Analyst Note
| Abhinav Davuluri, CFA |No-moat NetApp reported third-quarter financial results aligned with our expectations. With our longer-term caution over NetApp's ability to capture market share within the competitive landscape and alternative hyperscale options, we maintain our $60 fair value estimate and view NetApp shares as overvalued. Despite near-term supply headwinds pressuring margins, we are optimistic that growth in public cloud services and all-flash arrays will offset this in future quarters as organizations undertaking digital transformations seek NetApp storage solutions.