What happened
Shares of Alteryx (AYX +0.00%) were moving higher today after the company announced a new partnership with Snowflake (SNOW +0.00%), the cloud-based data processing platform that is one of the fastest-growing cloud stocks on the market.
Investors cheered the move, believing that tying Alteryx's fortunes to Snowflake will accelerate its growth and exposure.
As of 12:44 p.m. EST today, Alteryx stock was up 8.3%.
Image source: Getty Images.
So what
Alteryx, which provides data analytics software both through the cloud and on premise, said the partnership would further integrate "Alteryx analytics automation and data science capabilities with Snowflake's cloud platform."
The two products are seeing increasing demand around the world, and the integrated offering will allow Alteryx's tools to leverage Snowflake's computing and data sharing capabilities. The offering also comes up with a 30-day free trial, which should help drive sales and exposure for Alteryx.
Sharmila Mulligan, chief strategy and marketing officer for Alteryx, said: "Together, Alteryx and Snowflake share hundreds of joint customers, and with this new integrated offering and partnership, we will serve the growing market demand. We're excited that this closer partnership with Snowflake will further enable our customers to accelerate analytics and data science automation at scale and succeed in their digital transformation initiatives."
Now what
Integrations are key for cloud software companies like Alteryx since they make it easier to use the product, expand its market, and offer validation from other software companies.
Ordinarily, an announcement like this probably wouldn't move the stock so much, but Alteryx is trying to shake off jitters after seeing growth go from nearly doubling a year ago to grinding to a halt in the fourth quarter of 2020. Additionally, Snowflake has wowed the market since its IPO last September, and is seeing revenue more than double.
Given that growth, it's not surprising that investors are hopeful the partnership will give Alteryx a boost.
