While shareholders will certainly welcome management's generosity, there's also the unintended perception that NetApp has reached a certain maturity status and is no longer growing. I do wonder, though, if management's decision to return all of this cash is as effective as if the company opted to spend that capital to compete and grow its capabilities.
Nevertheless, with the cloud market expected to grow to $177 billion over the next three years, NetApp, as the second leading storage company, is expected to see a significant chunk of this business. That along with the capital returned to shareholders, the potential value in this investments seems second to none.
At the time of publication the author held no positions in any of the stocks mentioned.