Earnings Hits and Misses: Ciena, Express, NetApp, Splunk

Investing

Published: June 3, 2021 9:48 am

After markets closed Wednesday and before they opened Thursday morning, Ciena, Express, NetApp and Splunk all reported quarterly results. We previewed those reports on Tuesday.

Because no reports of note are due out Friday or Monday morning, our next preview will be posted on Friday and include Marvell Technologies and StitchFix.

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NetApp

After markets closed on Wednesday, NetApp Inc. (NASDAQ: NTAP) reported fiscal fourth-quarter results that beat consensus estimates on both the top and bottom lines. The company reported earnings per share (EPS) of $1.17 on revenue of $1.56 billion. The consensus estimates called for EPS of $1.12 and revenue of $1.5 billion.

NetApp also issued first-quarter 2022 guidance for EPS of $0.89 to $0.97 (above consensus of $0.88) and revenue of $1.37 to $1.47 billion ($1.37 billion consensus). For the 2022 fiscal year, EPS was guided at $4.45 to $4.65 (consensus of $4.53) with revenue of $6.00 to $6.15 billion (consensus $5.96 billion).

Furthermore, NetApp raised its quarterly dividend by two cents per share to $0.50 and authorized another $500 million in share buybacks. Despite trading down in Thursday’s premarket, shares were up about 2.7% after the opening bell, at $79.12 in a 52-week range of $39.96 to $80.66.

Splunk

Security and solutions software company Splunk Inc. (NASDAQ: SPLK) reported mixed results after Wednesday’s close. The loss per share totaled $0.91, 30% below the consensus estimate for a loss of $0.70 per share. Revenue of $502 million beat the consensus estimate of $491.85 million. Splunk issued fiscal second-quarter revenue guidance of $550 million to $570 million, in line with the consensus of $561.96 million.

Shares traded down about 8.5% Thursday morning to $113.26, in a 52-week trading range of $110.28 to $225.89.

Ciena

Ciena Corp. (NYSE: CIEN) beat estimates on both the top and bottom lines Thursday morning. The company reported fiscal second-quarter EPS of $0.62, 29% better than the consensus estimate of $0.48. Revenue came in at $833.9 million, above the estimate of $829.15 million. Third-quarter revenue guidance of $950 million to $980 million was in line with the consensus estimate of $962.34 million.

Shares traded up 7.4% early Thursday to $58.46. The 52-week range is $38.03 to $61.52.

Express

Apparel retailer Express Inc. (NASDAQ: EXPR) reported a fiscal first-quarter loss per share of $0.55, slightly above the consensus estimate for a loss of $0.58 per share. Revenue of $345.8 million topped the consensus estimate of $323.91 million. Same-store sales rose 11% year over year. The company also announced an at-the-market offering of up to 15 million shares.

Shares soared in early premarket trading Thursday but plummeted by more than 21% after the opening bell. The stock traded at around $5.14, in a 52-week range of $0.57 to $13.97. Investors are rarely amused by stock offerings that dilute the value of their existing shares.