
How Seagate, Western Digital, and NetApp Are Standing up to Analyst Estimates
By Adam RogersUpdated
Seagate’s fiscal 2Q17 results
Seagate (STX) announced its fiscal 2Q17 results in January 2017 and reported revenue of $2.9 billion, with a gross margin of 30.8% and net income of $297 million. Its non-GAAP (generally accepted accounting principles) EPS (earnings per share) came in at $1.38 in fiscal 2Q17.
Analysts had estimated that Seagate would post revenues of $2.8 billion for the quarter, which ended December 31. Its EPS (earnings per share) were estimated at $1.07, with a high estimate of $1.25 and a low estimate of $0.98.
Seagate’s revenue fell 3% YoY (year-over-year) in fiscal 2Q17, but analysts expect Seagate’s revenue to rise 4.5% YoY to ~$2.7 billion in fiscal 3Q17.
WDC revenue rose 47.4% in fiscal 2Q17
Western Digital’s (WDC) reported revenue for fiscal 2Q17 was $4.9 billion, as compared to $3.3 billion in fiscal 2Q16. That represents a rise of 47.4% YoY, primarily driven by its acquisition of SanDisk. WDC’s EPS (earnings per share) for the quarter came in at $2.30.
For fiscal 2Q17 (ended December 31, 2016), analysts were estimating that Western Digital would post revenues of $4.76 billion, with a low estimate of $4.74 billion and a high estimate of $4.87 billion. Its EPS had been estimated at $2.13, with a high of $2.27 and a low of $2.09.
Analysts now expect WDC’s revenue to rise 61.8% YoY in fiscal 3Q17.
What did analysts expect in fiscal 3Q17 for NetApp?
NetApp (NTAP) reported revenue of $1.4 billion for fiscal 3Q17, which represents a rise of 1.3% YoY. Its non-GAAP (generally accepted accounting principles) EPS (earnings per share) came in at $0.82, representing a rise of 17.8% YoY in fiscal 3Q17.
Analysts have estimated that NetApp would post revenue of $1.39 billion, with a low estimate of $1.37 billion and a high estimate of $1.41 billion. The company’s EPS expectation is $0.74, with a high estimate of $0.77 and a low estimate of $0.71. Analysts expect NetApp’s revenue to rise 4.2% YoY in fiscal 4Q17.
In the next part, we’ll focus on NetApp’s key revenue drivers going forward.