"Yes, we're back in the guidance business," explained NetApp CFO Steve Gomo during a presentation at the New York event. "We want to take share, and if we take share we will be growing at a pretty good clip."
For the second quarter of fiscal 2010, Gomo forecast revenue between $887 million and $885 million, up from $838 million in the prior quarter, and well above analysts' estimate of $862.05 million.NetApp expects to earn between 29 cents a share and 30 cents a share during the quarter, compared to Wall Street's estimate of 29 cents. Gomo also issued third-quarter guidance, forecasting sales between $910 million and $930 million. Analysts surveyed by Thomson Reuters had expected revenue of $893.98 billion. Third-quarter earnings are expected to be between 35 cents a share and 36 cents a share, above analysts' estimate of 33 cents a shares. NetApp will also achieve its goal of a 16% operating margin during the third quarter, according to the CFO. The numbers has an immediate impact on NetApp's shares, which quickly gained $1.18, or 4.46%, to reach $27.62, outpacing the modest rally in tech stocks that saw the Nasdaq gain 1.22%.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV