NEW YORK (TheStreet) -- Shares of NetApp (NTAP) were falling 8% to $32.50 after-hours Wednesday after the data storage devices company missed analysts' estimates for earnings and revenue in the fiscal fourth quarter.
NetApp reported earnings of 65 cents a share in the fourth quarter, missing analysts' estimates of 72 cents a share for the quarter. Revenue fell 6.7% year over year to $1.54 billion for the fourth quarter, below analysts' estimates of $1.59 billion for the quarter.
"We are not satisfied with our fourth quarter results and are taking concrete action to transition NetApp for the next phase of growth," Chairman and CEO Tom Georgens said in a statement.
NetApp also raised its quarterly dividend by 9% to 18 cents a share. The new quarterly dividend is payable on July 23 to all shareholders of record as of the close of business on July 10.
TheStreet Ratings team rates NETAPP INC as a Buy with a ratings score of B-. TheStreet Ratings Team has this to say about their recommendation:
"We rate NETAPP INC (NTAP) a BUY. This is driven by several positive factors, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its growth in earnings per share, expanding profit margins, largely solid financial position with reasonable debt levels by most measures and notable return on equity. We feel its strengths outweigh the fact that the company has had sub par growth in net income."