Latest Ratios: P/E Ratio 26.1x · EV/EBITDA 16.7x · ROE 106.7%. (1997–2026 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $32.8B | $21.6B | $18.8B | $21.8B | $13.8B | $16.8B | $16.9B | $10.2B | $18.9B | $18.4B | $11.2B |
| Enterprise Value | $31.7B | $20.5B | $19.5B | $22.5B | $14.2B | $15.6B | $15.1B | $9.4B | $18.3B | $17.4B | $10.9B |
| P/E Ratio → | 26.07 | 17.09 | 15.83 | 22.08 | 10.86 | 17.91 | 23.12 | 12.43 | 16.15 | 237.79 | 22.02 |
| P/S Ratio | 4.74 | 3.12 | 2.85 | 3.47 | 2.17 | 2.65 | 2.94 | 1.88 | 3.07 | 3.11 | 2.03 |
| P/B Ratio | 24.42 | 16.01 | 18.04 | 19.00 | 11.94 | 20.02 | 24.64 | 42.14 | 17.31 | 8.89 | 4.03 |
| P/FCF | 17.57 | 11.57 | 14.02 | 14.23 | 15.94 | 17.03 | 14.41 | 10.90 | 16.15 | 13.79 | 13.81 |
| P/OCF | 15.89 | 10.47 | 12.46 | 12.92 | 12.50 | 13.85 | 12.66 | 9.62 | 14.07 | 12.43 | 11.36 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 2.97 | 2.97 | 3.59 | 2.23 | 2.47 | 2.63 | 1.73 | 2.98 | 2.94 | 1.97 |
| EV / EBITDA | 16.75 | 10.84 | 12.35 | 15.33 | 10.77 | 11.55 | 11.71 | 7.87 | 12.93 | 13.12 | 12.21 |
| EV / EBIT | 18.72 | 12.12 | 13.48 | 16.97 | 12.54 | 13.36 | 14.58 | 9.36 | 13.83 | 13.77 | 16.16 |
| EV / FCF | — | 10.99 | 14.58 | 14.72 | 16.36 | 15.84 | 12.90 | 9.99 | 15.70 | 13.02 | 13.41 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 70.7% | 70.7% | 70.2% | 70.7% | 66.2% | 66.8% | 66.4% | 66.9% | 64.2% | 62.6% | 61.4% |
| Operating Margin | 24.5% | 24.5% | 20.3% | 19.4% | 16.0% | 18.3% | 17.9% | 17.5% | 19.9% | 19.0% | 12.0% |
| Net Profit Margin | 18.4% | 18.4% | 18.0% | 15.7% | 20.0% | 14.8% | 12.7% | 15.1% | 19.0% | 1.3% | 9.2% |
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 106.7% | 106.7% | 108.5% | 85.6% | 127.6% | 123.0% | 157.5% | 123.0% | 74.1% | 3.1% | 18.0% |
| ROA | 11.8% | 11.8% | 11.5% | 10.0% | 12.8% | 9.7% | 8.6% | 10.1% | 12.6% | 0.8% | 5.2% |
| ROIC | 124.4% | 124.4% | 54.4% | 53.2% | 128.0% | — | — | — | 113.8% | 48.1% | 20.7% |
| ROCE | 26.3% | 26.3% | 22.4% | 20.0% | 16.4% | 19.3% | 21.0% | 21.5% | 22.0% | 19.2% | 11.2% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 1.84 | 1.84 | 3.36 | 2.31 | 2.32 | 3.51 | 4.02 | 7.49 | 1.64 | 0.93 | 0.76 |
| Debt / EBITDA | 1.31 | 1.31 | 2.21 | 1.81 | 2.03 | 2.18 | 2.13 | 1.52 | 1.26 | 1.46 | 2.38 |
| Net Debt / Equity | — | -0.81 | 0.72 | 0.65 | 0.32 | -1.40 | -2.59 | -3.50 | -0.49 | -0.49 | -0.12 |
| Net Debt / EBITDA | -0.58 | -0.58 | 0.47 | 0.51 | 0.28 | -0.87 | -1.38 | -0.71 | -0.38 | -0.77 | -0.36 |
| Debt / FCF | — | -0.59 | 0.56 | 0.49 | 0.42 | -1.19 | -1.52 | -0.90 | -0.46 | -0.76 | -0.40 |
| Interest Coverage | 20.93 | 20.93 | 22.61 | 20.73 | 16.91 | 16.00 | 14.00 | 18.16 | 22.86 | 20.34 | 12.94 |
Net cash position: cash ($3.6B) exceeds total debt ($2.5B)
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.44 | 1.44 | 1.26 | 1.19 | 1.35 | 1.50 | 1.74 | 1.18 | 1.45 | 1.89 | 1.53 |
| Quick Ratio | 1.39 | 1.39 | 1.22 | 1.15 | 1.30 | 1.45 | 1.71 | 1.14 | 1.42 | 1.86 | 1.49 |
| Cash Ratio | 1.27 | 1.27 | 0.82 | 0.79 | 0.89 | 1.05 | 1.33 | 0.80 | 1.01 | 1.49 | 1.22 |
| Asset Turnover | — | 0.64 | 0.61 | 0.63 | 0.65 | 0.63 | 0.61 | 0.72 | 0.70 | 0.60 | 0.58 |
| Inventory Turnover | 10.23 | 10.23 | 10.53 | 9.87 | 12.89 | 10.28 | 16.92 | 12.34 | 16.80 | 17.56 | 13.06 |
| Days Sales Outstanding | — | 67.78 | 69.20 | 58.64 | 56.63 | 71.06 | 60.05 | 65.62 | 72.22 | 64.65 | 48.34 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 1.3% | 1.9% | 2.3% | 1.9% | 3.1% | 2.7% | 2.5% | 4.3% | 2.1% | 1.2% | 1.9% |
| Payout Ratio | 32.4% | 32.4% | 35.8% | 42.2% | 33.9% | 47.6% | 58.5% | 53.6% | 34.5% | 281.6% | 40.9% |
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 3.8% | 5.9% | 6.3% | 4.5% | 9.2% | 5.6% | 4.3% | 8.0% | 6.2% | 0.4% | 4.5% |
| FCF Yield | 5.7% | 8.6% | 7.1% | 7.0% | 6.3% | 5.9% | 6.9% | 9.2% | 6.2% | 7.3% | 7.2% |
| Buyback Yield | 2.9% | 4.4% | 6.1% | 4.1% | 6.1% | 3.6% | 0.7% | 13.8% | 11.2% | 4.3% | 6.3% |
| Total Shareholder Yield | 4.1% | 6.3% | 8.4% | 6.0% | 9.3% | 6.2% | 3.3% | 18.1% | 13.3% | 5.5% | 8.2% |
| Shares Outstanding | — | $199M | $209M | $213M | $220M | $229M | $226M | $233M | $259M | $276M | $281M |
Hyperscaler vertical integration
Based on current market data, NTAP trades at a forward P/E of 19.10, which appears to discount the company's software-defined growth potential by pricing it closer to legacy hardware peers rather than high-margin cloud-native data management firms, suggesting a potential misclassification by the broader investment community.
The current P/S multiple of 4.36 indicates that investors are hesitant to assign a full software premium despite the company's 70%+ gross margins. This valuation gap warrants further investigation into whether the market is correctly identifying the shift toward recurring cloud revenue or simply anchoring to historical hardware-centric performance metrics.
As reported in recent financial statements, the company's ROIC has demonstrated significant volatility, peaking at 31.6% in 2026Q4, which suggests that the strategic pivot toward high-margin software-defined storage is successfully enhancing the efficiency of invested capital compared to the lower-return hardware cycles of previous years.
The sharp improvement in ROIC relative to the 2025 fiscal year indicates that management is effectively deploying capital into high-return cloud integrations. Investors should monitor whether this trend is sustainable or if it remains sensitive to the cyclical nature of enterprise hardware refresh cycles.
According to quarterly filings, the cash conversion cycle has fluctuated between -11 and 16 days over the last ten quarters, reflecting the inherent complexity of managing a hybrid business model that balances transactional hardware sales with long-term, ratable subscription revenue streams across diverse global enterprise markets.
The variability in the CCC suggests that working capital management is highly sensitive to the timing of large enterprise contract renewals and hardware shipments. This volatility may indicate that the company's cash flow profile is not yet fully stabilized by the transition to a subscription-first revenue model.
Based on reported figures, the company maintains a debt-to-equity ratio of 1.84, which, when combined with a robust cash position of $3.584 billion, provides a significant buffer against macroeconomic headwinds and allows for consistent capital allocation through share repurchases without compromising the firm's overall financial stability.
The low leverage profile is a structural advantage that distinguishes the company from more capital-intensive hardware peers. This financial flexibility appears to be a core component of the company's strategy to navigate potential enterprise IT spending downturns while maintaining its dividend and buyback commitments.
The most commonly misapplied metric for this business model is the EV/EBITDA multiple, which obscures the company's transition toward a software-defined, recurring revenue model by treating high-margin cloud services as equivalent to commodity hardware sales, thereby understating the long-term durability of the firm's underlying cash flows.
Analysts should instead prioritize P/FCF or adjusted P/S ratios that account for the shift toward ratable subscription revenue. Relying on EBITDA-based valuation risks ignoring the structural moat provided by the ONTAP ecosystem, which creates high switching costs and recurring revenue streams that are fundamentally different from traditional hardware cycles.
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying NTAP stock.
NetApp, Inc.'s current P/E ratio is 26.1x. The historical average is 38.5x. This places it at the 50th percentile of its historical range.
NetApp, Inc.'s current EV/EBITDA is 16.7x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 25.4x.
NetApp, Inc.'s return on equity (ROE) is 106.7%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 40.0%.
Based on historical data, NetApp, Inc. is trading at a P/E of 26.1x. This is at the 50th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
NetApp, Inc.'s current dividend yield is 1.25% with a payout ratio of 32.4%.
NetApp, Inc. has 70.7% gross margin and 24.5% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
NetApp, Inc.'s Debt/EBITDA ratio is 1.3x, indicating moderate leverage. A ratio below 2x is generally considered financially healthy.