What happened
Shares of analytics platform provider Alteryx (AYX) jumped on Wednesday. The stock was up more than 5% as of 3:20 p.m. EDT.
Interestingly, the stock's move higher comes as one analyst lowered his price target for the tech stock. But broader-market optimism for growth stocks on Wednesday, as well as the fact that even the lowered price target is nearly double where shares are trading today, likely show why Alteryx is up today anyway.
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So what
Citi analyst Tyler Radke lowered his 12-month price target for Alteryx stock from $165 to $154 on Wednesday. With this price target representing more than 85% upside for the stock, the analyst is still bullish. Radke maintained his buy rating for shares.
Meanwhile, many tech stocks jumped sharply on Wednesday, as highlighted by the tech-heavy Nasdaq Composite's 2% gain as of this writing. This optimism in tech likely explains most of Alteryx's move higher today.
Now what
Alteryx's revenue growth has slowed recently. In the fourth quarter, its top line only increased 3% year over year. Looking ahead, however, 2021 will be a "transformation" year, the company said in its fourth-quarter update: "As our customers continue their transformation initiatives, we intend to scale our product, operations, and customer focus and deliver significant business value through the power of analytics and automation."
For the full year, Alteryx expects revenue between $555 million and $565 million, up from $496 million in 2020 and $418 million in 2019.
