Interesting take on NetApp vs Pure Stoage. I actually think NetApp's slower grwth might be more of a transition phase than a long term problem. They've been investing heavily in their cloud offerings and the all flash array business is still pretty solid. The valuation gap you mentioned could actully work in their favor if they can show even modest acceleration in the next couple quarters. What are your thoughts on their hybrid cloud strategy compared to PSTG's more pure play approach?
H R&C, you are right, NTAP offers a broader product line than PSTG. You might also be right in the claim that NTAP has the potential to shoot up if they get their topline growth going. How is the saying going: “the longer the base, the higher in space” or something like that. Since NTAP has a more versatile product line, it could also be more robust over the long term. I recently sold PSTG and had a good gain; my purchase price was $35 a couple of years ago. If you ponder an investment in NTAP, I would maybe have waited until we see some sign of life in revenues. Operating margin is already top-notch.
Interesting take on NetApp vs Pure Stoage. I actually think NetApp's slower grwth might be more of a transition phase than a long term problem. They've been investing heavily in their cloud offerings and the all flash array business is still pretty solid. The valuation gap you mentioned could actully work in their favor if they can show even modest acceleration in the next couple quarters. What are your thoughts on their hybrid cloud strategy compared to PSTG's more pure play approach?
H R&C, you are right, NTAP offers a broader product line than PSTG. You might also be right in the claim that NTAP has the potential to shoot up if they get their topline growth going. How is the saying going: “the longer the base, the higher in space” or something like that. Since NTAP has a more versatile product line, it could also be more robust over the long term. I recently sold PSTG and had a good gain; my purchase price was $35 a couple of years ago. If you ponder an investment in NTAP, I would maybe have waited until we see some sign of life in revenues. Operating margin is already top-notch.