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Just spent about a day's worth of time to do my due-D of Alteryx $AYX. God I wish AYX can automate it. 
A leader in Gardner's magic quadrant for DS and ML platforms.
This is a thread on $AYX, one platform to automate it all.
Credits to @StackInvesting @hhhypergrowth
(1/N)
A leader in Gardner's magic quadrant for DS and ML platforms.
This is a thread on $AYX, one platform to automate it all.
Credits to @StackInvesting @hhhypergrowth
(1/N)
We all know the value of data, but very little of us know how to extract insights & derive its value. $AYX is on every stage of a BI project, from:
Prep, Manipulation, Analysis, Modelling, Deploying (my opinion).
Every employee deals with data, & $AYX empowers them.
(2/N)
Prep, Manipulation, Analysis, Modelling, Deploying (my opinion).
Every employee deals with data, & $AYX empowers them.
(2/N)
Their core service revolves around their Designer application. Designer provides the pipeline with which data goes in as input, & insights/information come out as output. With drag & drop items, even employees without any coding/modelling background can deliver insights.
(3/N)
(3/N)
Everybody must've had pain points trying to consolidate data from multiple points & trying to work the analysis in Excel. Oh the date formatting! 
With $AYX's Designer, the magic happens with a click.
Famously known as their 'land' in land & expand strategy.
(4/N)
With $AYX's Designer, the magic happens with a click. Famously known as their 'land' in land & expand strategy.
(4/N)
As the user realizes the potential, word gets out & more people start using it. With more users, there is value in bigger projects, which require strong collaborative management tools & computing resources.
Meet Server, offering a self-serve analytics platform.
(5/N)
Meet Server, offering a self-serve analytics platform.
(5/N)
Server provides:
1) Enterprise scalability (depending if on-prem or cloud server)
2) Sharing & collaboration
3) Analytics governance
The platform allows for a centralized server for job scheduling & automation for analytical workflows, among others.
(6/N)
1) Enterprise scalability (depending if on-prem or cloud server)
2) Sharing & collaboration
3) Analytics governance
The platform allows for a centralized server for job scheduling & automation for analytical workflows, among others.
(6/N)
Connect & Promote are the other 2 offerings, extensions to Server.
Connect: links up $AYX users in an enterprise-wide collaborative engine.
Promote: manages the deployment, mgmt., monitoring of predictive models into real-time production Applications.
(7/N)
Connect: links up $AYX users in an enterprise-wide collaborative engine.
Promote: manages the deployment, mgmt., monitoring of predictive models into real-time production Applications.
(7/N)
I don't think I've done a great job in explaining them, but @StackInvesting's article speaks in-depth about these 4 products. I referenced heavily on that article to understand the products. Thanks!
https://softwarestackinvesting.com/alteryx-ayx-q1-2020-earnings-results-review/#more-1414
(8/N)
https://softwarestackinvesting.com/alteryx-ayx-q1-2020-earnings-results-review/#more-1414
(8/N)
In Q2'20 $AYX pivoted from the 'empowering of citizen data scientists' to being a leader in 'Analytic Process Automation'. This (imo) encompasses a wider value proposition, into being the only pipeline where enterprises can 'deliver better & faster business outcomes'.
(9/N)
(9/N)
With that, they also introduced 2 new products:
Analytics Hub & Intelligence Suite. The hub is a 'our next-generation automation & collaboration product', whereas the Suite is a 'our augmented machine learning and text mining product'.
(10/N)
Analytics Hub & Intelligence Suite. The hub is a 'our next-generation automation & collaboration product', whereas the Suite is a 'our augmented machine learning and text mining product'.
(10/N)
These tie in together into the vision of a platform that "unifies analytics, data science & BPA in 1 self-service platform to accelerate digital transformation, deliver high-impact biz outcomes, accelerate the democratization of data & rapidly upskill modern workforces"
(11/N)
(11/N)
@hhhypergrowth's article on this new APA platform shows exactly the direction & trajectory of where $AYX is heading towards. This helped me understand a great deal about their new offering. Thanks!
https://hhhypergrowth.com/an-alteryx-platform-review/
(12/N)
https://hhhypergrowth.com/an-alteryx-platform-review/
(12/N)
Financials:
DBNER from 134% -> 126% over the past 6 Qs.
Cust. growth ~ +400 QoQ past few Qs.
Gross Margins at 90%.
They are currently guiding for just a 10-11% YoY rev increase for FY20 (too conservative imo). We'd have to see Q3 for the use of their new platform.
(13/N)
DBNER from 134% -> 126% over the past 6 Qs.
Cust. growth ~ +400 QoQ past few Qs.
Gross Margins at 90%.
They are currently guiding for just a 10-11% YoY rev increase for FY20 (too conservative imo). We'd have to see Q3 for the use of their new platform.
(13/N)
I am a simple person, & coming from a Business Analyst background (was my major), I can see the clear value of a platform like $AYX & the benefits it will bring to any company wanting better & more insightful business outcomes.
(14/N)
(14/N)
Price got beaten down ~30% after Q2 results, but if anything that makes $AYX even more attractive now.
I will buy a starter position first, before adding to the position with next month's contributions.
(15/N)
I will buy a starter position first, before adding to the position with next month's contributions.
(15/N)
If you reached here, it means you had the patience to sit through bang avg thread writing. Thanks for your patience, & this awful exercise (1 hour+) will make me a better investor, as I'm then able to articulate my investment thesis.
Work hard, Invest harder.
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Work hard, Invest harder.
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