I've been keeping an eye on NetApp, Inc. (NASDAQ:NTAP) because I'm attracted to its fundamentals. Looking at the company as a whole, as a potential stock investment, I believe NTAP has a lot to offer. Basically, it is a company with great financial health as well as a an impressive history of performance. Below, I've touched on some key aspects you should know on a high level. For those interested in digger a bit deeper into my commentary, take a look at the report on NetApp here.
Adequate balance sheet with proven track record
Over the past few years, NTAP has more than doubled its earnings, with its most recent figure exceeding its annual average over the past five years. In addition to beating its historical values, NTAP also outperformed its industry, which delivered a growth of 95%. This is an optimistic signal for the future. NTAP's strong financial health means that all of its upcoming liability payments are able to be met by its current cash and short-term investment holdings. This implies that NTAP manages its cash and cost levels well, which is a crucial insight into the health of the company. NTAP's has produced operating cash levels of 0.84x total debt over the past year, which implies that NTAP's management has put its borrowings into good use by generating enough cash to cover a sufficient portion of borrowings.
For NetApp, I've compiled three relevant factors you should look at:
- Future Outlook: What are well-informed industry analysts predicting for NTAP’s future growth? Take a look at our free research report of analyst consensus for NTAP’s outlook.
- Valuation: What is NTAP worth today? Is the stock undervalued, even when its growth outlook is factored into its intrinsic value? The intrinsic value infographic in our free research report helps visualize whether NTAP is currently mispriced by the market.
- Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of NTAP? Explore our interactive list of stocks with large potential to get an idea of what else is out there you may be missing!
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If you spot an error that warrants correction, please contact the editor at email@example.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading.