Key Points
- Director Teresa Sheppard sold 3,500 Nutanix shares at an average price of $73.67, worth approximately $257,845, reducing her direct ownership by 12.97% to 23,488 shares.
- Nutanix shares opened at $74.63 and were up 2.1%, near their 52-week high of $74.66. The company recently exceeded quarterly earnings and revenue expectations, with revenue rising 15.9% year over year.
- Analysts maintain a “Moderate Buy” consensus with an average price target of $73.07, while Needham issued a $90 target. However, additional insider selling—including sizable sales by CEO Rajiv Ramaswami—could concern investors.
Nutanix (NASDAQ:NTNX - Get Free Report) Director Teresa Sheppard sold 3,500 shares of the stock in a transaction on Friday, October 9th. The shares were sold at an average price of $73.67, for a total value of $257,845.00. Following the transaction, the director directly owned 23,488 shares of the company's stock, valued at approximately $1,730,360.96. The trade was a 12.97% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this link.
Nutanix Stock Up 2.1%
NTNX opened at $74.63 on Friday. The company has a debt-to-equity ratio of 1.92, a quick ratio of 1.80 and a current ratio of 1.80. The company has a market capitalization of $20.19 billion, a PE ratio of 14.46, a P/E/G ratio of 3.62 and a beta of 0.64. The stock's fifty day moving average is $67.71 and its 200-day moving average is $54.35. Nutanix has a one year low of $34.01 and a one year high of $74.66.
Nutanix (NASDAQ:NTNX - Get Free Report) last announced its earnings results on Wednesday, August 26th. The technology company reported $0.60 earnings per share for the quarter, beating the consensus estimate of $0.49 by $0.11. The business had revenue of $757.08 million during the quarter, compared to analysts' expectations of $738.27 million. Nutanix had a negative return on equity of 90.13% and a net margin of 52.81%. The company's quarterly revenue was up 15.9% on a year-over-year basis. During the same quarter last year, the business posted $0.37 earnings per share. On average, equities analysts predict that Nutanix will post 1.17 EPS for the current fiscal year.
Key Nutanix News
Here are the key news stories impacting Nutanix this week:
- Positive Sentiment: AI-focused customer momentum: Bharat Heavy Electricals Limited (BHEL) and SIS Limited highlighted Nutanix technology in initiatives to modernize infrastructure, support core applications and prepare for artificial-intelligence workloads. The reports did not disclose contract values, but they reinforce the company’s positioning in enterprise hybrid-cloud and AI infrastructure. BHEL accelerates innovation and readies for the AI era with Nutanix SIS Limited Modernizes Core Applications and Drives AI Readiness with Nutanix
- Positive Sentiment: Institutional support and analyst optimism: Several large investment firms increased their Nutanix holdings, while Needham initiated coverage with a Buy rating and a $90 price target. The broader analyst consensus remains “Moderate Buy,” although the consensus target of approximately $73 is close to the current trading range.
- Positive Sentiment: Solid operating backdrop: Nutanix’s latest quarterly results exceeded expectations, with adjusted EPS of $0.60 versus the $0.49 consensus and revenue of $757.1 million versus $738.3 million expected. Revenue increased 15.9% year over year, supporting the stock’s valuation and growth narrative.
- Neutral Sentiment: Short-interest data: Reported short interest was zero shares, implying no measurable short-selling pressure. Investors should treat the figure cautiously because it may reflect a reporting or data anomaly.
- Negative Sentiment: Heavy insider selling: CEO Rajiv Ramaswami sold 324,955 shares for approximately $23.9 million on October 6 and another 75,045 shares for about $5.6 million on October 7, reducing his holdings by roughly 40% across the reported transactions. Director Teresa Sheppard separately sold 3,500 shares worth approximately $257,845. These sales can raise concerns about insider confidence, although they may also reflect personal diversification or scheduled transactions. Nutanix CEO Rajiv Ramaswami sells shares
Institutional Trading of Nutanix
Hedge funds and other institutional investors have recently modified their holdings of the business. CX Institutional grew its holdings in shares of Nutanix by 134.6% during the second quarter. CX Institutional now owns 488 shares of the technology company's stock valued at $25,000 after buying an additional 280 shares in the last quarter. Western Wealth Management LLC purchased a new stake in Nutanix in the 1st quarter worth about $27,000. Parkside Financial Bank & Trust lifted its stake in Nutanix by 43.8% in the 2nd quarter. Parkside Financial Bank & Trust now owns 578 shares of the technology company's stock worth $29,000 after acquiring an additional 176 shares in the last quarter. Frazier Financial Advisors LLC boosted its position in Nutanix by 1,063.8% during the 1st quarter. Frazier Financial Advisors LLC now owns 1,094 shares of the technology company's stock worth $42,000 after acquiring an additional 1,000 shares during the period. Finally, CoreCap Advisors LLC boosted its position in Nutanix by 28.6% during the 2nd quarter. CoreCap Advisors LLC now owns 900 shares of the technology company's stock worth $46,000 after acquiring an additional 200 shares during the period. Institutional investors and hedge funds own 85.25% of the company's stock.
Analyst Ratings Changes
NTNX has been the subject of a number of research reports. Bank of America restated a "buy" rating on shares of Nutanix in a report on Thursday, August 27th. Oppenheimer upped their price target on Nutanix from $80.00 to $85.00 and gave the company an "outperform" rating in a report on Thursday, August 27th. Keefe, Bruyette & Woods reiterated a "market perform" rating on shares of Nutanix in a research report on Tuesday, August 25th. Morgan Stanley raised their price objective on Nutanix from $55.00 to $63.00 and gave the stock an "equal weight" rating in a research note on Thursday, August 27th. Finally, Needham & Company LLC assumed coverage on Nutanix in a report on Monday, September 28th. They issued a "buy" rating and a $90.00 target price on the stock. Nine investment analysts have rated the stock with a Buy rating and nine have given a Hold rating to the company. According to data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $73.07.
Read Our Latest Stock Analysis on NTNX
About Nutanix
(
Get Free Report)
Nutanix, Inc develops enterprise cloud software that helps organizations manage applications and data across on-premises infrastructure, public clouds and hybrid multicloud environments. Its platform is designed to simplify the operation of data centers and cloud resources through a unified software experience.
The company's offerings include hyperconverged infrastructure software, the Nutanix Cloud Infrastructure platform and AHV virtualization. Nutanix also provides services for file and object storage, databases, disaster recovery, Kubernetes and application management, as well as tools that help customers monitor, secure and govern their hybrid and multicloud environments.
Founded in 2009 and headquartered in San Jose, California, Nutanix serves businesses, government organizations and other institutions globally through direct sales and channel partners.
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