The stock of NetApp, Inc. (NASDAQ:NTAP) is now priced at $41 and the shares are -0.31 points down or -0.75% lower compared to its previous closing price of $41.31. The stock had 3.545 million contracts set over the past session. NTAP shares’ daily volume is compared to its average trading volume at 2.614 million shares. However, it has a float of 221 million and although its performance was -5.9% over the week, it’s one to watch. Analysts have given the NTAP stock a yearly average price target of $47.33 per share. It means the stock’s upside potential is 15.44% with the NTAP share price recently placing at $40.08 to $41.37. However, some brokerage firms have priced the stock below the average, including one that has called $34.

The shorts are running away from the NetApp, Inc. stock, with the latest data on short interest released on July 31, 2020, showing that short interest numbers in the NTAP shares have declined. Short interest in the stock represents just 5.83% of its float, but the volume has dropped by -1522452. The volume of shorted shares dropped to 12.892 million from 14.414 million shares over the last two weeks. The average intraday trading volume has been 1.845 million shares, which means that days to cover moved to roughly 6.988177.

In the last trading session, NetApp, Inc. (NASDAQ:NTAP) dropped by -$2.57 over the week and lost -$4.56 on its 20-day. The stock’s high in the recent session is lower when compared to its 52-week high of $65.38. The stock recorded its established 52-week high on 01/16/20.

Since 03/23/20, the stock has traded to a low of $34.66 at 18.29%, an encouraging piece of data likely to interest most investors out to exploit the stock’s recent surge. The stock has a beta allocation of 1.29. Being above 1 means that the stock’s volatility is higher than the market and traders are keenly watching it.

Looking at current readings, NetApp, Inc.’s two-week RSI is 39.03. This suggests that the stock is neutral at the moment and that NTAP shares’ price movement remains stable. The stochastic readings are equally revealing at 10.42% meaning the NTAP share price is currently in overbought territory.

The technical chart shows that the NTAP stock will likely settle at between $41.55 and $42.11 per share. However, if the stock dips below $40.26, then its market would become much weaker. Any downside could see the stock price sliding to levels as low as $39.53.

Currently, the stock is trading in the red of MACD, with a reading of -1.13. Investors always pay attention to any move above or below the zero-line, mainly because the indicator points to the position of the stock’s short-term average relative to its long-term measure. A MACD -a reading above the zero line means that the short-term is above the long-term average. This scenario implies that there is an upward momentum. The opposite is true when the MACD falls below the zero-line.

Analysts at BofA/Merrill raised their recommendation for NTAP from Neutral to Buy in June 26 review while maintain their target price of $50 to $55. Deutsche Bank analysts see the stock as a Hold with a target price of $43 in a flash note released to investors on June 18 initiating covering the stock. Susquehanna analysts see the stock as Positive. Nonetheless, the analysts revised the share prices down on May 28, placing it at $60 from $63.

The average rating for the NTAP equity is 2.92 and is currently gathering a bullish momentum. Of 26 analysts tracking NetApp, Inc. polled by Reuters, 18 rated NTAP as a hold. The remaining 8 analysts were split evenly. However, the split wasn’t equal as a majority (5) rated it as a buy or strong buy. 3 analyst advised investors against buying the stock or to sell if they own any of the stock.

Elsewhere, the NTAP stock price is 10.19X ahead of its 12-month Consensus earnings per share estimates. The stocks P/S ratio currently stands at 11.6 below the group’s average of 15.2. NetApp, Inc. has its P/E ratio at 37.6, which means that the stock is currently trading at a premium relative to the 3.7 industry average.

Zacks Consensus Estimate forecasts that the current-quarter revenues for NetApp, Inc. (NASDAQ:NTAP) will decrease by about -17.92%, which will see them reach $1150 million. The company’s full-year revenues are, however, expected to diminish by about -5.36%, down from $5410 million to $5120 million. NTAP’s expected adjusted earnings should drop almost -36.92% to end up at $0.41 per share, while for the fiscal year, analysts project the company’s earnings to drop by about -19.01% to record $3.28/share.

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