What happened

Shares of analytics-software provider Alteryx (NYSE:AYX) rose about 12.5% on Wednesday. There was no company-specific news. Instead, the stock was driven higher by a broad stock market rally, as the tech-heavy Nasdaq Composite was up about 5.8% at market close.

So what

Shares of Alteryx have been volatile since the stock market sell-off began in October. The stock plummeted, recovered, plummeted again, and now has recovered again, erasing most of its losses.

AYX Chart

AYX data by YCharts.

The company's recent performance has been exceptional. Revenue grew by 59% on a year-over-year basis during the third quarter, an acceleration from the first two quarters of the year. The company also nearly broke even on a GAAP basis and quadrupled its non-GAAP earnings per share.

A cloud.

Image source: Getty Images.

Now what

Alteryx is an expensive stock, trading for around 19 times trailing-12-month sales. That lofty valuation could explain the volatility of the past few months. The company can grow into its valuation but will need to keep up its impressive growth rate.

In the long run, growing revenue and profit can drive Alteryx stock higher. Today, a rising tide lifted nearly all boats.