NEW YORK (TheStreet) -- NetApp (NTAP) - Get Report stock is slumping by 2.27% to $26.64 in late-afternoon trading on Wednesday, after the company announced that Ron Pasek will succeed Nick Noviello as CFO.
Pasek will join the networking equipment vendor effective April 11. Most recently, he served as CFO of Altera (ALTR).
The chairman of NetApp's board of directors, Mike Nevens, was also the chairman of Altera's board before Altera was acquired by Intel in late 2015, RBC Capital pointed out today, Barron's reports.
"We do think some investors have been disappointed by the lack of opex controls at ALTR during Mr. Pasek's tenure," the firm wrote in a note. "This is clearly a huge focus for NTAP stock to work higher."
Separately, TheStreet Ratings team rates the stock as a "hold" with a ratings score of C.
NetApp's strengths such as its good cash flow from operations, largely solid financial position with reasonable debt levels by most measures and expanding profit margins are countered by weaknesses including a generally disappointing performance in the stock itself, deteriorating net income and disappointing return on equity.
You can view the full analysis from the report here: NTAP
TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this article's author.