Core Insights - Nutanix reported strong demand for its cloud platform in Q1 FY2026, with bookings slightly exceeding expectations and an 18% year-over-year growth in Annual Recurring Revenue (ARR) [2][3] - The company announced expansions in partnerships with Dell and Microsoft to enhance its cloud platform offerings [2] - Despite a revenue shift from Q1 to future periods, the overall revenue expectation remains unchanged, and free cash flow guidance for the full year has been raised [2] Financial Performance - Q1 FY2026 ARR reached $2.28 billion, up from $1.94 billion in Q1 FY2025, marking an 18% increase [3] - Total revenue for Q1 FY2026 was $670.6 million, a 13% increase from $591.0 million in Q1 FY2025 [3] - GAAP operating income increased to $49.3 million from $27.3 million year-over-year, while non-GAAP operating income rose to $131.8 million from $118.2 million [3] - Free cash flow for Q1 FY2026 was $174.5 million, compared to $151.9 million in the same quarter last year [3] Guidance and Outlook - For Q2 FY2026, Nutanix expects revenue between $705 million and $715 million, with a non-GAAP operating margin of 20.5% to 21.5% [4] - The full-year revenue guidance is projected to be between $2.82 billion and $2.86 billion, with a non-GAAP operating margin of 21% to 22% and free cash flow expected to be between $800 million and $840 million [4] Recent Developments - The company continues to add new logos and maintain a healthy free cash flow performance, indicating strong business fundamentals [2] - Nutanix's average contract duration remains stable at 3.1 years, reflecting consistent customer engagement [3]

Core Insights - Investors are showing a bullish stance on Nutanix (NASDAQ: NTNX), with significant options trading activity indicating potential upcoming movements in the stock [1][2] - The overall sentiment among large traders is slightly bullish, with 53% bullish and 46% bearish positions noted [3] Options Activity - A total of 15 options trades were identified, with 14 being call options amounting to $1,174,517 and only 1 put option totaling $69,105 [3] - The predicted price range for Nutanix over the past quarter is between $55.0 and $70.0, based on the volume and open interest of the options contracts [4] Volume and Open Interest - An analysis of the volume and open interest for Nutanix's options over the last 30 days reveals significant interest in the $55.0 to $70.0 strike price range [5][6] Notable Options Trades - The largest options trades include a bullish call option with a strike price of $60.00, totaling $523.5K, and a bearish put option with a strike price of $55.00, totaling $69.1K [9] Company Overview - Nutanix Inc specializes in cloud software, providing a platform for running applications and managing data across various environments, including hybrid multicloud infrastructures [10] - The company operates on a subscription business model and generates significant revenue from the United States [10] Market Position - Recent expert ratings suggest a positive outlook for Nutanix, with an average target price of $84.0 and varying ratings from analysts, including an Overweight rating from JP Morgan and a revised Outperform rating from Oppenheimer [12][13] Current Stock Performance - As of the latest data, Nutanix's stock price is $59.02, reflecting a 1.2% increase, with a trading volume of 3,877,888 [15]

Core Points - The article emphasizes the importance of enabling Javascript and cookies in browsers to prevent access issues [1] - It highlights that users with ad-blockers may face restrictions when trying to access content [1] Summary by Categories Technical Requirements - Users are advised to enable Javascript and cookies in their browsers to ensure proper functionality [1] - The presence of ad-blockers can lead to blocked access, necessitating their temporary disablement [1]

Core Insights - Nutanix, Inc. is a leading cloud computing company specializing in enterprise cloud platforms that integrate storage, computing, and virtualization [1] - The company is set to release its quarterly earnings on November 25, 2025, with analysts expecting an EPS of $0.41, a 2.4% decline from the previous year, while revenue is projected to increase by 14.6% to $677.2 million [2][7] Financial Metrics - Nutanix has a price-to-earnings (P/E) ratio of approximately 82.18, indicating a high valuation relative to earnings [4] - The price-to-sales ratio is about 6.07, suggesting the market values Nutanix at over six times its annual sales [4] - The enterprise value to sales ratio is approximately 6.35, and the enterprise value to operating cash flow ratio is around 19.63, reflecting the company's valuation relative to its sales and cash flow [5] - The earnings yield is approximately 1.22%, indicating the return on investment for shareholders [5] Debt and Liquidity - Nutanix's debt-to-equity ratio is -2.14, indicating more liabilities than equity, which may raise concerns about financial risk [6] - The current ratio of about 1.83 shows that Nutanix has a strong ability to cover its short-term liabilities with its short-term assets [6] Market Sentiment - There has been a 1.8% downward revision in the consensus EPS estimate over the past 30 days, which could impact investor sentiment and stock price performance [3][7]

Core Viewpoint - Nutanix, Inc. (NASDAQ:NTNX) is viewed positively by Wall Street ahead of its fiscal Q1 2026 results, with analysts maintaining Buy ratings and setting a price target of $90 [1][2][3] Group 1: Analyst Ratings - Jason Ader from William Blair reiterated a Buy rating on Nutanix without disclosing price targets [1] - Param Singh from Oppenheimer also maintained a Buy rating with a price target of $90 [1] Group 2: Market Position - Nutanix is positioned to attract dissatisfied VMware customers due to pricing changes and unfavorable licensing, presenting itself as a viable alternative [2] Group 3: Financial Expectations - For fiscal Q1 2026, Nutanix anticipates revenue between $670 million and $690 million, with a non-GAAP operating margin projected between 19.5% and 20.5% [3] Group 4: Product Development - The company announced an expansion of Microsoft's Azure virtual desktop flexibility across its hybrid clouds, allowing Azure Virtual Desktop to run on Nutanix AHV hypervisor [3]

Core Insights - The article discusses the potential of AI and the cloud computing sector, highlighting the transformative nature of AI while cautioning about the possibility of an AI bubble, drawing parallels to the dotcom era [2][3] - A list of the 13 best cloud stocks to buy is provided, based on a methodology that includes analysis of hedge fund sentiment and market capitalization [5][7] AI Market Insights - Kim Posnett from Goldman Sachs emphasizes that it is too early to determine if there is an AI bubble, noting that 75% of major technology innovations over the last 175 years led to equity price bubbles [2] - Despite similarities to previous bubbles, current research indicates that there is not yet an AI bubble [2] Cloud Stocks Methodology - The list of cloud stocks was curated from the top holdings of three ETFs, sorted by market capitalization, and focused on pureplay cloud computing stocks with positive analyst upside potential [5] - Hedge fund sentiment was also considered, as research shows that imitating top hedge fund stock picks can lead to market outperformance [7] Akamai Technologies, Inc. (NASDAQ:AKAM) - Akamai has a market capitalization of $12.57 billion and an analyst upside potential of 3.00% with 42 hedge fund holders [8][9] - The company reported Q3 2025 earnings with a revenue increase of 4.97% year-over-year to $1.05 billion, exceeding estimates by $10.74 million [10] - Cloud Infrastructure revenue grew 39% year-over-year to $81 million, and management anticipates Q4 2025 revenue between $1.065 billion and $1.085 billion [10][11] Nutanix, Inc. (NASDAQ:NTNX) - Nutanix has a market capitalization of $15.87 billion and an analyst upside potential of 51.90% with 58 hedge fund holders [12] - The company is positioned to attract dissatisfied VMware customers and has received bullish ratings from analysts ahead of its fiscal Q1 2026 results [12][13] - Management expects revenue for Q1 2026 to be in the range of $670 million to $690 million, with a non-GAAP operating margin of 19.5% to 20.5% [14][15]

Core Insights - Analysts project Nutanix (NTNX) will report quarterly earnings of $0.41 per share, a decline of 2.4% year over year, with revenues expected to reach $677.2 million, an increase of 14.6% from the same quarter last year [1] Earnings Estimates - Over the last 30 days, the consensus EPS estimate has been revised downward by 1.8%, indicating a collective reconsideration by analysts [2] - Changes in earnings estimates are crucial for predicting investor reactions, as empirical research shows a strong correlation between earnings estimate revisions and short-term stock performance [3] Revenue Projections - Analysts estimate 'Revenue- Support, entitlements and other services' at $326.26 million, reflecting a year-over-year change of +12.9% [5] - 'Revenue- Product' is expected to be $350.98 million, indicating a year-over-year change of +16.3% [5] - The consensus for 'Disaggregation of Revenue- Professional services revenue' stands at $29.73 million, a change of +9% from the prior-year quarter [5] - 'Disaggregation of Revenue- Subscription revenue' is projected to reach $642.75 million, with a year-over-year change of +14.6% [6] Geographic Revenue Estimates - 'Geographic Revenue- U.S.' is expected to be $379.71 million, reflecting a +14.1% change from the year-ago quarter [7] - 'Geographic Revenue- Europe, the Middle East and Africa' is projected at $162.01 million, indicating a +7.2% change [6] - 'Geographic Revenue- Other Americas' is estimated at $18.57 million, showing a significant +65.5% change [7] - 'Geographic Revenue- Asia Pacific' is forecasted to reach $114.76 million, a +19.8% change from the year-ago quarter [7] Key Metrics - The average prediction for 'Annual Recurring Revenue (ARR)' is $2.27 billion, up from $1.97 billion in the same quarter last year [8] - 'Total Billings' is expected to arrive at $715.52 million, compared to $591.40 million a year ago [8] - Analysts suggest 'Total end customers' will likely reach 29,844, an increase from 27,160 in the same quarter last year [9] Stock Performance - Nutanix shares have returned -12.2% over the past month, contrasting with the Zacks S&P 500 composite's -0.3% change [9] - The company holds a Zacks Rank 3 (Hold), indicating it is expected to mirror overall market performance in the near future [9]

Core Insights - Nutanix announced its Nutanix Cloud Platform will support Microsoft Azure Virtual Desktop for hybrid environments, enhancing flexibility in virtual desktop deployment and management [1][3] - The collaboration aims to address the needs of distributed workforces, providing IT teams with more infrastructure choices while optimizing control, performance, security, and cost efficiency [2][3] Company Developments - The Nutanix Cloud Platform is designed to deliver a performant, resilient, cost-efficient, and secure infrastructure for virtual desktop infrastructure (VDI) workloads, empowering customers with more options for virtual desktops [3][4] - The support for Azure Virtual Desktop will allow customers to run it locally on Nutanix AHV while utilizing Azure's management stack for secure connections to Azure [3][4] Industry Implications - The integration of Azure Virtual Desktop for hybrid environments on Nutanix AHV addresses critical compliance and regulatory requirements in sectors like financial services, healthcare, and government, where data residency is crucial [3][4] - Key benefits include hybrid flexibility, native support for Microsoft applications, optimized performance for latency-sensitive workloads, and cost efficiency through existing Microsoft licensing [9]

Group 1: Nutanix - Oppenheimer initiates coverage on Nutanix with an "Outperform" rating and a target price of $90, citing benefits from the industry's shift towards hyper-converged infrastructure (HCI) [1] - Nutanix is positioned to gain market share as VMware faces customer resistance due to price increases, allowing Nutanix to capitalize on this opportunity [1] - The company has strong capabilities to build and deliver AI applications, leveraging the growing demand for unstructured data, which supports its business expansion in the AI era [1] Group 2: Pure Storage - Oppenheimer initiates coverage on Pure Storage with an "Outperform" rating and a target price of $120, highlighting the company's advantage in the all-flash array (AFA) market [2] - The growth in demand for unstructured data storage driven by AI applications is expected to benefit Pure Storage, allowing it to capture market share from traditional HDD and other flash vendors [2] - The expansion of its customer base to include tier-one and tier-two hyperscale data centers is anticipated to drive strong new customer growth and improve operating margins [2] Group 3: Rubrik - Oppenheimer assigns a "Market Perform" rating to Rubrik, indicating that its valuation reasonably reflects its growth prospects [3] - The increasing importance of data is expected to expand the total addressable market (TAM) for backup storage, benefiting Rubrik [3] - The rise in data security vulnerabilities and ransomware attacks aligns with Rubrik's security-first strategy, although competition in the network resilience space is intensifying [3]

Core Insights - Nutanix has a lower P/E ratio compared to the aggregate P/E of 109.79 in the Software industry, suggesting potential undervaluation or weaker future performance expectations [5] Group 1: P/E Ratio Analysis - The P/E ratio is a tool for assessing a company's market performance against historical earnings and industry benchmarks [4] - A lower P/E ratio may indicate that shareholders do not expect better future performance or that the company is undervalued [5] - While a low P/E can suggest undervaluation, it may also reflect weak growth prospects or financial instability [7] Group 2: Investment Considerations - The P/E ratio should be evaluated alongside other financial ratios, industry trends, and qualitative factors for a comprehensive analysis [7] - Investors are encouraged to take a holistic approach to analyzing a company's financial health to make informed investment decisions [7]