Here's Why Nutanix (NTNX) is a Strong Momentum Stock

Zacks
02-12

For new and old investors, taking full advantage of the stock market and investing with confidence are common goals.

Many investors also have a go-to methodology that helps guide their buy and sell decisions. One way to find winning stocks based on your preferred way of investing is to use the Zacks Style Scores, which are indicators that rate stocks based on three widely-followed investing types: value, growth, and momentum.

Is This 1 Momentum Stock a Screaming Buy Right Now?

Momentum investors, who live by the saying "the trend is your friend," are most interested in taking advantage of upward or downward trends in a stock's price or earnings outlook. Utilizing one-week price change and the monthly percentage change in earnings estimates, among other factors, the Momentum Style Score can help determine favorable times to buy high-momentum stocks.

Nutanix (NTNX)

San Jose, CA-based Nutanix Inc. provides enterprise cloud operating system that combines server, storage, virtualization and networking software into one integrated solution. Nutanix’s solution can be delivered either as an appliance that is configured to order or as software only. The company currently offers two software product families — Acropolis and Prism.

NTNX boasts a Momentum Style Score of B and VGM Score of B, and holds a Zacks Rank #3 (Hold) rating. Shares of Nutanix has seen some interesting price action recently; the stock is up 0.9% over the past one week and up 13.6% over the past four weeks. And in the last one-year period, NTNX has gained 28.9%. As for the stock's trading volume, 1,888,391.25 shares on average were traded over the last 20 days.

A company's earnings performance is important for momentum investors as well. For fiscal 2025, one analyst revised their earnings estimate higher in the last 60 days for NTNX, while the Zacks Consensus Estimate has increased $0.01 to $1.49 per share. NTNX also boasts an average earnings surprise of 48.5%.

Investors should take the time to consider NTNX for their portfolios due to its solid Zacks Ranks, notable earnings metrics, and impressive Momentum and VGM Style Scores.

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