Nutanix (NTNX) carries a deeply negative liquidation posture. MFFAIS reports a cash liquidation value of approximately -$1.05B and liquid liquidation value of -$792M as of January 31, 2026. The structural driver is straightforward: total liabilities of $4.11B face-value against total assets of $3.28B book value, with the bulk of the liability stack dominated by $2.20B of deferred revenue (which extinguishes only partially in liquidation, as customers hold refund claims), $1.35B of long-term convertible notes at face value, and $197M of ASC 842 operating lease obligations that survive windup. On the asset side, the most recoverable items are $603M in cash (100%) and $1.27B in short-term investments/available-for-sale securities (near-par, high-quality government and corporate debt, effectively 100% recovery). Accounts receivable of $261M net recovers at 90-95%, contributing roughly $235-248M. PP&E gross of $620M net of $488M accumulated depreciation yields $132M net book; at a 50-70% haircut, recovery is $66-92M. Intangibles net of $2.2M and goodwill of $185M are zeroed under liquidation lens. The accumulated deficit stands at -$4.99B, reflecting the sustained investment phase. Compared to the prior filing (October 31, 2025), material changes include: (1) cash decreased from $780M to $603M as $383M of ASR share repurchases and $137M in equity award tax withholdings were paid out in Q2 FY26; (2) short-term investments remained roughly stable at $1.27B vs $1.28B; (3) operating lease obligations increased materially from the prior period as $72M of new ROU assets were added (RightOfUseAssetObtainedInExchangeForOperatingLeaseLiability), expanding the operating lease liability from an implied lower level to $197M; (4) convertible notes outstanding remain unchanged at $500M 2027 Notes + $862.5M 2029 Notes = $1.3625B face, with no new issuance this quarter; (5) deferred revenue grew $89M in the period, widening the liability stack. Non-cancelable purchase obligations of $152.7M and aggregate lease commitments of $240.6M are disclosed in MD&A but the purchase obligation total is not separately XBRL-tagged. Filing discusses $744M of unrecognized stock compensation in XBRL (EmployeeServiceShareBasedCompensationNonvestedAwardsTotalCompensationCostNotYetRecognized) — this is an off-balance-sheet personnel obligation that would crystallize partially on windup. The $500M undrawn revolver (February 2030 maturity) is unfunded at period-end and does not affect current liquidation math but represents a springing lien structure that would prime unsecured creditors if drawn.
▼ Community Notes