Image source: Autodesk.

What: Shares of Autodesk (NASDAQ:ADSK) jumped 10.5% in February as better-than-expected earnings helped drive the stock higher.

So what: Revenue fell slightly in the fourth quarter, but the company's subscription model is gaining traction. 109,000 subscribers were added during the quarter to bring the total to 2.58 billion, and deferred revenue jumped 31% to $1.52 billion. The downside is that net loss was $32.7 million, or $0.15 per share. That beat expectations, but with GAAP net loss expected to be $2.91 to $3.32 per share in fiscal 2017, the business is yet to reach a sustainable profitable level. 

Now what: Autodesk has gone through a major business model revamp, pushing subscriptions more heavily. That has led to the decline in revenue short-term, but will lead to more consistent results in the long run. What's concerning now is that the company still isn't expecting to post a profit for the next fiscal year. Results and expectations may have been better than analysts expected in the most recent quarter, but until Autodesk proves the ability to make money, I'll sit on the sidelines of this stock.

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.