsic value)
$38.84
[?] NTAP Safety Price (based on a variable margin of safety) $31.07
[?] PE Ratio versus Sector 41% higher than other Technology stocks
[?] PE Ratio versus Industry 0% lower than other Unknown stocks
[?] Cash Yield 10.29%
[?] Free Cash Flow Jitter 32%
[?] Dividend Yield 3%
Shares Shorted 9,907,194

This stock has short interest! This means that people have shorted it.

Why does that matter? They've made a bet that price will decrease from where they bought it. Maybe there are financial problems, or maybe there's a value play.

As of the latest analysis, there are 9,907,194 shares shorted. With 221,868,789 shares available for purchase and an average trading volume over the past 10 trading days of 3,059,500, it would take at least 3.238 days for all of the short holders to cover their shorts.

Is NetApp Stock on Sale?

We believe that NetApp may be worth examining further. It's making money, which is a very positive sign. Is it on sale?

NetApp looks overpriced right now. If you're looking for a bargain in the stock market, you should probably look elsewhere for a great deal. This might still be a great stock to own—but it's not on sale right now.

Should You Buy NTAP Stock?

Does NetApp have a coherent story? Does it have a plan to continue to make money? Is it worth your time? Only you can decide where to go from here. Our investment guide helps you ask the right questions, including how to buy stocks. Use these research links for more information.