NasdaqGS:NTNX

Stock Analysis Report

Executive Summary

Nutanix, Inc. develops and provides an enterprise cloud platform in North America, Europe, the Asia Pacific, the Middle East, Latin America, and Africa.

Snowflake

Fundamentals

Mediocre balance sheet with concerning outlook.


Similar Companies

Share Price & News

How has Nutanix's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

10.6%

NTNX

0.5%

US Software

2.3%

US Market


1 Year Return

-36.1%

NTNX

19.6%

US Software

5.6%

US Market

Return vs Industry: NTNX underperformed the US Software industry which returned 19.6% over the past year.

Return vs Market: NTNX underperformed the US Market which returned 5.6% over the past year.


Shareholder returns

NTNXIndustryMarket
7 Day10.6%0.5%2.3%
30 Day-2.4%0.05%-1.0%
90 Day5.6%-3.8%-0.7%
1 Year-36.1%-36.1%21.3%19.6%7.9%5.6%
3 Year-8.1%-8.1%120.2%111.6%45.6%36.3%
5 Yearn/a177.4%157.4%65.8%47.6%

Price Volatility Vs. Market

How volatile is Nutanix's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Nutanix undervalued compared to its fair value and its price relative to the market?

26.43x

Price to Book (PB) ratio


Share Price vs. Fair Value

Undervalued: NTNX ($26.19) is trading above our estimate of fair value ($4.55)

Significantly Undervalued: NTNX is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: NTNX is unprofitable, so we can't compare its PE Ratio to the Software industry average.

PE vs Market: NTNX is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

Low PEG Ratio: Insufficient data to calculate NTNX's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: NTNX is overvalued based on its PB Ratio (26.4x) compared to the US Software industry average (5.4x).


Next Steps

Future Growth

How is Nutanix forecast to perform in the next 1 to 3 years based on estimates from 20 analysts?

-2.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: NTNX is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: NTNX is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: NTNX is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: NTNX's revenue (16.2% per year) is forecast to grow faster than the US market (7.3% per year).

High Growth Revenue: NTNX's revenue (16.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: Insufficient data to determine if NTNX's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Nutanix performed over the past 5 years?

-31.8%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: NTNX is unprofitable, and losses have increased over the past 5 years at a rate of -31.8% per year.

Accelerating Growth: Unable to compare NTNX's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: NTNX is unprofitable, making it difficult to compare its past year earnings growth to the Software industry (19.1%).


Return on Equity

High ROE: NTNX has a negative Return on Equity (-332.37%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: NTNX is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: NTNX is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Nutanix's financial position?


Financial Position Analysis

Short Term Liabilities: NTNX's short term assets ($1.3B) exceeds its short term liabilities ($599.3M)

Long Term Liabilities: NTNX's short term assets (1.3B) exceeds its long term liabilities (999.8M)


Debt to Equity History and Analysis

Debt Level: NTNX's debt to equity ratio (245.5%) is considered high

Reducing Debt: Insufficient data to determine if NTNX's debt to equity ratio has reduced over the past 5 years.


Balance Sheet

Inventory Level: NTNX has a low level of unsold assets or inventory.

Debt Coverage by Assets: NTNX's debt is covered by short term assets (assets are 2.778780x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: NTNX has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if NTNX has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

What is Nutanix's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.5%markettop25%3.8%industryaverage1.5%forecastin3Years0%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: Unable to evaluate NTNX's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate NTNX's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if NTNX's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if NTNX's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of NTNX's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

What is the CEO of Nutanix's salary, the management and board of directors tenure and is there insider trading?

3.2yrs

Average management tenure


CEO

Dheeraj Pandey (44yo)

10.1yrs

Tenure

US$11,202,225

Compensation

Mr. Dheeraj Pandey is a Co-Founder of Nutanix, Inc. and has been its Chairman since September 2009. Mr. Pandey has been the Chief Executive Officer of Nutanix, Inc. since September 2009. He served as Presi ...


CEO Compensation Analysis

Compensation vs. Market: Dheeraj's total compensation ($USD11.20M) is about average for companies of similar size in the US market ($USD6.81M).

Compensation vs Earnings: Dheeraj's compensation has increased whilst the company is unprofitable.


Management Age and Tenure

3.2yrs

Average Tenure

53yo

Average Age

Experienced Management: NTNX's management team is considered experienced (3.2 years average tenure).


Board Age and Tenure

5.9yrs

Average Tenure

52.5yo

Average Age

Experienced Board: NTNX's board of directors are considered experienced (5.9 years average tenure).


Insider Trading

Insider Buying: NTNX insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$253,42819 Sep 19
Dheeraj Pandey
EntityIndividual
Role
Chief Executive Officer
Co-Founder
Shares9,489
Max PriceUS$26.71
SellUS$253,42819 Sep 19
Tyler Wall
EntityIndividual
Role
Chief Legal Officer
Chief Legal Officer
Shares9,489
Max PriceUS$26.71
SellUS$523,73619 Sep 19
Duston Williams
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares19,610
Max PriceUS$26.71
SellUS$156,29319 Sep 19
David Sangster
EntityIndividual
Role
Chief Operating Officer
Executive Vice President of Engineering & Operations
Shares5,852
Max PriceUS$26.71
SellUS$500,14726 Mar 19
Tyler Wall
EntityIndividual
Role
Chief Legal Officer
Chief Legal Officer
Shares12,132
Max PriceUS$41.23
SellUS$1,378,11302 Jan 19
Tyler Wall
EntityIndividual
Role
Chief Legal Officer
Chief Legal Officer
Shares34,144
Max PriceUS$40.36
SellUS$331,97519 Dec 18
Jeffrey Parks
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares8,313
Max PriceUS$39.93

Ownership Breakdown


Management Team

  • Duston Williams (61yo)

    Chief Financial Officer

    • Tenure: 5.3yrs
    • Compensation: US$4.80m
  • Tyler Wall (53yo)

    Chief Legal Officer

    • Tenure: 1.9yrs
    • Compensation: US$10.82m
  • David Sangster (55yo)

    Executive Vice President of Engineering & Operations

    • Tenure: 3.7yrs
    • Compensation: US$3.38m
  • Ken Long (47yo)

    Chief Accounting Officer

    • Tenure: 6.4yrs
  • Aaron Bean

    Chief Human Resources Officer

    • Tenure: 1.8yrs
  • Ben Gibson (51yo)

    Chief Marketing Officer

    • Tenure: 1.8yrs
  • Dheeraj Pandey (44yo)

    Co-Founder

    • Tenure: 10.1yrs
    • Compensation: US$11.20m
  • Ajeet Singh

    Co-Founder & Advisor

    • Tenure: 0yrs
  • Wendy Pfeiffer (53yo)

    Chief Information Officer

    • Tenure: 2.7yrs
  • Tonya Chin

    Vice President of Corporate Communications & IR

    • Tenure: 0yrs

Board Members

  • Ravi Mhatre (53yo)

    Lead Independent Director

    • Tenure: 4.2yrs
    • Compensation: US$295.89k
  • B. Jagadeesh

    • Tenure: 0yrs
  • Frank Slootman (60yo)

    • Tenure: 5.9yrs
  • Michael Scarpelli (52yo)

    Independent Director

    • Tenure: 5.8yrs
    • Compensation: US$298.59k
  • Lane Bess (58yo)

    • Tenure: 0yrs
  • Alan Boehme

    • Tenure: 10.8yrs
  • Jeff Parks (38yo)

    Independent Director

    • Tenure: 5.8yrs
    • Compensation: US$304.01k
  • Dheeraj Pandey (44yo)

    Co-Founder

    • Tenure: 10.1yrs
    • Compensation: US$11.20m
  • Ajeet Singh

    Co-Founder & Advisor

    • Tenure: 0yrs
  • Willy Zwaenepoel

    • Tenure: 0yrs

Company Information

Nutanix, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Nutanix, Inc.
  • Ticker: NTNX
  • Exchange: NasdaqGS
  • Founded: 2009
  • Industry: Application Software
  • Sector: Software
  • Market Cap: US$4.946b
  • Shares outstanding: 188.86m
  • Website: https://www.nutanix.com

Number of Employees


Location

  • Nutanix, Inc.
  • 1740 Technology Drive
  • Suite 150
  • San Jose
  • California
  • 95110
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
NTNXNasdaqGS (Nasdaq Global Select)YesClass A Common StockUSUSDSep 2016
0NUDB (Deutsche Boerse AG)YesClass A Common StockDEEURSep 2016
0K9OLSE (London Stock Exchange)YesClass A Common StockGBUSDSep 2016

Biography

Nutanix, Inc. develops and provides an enterprise cloud platform in North America, Europe, the Asia Pacific, the Middle East, Latin America, and Africa. The company offers Acropolis, an enterprise cloud pl ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/17 00:38
End of Day Share Price2019/10/16 00:00
Earnings2019/07/31
Annual Earnings2019/07/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.