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1. Company Snapshot

1.a. Company Description

Nutanix, Inc.provides an enterprise cloud platform in North America, Europe, the Asia Pacific, the Middle East, Latin America, and Africa.The company offers Acropolis converges virtualization, enterprise storage services, and networking visualization and security services; Acropolis Hypervisor, an enterprise-grade virtualization solution; Nutanix Karbon for automated deployment and management of Kubernetes clusters to simplify the provisioning, operations, and lifecycle management of cloud-native environments; and Nutanix Clusters solution.


It also offers Prism Pro; Nutanix Beam, a cloud governance; and Nutanix Calm, an application marketplace, which provides automation services that streamline application lifecycle management and deliver powerful hybrid cloud orchestration.In addition, the company provides Nutanix Files, an enterprise-grade NFS and SMB files services; Nutanix Objects, a S3-compatible object services; Nutanix Era, a database automation and database-as-a-service solution; and Nutanix Frame, a desktop-as-a-service product to deliver virtual apps or desktops to users from multiple public cloud environments and/or an enterprises private cloud datacenter.Further, it offers products support, and consulting and implementation services.


It serves customers in a range of industries, including automotive, consumer goods, education, energy, financial services, healthcare, manufacturing, media, public sector, retail, technology, and telecommunications, as well as service providers.The company was incorporated in 2009 and is headquartered in San Jose, California.

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1.b. Last Insights on NTNX

Nutanix's recent performance was negatively impacted by concerns over slowing growth and potential securities fraud allegations. An investigation by Kirby McInerney LLP and Schall Law Firm into potential securities fraud claims against the company and its senior management raised uncertainty. Additionally, analysts estimated a decline in earnings, which likely affected investor sentiment. However, the company recently reported strong Q2 earnings, beating estimates with $0.56 EPS and a 10% revenue increase, adding over 1,000 customers. A new AI partnership and equity investment from AMD also boosted sentiment.

1.c. Company Highlights

2. Nutanix Delivers Strong Q2 2026 Results Amid Supply Chain Challenges

Nutanix reported Q2 2026 financial results, with revenue of $723 million, above guidance, and ARR growth of 16% year-over-year to $2.36 billion. The company's non-GAAP operating margin came in at 20.6%, and EPS was $0.56, beating estimates of $0.44. The strong revenue growth was driven by the addition of over 1,000 new customers, its strongest quarterly new logo additions in 8 years.

Publication Date: Mar -01

📋 Highlights
  • Revenue & ARR Growth:: Q2 revenue of $723M exceeded guidance, with ARR growth of 16% YoY to $2.36B.
  • New Customer Additions:: Added over 1,000 new customers, the strongest quarterly performance in 8 years.
  • AMD Partnership Investment:: AMD invested $150M in Nutanix stock and $100M in R&D/go-to-market for agentic AI collaboration.
  • Guidance Adjustments:: Full-year revenue guidance revised to $2.8B–$2.84B, with free cash flow lowered to $745M–$775M due to supply chain delays.
  • RPO & Bookings Growth:: RPO grew 24% QoQ, with mid-teens% YoY bookings growth aligned to TCV, signaling strong future revenue potential.

Business Fundamentals Remain Strong

Despite supply chain challenges, Nutanix's business fundamentals remain strong, with bookings expectations for the year higher than before. The company's Remaining Performance Obligations (RPO) grew 24% in Q2, indicating a strong performance. The calculated bookings, which include revenue plus quarter-over-quarter change in RPO, grew in mid-teens percent year-over-year, aligned with the overall Total Contract Value (TCV) bookings growth rate.

Strategic Partnership with AMD

The company announced a strategic partnership with AMD, focusing on the growth opportunity in agentic AI. AMD invested $150 million in Nutanix common stock and will fund up to $100 million for R&D and go-to-market initiatives. The partnership aims to build a platform for inferencing and agentic applications, targeting enterprise customers in regulated industries.

Guidance and Outlook

Nutanix guided Q3 revenue of $680 million to $690 million and non-GAAP operating margin of 16% to 17%. Full-year guidance is revenue of $2.8 billion to $2.84 billion, non-GAAP operating margin of 21% to 22%, and free cash flow of $745 million to $775 million. The company's guidance was impacted by delays in server availability and a higher mix of orders with future start dates.

Valuation and Metrics

With a P/S Ratio of 3.85 and EV/EBITDA of 33.48, Nutanix's valuation appears to be reasonable considering its growth prospects. Analysts estimate next year's revenue growth at 13.0%, which is priced into the current valuation. The company's Free Cash Flow Yield is 7.51%, indicating a decent return for investors.

Investment Plans and Strategy

Nutanix is maintaining its investment plans, directing investments to areas with clear returns, such as go-to-market and R&D initiatives. The company is focused on innovation initiatives like its Kubernetes platform, AI platform, and supporting external storage. Despite a reduced revenue profile, Nutanix has maintained its operating margin guidance due to contra expenses from partners and lower commissions.

3. NewsRoom

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AMD Stock Pops as Ryzen AI 400 Chips Hit Strong Demand

Mar -05

Source: gurufocus.com

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Fisher Asset Management LLC Has $45.35 Million Position in Nutanix $NTNX

Mar -04

Source: defenseworld.net

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AustralianSuper Pty Ltd Boosts Holdings in Nutanix $NTNX

Mar -04

Source: defenseworld.net

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Nutanix, Inc. (NTNX) Presents at Morgan Stanley Technology, Media & Telecom Conference 2026 Transcript

Mar -02

Source: seekingalpha.com

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Nutanix (NASDAQ:NTNX) versus Vertiv (NYSE:VRT) Critical Survey

Mar -02

Source: defenseworld.net

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Citigroup Inc. Sells 504,737 Shares of Nutanix $NTNX

Feb -28

Source: defenseworld.net

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Nutanix Q2 Earnings and Revenues Beat Estimates, Sales Rise Y/Y

Feb -27

Source: zacks.com

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Nutanix (NASDAQ:NTNX) Shares Gap Up Following Strong Earnings

Feb -27

Source: defenseworld.net

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (14.86%)

6. Segments

Subscription

Expected Growth: 15%

Nutanix's subscription growth is driven by increasing adoption of hybrid and multi-cloud strategies, rising demand for hyperconverged infrastructure, and growing need for cloud-like agility and simplicity in on-premises environments. Additionally, the company's expanding product portfolio, strategic partnerships, and strong sales execution are contributing to its rapid growth.

Professional Services

Expected Growth: 12%

Nutanix's Professional Services segment growth is driven by increasing adoption of hybrid and multi-cloud strategies, rising demand for digital transformation, and growing need for IT infrastructure optimization. Additionally, the company's expanding partner ecosystem, strategic acquisitions, and investments in emerging technologies such as AI and IoT are contributing to the 12% growth.

Non-portable Software

Expected Growth: 16%

Nutanix's non-portable software growth is driven by increasing adoption of hybrid and multi-cloud strategies, rising demand for hyperconverged infrastructure, and growing need for simplified IT management. Additionally, the company's strong partnerships with leading cloud providers and its expanding product portfolio are contributing to its growth.

Hardware

Expected Growth: 10%

Nutanix's hardware growth is driven by increasing adoption of hybrid cloud infrastructure, rising demand for hyperconverged infrastructure, and growing need for data center modernization. Additionally, the company's strong partnerships with leading server manufacturers and its ability to provide a seamless customer experience are contributing to its growth.

7. Detailed Products

Nutanix Acropolis

A hyperconverged infrastructure (HCI) solution that integrates compute, storage, and virtualization resources into a single platform.

Nutanix Prism

A management and orchestration platform that provides a single pane of glass for managing and monitoring Nutanix environments.

Nutanix Files

A software-defined file storage solution that provides a scalable and resilient platform for file-based workloads.

Nutanix Objects

A software-defined object storage solution that provides a scalable and durable platform for storing and managing large amounts of unstructured data.

Nutanix Calm

A cloud-agnostic application automation and orchestration platform that enables automated application deployment and management.

Nutanix Xi Frame

A cloud-based desktop-as-a-service (DaaS) solution that provides a secure and scalable platform for delivering virtual desktops and applications.

Nutanix Xi Leap

A cloud-based disaster recovery-as-a-service (DRaaS) solution that provides automated disaster recovery and business continuity capabilities.

8. Nutanix, Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

Nutanix's products are highly specialized and customized, making it difficult for substitutes to emerge.

Bargaining Power Of Customers

While customers have some bargaining power due to the presence of competitors, Nutanix's strong brand and high-quality products limit their negotiating power.

Bargaining Power Of Suppliers

Nutanix has a diverse supplier base, and its strong financial position gives it bargaining power over its suppliers.

Threat Of New Entrants

While there are barriers to entry in the hyperconverged infrastructure market, new entrants can still emerge, especially from established companies in adjacent markets.

Intensity Of Rivalry

The hyperconverged infrastructure market is highly competitive, with several established players competing fiercely for market share.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 216.11%
Debt Cost 4.47%
Equity Weight -116.11%
Equity Cost 10.26%
WACC -2.26%
Leverage -186.12%

11. Quality Control: Nutanix, Inc. passed 5 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
Dropbox

A-Score: 5.9/10

Value: 6.2

Growth: 7.9

Quality: 7.3

Yield: 0.0

Momentum: 7.0

Volatility: 7.0

1-Year Total Return ->

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Okta

A-Score: 4.9/10

Value: 1.9

Growth: 9.0

Quality: 7.1

Yield: 0.0

Momentum: 6.0

Volatility: 5.3

1-Year Total Return ->

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Euronet Worldwide

A-Score: 4.8/10

Value: 6.9

Growth: 7.4

Quality: 5.4

Yield: 0.0

Momentum: 1.5

Volatility: 7.3

1-Year Total Return ->

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Nutanix

A-Score: 4.4/10

Value: 3.3

Growth: 8.3

Quality: 6.2

Yield: 0.0

Momentum: 4.0

Volatility: 4.3

1-Year Total Return ->

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Akamai

A-Score: 4.1/10

Value: 3.2

Growth: 5.6

Quality: 5.3

Yield: 0.0

Momentum: 4.5

Volatility: 6.0

1-Year Total Return ->

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Squarespace

A-Score: 4.1/10

Value: 4.5

Growth: 5.2

Quality: 5.6

Yield: 0.0

Momentum: 6.0

Volatility: 3.0

1-Year Total Return ->

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Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

39.83$

Current Price

39.83$

Potential

0.00%

Expected Cash-Flows