Background: NetApp engages in design, manufacture, marketing, and technical support of networked storage solutions. The company supplies enterprise storage and data management software as well as hardware products and services. NetApp trades an average of 5.5 million shares per day with a marketcap of $14.8 billion.
52 Week High:$43.69Beta: 1.44 Price to Book: 3.7 NetApp isn't the cheapest stock, even in this group with a forward P/E of 13.85, however NetApp is priced for near zero growth. Meanwhile, revenue has about doubled in the last five years. With this in mind, NetApp's 19% one year price gain is more catch-up than over extension. The company currently pays an annualized 60 cents per share in dividends for a yield of 1.4%, and only a 10% payout ratio. NetApp's first dividend payment was this year, so we can't exactly say they have a long history of dividend payments, but I like the direction they are traveling in. Look for an entry price of $42.12 as the sweet spot to enter, based on my technical analysis of the daily and weekly charts. NTAP Net Income Quarterly data by YCharts
At the time of publication the author had no position in any of the stocks mentioned. Follow @RobertWeinstein This article was written by an independent contributor, separate from TheStreet's regular news coverage.
Check Out Our Best Services for Investors
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
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
- Model portfolio
- Stocks trading below $10
- Intraday trade alerts