For those keeping score at home, thats a potential 70%+ return in 12 months. The average PT is $64, which would be a 50% return, and I believe includes the (insert joke here) $33 PT from Susquehanna.
Not that it truly matters, as we all know analysts can be wildly wrong, but four firms in the last month have come out with $70+ price targets…
So what is holding NTNX stock price back? Other than the general market volatility of late, I would expect this would move it upward SOME. Seems like “everyone” disagrees with those PT upgrades?
I think that until they “show their work” with a few quarters’ worth of data from not having hardware, it’s going to languish. And IF the software-only thesis plays out, then it can return to its former (or better) trajectory. Until then I think we get to accumulate and cross fingers while we wait… which is what I’m doing to a small degree.
Seems like “everyone” disagrees with those PT upgrades?
As usual maybe the simplest explanation is best. The “big money” folks (multi-million dollar buys and sells…hedge funds, etc) may simply be waiting until they see the Revenue numbers that we and most of the analysts already expect.
In other words, they’re waiting for when the transition away from pass-through hardware is over. I’m with Stephen/Ethan. Maybe next quarter or the next.