Morgan Stanley Downgrades Nutanix (NASDAQ:NTNX) to Equal Weight

Nutanix (NASDAQ:NTNX) was downgraded by stock analysts at Morgan Stanley from an “overweight” rating to an “equal weight” rating in a research report issued on Monday, MarketBeat Ratings reports. They currently have a $62.00 price objective on the technology company’s stock, down from their prior price objective of $82.00. Morgan Stanley’s price target would indicate a potential upside of 17.85% from the stock’s current price.

Several other research analysts have also commented on the company. Weiss Ratings reiterated a “hold (c)” rating on shares of Nutanix in a report on Monday, December 29th. Barclays restated an “overweight” rating and set a $64.00 price objective on shares of Nutanix in a research report on Wednesday, November 26th. Piper Sandler reiterated an “overweight” rating and issued a $72.00 target price (down from $88.00) on shares of Nutanix in a report on Wednesday, November 26th. Northland Capmk cut shares of Nutanix from a “strong-buy” rating to a “hold” rating in a research note on Thursday, October 9th. Finally, Northland Securities reduced their price target on shares of Nutanix from $76.00 to $53.00 and set a “market perform” rating on the stock in a research report on Wednesday, November 26th. Twelve investment analysts have rated the stock with a Buy rating and seven have given a Hold rating to the stock. Based on data from MarketBeat, Nutanix presently has a consensus rating of “Moderate Buy” and a consensus target price of $71.80.

Nutanix Trading Down 1.2%

NTNX stock opened at $52.61 on Monday. The firm has a 50-day moving average of $54.53 and a two-hundred day moving average of $66.19. Nutanix has a 12 month low of $46.12 and a 12 month high of $83.36. The company has a market cap of $14.23 billion, a price-to-earnings ratio of 70.15, a PEG ratio of 5.66 and a beta of 0.49.

Nutanix (NASDAQ:NTNX) last posted its quarterly earnings results on Tuesday, November 25th. The technology company reported $0.41 earnings per share (EPS) for the quarter, meeting analysts’ consensus estimates of $0.41. Nutanix had a negative return on equity of 32.95% and a net margin of 8.43%.The business had revenue of $670.58 million during the quarter, compared to analyst estimates of $677.23 million. During the same period in the prior year, the business earned $0.42 earnings per share. The business’s revenue was up 13.5% compared to the same quarter last year. As a group, equities analysts forecast that Nutanix will post 0.31 earnings per share for the current year.

Institutional Trading of Nutanix

Institutional investors and hedge funds have recently bought and sold shares of the business. Farther Finance Advisors LLC grew its holdings in shares of Nutanix by 42.6% in the second quarter. Farther Finance Advisors LLC now owns 502 shares of the technology company’s stock valued at $38,000 after purchasing an additional 150 shares in the last quarter. V Square Quantitative Management LLC purchased a new position in Nutanix in the 2nd quarter valued at approximately $45,000. SJS Investment Consulting Inc. boosted its position in Nutanix by 3,122.7% in the 3rd quarter. SJS Investment Consulting Inc. now owns 709 shares of the technology company’s stock valued at $53,000 after buying an additional 687 shares during the period. Itau Unibanco Holding S.A. grew its stake in shares of Nutanix by 33.0% in the second quarter. Itau Unibanco Holding S.A. now owns 749 shares of the technology company’s stock worth $57,000 after acquiring an additional 186 shares in the last quarter. Finally, Optiver Holding B.V. purchased a new stake in shares of Nutanix during the third quarter worth $68,000. 85.25% of the stock is currently owned by hedge funds and other institutional investors.

Key Headlines Impacting Nutanix

Here are the key news stories impacting Nutanix this week:

• Positive Sentiment: Institutional/hedge-fund interest — Several pieces note that hedge funds and Wall Street remain constructive on Nutanix’s long-term position in software infrastructure, arguing near-term noise (analyst target trims, short-term misses) hasn’t shaken underlying demand. This supports a positive view for patient, growth-oriented investors. Why Wall Street Isn’t Losing Faith in Nutanix
• Neutral Sentiment: Market commentary / reassessment pieces — Analysts and financial media are publishing “reassess” and dip-explanation articles that may amplify short-term volatility but don’t add new company-specific catalysts. These help explain market moves but are not direct drivers of fundamentals. Is It Time To Reassess Nutanix After Recent Share Price Rebound?
• Neutral Sentiment: Short-interest data appears anomalous — January update shows an unusual/zero reported short-interest figure (likely a reporting anomaly). Current data does not indicate a meaningful build of short pressure, so short-squeeze risk appears minimal based on these figures.
• Negative Sentiment: Analyst downgrade from Morgan Stanley — Morgan Stanley cut Nutanix from Overweight to Equal Weight and trimmed its price target to $62 from $82, signaling reduced near-term conviction and pressuring sentiment. Analyst downgrades can weigh on shares and reduce momentum. Morgan Stanley downgrades Nutanix
• Negative Sentiment: Shareholder litigation notices — Two law firms (Pomerantz and Schall) are investigating potential claims against Nutanix, increasing legal/settlement risk and creating headline pressure that typically hurts sentiment until resolved. Pomerantz law firm investigation Schall law firm investigation

Nutanix Company Profile

Nutanix, Inc is an enterprise cloud computing company that develops software to simplify the deployment and management of datacenter infrastructure. Founded in 2009 and headquartered in San Jose, California, Nutanix is best known for pioneering hyperconverged infrastructure (HCI), an approach that integrates compute, storage and virtualization into a single software-defined platform aimed at reducing complexity and operational overhead in private and hybrid cloud environments.

The company’s product portfolio centers on the Nutanix Cloud Platform, which includes its core AOS software for HCI, Prism for infrastructure management and automation, and a suite of additional services such as Calm for application automation, Files and Volumes for file and block services, Karbon for Kubernetes orchestration, and Era for database management.