Ubuntu usually ships with an outdated version of nginx. To install the up-to-date version, follow these steps:
sudo -s
nginx=stable # use nginx=development for the latest development version
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By setting nginx=stable you declare a temporary environment variable that defines the nginx version you want to install. Use nginx=stable for the latest stable and nginx=development for the latest development release.
Add the nginx repository to your aptitude repository index.
add-apt-repository ppa:nginx/$nginx
Now, you're able to install the latest nginx version directly via apt package manager
apt-get update
apt-get install nginx
That's it, your system is running the latest release (stable or development). Lastly, verify the installed version.
nginx -v
# output
nginx version: nginx/1.6.0
If anything went wrong or you want to install nginx for another operating system (Debian, Red Hat, CentOS, Windows, …), you can get more information within the nginx installation wiki.