Nutanix Inc. (NTNX) - Get Report shares plunged nearly 33% to close Friday at $33.70 after the company gave weak guidance for its fiscal third quarter.

The cloud computing software company expects a strong decline in the current quarter that it blames on a lack of marketing and sales hiring. Several analysts downgraded Nutanix and cut their price targets following the outlook.

For the fiscal second quarter ended Jan. 31, the company reported a loss of $122.8 million, or 68 cents per share. Adjusted net loss was $40.4 million, or 23 cents per share, narrower than Wall Street expectations that called for a loss of 25 cents.

Fiscal second-quarter sales rose to $335 million from $286.7 million a year ago. Analysts expected $331 million.   

However, billings, or signed contracts not yet on paper, missed Wall Street estimates of $416.5 million, coming in at $413.4 million.

For the fiscal third quarter, Nutanix expects revenue between $290 million and $300 million, billings between $360 million and $370 million and a loss per share of approximately 60 cents.

The guidance disappointed analysts, who on average were expecting revenue around $348 million, billings of $430.2 million, and an adjusted loss of 28 cents per share.

Oppenheimer downgraded the stock to perform from outperform, saying that the new guidance "reflects an emptied pipeline and a shortfall in sales headcount additions." Wells Fargo also downgraded the stock to market perform from outperform.