NEW YORK (TheStreet) -- Shares of NetApp (NTAP) - Get Report are down by 2.46% to $24.89 on heavy trading volume late Thursday afternoon, after the Sunnyvale, CA-based company posted weaker-than-expected results for the 2016 fiscal fourth quarter.
After yesterday's closing bell, the storage and data management company reported earnings of 55 cents per share, below analysts' estimates of 58 cents per share.
Revenue was $1.38 billion for the period, while analysts were expecting $1.4 billion.
For the 2017 fiscal first quarter, NetApp forecasts earnings per share between 34 cents and 39 cents on revenue of $1.2 billion to $1.35 billion. Analysts are projecting earnings of 45 cents per share on revenue of $1.26 billion.
Oppenheimer maintained its "perform" rating on the stock following the results.
The quarter reflected ongoing competitive, product transition and macro pressures, the firm noted.
"The pressure isn't a surprise given NetApp's still-large exposure to traditional/legacy storage products (about 39% of product sales), and while we're positive on management's previously announced cost-reduction efforts, they will be phased in over time," Oppenheim wrote in a note to investors.
The firm said it remains neutral awaiting better visibility into timing of overall product sales stabilization and until it gets a better sense of how much growth is possible in fiscal 2018.
Separately, the company said Steve Smith, the CEO of data center company Equinix (EQIX), has joined its board of directors.
About 6.41 million of the company's shares were traded by late this afternoon compared to its average volume of 3 million shares per day.
Separately, TheStreet Ratings Team has a "Hold" rating with a score of C on the stock.
The primary factors that have impacted the rating are mixed. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures, good cash flow from operations and expanding profit margins.
However, the team also finds weaknesses including a generally disappointing performance in the stock itself, deteriorating net income and disappointing return on equity.
Recently, 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 articles's author.
You can view the full analysis from the report here: NTAP