NUTANIX INC - A (NTNX) Stock Fundamental Analysis
NASDAQ:NTNX - Nasdaq - US67059N1081 - Common Stock - Currency: USD
Taking everything into account, NTNX scores 4 out of 10 in our fundamental rating. NTNX was compared to 283 industry peers in the Software industry. While NTNX seems to be doing ok healthwise, there are quite some concerns on its profitability. NTNX is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year NTNX was profitable.
NTNX had a positive operating cash flow in the past year.
NTNX had negative earnings in each of the past 5 years.
The reported operating cash flow has been mixed in the past 5 years: NTNX reported negative operating cash flow in multiple years.
1.2 Ratios
NTNX has a Return On Assets of -1.85%. This is comparable to the rest of the industry: NTNX outperforms 59.72% of its industry peers.
NTNX has a better Return On Invested Capital (3.54%) than 73.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.85% | ||
| ROE | N/A | ||
| ROIC | 3.54% |
ROA(3y)-16.56%
ROA(5y)-28.9%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
NTNX has a Operating Margin of 3.23%. This is in the better half of the industry: NTNX outperforms 70.32% of its industry peers.
NTNX has a Gross Margin of 85.83%. This is amongst the best in the industry. NTNX outperforms 93.99% of its industry peers.
In the last couple of years the Gross Margin of NTNX has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.23% | ||
| PM (TTM) | N/A | ||
| GM | 85.83% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y2.42%
GM growth 5Y2.41%
2. Health
2.1 Basic Checks
NTNX has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, NTNX has more shares outstanding
The number of shares outstanding for NTNX has been increased compared to 5 years ago.
NTNX has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.21 indicates that NTNX is not a great score, but indicates only limited risk for bankruptcy at the moment.
NTNX's Altman-Z score of 2.21 is in line compared to the rest of the industry. NTNX outperforms 53.71% of its industry peers.
NTNX has a debt to FCF ratio of 2.10. This is a good value and a sign of high solvency as NTNX would need 2.10 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 2.10, NTNX is doing good in the industry, outperforming 68.20% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 2.1 | ||
| Altman-Z | 2.21 |
ROIC/WACC0.32
WACC11.12%
2.3 Liquidity
NTNX has a Current Ratio of 1.77. This is a normal value and indicates that NTNX is financially healthy and should not expect problems in meeting its short term obligations.
NTNX's Current ratio of 1.77 is in line compared to the rest of the industry. NTNX outperforms 55.83% of its industry peers.
A Quick Ratio of 1.77 indicates that NTNX should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.77, NTNX is in line with its industry, outperforming 56.54% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.77 | ||
| Quick Ratio | 1.77 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 31.50% over the past year.
Looking at the last year, NTNX shows a quite strong growth in Revenue. The Revenue has grown by 16.11% in the last year.
NTNX shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 11.69% yearly.
EPS 1Y (TTM)31.5%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%50%
Revenue 1Y (TTM)16.11%
Revenue growth 3Y15.51%
Revenue growth 5Y11.69%
Sales Q2Q%21.81%
3.2 Future
NTNX is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 22.78% yearly.
Based on estimates for the next years, NTNX will show a quite strong growth in Revenue. The Revenue will grow by 19.39% on average per year.
EPS Next Y27.72%
EPS Next 2Y21.36%
EPS Next 3Y22.78%
EPS Next 5YN/A
Revenue Next Year17.74%
Revenue Next 2Y16.71%
Revenue Next 3Y15.59%
Revenue Next 5Y19.39%
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 46.58, which means the current valuation is very expensive for NTNX.
61.13% of the companies in the same industry are more expensive than NTNX, based on the Price/Earnings ratio.
NTNX's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 26.29.
The Price/Forward Earnings ratio is 40.63, which means the current valuation is very expensive for NTNX.
NTNX's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of NTNX to the average of the S&P500 Index (22.17), we can say NTNX is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 46.58 | ||
| Fwd PE | 40.63 |
4.2 Price Multiples
NTNX's Enterprise Value to EBITDA ratio is in line with the industry average.
Based on the Price/Free Cash Flow ratio, NTNX is valued a bit cheaper than the industry average as 73.14% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 32.33 | ||
| EV/EBITDA | 131.52 |
4.3 Compensation for Growth
NTNX's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
NTNX's earnings are expected to grow with 22.78% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.68
PEG (5Y)N/A
EPS Next 2Y21.36%
EPS Next 3Y22.78%
5. Dividend
5.1 Amount
NTNX does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NASDAQ:NTNX (6/3/2025, 11:40:03 AM)
77.795
+0.73 (+0.95%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners80.16%
Inst Owner Change1.44%
Ins Owners0.33%
Ins Owner Change-1.57%
Market Cap20.74B
Analysts82.5
Price Target93.38 (20.03%)
Short Float %2.68%
Short Ratio2.47
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)24.82%
Min EPS beat(2)16.99%
Max EPS beat(2)32.66%
EPS beat(4)4
Avg EPS beat(4)36.99%
Min EPS beat(4)16.99%
Max EPS beat(4)66.3%
EPS beat(8)8
Avg EPS beat(8)44%
EPS beat(12)12
Avg EPS beat(12)59.65%
EPS beat(16)16
Avg EPS beat(16)55.94%
Revenue beat(2)2
Avg Revenue beat(2)0.67%
Min Revenue beat(2)0%
Max Revenue beat(2)1.33%
Revenue beat(4)3
Avg Revenue beat(4)0.25%
Min Revenue beat(4)-0.37%
Max Revenue beat(4)1.33%
Revenue beat(8)6
Avg Revenue beat(8)0.63%
Revenue beat(12)9
Avg Revenue beat(12)1.39%
Revenue beat(16)12
Avg Revenue beat(16)1.49%
PT rev (1m)0%
PT rev (3m)8.82%
EPS NQ rev (1m)0%
EPS NQ rev (3m)33.98%
EPS NY rev (1m)0.13%
EPS NY rev (3m)8.57%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)5.38%
Revenue NY rev (1m)0.04%
Revenue NY rev (3m)2.11%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 46.58 | ||
| Fwd PE | 40.63 | ||
| P/S | 8.95 | ||
| P/FCF | 32.33 | ||
| P/OCF | 28.63 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 131.52 |
EPS(TTM)1.67
EY2.15%
EPS(NY)1.91
Fwd EY2.46%
FCF(TTM)2.41
FCFY3.09%
OCF(TTM)2.72
OCFY3.49%
SpS8.69
BVpS-3.03
TBVpS-3.74
PEG (NY)1.68
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.85% | ||
| ROE | N/A | ||
| ROCE | 4.48% | ||
| ROIC | 3.54% | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | 3.23% | ||
| PM (TTM) | N/A | ||
| GM | 85.83% | ||
| FCFM | 27.68% |
ROA(3y)-16.56%
ROA(5y)-28.9%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y2.42%
GM growth 5Y2.41%
F-Score7
Asset Turnover0.78
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 2.1 | ||
| Debt/EBITDA | 9.09 | ||
| Cap/Depr | 113.2% | ||
| Cap/Sales | 3.58% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 488.99% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.77 | ||
| Quick Ratio | 1.77 | ||
| Altman-Z | 2.21 |
F-Score7
WACC11.12%
ROIC/WACC0.32
Cap/Depr(3y)81.4%
Cap/Depr(5y)80.34%
Cap/Sales(3y)3.37%
Cap/Sales(5y)4.23%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)31.5%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%50%
EPS Next Y27.72%
EPS Next 2Y21.36%
EPS Next 3Y22.78%
EPS Next 5YN/A
Revenue 1Y (TTM)16.11%
Revenue growth 3Y15.51%
Revenue growth 5Y11.69%
Sales Q2Q%21.81%
Revenue Next Year17.74%
Revenue Next 2Y16.71%
Revenue Next 3Y15.59%
Revenue Next 5Y19.39%
EBIT growth 1Y290.83%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year64.37%
EBIT Next 3Y37.24%
EBIT Next 5YN/A
FCF growth 1Y473.34%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y315.41%
OCF growth 3YN/A
OCF growth 5Y73.99%