Nutanix Announces $300 Million Accelerated Share Repurchase

Rhea-AI Summary

Nutanix (NASDAQ: NTNX) entered an accelerated share repurchase ($300 million ASR) with Bank of America on December 17, 2025, funded with existing cash on hand.

Including $82.5 million repurchased earlier in the fiscal year, Nutanix expects to have repurchased approximately $382.5 million of common stock since the start of fiscal 2026. Nutanix paid $300 million and received an initial delivery of approximately 4,972,032 shares (about 80% of the payment value).

Final shares to be delivered will be calculated using the volume-weighted average price on specified dates, less a discount, with final settlement expected before the end of January 2026.

Positive

• $300M ASR executed on December 17, 2025
• Repurchased ~$382.5M of stock since fiscal 2026 began
• Initial delivery of 4,972,032 shares (≈80% of payment)

Negative

• $300M cash outflow reduces near-term cash reserves
• Final share count subject to VWAP-based adjustment and discount

News Market Reaction

+4.00%

44 alerts

+4.00% News Effect

+2.7% Peak in 58 min

+$538M Valuation Impact

$13.99B Market Cap

0.5x Rel. Volume

On the day this news was published, NTNX gained 4.00%, reflecting a moderate positive market reaction. Argus tracked a peak move of +2.7% during that session. Our momentum scanner triggered 44 alerts that day, indicating elevated trading interest and price volatility. This price movement added approximately $538M to the company's valuation, bringing the market cap to $13.99B at that time.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

ASR size: $300 million Current FY repurchases: $82.5 million Total buybacks FY26: $382.5 million +3 more

6 metrics

ASR size $300 million Value of accelerated share repurchase agreement

Current FY repurchases $82.5 million Shares repurchased in current fiscal year before ASR

Total buybacks FY26 $382.5 million Expected cumulative repurchases since start of fiscal 2026

Initial ASR shares 4,972,032 shares Initial delivery under ASR on Dec 17, 2025

Initial ASR proportion 80% Portion of $300M value delivered at ASR launch

ASR settlement timing Before end of January 2026 Expected final settlement date for ASR

Market Reality Check

Price: $39.33 Vol: Volume 4,361,255 is below...

normal vol

$39.33 Last Close

Volume Volume 4,361,255 is below 20-day average 5,679,533 (relative volume 0.77). normal

Technical Shares at 48.27, trading below 200-day MA of 69.89 and 42.09% under 52-week high 83.36.

Peers on Argus

NTNX was up 1.07% while key peers were mixed: CHKP up 1.1%, but IOT, FFIV, NTAP,...

NTNX was up 1.07% while key peers were mixed: CHKP up 1.1%, but IOT, FFIV, NTAP, and TOST all down modestly. This points more to company-specific dynamics than a broad software move.

Historical Context

5 past events · Latest: 2025-12-15 (Positive)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
2025-12-15	Product enhancements	Positive	+0.4%	Cloud platform enhancements for sovereign, distributed clouds and security upgrades.
2025-12-03	Government listing	Positive	+1.9%	Nutanix Cloud Platform added to AWS ICMP, easing U.S. federal procurement.
2025-11-26	Investor conference	Positive	-17.8%	Announcement of presentation at Barclays Global Technology investor conference.
2025-11-25	Earnings results	Positive	+0.8%	Q1 FY26 beat with ARR, revenue growth and strong free cash flow guidance.
2025-11-18	Partnership expansion	Positive	-0.9%	Azure Virtual Desktop support on Nutanix AHV for hybrid deployments announced.

Pattern Detected

Recent news has generally led to mild price moves, with one sharp conference-related selloff. A prior buyback authorization drew a negative reaction despite capital-return focus.

Recent Company History

Over the last month, Nutanix reported Q1 FY26 results with revenue of $670.6M, ARR of $2.28B, and free cash flow of $174.5M, which saw a modestly positive reaction. Product and partnership news with Microsoft and AWS generally produced small moves, suggesting incremental sentiment shifts. An investor conference announcement on Nov 26 coincided with a sharp -17.75% drop, standing out versus otherwise muted reactions. Against this backdrop, the new $300M ASR deploys the expanded repurchase authorization highlighted in the Aug 27 buyback news.

Market Pulse Summary

This announcement details a substantial capital return, with a $300 million accelerated share repurc...

Analysis

This announcement details a substantial capital return, with a $300 million accelerated share repurchase funded from existing cash, bringing expected total repurchases since the start of fiscal 2026 to $382.5 million. It follows earlier authorization increases and sits against a backdrop of growing revenue and free cash flow. Investors may track actual share reductions, future repurchase decisions, and any changes in executive equity activity to understand how this ASR fits into Nutanix’s broader capital allocation and growth strategy.

Key Terms

accelerated share repurchase, volume-weighted average price

2 terms

accelerated share repurchase financial

"today announced that it has entered into an accelerated share repurchase (“ASR”) agreement"

An accelerated share repurchase is a deal where a company hires a bank to buy back a large block of its own stock immediately on the open market, with the bank later settling the exact number of shares over time. For investors it matters because the immediate reduction in shares outstanding can raise per‑share earnings and often supports the stock price, but it also uses company cash or borrowing and can change liquidity and future growth funding.

volume-weighted average price technical

"will be based on the volume-weighted average price of Nutanix common stock"

Volume-weighted average price (VWAP) is the average price of a stock over a specific time period where each trade is weighted by the number of shares traded, so larger trades influence the average more than small ones. Investors and traders use VWAP as a reference point to judge whether trades are happening at relatively good or poor prices—like checking the average price paid for an item at a market where bulk purchases count more than single-item buys.

AI-generated analysis. Not financial advice.

$300 Million Accelerated Share Repurchase in Addition to $82.5 Million Repurchased in Current Fiscal Year

SAN JOSE, Calif., Dec. 17, 2025 (GLOBE NEWSWIRE) -- Nutanix, Inc. (NASDAQ: NTNX), a leader in hybrid multicloud computing, today announced that it has entered into an accelerated share repurchase (“ASR”) agreement with Bank of America, N.A. to repurchase $300 million of Nutanix common stock. The ASR will be completed under Nutanix’s existing share repurchase authorization. Nutanix intends to fund the ASR with existing cash on hand. Upon completion of the ASR, and excluding any future additional repurchases, Nutanix expects to have repurchased approximately $382.5 million of its common stock since the beginning of fiscal year 2026.

"This accelerated share repurchase reflects our confidence in the business and our ability to generate sustained growth in revenue and free cash flow,” said Rajiv Ramaswami, President and CEO of Nutanix. “Our strong balance sheet gives us the flexibility to continue to innovate for our customers and invest in the business while also delivering returns to stockholders."

Under the ASR agreement, on December 17, 2025, Nutanix will pay $300 million to Bank of America and expects to receive an initial delivery of approximately 4,972,032 shares of Nutanix common stock, representing 80% of the value of the $300 million payment under the ASR agreement. The total number of shares to be repurchased by Nutanix under the ASR agreement will be based on the volume-weighted average price of Nutanix common stock on specified dates during the term of the ASR agreement, less a discount, and subject to customary adjustments pursuant to the terms and conditions of the ASR agreement. Final settlement under the ASR agreement is expected to occur before the end of January 2026.

Forward-Looking Statements

This press release contains express and implied forward-looking statements, including, but not limited to, statements regarding the expected completion and timing of the accelerated share repurchase, the number of shares to be repurchased, the funding of the repurchase, and Nutanix’s ability to continue to innovate, invest in the business, and deliver returns to stockholders. These forward-looking statements are not historical facts and instead are based on our current expectations, estimates, opinions, and beliefs. Consequently, you should not rely on these forward-looking statements. The accuracy of these forward-looking statements depends upon future events and involves risks, uncertainties, and other factors, including the market price of the shares of Nutanix common stock during the term of the accelerated share repurchase and factors that may be beyond our control, that may cause these statements to be inaccurate and cause our actual results, performance or achievements to differ materially and adversely from those anticipated or implied by such statements, including risks detailed in our Annual Report on Form 10-K for the fiscal year ended July 31, 2025 filed with the U.S. Securities and Exchange Commission, or the SEC, on September 24, 2025 and subsequent quarterly reports and other filings with the SEC. Our SEC filings are available on the Investor Relations section of our website at ir.nutanix.com and on the SEC's website at www.sec.gov. These forward-looking statements speak only as of the date of this press release and, except as required by law, we assume no obligation, and expressly disclaim any obligation, to update, alter or otherwise revise any of these forward-looking statements to reflect actual results or subsequent events or circumstances.

About Nutanix

Nutanix is a hybrid multicloud computing leader, offering organizations a unified software platform for running applications and AI and managing data anywhere. With Nutanix, organizations can simplify operations for traditional and modern applications, freeing them to focus on business goals. Trusted by more than 29,000 customers worldwide, Nutanix helps empower organizations to transform digitally and power hybrid multicloud environments consistently, simply, and cost-effectively. Learn more at www.nutanix.com or follow us on social media.

© 2025 Nutanix, Inc. All rights reserved. Nutanix, the Nutanix logo, and all Nutanix product and service names mentioned herein are registered trademarks or unregistered trademarks of Nutanix, Inc. (“Nutanix”) in the United States and other countries. Other brand names or marks mentioned herein are for identification purposes only and may be the trademarks of their respective holder(s). This press release is for informational purposes only and nothing herein constitutes a warranty or other binding commitment by Nutanix.

Investor Contact:
Richard Valera
ir@nutanix.com
Media Contact: Jennifer Massaro
pr@nutanix.com

FAQ

What did Nutanix (NTNX) announce on December 17, 2025 regarding share repurchases?

Nutanix announced a $300 million accelerated share repurchase with Bank of America to be completed under its existing authorization.

How much will Nutanix (NTNX) have repurchased in fiscal 2026 after the ASR?

Nutanix expects to have repurchased approximately $382.5 million of common stock since the start of fiscal 2026, excluding any future repurchases.

How many shares did Nutanix (NTNX) initially receive under the ASR on December 17, 2025?

Nutanix received an initial delivery of approximately 4,972,032 shares, representing about 80% of the $300 million payment value.

When will Nutanix (NTNX) complete final settlement of the $300M ASR?

Final settlement under the ASR is expected to occur before the end of January 2026.

How is the final number of shares determined for Nutanix's (NTNX) ASR?

The total shares repurchased will be based on the volume-weighted average price on specified dates during the ASR term, less a discount and subject to customary adjustments.

How will Nutanix (NTNX) fund the $300 million ASR?

Nutanix intends to fund the ASR with existing cash on hand.