Nutanix: Q4 Validates The External Storage Opportunity

Arizona Equity Research 266 Followers Follow Summary Nutanix is executing strongly, with external storage partnerships driving customer wins and expanding its addressable market. Management expects external storage to be the largest growth contributor by FY2027, while AI remains a longer-term revenue opportunity. Q4 FY2026 results exceeded guidance: revenue reached $757M, ARR grew 16% to $2.54B, and free cash flow hit $841M. I view NTNX as undervalued at 29.17x FWD P/E, with the VMware migration thesis and platform expansion strengthening the investment case. Thomas Barwick/DigitalVision via Getty Images Intro In my previous coverage of Nutanix ( NTNX ), I outlined three developments that could expand the business over the next several years: customers migrating away from VMware, external-storage partnerships, and an emerging opportunity to run This article was written by Arizona Equity Research 266 Followers Follow My research is based on key market themes and works to identify setups that provide asymmetrical risk/reward profiles within these niches. My portfolio is currently built around 5 key themes: (1) Semiconductor Supply Chain, (2) Grid / Power / Energy Transition, (3) Critical Materials, (4) Biotechnology, and (5) Artificial Intelligence / Cloud Computing. My investment style blends deep value investing tenets learned through my experience at a formal investment firm with the forward-looking lens necessary to find highly asymmetric opportunities in the market. Through my articles, I aim to provide valuable perspectives and build a community of like-minded investors who can benefit from each other's knowledge. Analyst’s Disclosure: I/we have a beneficial long position in the shares of NTNX either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.