Nutanix, Inc. (NTNX) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

MarketsMojo — Loved in India, Now Global

The power of Mojo is now in 29 countries. Explore global equities with the same cutting-edge features you love.Unlock 29 Markets

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Twilio, Inc.

AppLovin Corp.

Jack Henry & Associates, Inc.

F5, Inc.

UiPath, Inc.

Nutanix, Inc.

Gen Digital Inc.

Paylocity Holding Corp.

Dayforce, Inc.

Procore Technologies, Inc.

DocuSign, Inc.

Why is Nutanix, Inc. ?

Risky - Negative Book Value

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -19.27%, its profits have risen by 420.3% ; the PEG ratio of the company is 2.3

Reducing Promoter Confidence

Promoters have decreased their stake in the company by -2.2% over the previous quarter and currently hold 4.1% of the company
Promoters decreasing their stake may signify reduced confidence in the future of the business

Underperformed the market in the last 1 year

Even though the market (S&P 500) has generated returns of 12.33% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -19.27% returns

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Nutanix, Inc. should be less than 10%
Overall Portfolio exposure to Software Products should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Software Products)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Nutanix, Inc. for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Nutanix, Inc.

-28.63%

0.21

43.47%

S&P 500

13.22%

0.61

20.17%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

14.18%

EBIT Growth (5y)

17.17%

EBIT to Interest (avg)

-4.26

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

0.72

Sales to Capital Employed (avg)

-1.40

Tax Ratio

50.76%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

91.71%

ROCE (avg)

ROE (avg)

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

875

Industry P/E

Price to Book Value

-29.06

EV to EBIT

156.11

EV to EBITDA

90.34

EV to Capital Employed

-16.49

EV to Sales

8.29

PEG Ratio

2.34

Dividend Yield

ROCE (Latest)

Negative Capital Employed

ROE (Latest)

Negative BV

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bearish

OBV

No Trend

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

23What is working for the Company

OPERATING CASH FLOW(Y)

Highest at USD 821.46 MM

PRE-TAX PROFIT(Q)

At USD 45.36 MM has Grown at 278.34%

NET PROFIT(Q)

At USD 38.83 MM has Grown at 557.8%

INTEREST COVERAGE RATIO(Q)

The company hardly has any interest cost

RAW MATERIAL COST(Y)

Fallen by -2.35% (YoY

CASH AND EQV(HY)

Highest at USD 3,875.2 MM

-1What is not working for the Company

DEBT-EQUITY RATIO (HY)

Highest at 73.42 %

Here's what is working for Nutanix, Inc.

Pre-Tax Profit

At USD 45.36 MM has Grown at 278.34%

over average net sales of the previous four periods of USD 11.99 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (USD MM)

Net Profit

At USD 38.83 MM has Grown at 557.8%

over average net sales of the previous four periods of USD 5.9 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (USD MM)

Operating Cash Flow

Highest at USD 821.46 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (USD MM)

Cash and Eqv

Highest at USD 3,875.2 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -2.35% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for Nutanix, Inc.

Debt-Equity Ratio

Highest at 73.42 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Non Operating Income

Highest at USD 0.31 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income