Please ensure Javascript is enabled for purposes of website accessibility
Free Article Join Over 1 Million Premium Members And Get More In-Depth Stock Guidance and Research

Why Anaplan Stock Jumped Today

By Evan Niu, CFA - Nov 24, 2020 at 1:25PM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The enterprise planning specialist reports strong quarterly results.

What happened

Shares of Anaplan ( PLAN 5.71% ) have jumped as much as 12% today after the company reported fiscal third-quarter earnings. The results topped expectations and the company provided a strong outlook for the fourth quarter. As of 12:50 p.m. EST, the stock was up 9%.

So what

Revenue in the fiscal third quarter increased 28% to $114.9 million, topping the consensus estimate of $109.7 million. That resulted in an adjusted net loss per share of $0.05, which was better than the $0.10 per share in adjusted losses that Wall Street analysts were modeling for. The software-as-a-service (SaaS) enterprise planning software provider finished the quarter with $296.8 million in cash.

Anaplan logo at headquarters

Image source: Anaplan.

"We delivered a strong quarter as companies prioritize investments toward initiatives that drive incremental business value," CEO Frank Calderoni said in a statement. "By using our Connected Planning platform, our customers stay ahead of their competition with the ability to adjust and adapt quickly to an everchanging environment."

Now what

Guidance for the fourth quarter calls for revenue of $118.5 million to $119.5 million, slightly ahead of the consensus estimate of $118.4 million. Billings are forecast in the range of $152 million to $153 million, compared to the $151 million that analysts are expecting.

Anaplan boosted its full-year guidance and now expects total revenue of $444 million to $445 million in fiscal 2021, up from its prior outlook of $437 million to $439 million. The company expects adjusted operating margin of negative 9% to negative 10% this year, an improvement compared to the previous guidance of negative 11% to negative 12%.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium advisory service. We’re motley! Questioning an investing thesis – even one of our own – helps us all think critically about investing and make decisions that help us become smarter, happier, and richer.

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Stocks Mentioned

Anaplan Stock Quote
Anaplan
PLAN
$43.85 (5.71%) $2.37

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning service.

Stock Advisor Returns
624%
 
S&P 500 Returns
140%

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 12/07/2021.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Our Most Popular Articles

Premium Investing Services

Invest better with the Motley Fool. Get stock recommendations, portfolio guidance, and more from the Motley Fool's premium services.