As the craze of earnings season draws to a close, here's a look back at some of the most exciting (and some less so) results from Q1. Today we are looking at the data infrastructure stocks, starting with C3.ai (NYSE:AI).
Generating insights from system level data is an increasing priority for most businesses, but to do so requires connecting and analyzing piles of data stored and siloed in separate databases. This is the demand driver for cloud based data infrastructure software providers, who can more readily integrate, distribute and process information vs. legacy on-premise software providers.
The 4 data infrastructure stocks we track reported a mixed Q1; on average, revenues beat analyst consensus estimates by 1.78%, while on average next quarter revenue guidance was 0.1% under consensus. Technology stocks have been hit hard on fears of higher interest rates as investors search for near-term cash flows, but data infrastructure stocks held their ground better than others, with the share prices up 25.4% since the previous earnings results, on average.
Weakest Q1: C3.ai (NYSE:AI)
Founded in 2009 by enterprise software veteran Tom Seibel, C3.ai (NYSE:AI) provides software that makes it easy for organizations to add artificial intelligence technology to their applications.
C3.ai reported revenues of $72.4 million, flat year on year, beating analyst expectations by 1.5%. It was a weaker quarter for the company, with full year revenue guidance missing analysts' expectations and a decline in gross margin.
C3.ai delivered the weakest full year guidance update of the whole group. The stock is up 9.33% since the results and currently trades at $43.74.
Read our full report on C3.ai here, it's free.
Best Q1: Confluent (NASDAQ:CFLT)
Started in 2014 by the team of engineers at LinkedIn who originally built it as an internal tool, Confluent (NASDAQ:CFLT) provides infrastructure software for organizations that makes it easy and fast to collect and move large amounts of data between different systems.
Confluent reported revenues of $174.3 million, up 38.2% year on year, beating analyst expectations by 4.13%. It was a strong quarter for the company, with a decent beat of analyst estimates. In addition, revenue guidance for the next quarter and full year were in line with Consensus estimates, and the EPS outlook surpassed expectations.
Confluent achieved the strongest analyst estimates beat, fastest revenue growth, and highest full year guidance raise among its peers. The company added 84 enterprise customers paying more than $100,000 annually to a total of 1,075. The stock is up 73.5% since the results and currently trades at $34.63.
Is now the time to buy Confluent? Access our full analysis of the earnings results here, it's free.
Elastic (NYSE:ESTC)
Started by Shay Banon as a search engine for his wife's growing list of recipes at Le Cordon Bleu cooking school in Paris, Elastic (NYSE:ESTC) helps companies integrate search into their products and monitor their cloud infrastructure.
Elastic reported revenues of $279.9 million, up 17% year on year, in line with analyst expectations. It was a slower quarter for the company, with revenue guidance for the next quarter and the full year missing analysts' expectations.
The stock is down 7.28% since the results and currently trades at $66.39.
Read our full analysis of Elastic's results here.
Teradata (NYSE:TDC)
Part of point-of-sale and ATM company NCR from 1991 to 2007, Teradata (NYSE:TDC) offers a software-as-service platform that helps organizations manage their data across multiple storages and analyze it.
Teradata reported revenues of $476 million, down 4.03% year on year, in line with analyst expectations. It was a strong quarter for the company, with first-quarter annual recurring revenue (ARR), revenue, gross margin, and free cash flow surpassing expectations.
Teradata had the weakest performance against analyst estimates. The stock is up 26.3% since the results and currently trades at $51.88.
Read our full, actionable report on Teradata here, it's free.
The author has no position in any of the stocks mentioned