NetApp (NTAP) & AWS Partner to Launch Enhanced FSx for ONTAP
NetApp NTAP and AWS have teamed up to introduce a scale-out file system - FSx for ONTAP, which significantly boosts storage performance compared to existing systems. The collaboration is aimed at addressing the rising complexity of migrating workloads to AWS or deploying cloud-native tasks for security and cost reduction.
FSx for ONTAP will offer enhanced data management features that cater to various workloads like user and application file shares, databases, VMware cloud data stores, and backup/disaster recovery. This collaboration allows customers to run high-performance applications on AWS efficiently, such as high-performance computing, electronic design automation, film editing, machine learning, and AI.
FSx for ONTAP will also allow customers to gain access to ONTAP's full feature set, including multi-protocol data access, replication, data tiering and compression etc. The enhanced performance delivers up to 36GB/s throughput and 1.2 million SSD IOPS, which, in turn, simplifies data management for larger datasets, added NetApp.
NetApp, Inc. Price and Consensus
NetApp, Inc. price-consensus-chart | NetApp, Inc. Quote
NetApp provides enterprise storage as well as data management software and hardware products and services. The company’s Cloud Volumes ONTAP storage data management service helps in data protection and storage competence. Further, Cloud Volumes ONTAP offers data access, insights and control to aid customers in moving traditional database applications or legacy NAS applications to the cloud.
The company reported second-quarter fiscal 2024 non-GAAP earnings per share (EPS) of $1.58, which surpassed the Zacks Consensus Estimate by 20% and increased 7% year over year. Management anticipated non-GAAP EPS in the range of $1.35-$1.45.
Revenues of $1.562 billion decreased 6% (down 8% on a constant currency basis) year over year. NTAP projected revenues in the $1.455-$1.605 billion band. Weak IT spending due to the tough macro environment remains an overhang.
At present, NetApp carries a Zacks Rank #3 (Hold). The stock has gained 15.6% compared with the sub-industry’s growth of 45.2% in the past year.
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Stocks to Consider
Some better-ranked stocks in the broader technology space are Pegasystems PEGA, Flex FLEX and Watts Water Technologies WTS. Pegasystems and Flex presently sport a Zacks Rank #1 (Strong Buy), whereas Watts Water Technologies carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for Pegasystems’ 2023 EPS has improved 21.2% in the past 60 days to $1.77. PEGA delivered an average earnings surprise of 1,250.2% in the trailing four quarters. Shares of PEGA have jumped 45% in the past year.
The Zacks Consensus Estimate for Flex’s fiscal 2024 EPS has increased 3.6% in the past 60 days to $2.56. Flex’s long-term earnings growth rate is 12.4%.
Flex’s earnings outpaced the Zacks Consensus Estimate in each of the last four quarters, the average earnings surprise being 11%. Shares of the company have risen 28.3% in the past year.
The Zacks Consensus Estimate for Watts Water Technologies 2023 EPS has improved 2.8% in the past 60 days to $8.00. Watts Water’s long-term earnings growth rate is 7.8%.
WTS’ earnings outpaced the Zacks Consensus Estimate in each of the last four quarters, the average earnings surprise being 11.8%. Shares of WTS have rallied 28.9% in the past year.
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