Nutanix Inc's shares fell sharply by 17.8% after the Schall Law Firm announced an investigation into potential securities violations, marking a significant decline as the stock hit a 52-week low.
The investigation centers on whether Nutanix issued misleading statements that could impact investor rights, alongside disappointing Q1 2026 earnings results that fell near the bottom of prior guidance. Additionally, Barclays downgraded Nutanix from 'Overweight' to 'Equal Weight' and reduced its price target from $64 to $53, citing supply chain constraints and increased third-party OEM revenue as factors affecting growth.
This combination of an ongoing investigation and a downgrade from analysts has raised concerns about Nutanix's financial health and future performance, leading to a significant drop in investor confidence.
Wall Street analysts forecast NTNX stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for NTNX is 70.42 USD with a low forecast of 53.00 USD and a high forecast of 90.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
14 Analyst Rating
Wall Street analysts forecast NTNX stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for NTNX is 70.42 USD with a low forecast of 53.00 USD and a high forecast of 90.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
12 Buy
2 Hold
0 Sell
Strong Buy
Current: 41.780
Low
53.00
Averages
70.42
High
90.00
Current: 41.780
Low
53.00
Averages
70.42
High
90.00
RBC Capital
Outperform
to
NULL
downgrade
$74 -> $65
2026-01-05
Reason
RBC Capital
Price Target
$74 -> $65
AI Analysis
2026-01-05
downgrade
Outperform
to
NULL
Reason
RBC Capital lowered the firm's price target on Nutanix to $65 from $74 and keeps an Outperform rating on the shares. 2026 is likely to be a year when AI tailwinds become more evident for companies well positioned for enterprise AI adoption, while less prepared peers may remain pressured by the "AI is the death of software" narrative, the analyst tells investors in a research note. Enterprise spending appears to be stabilizing and improving in select areas, with GenAI driving innovation even as management teams remain conservative in early 2026 guidance, the firm says.
Goldman Sachs
Buy
downgrade
$95 -> $75
2025-11-28
Reason
Goldman Sachs
Price Target
$95 -> $75
2025-11-28
downgrade
Buy
Reason
Goldman Sachs lowered the firm's price target on Nutanix to $75 from $95 and keeps a Buy rating on the shares. The firm says the company's "noisy" fiscal Q1 report is more about deal timing than underlying demand. While the stock will likely remain range-bound in the near-term, with expectations now reset, Nutanix presents an attractive risk/reward, the analyst tells investors in a research note.
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Morgan Stanley
Meta Marshall
Overweight
downgrade
$90 -> $82
2025-11-26
Reason
Morgan Stanley
Meta Marshall
Price Target
$90 -> $82
2025-11-26
downgrade
Overweight
Reason
Morgan Stanley analyst Meta Marshall lowered the firm's price target on Nutanix to $82 from $90 and keeps an Overweight rating on the shares. A Q1 revenue miss and lowered FY26 top-line outlook are "messy," but largely reflect revenue recognition timing, the analyst tells investors. With NNARR growth accelerating, the firm's thesis remains intact, but the firm lowers its price target on lower revenue visibility, the analyst added.
JPMorgan
Overweight -> NULL
downgrade
$78 -> $65
2025-11-26
Reason
JPMorgan
Price Target
$78 -> $65
2025-11-26
downgrade
Overweight -> NULL
Reason
JPMorgan lowered the firm's price target on Nutanix to $65 from $78 and keeps an Overweight rating on the shares following the fiscal Q1 report. The firm says increased mix of delayed deployment bookings brought a reduced revenue outlook. However, Nutanix's bookings remain "robust," the analyst tells investors in a research note.
About NTNX
Nutanix, Inc. is engaged in cloud software, offering organizations a single platform for running apps and data across clouds. The Company’s Nutanix Cloud Platform is designed to enable organizations to build a hybrid multicloud infrastructure, providing a consistent cloud operating model with a single platform for running applications and managing data in core data centers, at the edge, and on public clouds, all while supporting a variety of hypervisors and container platforms. Nutanix Cloud Platform supports a variety of workloads with varied compute, storage, and network requirements, including business-critical applications, data platforms, general-purpose workloads, end user computing and virtual desktop infrastructure services, enterprise artificial intelligence (AI) workloads, and cloud native applications. Its solutions are primarily sold through its channel partners or original equipment manufacturers (OEMs) and delivered directly to its end customers.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
