Nutanix Inc (NASDAQ:NTNX) shares soared 9% in Wednesday’s trading session, following the news that Nutanix and Google have entered into a partnership that will allow Nutanix customers to easily move workloads between on-premise Nutanix deployments and the Google Cloud Platform.

Oppenheimer analyst Ittai Kidron believes the partnership is a positive for Nutanix, validating the strength of its software and hyperconverged solution and providing it with an opportunity to extend its importance/expand its workload breadth with enterprise customers. According to the analyst, the collaboration also illustrates the growing recognition that hybrid cloud environments are the future for enterprises and the need for strong integration between on-premise and public cloud, management tools, and virtualization tools.

“While the Google partnership is Nutanix’s near-term focus, we would not be surprised to see Nutanix follow up with similar relationships with other public cloud vendors,” Kidron noted.

The analyst reiterated an Outperform rating on Nutanix shares, with a price target of $34.00, which represents a potential upside of 67% from where the stock is currently trading.

Baird analyst Jayson Noland added, “We are incrementally positive on the news, as we believe the partnership exemplifies meaningful progress toward Nutanix’s broader “Enterprise Cloud” opportunity. It is becoming clear that Nutanix is developing a hybrid cloud platform far greater than Hyperconverged Infrastructure.”

Noland rates NTNX an Outperform with a price target of $28.00.

According to TipRanks.com, which ranks over 7,500 financial analysts and bloggers to gauge the performance of their past recommendations, analysts Jayson Noland and Ittai Kidron have a yearly average return of 3%, each. Noland has a success rate of 42% and is ranked #1851 out of 4588 analysts, while Kidron has a success rate of 52% and is ranked #1113.

Out of the 16 analysts polled by TipRanks (in the past 3 months), 11 rate Nutanix stock a Buy, 4 rate the stock a Hold and 1 recommends to Sell. With a return potential of nearly 43%, the stock’s consensus target price stands at $29.08.