News

For the quarter ended April 2024, Nutanix (NTNX) reported revenue of $524.58 million, up 16.9% over the same period last year. EPS came in at $0.28, compared to $0.04 in the year-ago quarter.

The reported revenue represents a surprise of +1.64% over the Zacks Consensus Estimate of $516.13 million. With the consensus EPS estimate being $0.17, the EPS surprise was +64.71%.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Nutanix performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

• Annual Contract Value Billings (ACV Billings): $288.85 million compared to the $270.57 million average estimate based on six analysts.
• Total Billings: $557.29 million versus $532.62 million estimated by four analysts on average.
• Disaggregation of billings - Professional services billings: $29.65 million versus $26.91 million estimated by four analysts on average.
• Disaggregation of billings - Subscription billings: $515.92 million versus $497.33 million estimated by three analysts on average.
• Annual Recurring Revenue (ARR): $1.82 billion versus the two-analyst average estimate of $1.84 billion.
• Revenue- Product: $255.47 million versus the six-analyst average estimate of $248.48 million. The reported number represents a year-over-year change of +20.2%.
• Revenue- Support, entitlements and other services: $269.11 million versus $267.67 million estimated by six analysts on average. Compared to the year-ago quarter, this number represents a +14% change.
• Disaggregation of Revenue- Subscription revenue: $486.62 million versus the four-analyst average estimate of $484.11 million. The reported number represents a year-over-year change of +16.6%.
• Disaggregation of Revenue- Non-portable software revenue: $11.10 million versus the four-analyst average estimate of $6.35 million. The reported number represents a year-over-year change of +33%.
• Disaggregation of Revenue- Professional services revenue: $26.24 million versus $24.50 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +18.7% change.
• Disaggregation of Revenue- Hardware revenue: $0.60 million versus $0.53 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a -3.1% change.

View all Key Company Metrics for Nutanix here>>>

Shares of Nutanix have returned +18.3% over the past month versus the Zacks S&P 500 composite's +4.3% change. The stock currently has a Zacks Rank #1 (Strong Buy), indicating that it could outperform the broader market in the near term.

5 Stocks Set to Double

Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2024. While not all picks can be winners, previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%.

Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.

Today, See These 5 Potential Home Runs >>

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Nutanix (NTNX) : Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.