Why Nutanix Stock Got Crushed Today
Shares of Nutanix (NASDAQ: NTNX) have gotten crushed today, down by 10% as of 2:20 p.m. EDT. Investors are worried about the ongoing novel coronavirus outbreak, and a major drop in oil prices further rattled financial markets. The hybrid cloud platform operator recently warned that the virus that causes the COVID-19 respiratory illness would impact results.
While many tech companies that have supply chain operations in China are facing heightened exposure, those risks don't directly apply to Nutanix. Instead, demand for Nutanix's offerings in its Asia-Pacific-Japan (APJ) segment is being adversely impacted. The company recently reduced its guidance for total contract value (TCV) for fiscal 2020 due to a faster-than-expected transition to subscriptions combined with "a more cautious view on business activities in the greater APJ region due to the anticipated impact of the coronavirus."
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Source Fool.com
