IBM Software Growth Slows as Q2 Organic Revenue Stalls

Sandisk Corporation reported $8.97 billion in fiscal fourth-quarter revenue, with $2.98 billion coming from data centers, roughly 33% of the quarter's total, while edge revenue was $5.43 billion and consumer revenue $556 million. Data-center revenue rose from $213 million a year earlier, and its full-year contribution was $5.15 billion out of total sales of $20.25 billion, or about 25%. The company earned $6.90 billion in the quarter and $11.43 billion in fiscal 2026, and reported an 84.6% GAAP gross margin while guiding to an 83% to 84.9% GAAP range for the next quarter. On August 13, Sandisk said eight structured customer agreements covered roughly half of fiscal 2027 bits and two-thirds of fiscal 2028 bits, with minimum financial guarantees, and management's fiscal 2028 to 2030 model targets about 80% adjusted gross margin and 50% adjusted free-cash-flow margin. Short interest stood at 5,618,213 shares on September 15, about 3.8% of float and 0.56 days to cover, and Insider Monkey's hedge fund database counted 128 hedge-fund holders in Q2 2026, up from 114 in Q1.

NetApp shares jumped 6% in the afternoon session after the data storage company unveiled a new AI factory architecture at its Insight conference, according to TipRanks. The company also launched Keystone Sovereign for regulated markets and expanded its partnerships with Oracle and Supermicro. The combined package of AI factory architecture, sovereign cloud storage, and larger OEM ties sparked optimism among investors and analysts, who lifted their price targets on the back of the AI storage narrative. NetApp is up 113% since the beginning of the year and, at $226.50 per share, has set a new 52-week high. The stock has been volatile, with 12 moves greater than 5% over the last year, and its biggest recent move came four months ago, when it gained 26.4% after reporting first-quarter 2026 results that beat expectations, with revenue up 12.5% year-over-year to $1.95 billion and adjusted earnings per share of $2.43.

NetApp delivered a record first quarter of fiscal 2027, with non-GAAP earnings of $2.58 per share, up 66.5% year over year and beating the Zacks Consensus Estimate of $2.13 by 21.1%, sending shares up about 16% since the report. Net revenues rose 29.9% to $2,025 million, surpassing the $1,843 million consensus mark by 9.9%, while billings increased 36.1% to $2,057 million. Within the total, Hybrid Cloud revenues advanced 30.1% year over year to $1,819 million, all-flash array revenues reached a record $1,309 million, up 46.6%, and Public Cloud revenues grew 28% to a record $206 million; together, all-flash and Public Cloud represented 75% of quarterly net revenues. The quarter included an additional week that contributed approximately $65 million to revenues, mainly from support and Public Cloud, and excluding that benefit total revenues increased 26% year over year. For fiscal 2027, NetApp now forecasts revenues of $7.975-$8.225 billion, with the $8.10 billion midpoint representing 17% growth and a $650 million increase from prior guidance, and earnings of $9.73-$10.03 per share, whose $9.88 midpoint represents 22% year-over-year growth.