Let’s dig into the relative performance of Palantir (NYSE:PLTR) and its peers as we unravel the now-completed Q2 data analytics earnings season.
Organizations generate a lot of data that is stored in silos, often in incompatible formats, making it slow and costly to extract actionable insights, which in turn drives demand for modern cloud-based data analysis platforms that can efficiently analyze the siloed data.
The 5 data analytics stocks we track reported a satisfactory Q2. As a group, revenues beat analysts’ consensus estimates by 2.6% while next quarter’s revenue guidance was in line.
Inflation progressed towards the Fed's 2% goal recently, leading the Fed to reduce its policy rate by 50bps (half a percent or 0.5%) in September 2024. This is the first cut in four years. While CPI (inflation) readings have been supportive lately, employment measures have bordered on worrisome. The markets will be debating whether this rate cut's timing (and more potential ones in 2024 and 2025) is ideal for supporting the economy or a bit too late for a macro that has already cooled too much.
Luckily, data analytics stocks have performed well with share prices up 23.3% on average since the latest earnings results.
Started by Peter Thiel after seeing US defence agencies struggle in the aftermath of the 2001 terrorist attacks, Palantir (NYSE:PLTR) offers software as a service platform that helps government agencies and large enterprises use data to make better decisions.
Palantir reported revenues of $678.1 million, up 27.2% year on year. This print exceeded analysts’ expectations by 3.9%. Overall, it was a very strong quarter for the company with an impressive beat of analysts’ billings estimates and optimistic revenue guidance for the next quarter.
Palantir scored the biggest analyst estimates beat and highest full-year guidance raise of the whole group. Unsurprisingly, the stock is up 52.8% since reporting and currently trades at $36.81.
Read why we think that Palantir is one of the best data analytics stocks, our full report is free.
Samsara (NYSE:IOT)
One of the few public companies where Marc Andreessen is a Board member, Samsara (NYSE:IOT) provides software and hardware to track industrial equipment, assets, and fleets.
Samsara reported revenues of $300.2 million, up 36.9% year on year, outperforming analysts’ expectations by 3.7%. The business had a strong quarter with an impressive beat of analysts’ billings estimates and a decent beat of analysts’ ARR (annual recurring revenue) estimates.
Samsara scored the fastest revenue growth among its peers. The market seems happy with the results as the stock is up 21.2% since reporting. It currently trades at $47.00.
Is now the time to buy Samsara? Access our full analysis of the earnings results here, it’s free.
Slowest Q2: Health Catalyst (NASDAQ:HCAT)
Founded by healthcare professionals Tom Burton and Steve Barlow in 2008, Health Catalyst (NASDAQ:HCAT) provides data and analytics technology to healthcare organizations, enabling them to improve care and lower costs.
Health Catalyst reported revenues of $75.9 million, up 3.7% year on year, exceeding analysts’ expectations by 1.2%. Still, it was a slower quarter as it posted a decline in its gross margin.
Health Catalyst delivered the weakest performance against analyst estimates and weakest full-year guidance update in the group. Interestingly, the stock is up 46.2% since the results and currently trades at $8.04.
Read our full analysis of Health Catalyst’s results here.
Amplitude (NASDAQ:AMPL)
Born out of a failed voice recognition startup by founder Spenser Skates, Amplitude (NASDAQ:AMPL) is data analytics software helping companies improve and optimize their digital products.
Amplitude reported revenues of $73.3 million, up 8.2% year on year. This print surpassed analysts’ expectations by 1.8%. It was a strong quarter as it also logged an impressive beat of analysts’ billings estimates and a decent beat of analysts’ ARR (annual recurring revenue) estimates.
The company added 254 customers to reach a total of 3,224. The stock is up 8.9% since reporting and currently trades at $8.68.
Read our full, actionable report on Amplitude here, it’s free.
Domo (NASDAQ:DOMO)
Founded by Josh James after selling his former business Omniture to Adobe, Domo (NASDAQ:DOMO) provides business intelligence software that allows managers to access and visualize critical business metrics in real-time, using their smartphones.
Domo reported revenues of $78.41 million, down 1.6% year on year. This print surpassed analysts’ expectations by 2.4%. Aside from that, it was a slower quarter as it recorded a miss of analysts’ billings estimates.
Domo had the slowest revenue growth among its peers. The stock is down 7.3% since reporting and currently trades at $7.15.
Read our full, actionable report on Domo here, it’s free.
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