Nutanix (NTNX) Stock Surges as Analyst Coverage Kicks Off With Strong-Buy

TLDR

• Rosenblatt Securities initiated coverage of Nutanix (NTNX) with a “Strong-Buy” rating and a $60 price target, implying roughly 46% upside from current levels.
• The stock jumped around 8% on the news, with shares opening at $41.10 on Wednesday.
• Nutanix recently beat quarterly estimates, posting EPS of $0.56 vs. the $0.44 consensus, with revenue of $722.8M — up 10.4% year-over-year.
• The company is set to host an Investor Day on April 7, and recently launched a new Agentic AI full-stack software product.
• The broader analyst consensus sits at “Moderate Buy” with an average price target of $62.27, while institutional investors hold approximately 85% of the stock.

Nutanix stock opened at $41.10 on Wednesday, before jumping around 8% on the day.

Nutanix, Inc., NTNX

The stock has had a rough 12 months, down more than 26% year-to-date and sitting well below its 52-week high of $83.36. That context makes Wednesday’s move worth paying attention to.

The jump came after Rosenblatt Securities initiated coverage with a “Strong-Buy” rating and set a price target of $60 — about 46% above where the stock was trading.

Rosenblatt’s coverage note pointed to enthusiasm around Nutanix’s recently launched Agentic AI full-stack software and the company’s upcoming Investor Day, scheduled for April 7. Those two items have given investors something concrete to focus on.

The $60 target sits in line with the broader analyst consensus. Across all current ratings, the average price target stands at $62.27, and the consensus rating is “Moderate Buy.” Out of 20 analysts tracked, one has a Strong Buy, eleven have Buy ratings, and eight rate the stock a Hold.

Other major banks have been more cautious. Bank of America cut its target from $75 to $60 back in February, maintaining a “Buy” rating. Morgan Stanley trimmed its target from $62 to $56, while keeping an “Equal Weight” stance. Wells Fargo also cut from $57 to $50 with an “Equal Weight” rating.

Earnings Beat Added Support

Nutanix’s most recent quarterly results gave the bull case some substance. The company reported EPS of $0.56, clearing the $0.44 consensus estimate by $0.12. Revenue came in at $722.83 million, ahead of the $709.83 million estimate and up 10.4% from the same quarter a year ago.

The company’s 50-day moving average sits at $39.98, and its 200-day moving average is at $53.61 — a reminder of how far the stock has fallen from its highs over the past year.

Its market cap stands at around $10.09 billion, with a price-to-earnings ratio of 44.67 and a beta of 0.52, which means it tends to move less dramatically than the broader market.

Institutional Interest Remains High

Institutional investors hold around 85% of the stock, and several funds added to their positions in the fourth quarter.

HSBC lifted its stake by 7.5%, while Tobam increased its position by 135.4%. Pacer Advisors added 33.3% to its holdings, and new positions were opened by both Wick Capital Partners and Avory & Company.

On the product side, CloudCasa recently joined the Nutanix Kubernetes Platform partner catalog, strengthening data protection and disaster recovery capabilities for enterprise customers.

With Investor Day now just days away on April 7, traders will be watching closely for any forward guidance or product updates that could shift the stock further in either direction.

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