Tableau Software Inc (NYSE:DATA) blew the doors off Wall Street last week after reporting fourth quarter sales that far exceeded analysts’ expectations. Just call the mid-cap tech company the little engine that could.
And if you’re looking for a big data stock right now, you may want to give DATA stock serious consideration, for the following reasons:
Earnings and Revenue Outpaced Expectations: DATA stock reported sales of $143 million for Q4 2014, an increase of 75% compared to the same period last year. The consensus among analysts was that DATA would do just $123 million for the quarter. Also, Tableau reported EPS of 42 cents, almost four times the expectations of 11 cents a share! Considering those numbers, it’s no wonder analysts at Cantor Fitzgerald raised the price target of DATA stock from $130 to $150.
DATA Stacks Up Well against Competitors: When compared against its rivals, DATA is leaving other tech companies in the dust. In the past six months, DATA stock is up a whopping 59%, whereas Teradata Corporation (NYSE:TDC) saw a loss of 3.3% and Qlik Technologies Inc (NASDAQ: QLIK) saw an increase of 7.4%.
SPLK Stock May Repeat Tableau Earnings Success
After Tableau earnings resulted these strong numbers and soared as a result, it’s a very good sign for Big Data players in general.
That means another stock to consider is Splunk Inc (NASDAQ:SPLK), which was also a big winner on Wall Street, rising 47.8% in the past six months.
SPLK is set to announce fourth quarter fiscal and full year reports on Feb. 26. And, like DATA, the numbers may exceed analysts’ predictions and result in big gains..
The smart investor will want to get in before SPLK stock jumps even higher. Analysts estimate SPLK’s revenue will climb 31.6% across this year.
Everyone knows the lure of tech companies. They’re innovative, growth companies on the rise with huge upside if they hit and major downside if they miss. Both DATA and SPLK appear to be two such companies with no signs of slowing in the immediate future. Dealing in areas ranging from information technology to academic research to cyber-security, DATA and SPLK are players in the cutting-edge – and highly lucrative – field of computer software.
Although caution should never be ruled out when considering high tech stocks, DATA and SPLK appear to be two stocks to give attention to. DATA has shown increases in its Q4 2014 earnings report that outpaced analysts’ predictions and SPLK, which releases it Q4 2014 report later this month, appears to be on a similar upward swing.
Investors looking for a big way to play Big Data should consider both Tableau and Splunk as some of the best tech stocks to buy now.
As of this writing, Will Emerson did not hold a position in any of the aforementioned securities.