What happened

Shares of Appian (APPN -1.59%) were moving higher today after the maker of low-code cloud software got a bullish note from Hedgeye, which added the stock to its "best ideas" list.

As a result, the stock was up 8.9% as of 11:24 a.m. EDT on Thursday.

A woman on a computer in a server room

Image source: Getty Images.

So what

Hedgeye said it sees "product and market demand upside of 3x over time as low-code goes from marginal to mainstream, and as APPN goes from #2 to clear #1." The leader that Hedgeye is referring to is probably Microsoft, though Appian is considered the leading independent, low-code platform.

Hedgeye also said that Appian is making smart moves on pricing, community growth, and partner integration to boost user growth. The research firm will host a presentation on Appian on Monday to further explain its bull case for the stock.

Now what

Appian stock has been all over the map since last November as shares charged higher after a strong third-quarter earnings report and what appeared to be an extended short squeeze. After reaching a top at $260 a share in February, the stock is down by about 50% even with today's gains. 

Still, analysts seem to be taking notice of the company's momentum in its high-margin, cloud-subscription business as it pivots away from professional services revenue. Last week, the stock was upgraded by Macquarie, and while shares are still pricey at a price-to-sales ratio of 25, Appian appears to have a bright future as the pandemic helped highlight the advantages of low-code software.

Hedgeye's presentation on Monday could move the stock again.