Analysts rate Nutanix Stock (NTNX:NSD) with a Strong Buy rating and $25 target price

Based on the Nutanix Stock Forecast from 14 analysts, the average analyst NTNX stock price target is USD 25.19 over the next 12 months. Nutanix Inc’s average analyst rating is Strong Buy. Stock Target Advisor’s own stock analysis of Nutanix Inc is Slightly Bearish, which is based on 3 positive signals and 5 negative signals. At the last closing, Nutanix stock price was USD 26.35Nutanix stock price has changed by +4.37% over the past week, +3.23% over the past month and -24.82% over the last year.

 

About Nutanix Inc. (NTNX:NSD):

Nutanix, Inc. provides an enterprise cloud platform in North America, Europe, the Asia Pacific, the Middle East, Latin America, and Africa. The company offers Acropolis converges virtualization, enterprise storage services, and networking visualization and security services. Further, it offers products support, and consulting and implementation services. It serves customers in a range of industries, including automotive, consumer goods, education, energy, financial services, healthcare, manufacturing, media, public sector, retail, technology, and telecommunications, as well as service providers. The company was incorporated in 2009 and is headquartered in San Jose, California.

 

What we like:

High market capitalization:

Nutanix stock is one of the largest entities in its sector and is among the top quartile. Such companies tend to be more stable.

Positive cash flow:

The company had positive total cash flow in the most recent four quarters.

High Gross Profit to Asset Ratio:

Nutanix stock is in the top quartile compared to its peers on Gross Profit to Asset Ratio. This is a popular measure among value investors for showing superior returns in the long run.

 

What we don’t like:

Poor risk adjusted returns:

This company is delivering below median risk adjusted returns in its peers. Even if it is outperforming on returns , the returns are unpredictable. Proceed with caution.

High volatility:

The total returns for Nutanix stock are volatile and above median for its sector over the past 5 years. Make sure you have the risk tolerance for investing in such stock.

Below median dividend returns:

The average income yield of Nutanix stock over the past 5 years has been low compared to its peers. However, it is not a problem if you are not looking for income.

Overpriced on cashflow basis:

NTNX stock price is trading high compared to its peers on a price to cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering to buy.

Negative free cash flow:

Nutanix stock had negative total free cash flow in the most recent four quarters.