In the latest trading session, Nutanix (NTNX) closed at $40.98, marking a -1.88% move from the previous day. The stock fell short of the S&P 500, which registered a gain of 0.1% for the day. Meanwhile, the Dow experienced a rise of 0.07%, and the technology-dominated Nasdaq saw an increase of 0.14%.
The enterprise cloud platform services provider's shares have seen a decrease of 8.7% over the last month, not keeping up with the Computer and Technology sector's loss of 4.05% and the S&P 500's loss of 1.43%.
Market participants will be closely following the financial results of Nutanix in its upcoming release. The company plans to announce its earnings on February 25, 2026. The company is expected to report EPS of $0.44, down 21.43% from the prior-year quarter. Alongside, our most recent consensus estimate is anticipating revenue of $709.24 million, indicating a 8.33% upward movement from the same quarter last year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $1.78 per share and a revenue of $2.84 billion, indicating changes of +9.88% and +11.85%, respectively, from the former year.
Investors should also take note of any recent adjustments to analyst estimates for Nutanix. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 1.04% downward. Nutanix is currently sporting a Zacks Rank of #4 (Sell).
In the context of valuation, Nutanix is at present trading with a Forward P/E ratio of 23.47. This signifies a premium in comparison to the average Forward P/E of 13.72 for its industry.
It's also important to note that NTNX currently trades at a PEG ratio of 1.79. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Computers - IT Services industry had an average PEG ratio of 1.26 as trading concluded yesterday.
The Computers - IT Services industry is part of the Computer and Technology sector. At present, this industry carries a Zacks Industry Rank of 87, placing it within the top 36% of over 250 industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Nutanix (NTNX): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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