Bullish sentiments around Cloudera Inc. (NYSE:CLDR) stock received a boost after the company reported better than expected third-quarter earnings and Q4 outlook that topped estimates. The data analytics company market sentiments have edged higher in recent months amid the strength of the rapidly growing market opportunity around data analytics.
Analytics Market Opportunity
According to the Chief Executive Officer, Rob Bearden, Cloudera has never been better positioned to capture the rapidly growing data management and analytics market opportunity than now. The company is becoming a key player in the provision of a hybrid multi-cloud solution.
In the third quarter, the data analytics company unveiled three new cloud-native services in CDP Public Cloud. The new enterprise data cloud services are curated for data specialists. The number of CDP Public Cloud paying customer’s, increased by more than 40%, in the quarter.
Likewise, Cloudera moved to strengthen its competitive edge and offerings in the cloud with the acquisition of Eventador. The provider of cloud-native services for streaming analytics is poised to strengthen its ambitions in the delivery of more customer value for real-time analytics with the acquisition.
Earnings Beat
Shares of the Palo Alto Company were higher after the company posted adjusted net income of 15 cents a share compared to a net loss of 3 cents a share reported a year ago. Revenue increased 10% to $217.9 million as subscription revenue increased 18% to $197.4 million.
The enterprise data cloud software also excited the market after projecting revenue growth in the fourth quarter and full year. Fourth-quarter revenue is expected to range between $219 million and $222 million, with Subscription revenue expected to range between $199 million and $202 million. Full-year revenue is expected to range between $862 million and $865 million.
However, it is the confirmation of a stock repurchase program that appears to have taken the market by storm. The enterprise data cloud service company intends to purchase up to $500 million in shares of common stock.