NTAP Stock Drops As Outlook Falls Short| Investor’s Business Daily

NetApp (NTAP) reported fiscal second-quarter results late Tuesday that beat on earnings, but the tech firm presented a revenue and earnings outlook that fell short of expectations. NTAP stock plunged on the news.

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The company reported adjusted earnings of $1.48 a share on revenue of $1.66 billion. Analysts expected NetApp to report earnings of $1.33 a share on revenue of $1.67 billion for the period ended Oct. 28, according to FactSet. Revenue grew 5.7% from the year-ago quarter.

The provider of enterprise storage management systems expects fiscal third-quarter revenue in the range of $1.525 billion to $1.675 billion. The midpoint of $1.6 billion is below the average estimate of $1.7 billion.

Further, NetApp expects adjusted earnings in the range of $1.25 to $1.35 cents a share, below the estimate of $1.44 a share.

NTAP stock plunged 11.5% to 63.40 during after-hours trading on the stock market today.

NTAP stock is down about 22% so far this year.

Please follow Brian Deagon on Twitter at @IBD_BDeagon for more on tech stocks, analysis and financial markets.

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