What Happened:
Shares of data analytics and automation platform Alteryx jumped 5.68% in the after-market session after Bank of America's analyst upgraded the stock from Neutral (Hold) to Buy, with a corresponding increase in the price target from $60 to $70.
What is the market telling us:
Alteryx's shares are quite volatile and over the last year have had 35 moves greater than 5%. In context of that, today's move is indicating the market considers this news meaningful but not something that would fundamentally change its perception of the business. The previous big move was about one month ago, when the stock dropped 15.7% on the news that the company reported first-quarter revenue that narrowly missed analysts' forecasts, but its earnings per share and free cash flow came in above expectations. In addition, sales guidance for the next quarter and full year fell short of the consensus estimates. Overall, it was a weaker quarter for the company, which has consistently exceeded growth expectations in the past year.
Alteryx is down 11.4% since the beginning of the year, and at $44.09 per share it is trading 36.6% below its 52-week high of $69.52 from February 2023. Investors who bought $1,000 worth of Alteryx's shares 5 years ago would now be looking at an investment worth $1,260.
Is now the time to buy Alteryx? Access our full analysis of the earnings results here, it's free.