Latest news with #ConfluentPlatform
Yahoo
3 days ago
- Business
- Yahoo
1 Under-the-Radar AI Stock With 50% Upside Potential
In today's increasingly digital world, the speed at which data is captured, processed, and acted upon is critical. That's where Confluent (CFLT), a technology company valued at a market capitalization of $8.1 billion, enters the picture. Founded by the original creators of Apache Kafka, Confluent provides a cloud-native data infrastructure platform that enables organizations to connect, store, and process real-time data streams at scale. Confluent stock has dipped 14% year-to-date (YTD), compared to the S&P 500 Index's ($SPX) gain of 1.9% YTD. Nonetheless, Wall Street believes CFLT stock has more than 50% upside potential over the next year. Let's see whether the stock is currently a buy. Confluent follows a hybrid business model, providing both a self-managed software platform and a fully managed cloud offering. Subscriptions and usage-based pricing, which are increasingly popular among large enterprises due to their flexibility and scalability, generate revenue for the company. Is Palantir Stock Poised to Surge Amidst the Israel-Iran Conflict? CoreWeave Stock Is Too 'Expensive' According to Analysts. Should You Sell CRWV Now? Grains, Unrest, & Gold: What Middle East Tensions Mean for Your Portfolio Now Our exclusive Barchart Brief newsletter is your FREE midday guide to what's moving stocks, sectors, and investor sentiment - delivered right when you need the info most. Subscribe today! Despite a cautious enterprise cloud-spending environment, the company's first-quarter results for fiscal 2025 showed increasing momentum in subscription revenue, hybrid deployments, and new-generation offerings such as Apache Flink and Tableflow. Total revenue increased 25% year on year to $271.1 million, with adjusted earnings increasing by an impressive 60% to $0.08 per share. During the Q1 earnings call, management emphasized that the company's focus on long-term platform expansion is beginning to pay off, despite the fact that macroeconomic pressures remain, particularly in large-scale enterprise consumption. Net retention reached 117% in Q1, demonstrating customer trust in Confluent's platform. Confluent generated $260.9 million in subscription revenue during Q1, up 26% year on year (YOY) and accounting for 96% of total revenue. Confluent Cloud, a fully managed, cloud-native product, generated $142.7 million, a 34% increase YOY. Furthermore, demand for hybrid and on-premises deployments enabled the company's self-managed Confluent Platform to generate a healthy $118.2 million in revenue, up 18% from the previous year. Management stated that Confluent Platform had its best first-quarter performance in three years. Confluent's growth strategy is heavily reliant on migrating the estimated 150,000 organizations that still use open-source Kafka. Confluent added 340 net new customers during the period, marking its best quarterly performance in three years. Confluent's balance sheet showed $1.9 billion in cash, cash equivalents, and marketable securities at the quarter's end. The company also generated $4.9 million in positive free cash flow (FCF) during the quarter, a sign of cost discipline. Management reaffirmed its fiscal 2025 guidance with cautious optimism. Subscription revenue could increase by 19% to 20%, reaching $1.1 billion. Likewise, adjusted net income per share could be around $0.36 per share, compared to $0.29 in fiscal 2024. Additionally, analysts predict earnings will rise by 30.7% to $0.47 by fiscal 2026. Despite being a small company, Confluent is rapidly growing. Its inclusion in mission-critical workloads is what distinguishes it. This technology is not experimental. In fact, it provides real-time network solutions to a variety of industries, including telecommunications, retail logistics and supply chain, and financial services fraud detection. On Wall Street, CFLT stock is rated as a 'Moderate Buy.' Of the 31 analysts covering the stock, 20 rate CFLT as a 'Strong Buy,' three recommend it as a 'Moderate Buy,' seven call it a "Hold,' and one suggests that it is a 'Moderate Sell.' The average target price of $28.14 per share suggests an upside of 17.5% above current levels. The Street-high target price of $36 implies that shares could rally 50.4% over the next 12 months. As the demand for real-time data infrastructure increases, particularly in artificial intelligence (AI) and edge computing, so will the demand for the Confluent's services. For long-term investors, Confluent provides an appealing combination of secular tailwinds, a deep technical moat, high gross margins, and a strong cloud growth engine. However, as a high-growth stock, it trades at a premium of 66x forward earnings. Consequently, risk-averse investors may want to wait for a better entry point. On the date of publication, Sushree Mohanty did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on
Yahoo
23-05-2025
- Business
- Yahoo
5 Big Data Stocks to Buy for Stellar Returns in the Short Term
Big Data refers to a vast and diverse collection of structured, unstructured and semi-structured data that inundates businesses on a day-to-day basis. The big data space focuses on companies that process, store and analyze data, and provide data mining, transformation, visualization and predictive analytics tools. Here, we have selected five such companies — Confluent Inc. CFLT, Blackbaud Inc. BLKB, Sprout Social Inc. SPT, HubSpot Inc. HUBS and Teradata Corp. TDC. These stocks have double-digit short-term price upside potential. Each of our picks carries either a Zacks Rank #1 (Strong Buy) or 2 (Buy). You can see the complete list of today's Zacks #1 Rank stocks here. Big Data is utilized in advanced analytics applications like predictive modeling and machine learning to solve business problems and make informed decisions. The latest high-end digital mobility advancements, including the Internet of Things (IoT) and artificial intelligence (AI), have led to rapid growth in data. Consequently, new big data tools have emerged to collect, process, and analyze data to derive maximum value out of it. Big data offers corporations better decision-making and risk management abilities. It has also increased agility and innovation, making operations more efficient and resulting in improved customer experiences. The chart below shows the price performance of our five picks in the past month. Image Source: Zacks Investment Research Zacks Rank #2 Confluent operates a data streaming platform in the United States and internationally. CFLT provides platforms that allow customers to connect their applications, systems, and data layers comprising Confluent Cloud, a managed cloud-native software-as-a-service (SaaS), and Confluent Platform, an enterprise-grade self-managed software. CFLT serves banking and financial services, retail and ecommerce, manufacturing, automotive, telecommunication, gaming, insurance, and technology industries, as well as the public sector. CFLT has an expected revenue and earnings growth rate of 19% and 32.4%, respectively, for the current year. The Zacks Consensus Estimate for current-year earnings has improved 20.5% in the past 30 days. The short-term average price target of brokerage firms for the stock represents an increase of 28.9% from the last closing price of $21.05. The brokerage target price is currently in the range of $22-$36. This indicates a maximum upside of 71% and no downside. Zacks Rank #1 Blackbaud is engaged in the provision of cloud software and services in the United States and internationally. BLKB's first-quarter 2025 results reflect solid execution of its strategic goals, with organic revenue growth, improved profitability and stock buybacks. BLKB remains on track to achieve Rule of 45 status by 2030 and expects continued free cash flow margin expansion. Robust free cash flow cushions BLKB's stock repurchase strategy. In the first quarter, BLKB repurchased around 4% of its outstanding shares, aligning with its 2025 plan to buy back 3% to 5%. Adjusted EBITDA margin reached 34.3% in the first quarter. For 2025, Blackbaud expects adjusted EBITDA margin in the range of 34.9% to 35.9%. Blackbaud has an expected revenue and earnings growth rate of -3.1% and 17.9%, respectively, for the current year. The Zacks Consensus Estimate for current-year earnings has improved 8.4% in the past 30 days. The short-term average price target of brokerage firms for the stock represents an increase of 10.7% from the last closing price of $62.12. The brokerage target price is currently in the range of $60-$85. This indicates a maximum upside of 36.8% and a maximum downside of 3.4%. Zacks Rank #2 Sprout Social designs, develops, and operates a web-based social media management platform in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. SPT provides cloud software for social messaging, data and workflows in a unified system of record, intelligence, and action. SPT offers AI-powered solutions, such as publishing and scheduling, social customer care, reporting and analytics, social listening and business intelligence, reputation management, social commerce, influencer marketing, employee advocacy, and automation and workflows. Sprout Social has an expected revenue and earnings growth rate of 11.3% and 20.6%, respectively, for the current year. The Zacks Consensus Estimate for current-year earnings has improved 10.3% in the past 30 days. The short-term average price target of brokerage firms for the stock represents an increase of 30.7% from the last closing price of $21.55. The brokerage target price is currently in the range of $18-$42. This indicates a maximum upside of 94.9% and a maximum downside of 16.5%. Zacks Rank #2 HubSpot provides a cloud-based customer relationship management platform for businesses in the Americas, Europe, and the Asia Pacific. HUBS is witnessing steady multi-hub adoption from enterprise customers in the premium market. Pricing optimization in HUBS' starter edition is leading to solid client additions in the lower end of the market. The integration of HubSpot AI, which includes state-of-the-art features, such as AI assistance, AI agents, AI insights and ChatSpot, is driving more value to customers. HUBS' seat pricing model lowers the barrier for customers to get started with its business and mitigates pricing friction for upgrades. The growing adoption of inbound applications is a tailwind. HubSpot has an expected revenue and earnings growth rate of 15.4% and more than 100%, respectively, for the current year. The Zacks Consensus Estimate for current-year earnings has improved 49% in the past 30 days. The short-term average price target of brokerage firms for the stock represents an increase of 19% from the last closing price of $621.25. The brokerage target price is currently in the range of $645-$930. This indicates a maximum upside of 49.7% and no downside. Zacks Rank #2 Teradata provides a connected hybrid cloud analytics and data platform in the United States and internationally. TDC is benefiting from strong cloud ARR growth. TDC's AI and hybrid cloud innovations, supported by strategic partnerships with NVIDIA, Microsoft, and Google are strengthening its market position. TDC's advanced AI solutions, particularly in Customer Experience AI, are in high demand as businesses prioritize data-driven insights. TDC's expertise in providing scalable, cloud-based analytics positions it well in growing markets like AI, data centers, and digital transformation. Teradata has an expected revenue and earnings growth rate of -6.5% and -2.1%, respectively, for the current year. The Zacks Consensus Estimate for current-year earnings has remained unchanged in the past 30 days. The short-term average price target of brokerage firms for the stock represents an increase of 18.7% from the last closing price of $21.82. The brokerage target price is currently in the range of $21-$35. This indicates a maximum upside of 60.4% and a maximum downside of 3.8%. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Teradata Corporation (TDC) : Free Stock Analysis Report Blackbaud, Inc. (BLKB) : Free Stock Analysis Report HubSpot, Inc. (HUBS) : Free Stock Analysis Report Sprout Social, Inc. (SPT) : Free Stock Analysis Report Confluent, Inc. (CFLT) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
02-04-2025
- Business
- Yahoo
Confluent, Inc. (CFLT): Insiders Were Dumping in Q1 2025
We recently published a list of . In this article, we are going to take a look at where Confluent, Inc. (NASDAQ:CFLT) stands against other stocks insiders were selling in Q1 2025. The broader market index rose 0.2% on Tuesday amid volatility as investors awaited clarity on President Trump's tariff policy. The market also faced pressure from weaker-than-expected economic data, including a disappointing manufacturing survey and lower-than-expected job openings, according to CNBC. The blue chip companies and Nasdaq Composite also saw modest gains, with the market continuing to react to uncertainty. As this market uncertainty persists, insider trading often draws attention. While executive stock purchases can signal optimism, insider sales may stem from personal financial reasons or diversification needs. Executives typically follow pre-arranged plans, like 10b5-1, to ensure transparency. Insider trading offers insights but should be considered alongside a company's financial health and market conditions. What are some of the stocks that insiders have been selling the most in the first quarter of the year? To find out, we used Insider Monkey's insider trading stock screener, focusing only on stocks where at least five insiders had sold shares in January, February, or March. From there, we ranked the 20 stocks with the highest number of insiders selling shares. Today, we're focusing on stocks that insiders have been heavily selling during the first three months of the year. Using Insider Monkey's insider trading screener, we identified stocks where at least five insider sales totaled $1 million or more. While the overall value of insider sales for these stocks may be higher, we specifically focused on sales worth $1 million or more. From the stocks that met this criterion, we selected the 20 with the highest number of insider sales of $1 million or more. Our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds, focusing on insider trading and stock picks from hedge fund investor newsletters and conferences. Our quarterly newsletter's strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (). With each stock, we note the average price per share of these purchases and the stock's market capitalization. A team of consultants in suits, discussing the importance of stream governance for real-time data. Total value of insider sales in Q1: $44.02 million Insiders with $1M+ sales: 6 Confluent, Inc. (NASDAQ:CFLT) is a data streaming platform provider, ranked fifteenth among 20 stocks insiders were selling in Q1 2025. Based in Mountain View, California, the company offers platforms like Confluent Cloud, a cloud-native SaaS, and Confluent Platform, an enterprise-grade self-managed software, enabling clients to connect applications, systems, and data layers. In February and March, eight insiders, including the CEO, and CFO, sold $44.02 million worth of Confluent shares at an average price of $32.67 per share. Currently, the stock trades at $22.96 per share, having lost 17.90% year-to-date and 23.07% over the past 12 months. For fiscal 2024, Confluent (NASDAQ:CFLT) reported revenue of $936.6 million, a 24% increase from the previous year's $777.0 million. The company's GAAP operating loss was $419.1 million, an improvement from the $478.8 million loss in 2023. Looking ahead to fiscal 2025, Confluent (NASDAQ:CFLT) expects subscription revenue to range from $1.117 billion and $1.121 billion. Confluent (NASDAQ:CFLT) stock has an average 'Buy' rating from 29 analysts, with a 12-month price target of $35.17, representing a 53.18% upside, according to StockAnalysis. Overall, CFLT ranks 15th on our list of stocks insiders were selling in Q1 2025. While we acknowledge the potential of CFLT our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than CFLT but that trades at less than 5 times its earnings, check out our report about the . READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey.
Tahawul Tech
10-03-2025
- Business
- Tahawul Tech
sccc by stc Archives
Confluent Platform is now available as a fully managed service through (sccc by stc) Saudi Cloud Computing Company, delivering the power of real-time data to more businesses in the Kingdom.
Tahawul Tech
10-03-2025
- Business
- Tahawul Tech
enterprise-ready data streaming Archives
Confluent Platform is now available as a fully managed service through (sccc by stc) Saudi Cloud Computing Company, delivering the power of real-time data to more businesses in the Kingdom.
