3 Reasons I'm Not Worried About Alteryx's Forecast Revenue Declines
Investors in analytics software company Alteryx (NYSE: AYX) probably weren't pleased when their shares fell nearly 20% the day after its Nov. 6 earnings report. While Alteryx actually beat analyst estimates during the third quarter, its forward guidance left something to be desired. In fact, Alteryx guided for revenue declines of 4% to 7%.
Alteryx and other software companies trade at high multiples compared to the market in anticipation of long-term growth, so a revenue decline is unexpected. However, there are several good reasons Alteryx investors shouldn't be too worried about the near-term revenue forecast.
Source Fool.com
