Using the industry peer median P/E multiple (trailing + forward), NetApp, Inc. (NTAP) has a fair value of $171.94 based on 6 comparable companies in the Computer Hardware industry.
USD in millions except Fair Price. Subject company highlighted.
| Mkt Cap ($M) | Trailing P/E | Forward P/E | |
|---|---|---|---|
| NetApp, Inc.NTAP | 21,985 | 18.6x | 16.3x |
| Jabil Inc.JBL | 28,529 | 45.1x | 31.8x |
| Teledyne Technologies IncorporatedTDY | 28,423 | 32.5x | 31.6x |
| VeriSign, Inc.VRSN | 23,294 | 28.5x | 31.4x |
| Leidos Holdings, Inc.LDOS | 19,925 | 14.2x | 15.6x |
| HP Inc.HPQ | 17,841 | 7.3x | 6.2x |
| PTC Inc.PTC | 17,233 | 23.8x | 29.0x |
| Industry Median | 26.2x | 30.2x | |
| (*) Profit after tax | 1,186 | 1,352 | |
| Equity Value | 31,038 | 40,831 | |
| (/) Outstanding shares | 209 | 209 | |
| Fair Price | $149 | $195 | |
This P/E relative valuation uses the industry peer median Price-to-Earnings ratio to estimate fair value. Both trailing (last 12 months) and forward (next fiscal year analyst estimates) P/E multiples are computed independently.
The industry median trailing P/E is applied to the company's TTM net income, and the forward P/E to analyst-estimated net income. Each produces an equity value divided by shares outstanding to yield a fair price per share. The selected fair value is the average of the trailing and forward legs.