NetApp ( NASDAQ: NTAP ) shares started the week dipping into the red Monday even as Jefferies analyst Kyle McNealy took an upbeat view of the storage-technology management company with a new buy rating on its stock.
McNealy also initiated his coverage of NetApp ( NTAP ) with a price target of $88 a share, and said the company is "hitting the sweet spot" in terms of its business with its transition to all-flash storage, as well as public cloud services.
McNealy said NetApp's ( NTAP ) position in the data center market has it in "a favorable environment for storage vendors with enterprise digitization driving data growth." Additionally, McNealy said the company's all-flash transition "will continue to be a nice tailwind" for NetApp ( NTAP ) to grow its share "a few points faster than the total market and at increasingly higher margins."
NetApp ( NTAP ) shares slipped by about 1% Monday. Wall Street analysts currently have a consensus buy rating on NetApp's ( NTAP ) stock, while Seeking Alpha authors give the shares a strong buy rating. Seeking Alpha's ( NTAP ) quant system, which historically outperforms the stock market, is a little less enthusiastic, and gives NetApp's ( NTAP ) shares a hold rating .
For further details see:
NetApp hitting 'sweet spot' as Jefferies set new buy rating on storage leader's shares