Pure Storage Surges on Q2 Earnings, NetApp Stock Drops Despite Beats

Pure Storage reported Q2 earnings of 43 cents per share on $861mln sales, beating expectations. NetApp reported adjusted earnings of $1.55 per share on $1.56bln sales, also beating expectations. Pure Storage stock jumped 14% in after-hours trading, while NetApp stock fell 6%. Pure Storage raised its guidance for FY22 revenue and earnings, while NetApp reiterated its guidance.

Pure Storage, Inc. (PSTG) and NetApp, Inc. (NTAP) both reported their second-quarter fiscal 2026 earnings, with mixed reactions in the market. Pure Storage reported earnings of 43 cents per share on sales of $861 million, exceeding analysts' expectations of 39 cents per share and $846 million in sales [1]. The company's stock jumped more than 14% in after-hours trading.

Meanwhile, NetApp reported adjusted earnings of $1.55 per share on sales of $1.56 billion, also beating expectations of $1.54 per share and $1.55 billion in sales. However, NetApp's stock fell more than 6% in after-hours trading [2].

Pure Storage raised its guidance for fiscal year 2022, expecting $955 million in sales at the midpoint of its range, up from previous forecasts of $913 million [1]. NetApp reiterated its guidance for the fiscal year [2].

Pure Storage's strong performance was driven by increased top-line momentum, rising demand for AI and virtualization storage, and strong progress in hyperscale partnerships. The company's Evergreen//One portfolio and Storage-as-a-Service solutions continued to drive growth. NetApp, on the other hand, cited strong demand for its data storage solutions and cloud services as drivers for its performance [2].

Despite the positive earnings reports, both companies acknowledged heightened macroeconomic uncertainty and stiff competition as ongoing challenges [1, 2]. Pure Storage expects these challenges to persist into the second half of the year, while NetApp noted that evolving tariff landscapes and mounting losses pose additional headwinds [1, 2].

References:
[1] https://www.nasdaq.com/articles/pure-storages-q2-earnings-coming-beat-offing
[2] https://www.investors.com/news/technology/pure-storage-stock-netapp-stock-ntap-pstg-earnings-2025/?mod=newsviewer_click&refcode=aflMarketWatch&src=A00619