Bullish pasted. 50.65 JPM previous thoughts on why NTAP may go higher after earnings 5 minutes ago We would also expect downside to be limited and that shares would rally in the next few weeks to new highs as:
§ 1) Product Refresh-80% of the product line was updated/upgraded last week, across the high end and mid end hardware solutions. The refresh was more broad-based than in the past and was very well regarded by investors,
§ 2) Demand is strong for enterprise storage/virtualization (EMC),
§ 3) NTAP has been gaining share along with EMC (NPD data) from HPQ, IBM and ORCL,
§ 4) Short Interest is now 6% of the float and a number of shorts have added into the print. Expect to see some short covering on a weaker print limiting downside.
§ 5) The January quarter has historically been strong on the back of year-end budget spending and peers like EMC & IBM have stated that they do expect normal year-end spending-as a result cons. expectations for 5.5% Q/Q growth to sales of $1.26bn, vs. normal seasonality of up 8-12%, may be conservative. Whispers are higher at $1.3bn (most on the buyside are looking for 7% sequential sales growth in the Jan. quarter).
News 
Market Data 
Discover 
