Why Tableau Software Inc. Shares Soared

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Shares of Tableau Software (NYSE: DATA  ) popped 15% after the data analytics company turned in better-than-expected fourth quarter results and solid forward guidance.

So what: Quarterly sales rose 95% year over year to $81.5 million, which translated to adjusted earnings of $0.20 per diluted share. Analysts were only expecting a breakeven quarter on sales of $67 million.

Keeping in mind Q1 is typically Tableau's lightest, management expects current-quarter revenue to be in the range of $61 million to $63 million, or above expectations for sales of $60.25 million. For the full year 2014, Tableau expects revenue of $320 million to $325 million, versus estimates which called for $308.18 million. 

Now what: Tableau is also expecting non-GAAP operating losses between $15 million and $20 million this year as it invests to aggressively boost its industry position. But the company should have no problems weathering those losses considering it has no debt and almost $253 million in cash on its balance sheet.

It Tableau can continue delivering this kind of top-line growth en route to sustained long-term profitability, the stock could still prove a bargain for patient investors.

There are six more incredible growth stocks in this free report
Tableau isn't the only fast-growing company out there.

To be sure, consider the investing expertise of Motley Fool co-founder David Gardner, who has proved skeptics wrong time, and time, and time again with stock returns like 926%, 2,239%, and 4,371%. In fact, just recently one of his favorite stocks became a 100-bagger. And he's ready to do it again. You can uncover his scientific approach to crushing the market and his carefully chosen six picks for ultimate growth instantly, because he's making this premium report free for you today. Click here now for access.


Read/Post Comments (0) | Recommend This Article (0)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2825974, ~/Articles/ArticleHandler.aspx, 11/23/2014 10:06:39 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...


Advertisement