This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Tableau Software Surges: What Wall Street's Saying

Stocks in this article: DATA

NEW YORK (TheStreet) -- Tableau Software (DATA) shares surged 14% to $90.52 in early Wednesday trading after the analytics company posted exceptionally strong fourth-quarter results.

Seattle-based Tableau earned 20 cents a share on $81.5 million in sales. This number blew past Wall Street expectations, with analysts expecting the company to post break even earnings and revenue of $67 million.

Boosting sales this quarter was exceptional growth in license revenue, which accounted for 71% of total revenue, or $58 million. License revenue jumped 93% year over year, a key metric for cloud computing companies. Maintenance revenue doubled from the year-ago quarter to $23.4 million.

DATA ChartDATA data by YCharts

Here's what several Wall Street analysts had to say:

Credit Suisse analyst Philip Winslow (Neutral, $85 PT)

"Tableau reported December quarter results with revenue, deferred revenue, and cash flow above consensus estimates-with 93.0% year-over-over license growth driven by large deal signings (with deals greater than $100,000 nearly tripling year over year to 179 from the average of 60 per quarter in 2012), expansion into international markets (for which revenue grew 125% year over year), and the addition of over 1,800 new customers (an increase of 75% year over year versus an increase of 64% in the prior quarter). We believe that the release of Tableau 8 contributed much of the reacceleration in growth over the past three quarters. We remain encouraged by Tableau's continued focus on driving license growth both domestically and abroad, as well as maintaining strong renewal rates. Tableau's December quarter results reinforce our thesis that Tableau is well positioned to disrupt and redefine the existing BI market, as well as open up an even larger revenue opportunity, by delivering powerful but simple and easy-to-use self-service analytics tools."

Cantor Fitzgerald analyst Brian White (Buy, $104 PT)

"Last night, Tableau delivered the strongest 4Q:13 print in our universe this earnings season and offered up a healthy 2014 outlook that we believe speaks to the company's momentum around the Big Data trend. Tableau grew new customer accounts at a healthy clip in 4Q:13, showed a strong uptick in the number of transactions over $100K, and we believe it has reached an inflection point in international markets. As such, we are increasing our revenue estimates for 2014 and 2015, while raising our 12-month price target to $104.00 (from $88.00). We also believe Tableau's strong 4Q:13 print could have implications for those companies closely tied to the Big Data trend, including Splunk."

Deutsche Bank analyst Karl Keirstead (Buy, $100 PT)

"Tableau posted outstanding Q4 results with revenues of $81.5mn (+95% y/y) versus our $69mn (+64% y/y) estimate. Outperformance on license revenues (93% growth) also contributed to upside in EPS at $0.20 versus our modeled break-even EPS. Tableau is seeing greater momentum internationally (up over 100% in 4Q and now 22% of the mix) and larger deals. Momentum and adoption still strong despite the boost from a year-end budget flush. We believe the 2014 outlook for 40% growth is conservative."

JMP Securities analyst Greg McDowell (Outperform, $105 PT)

"The revenue upside was driven by an impressive 179 deals over $100k (versus our estimate of 135) and a larger number of customer account additions than we were expecting (1,800 versus our estimate of 1,400), and our sense is that the company vastly exceeded its own internal stretch goal for the quarter, evidence to us that Tableau's presence in
the marketplace is accelerating. Stepping back, we continue to like Tableau because it has an ambitious vision to democratize one of the biggest areas of spending in IT - business analytics, it has a rapidly expanding customer base, and one of the fastest growth rates in our coverage universe."

--Written by Chris Ciaccia in New York

>Contact by Email.

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,778.15 +421.28 2.43%
S&P 500 2,061.23 +48.34 2.40%
NASDAQ 4,748.3960 +104.0840 2.24%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs