Susquehanna analyst Mehdi Hosseini bumped his rating on Nutanix Inc. shares /zigman2/quotes/207209171/composite NTNX +3.10% up two levels on Monday, to positive from negative. The stock is up more than 6% in premarket trading. "We argue the worst is behind Nutanix in its transition to a subscription model - which sets the stage for an attractive (and predictable) recurring billing/revenue stream, while our competitive concerns have eased, as we believe Nutanix can successfully "coexist" with VMware /zigman2/quotes/209864107/composite VMW +1.01% within VMware's installed base," Hosseini wrote. He's increasingly upbeat about Nutanix's ability to hit its calendar 2021 target calling for $3 billion in billings. Hosseini also turned positive on shares of NetApp Inc. /zigman2/quotes/209297588/composite NTAP +2.10% and Pure Storage Inc. /zigman2/quotes/207052581/composite PSTG +0.18% , both of which are up premarket. Nutanix's stock has dropped 42% on the year, as the S&P 500 /zigman2/quotes/210599714/realtime SPX +0.78% has risen 19%.