NetApp Q3 revenue slightly beats expectations

NetApp

26/02/2026 21:09

Overview

Intelligent data infrastructure firm's Q3 revenue rose 4%, slightly beating analyst expectations

Adjusted EPS for Q3 beat analyst expectations

Company returned $303 mln to shareholders via repurchases and dividends

Outlook

NetApp expects Q4 net revenues between $1.795 bln and $1.945 bln

Company forecasts FY26 net revenues between $6.772 bln and $6.922 bln

NetApp anticipates Q4 non-GAAP EPS between $2.21 and $2.31

Result Drivers

ALL-FLASH ARRAY GROWTH - All-flash array revenue grew 11% year-over-year to a record $1 bln, contributing significantly to Q3 results

PUBLIC CLOUD REVENUE - Public cloud revenue of $174 mln was driven by first-party and marketplace storage services, which grew 27% year-over-year

BILLINGS INCREASE - Billings of $1.89 bln in Q3 grew 10% year-over-year, marking the ninth consecutive quarter of growth

Company press release: ID:nBw89G9Bva

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Slight Beat*
$1.71 bln
$1.70 bln (16 Analysts)
Q3 Adjusted EPS
Beat
$2.12
$2.07 (17 Analysts)
Q3 EPS
$1.67
Q3 Net Income
$334 mln


*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 9 "strong buy" or "buy", 12 "hold" and 1 "sell" or "strong sell"

The average consensus recommendation for the computer hardware peer group is "buy."

Wall Street's median 12-month price target for NetApp Inc is $120.00, about 17.8% above its February 25 closing price of $101.88

The stock recently traded at 12 times the next 12-month earnings vs. a P/E of 14 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)