In the latest trading session, Nutanix (NTNX) closed at $68.77, marking a +1.11% move from the previous day. This change outpaced the S&P 500's 0.51% loss on the day. Elsewhere, the Dow lost 0.75%, while the tech-heavy Nasdaq lost 0.28%.

Shares of the enterprise cloud platform services provider have appreciated by 10.98% over the course of the past month, outperforming the Computer and Technology sector's gain of 0.79% and the S&P 500's gain of 2.87%.

The investment community will be closely monitoring the performance of Nutanix in its forthcoming earnings report. It is anticipated that the company will report an EPS of $0.47, marking a 2.17% rise compared to the same quarter of the previous year. In the meantime, our current consensus estimate forecasts the revenue to be $641.84 million, indicating a 13.55% growth compared to the corresponding quarter of the prior year.

Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $1.49 per share and revenue of $2.46 billion. These totals would mark changes of +13.74% and +14.5%, respectively, from last year.

It is also important to note the recent changes to analyst estimates for Nutanix. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.

The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Nutanix is currently sporting a Zacks Rank of #3 (Hold).

From a valuation perspective, Nutanix is currently exchanging hands at a Forward P/E ratio of 45.79. Its industry sports an average Forward P/E of 29.81, so one might conclude that Nutanix is trading at a premium comparatively.

Investors should also note that NTNX has a PEG ratio of 2.31 right now. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. NTNX's industry had an average PEG ratio of 2.85 as of yesterday's close.

The Computers - IT Services industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 67, positioning it in the top 27% of all 250+ industries.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.

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