📊 NTNX Key Takeaways
Is Nutanix, Inc. (NTNX) a Good Investment?
Nutanix demonstrates exceptional operational performance with 87.1% gross margins and strong free cash flow generation ($563.1M, 26.9% FCF margin), supported by healthy 18.1% revenue growth and dramatic EPS improvement of 227.5% YoY. Despite a concerning negative stockholders' equity position (-$725.6M), the company's robust cash generation capability and improving profitability suggest a fundamentally sound business that is overcoming legacy balance sheet challenges.
Nutanix delivers double‑digit revenue growth with exceptionally high gross margins converting into positive operating income and sharply improved net profitability. Strong free cash flow generation and healthy liquidity support continued execution despite negative book equity. While capital structure clarity and deferred revenue dynamics are watch items, fundamentals show improving operating leverage and cash efficiency.
Nutanix, Inc. Key Strengths (NTNX)
- Exceptional gross margins of 87.1% indicating strong pricing power and customer value
- Strong free cash flow generation of $563.1M with 26.9% FCF margin demonstrating cash conversion quality
- Solid revenue growth of 18.1% YoY with dramatically improving profitability (EPS +227.5%)
- High gross margin (87%) indicating strong software economics
- Positive operating income with accelerating net income growth
- Robust free cash flow (26% FCF margin) and solid liquidity (1.65x current ratio)
NTNX Stock Risks: Nutanix, Inc. Investment Risks
- Negative stockholders' equity of -$725.6M indicating historical losses or significant debt burden
- Operating margin of 9.7% is relatively low given 87.1% gross margins, suggesting high operating expenses
- Balance sheet insolvency on a book value basis creates potential covenant and refinancing risks
- Negative stockholders' equity signaling capital structure risk
- Unclear long-term debt/interest profile (interest coverage N/A)
- Working capital and revenue timing sensitivity tied to deferred revenue/RPO
Key Metrics to Watch
- Free cash flow trends and operating expense ratio relative to gross profit
- Path to positive stockholders' equity and debt service coverage ratios
- Operating margin and FCF margin trajectory
- Deferred revenue/RPO growth vs. revenue
Nutanix, Inc. (NTNX) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The 26.9% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments.
NTNX Profit Margin, ROE & Profitability Analysis
NTNX vs Technology Sector: How Nutanix, Inc. Compares
How Nutanix, Inc. compares to Technology sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Nutanix, Inc. Stock Overvalued? NTNX Valuation Analysis 2026
Based on fundamental analysis, Nutanix, Inc. has mixed fundamental signals relative to the Technology sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Nutanix, Inc. Balance Sheet: NTNX Debt, Cash & Liquidity
NTNX Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Nutanix, Inc.'s revenue has grown significantly by 82% over the 5-year period, indicating strong business expansion. The most recent EPS of $-1.09 indicates the company is currently unprofitable.
NTNX Revenue Growth, EPS Growth & YoY Performance
NTNX Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2026 | $639.0M | $29.9M | $0.22 |
| Q2 2026 | $654.7M | $29.9M | $0.19 |
| Q3 2025 | $524.6M | $1.3M | $0.05 |
| Q2 2025 | $565.2M | -$15.9M | $0.09 |
| Q1 2025 | $591.0M | $29.9M | $0.10 |
| Q3 2024 | $448.6M | $1.3M | $0.05 |
| Q2 2024 | $486.5M | -$15.9M | $0.09 |
| Q1 2024 | $433.6M | -$15.9M | $-0.07 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Nutanix, Inc. Dividends, Buybacks & Capital Allocation
NTNX SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Nutanix, Inc. (CIK: 0001618732)
📋 Recent SEC Filings
❓ Frequently Asked Questions about NTNX
What is the AI rating for NTNX?
Nutanix, Inc. (NTNX) has a Combined AI Grade of A from Claude (A) and ChatGPT (A) with 73% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are NTNX's key strengths?
Claude: Exceptional gross margins of 87.1% indicating strong pricing power and customer value. Strong free cash flow generation of $563.1M with 26.9% FCF margin demonstrating cash conversion quality. ChatGPT: High gross margin (87%) indicating strong software economics. Positive operating income with accelerating net income growth.
What are the risks of investing in NTNX?
Claude: Negative stockholders' equity of -$725.6M indicating historical losses or significant debt burden. Operating margin of 9.7% is relatively low given 87.1% gross margins, suggesting high operating expenses. ChatGPT: Negative stockholders' equity signaling capital structure risk. Unclear long-term debt/interest profile (interest coverage N/A).
What is NTNX's revenue and growth?
Nutanix, Inc. reported revenue of $2.1B.
Does NTNX pay dividends?
Nutanix, Inc. does not currently pay dividends.
Where can I find NTNX SEC filings?
Official SEC filings for Nutanix, Inc. (CIK: 0001618732) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is NTNX's EPS?
Nutanix, Inc. has a diluted EPS of $0.82.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.
What is NTNX's fundamental grade?
Based on our AI fundamental analysis in June 2026, Nutanix, Inc. has a A grade with 73% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.
Is NTNX stock overvalued or undervalued?
Valuation metrics for NTNX: ROE of N/A (sector avg: 22%), net margin of 11.3% (sector avg: 18%). Compare these metrics with sector averages to assess valuation.
What is NTNX's AI grade for 2026?
Our dual AI analysis gives Nutanix, Inc. a combined A grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is NTNX's free cash flow?
Nutanix, Inc.'s operating cash flow is $601.7M, with capital expenditures of $38.6M. FCF margin is 26.9%.
How does NTNX compare to other Technology stocks?
Vs Technology sector averages: Net margin 11.3% (avg: 18%), ROE N/A (avg: 22%), current ratio 1.78 (avg: 2.5).