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Alteryx (AYX) Shows Momentum: Is It Part of Your Portfolio?

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Shares of Alteryx were up 4.9% closing at $105.00 on Jan 2. Notably, the company’s shares have returned 68.3% in the past year, outperforming industry’s growth of 21.3%.

The momentum can be attributed to robust adoption of the company’s self-service data science and analytics platform.

Further, the company has a remarkable earnings surprise history. It outpaced the Zacks Consensus Estimate in the trailing four quarters by 129.17%, on average.

Moreover, the company has a long-term expected EPS growth rate of 39.85%.

Price Performance



Let’s delve deeper and analyze the factors expected to drive this Zacks Rank #1 (Strong Buy) company’s financial performance in the days ahead. You can see the complete list of today’s Zacks #1 Rank stocks here.

Keys Growth Drivers

Alteryx is well poised to benefit from an expanding clientele, driven by increasing demand for a self-service data science and analytics platform.

Moreover, growing clout of the company’s brand and solutions, particularly among Global 2000 clients, is a tailwind.

Markedly, in the last reported quarter, dollar-based net expansion rate was 132%. The company added 335 net new customers, bringing the total to 5,613, including 34% from the Global 2000 list.

Notable deal wins include Amazon UK Services, Microsoft, Workday, Commonwealth Bank of Australia, Canada Post, Ingram Micro, Rakuten Marketing, and Uber Technologies.

The momentum in customer addition on strong global demand for data analytics is expected to drive the top line in the days ahead.
 

Alteryx, Inc. Revenue (Quarterly)

Alteryx, Inc. Revenue (Quarterly)

Alteryx, Inc. revenue-quarterly | Alteryx, Inc. Quote

Product Enhancements & Buyouts to Boost Business Prospects

Alteryx continues to add innovative features to its solutions including Designer, Promote and Connect, with an aim to enhance user experience. Moreover, the company is well poised to benefit from the acquisition of Feature Labs. Integration of Feature Labs' feature engineering capabilities with the Alteryx Platform is expected to accelerate analytics processes. These initiatives are expected to further expand clientele.

Additionally, rapid adoption of predictive analytics and AI modelling solutions bode well.

The company’s investments in strengthening global sales organization and developer talent base is expected to bolster international customer base, going ahead. Notably, in the last reported quarter, international revenues came in at $28.7 million, up 48% on a year-over-year basis.

Other Picks

Some other top-ranked stocks in the broader sector are Keysight Technologies Inc. (KEYS - Free Report) , Fortinet, Inc. (FTNT - Free Report) and Marchex, Inc. (MCHX - Free Report) . All the three stocks flaunt a Zacks Rank #1.

Long-term earnings growth rate for Keysight, Fortinet and Marchex is currently pegged at 9.1%, 14% and 15%, respectively.

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