Why Shares of Anaplan Rose 34.9% in August
Shares of cloud-based enterprise-planning software company Anaplan (NYSE: PLAN) rose 34.9% in August, according to data from S&P Global Market Intelligence. The stock went up after a late August second-quarter earnings release that surpassed expectations. Unlike many other software-as-a-service (SaaS) stocks, Anaplan had not yet exceeded its February highs, since many enterprises held off on large-scale software purchases like Anaplan's in the first quarter. But it looks like the company found its footing during the summer.
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In the second quarter, Anaplan grew revenue 26%, but more importantly, subscription revenue increased at a higher 32%. Remaining performance obligations, which factor in subscriptions paid up front in the quarter, matched subscription revenue growth of 32%, which is also a good sign. Those numbers beat analyst expectations, as did the company's Q3 revenue guidance of $109 million to $110 million, above the $107.8 million average analyst consensus.
Source Fool.com
