NTNX Nasdaq Russell 1000 Earnings call
Nutanix (NTNX) · Q2 2026 results and valuation
Share price: $60.14 · 2026-11-11
Results Q2 2026 vs Q1 2026 · previous quarter · fiscal Q4 2026 · published 26 Aug 2026 and 27 May 2026
Management sounded about as positive as a typical company call, in its script and in answers to analysts.
Only a basic analysis is available for this company at the moment.
1 · Numbers
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No financial figures for this pair
Outlook given
2 · How management spoke
Typical
More upbeat than 51% of company calls
Answers to analysts: upbeat, in line with the script.
Similar to last call.
3 · What stood out
Nutanix reported ARR of $2.549 billion at the end of Q4, representing a 16% year-over-year growth rate, which was an increase compared to the prior quarter.
Valuation
Is Nutanix undervalued?
Reverse DCF. Free cash flow from the last full fiscal year (2026-07-31), grown for 10 years, discounted back, plus a terminal value. “Implied growth” is the rate the current price assumes.
At 15.3% growth a year (3-year revenue growth), the model's fair value is $112.13 a share — the stock trades 46% below it. Today's price assumes 6.4% growth a year.
Current price
$60.14
close of 2026-11-11
Market implies growth of iThe yearly free-cash-flow growth, for the next 10 years, that today’s share price already assumes. If you believe the company grows faster than this, the stock is cheap under this model; slower, and it is expensive.
+6.4% for 10 yrs
Fair value / share
$112.13
Buy below
$84.10
Price vs fair value
Undervalued 46%
Price vs buy-below price
Undervalued 28%
Read between the lines
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Guidance
Full-year free cash flow guidance includes $33 million to $43 million in nonrecurring restructuring charges, with $30 million to $35 million expected to be paid.
Source quote
“The full year free cash flow guidance incorporates $33 million to $43 million of nonrecurring charges from the restructuring, and we expect $30 million to $35 million of that to be paid...”
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Figure
Revenue grew 12% to $2.85 billion despite increased hardware prices and supply shortages.
Source quote
“Despite increased hardware prices and supply shortages, we delivered solid top line performance, including revenue of $2.85 billion, up 12%...”
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Fading
Grew Nutanix's ARR 15% year-over-year, to $2.43 billion and saw solid free cash flow generation.
Source quote
“Grew our ARR 15% year-over-year, to $2.43 billion and saw solid free cash flow generation. In our Q3, delivered quarterly revenue of $703 million above our guidance range. We also saw another healthy quarter of new logo additions.”
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Fading
Improved renewals and two other main factors are pushing TCV bookings higher.
Source quote
“So those are the 2 main things driving the TCV bookings growth higher. And then we have also seen better renewals performance. And, of course, you know, we are continuing to make sure...”
Tone
How upbeat the language was, compared with other companiesiTone counts positive minus negative finance words, adjusted for length. Executives mostly speak positively, so the labels compare each call with every company's latest call: “typical” is the middle third, “very upbeat” the top tenth, “cautious” the bottom tenth.. Dot: Q2 2026. Ring: Q1 2026.
Script and answers carried a similar tone, so the script's message held up under questioning.
Sentences that drove the tone
“In fiscal year '26, our Rule of 40 score, defined as revenue growth rate plus free cash flow margin, was a healthy 42%, reflecting our continued focus on sustainable, profitable...”
“First, we continue to believe in the robust market opportunity and growth vectors driving our business, which include: a, core demand for our hybrid cloud platform, including the support of...”
“ARR at the end of Q4 was $2.549 billion, representing year-over-year growth of 16%, an increase in growth rate compared to the prior quarter.”
Full figures
USD · ROIC.AI fundamentals (NASDAQ:NTNX, period end 2026-07-31)
| Metric | Q2 2026period end 2026-07-31 | Q1 2026period end 2026-04-30 | Change | Q2 2025 | YoY |
|---|---|---|---|---|---|
| Revenue | — | 703.1M | 653.3M | ||
| Gross profit | — | 610.8M | 569.4M | ||
| Operating income | — | 70.5M | 31.2M | ||
| Net income | — | 72.1M | 38.6M | ||
| EPS | — | 0.25 | 0.13 | ||
| P/E today 14.2 | 11.4 | 43.0 | −31.6 | 115.6 | −104.2 |
Topics
Most discussed now
- One maybe piece of additional color I'll add on that is that even Nutanix's net new ARR performance was also...
- Nutanix saw a very good uptake for its external storage...
- Free cash flow in Q4 was strong at $278 million, representing a free cash flow margin of 37%, benefiting from...
- GAAP net income and fully diluted GAAP EPS in Q4 were $1.27 billion and $4.34 per share, respectively.
- The other reason for Nutanix intends to continue to also provide flexibility when larger customers want to complete phased migrations...
Faded since Q1 2026
- Fading However, Nutanix's focus on customer choice helps mitigate some of this impact, and enables customers to better manage their deployment...
- Fading Nutanix sees this demand driven by businesses looking to modernize their IT footprints, adopt hybrid cloud operating models, and deploy...
- Fading Non GAAP gross margin in Q3 was 87.8%.
- Fading Free cash flow in Q3 was strong at $197 million representing a free cash flow margin of 28% benefiting from...
Latest announcements
Official filings, newest first.
- Director or officer change · SEC 8-K
- Director or officer change · SEC 8-K
- Results of operations · SEC 8-K
- Restructuring costs · SEC 8-K
- Results of operations · SEC 8-K
- Unregistered share sale · SEC 8-K
- Regulation FD disclosure · SEC 8-K
- Articles or bylaws amended · SEC 8-K