What happened
Shares of Alteryx (AYX) were gaining today after the data analytics software company announced new cloud capabilities and enhancements, including an integration with Snowflake, the data warehousing giant.
Alteryx also seemed to benefit from the broad market gains as a number of big-name companies, including Goldman Sachs and Johnson & Johnson, posted better-than-expected earnings results this morning, leading some investors to bet that a market bottom may already be in.
As of 10:05 a.m. ET, Alteryx stock was up 5.3%, while all three major indexes had gained 1.9%.
So what
In a press release this morning, Alteryx, which calls itself the analytics automation company, said that Alteryx Machine Learning is now part of its analytics cloud platform. Alteryx Machine Learning allows users without data science backgrounds to easily create automated machine learning models to do things like make predictive financial forecasts.
The company also said its Designer Cloud has dramatically improved the performance of Snowflake data processing, improving speeds by up to 20 times.
Those announcements show the company is continuing innovate at a time when investors seem skeptical of the business. The enhanced integration with Snowflake is also key to allowing its users to get more utility out of its analytics products.
Now what
Alteryx was one of the worst performers in the software sector during the pandemic. Its growth ground to a halt, and founder/CEO Dean Stoecker surprisingly stepped down.
However, its most recent earnings report showed signs of life with revenue jumping 50% to $180.6 million on a 33% increase in annual recurring revenue. The stock popped on that report, but then gave back most of those gains shortly after.
If Alteryx can maintain that growth in its third-quarter earnings report on Nov. 1, the stock could have a lot of room to bounce higher. Analysts are expecting revenue of $192.4 million, up 55% from the quarter a year ago, and see adjusted loss per share narrowing from $0.18 to $0.1.
