Bank of America Recommends Buying Alteryx Software Stock for 80% Gains on Strong AI Demand

Investing.com – Bank of America (NYSE:) recommends buying this little-known software stock that can gain 80% on strong demand for artificial intelligence. This new technology trend could push Alteryx software stock to significant gains, according to the bank.

BofA raised Alteryx shares from neutral to long on Thursday and raised its price target from $60 to $70. The new target implies an 80% upside from Wednesday’s close.

Shares are down 23.2% since the start of 2023. The company is focused on data analytics for employers, and BofA sees promise in the company’s cloud segment and the application potential of artificial intelligence through its generative AI product.

“We were impressed with the product demos at Inspire and believe that AiDIN increases the value proposition and should be a catalyst to accelerate the adoption of Analytics Cloud and Designer/Server as organizations consume more products from Alteryx for data preparation and analysis to improve business insight,” said Koji Ikeda, analyst at BofA.

Koji added that Alteryx may be able to consolidate the overall analytics market through the accessibility and ease of use of its products, as well as in advance of customers who have already installed its software. .

We believe that in the long term, the company will continue to grow at a rate above the software industry (ARR) and complete its transition to an enterprise analytics platform that includes cloud-based options and on site,” Koji said.

The Investing Pro models record a fair value of $43.26 or a downside risk of 1.5%. Analysts place their price targets between $55 and $95.