Appian (APPN) Reports Earnings Tomorrow: What To Expect

Low code software development platform provider Appian (Nasdaq: APPN) will be announcing earnings results tomorrow before the bell. Here’s what to expect.

Appian beat analysts’ revenue expectations by 2.5% last quarter, reporting revenues of $146.5 million, up 14.7% year on year. It was a slower quarter for the company, with a miss of analysts’ billings estimates and full-year revenue guidance missing analysts’ expectations.

Is Appian a buy or sell going into earnings? Read our full analysis here, it’s free.

This quarter, analysts are expecting Appian’s revenue to grow 10.9% year on year to $152 million, slowing from the 16.3% increase it recorded in the same quarter last year. Adjusted loss is expected to come in at -$0.08 per share.

The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Appian has a history of exceeding Wall Street’s expectations, beating revenue estimates every single time over the past two years by 2.1% on average.

Looking at Appian’s peers in the automation software segment, some have already reported their Q3 results, giving us a hint as to what we can expect. Microsoft delivered year-on-year revenue growth of 16%, beating analysts’ expectations by 1.6%, and ServiceNow reported revenues up 22.2%, topping estimates by 1.9%. Microsoft traded down 6.3% following the results while ServiceNow was up 5.4%.

Read our full analysis of Microsoft’s results here and ServiceNow’s results here.

There has been positive sentiment among investors in the automation software segment, with share prices up 7% on average over the last month. Appian is up 17.3% during the same time and is heading into earnings with an average analyst price target of $33.50 (compared to the current share price of $38).

Here at StockStory, we certainly understand the potential of thematic investing. Diverse winners from Microsoft (MSFT) to Alphabet (GOOG), Coca-Cola (KO) to Monster Beverage (MNST) could all have been identified as promising growth stories with a megatrend driving the growth. So, in that spirit, we’ve identified a relatively under-the-radar profitable growth stock benefitting from the rise of AI, available to you FREE via this link.