Nutanix, Inc. ranks near the peer group median, with growth as the least supportive dimension. Trend conditions have deteriorated, without yet reaching an extreme downside state.
Peer-relative scores, weakest to strongest
Nutanix develops hybrid multicloud computing software and infrastructure solutions for enterprise customers.
The market prices Nutanix as a growth story at a discount, since capital returns and margins fail to convince versus peers despite revenue momentum. With a ROIC of just 2.1% (trails peer median across FY25) and an operating margin of 22.3% (Q3 FY26, below top SaaS peers), the market continues to assign Nutanix a lower multiple, reflecting skepticism about its ability to deliver the sustained capital returns and operational efficiency that command a premium. In the SaaS infrastructure segment, not just growth but sustainable capital returns and margin strength matter — and here, despite innovation initiatives, Nutanix trails top peers. Because these fundamentals lag, the market prices Nutanix with the volatility and discount typically reserved for more cyclical names, rather than rewarding it with the premium multiples seen in durable winners. Only clear and sustained outperformance in capital returns and margins versus top peers across multiple quarters could break the current valuation framing.
Break down NTNX's position across all dimensions with the full interactive tool.
This analysis is rule-based and descriptive. Peer-relative scores are derived from functional peer group comparisons using publicly available financial data. Scores reflect structural positioning only and do not constitute investment advice, a buy or sell recommendation, or a forecast of future performance. AssetNext peer scores are recalculated periodically as new data becomes available.
AssetNext scores reflect each company's structural position within its functional peer group — not a ranking against all stocks simultaneously. Peers are identified by similarity across eight financial dimensions, including revenue growth trajectory, margin structure, capital intensity, and earnings stability. A score of 75 means the company ranks in the top quartile within its own peer group, not the entire market.
Four dimension scores drive the overall peer score: Growth (revenue trajectory and expansion dynamics), Quality (margin structure and capital efficiency), Valuation (peer-relative pricing on standard multiples), and Stability (earnings consistency and financial predictability). Each dimension is scored 0–100 relative to the peer group, then combined into an overall peer score using equal weighting.
Because scores are peer-relative, the same company can have slightly different scores in different index universes. On comparison pages, both companies are shown within their shared peer universe wherever possible — so the scores are directly comparable. The peer basis is stated on each score card.
Scores are recalculated periodically as underlying financial data is updated. All analysis is descriptive and rule-based — AssetNext describes structural realities and never issues buy, sell or hold recommendations.