Autodesk, a maker of software for computer-aided design and workflows, late Tuesday beat expectations for its fiscal third quarter, but provided a mixed outlook for the current period. Still, ADSK stock rose in extended trading.
The San Francisco-based company earned an adjusted $2.07 a share on sales of $1.41 billion in the quarter ended Oct. 31. Analysts polled by FactSet had expected Autodesk earnings of $1.99 a share on sales of $1.39 billion. On a year-over-year basis, Autodesk earnings rose 22% while sales climbed 10%.
For the current quarter, Autodesk predicted adjusted earnings of $1.94 a share on sales of $1.43 billion. That's based on the midpoint of its guidance. Analysts had been looking for earnings of $2.01 a share on sales of $1.43 billion in the fiscal fourth quarter. In the year-earlier period, Autodesk earned $1.86 a share on sales of $1.32 billion.
"Overall market conditions and the underlying momentum of the business remained similar to the last few quarters," Chief Financial Officer Debbie Clifford said in a news release. "Our financial performance in the third quarter was strong with much of the outperformance coming from larger-than-expected expansions of existing EBAs (enterprise business agreements)."
ADSK Stock Is A Recent Breakout
In after-hours trading on the stock market today, ADSK stock climbed 3.8% to 226. During the regular session Tuesday, ADSK stock slid 0.9% to close at 217.67.
On Nov. 14, ADSK stock broke out of a double-bottom base at a buy point of 215.44, according to IBD MarketSmith charts. However, Autodesk shares have trended sideways for a year and a half.
Last week, Autodesk promoted its innovations in artificial intelligence at a conference in Las Vegas. The company introduced Autodesk AI for its Design and Make Platform. The new service provides intelligent assistance and generative capabilities to help designers with projects and improve workflows.
Autodesk makes software for the architecture, engineering, construction, product design, manufacturing, media and entertainment markets.
Autodesk ranks sixth out of 12 stocks in IBD's Computer Software-Design industry group, according to IBD Stock Checkup. ADSK stock has an IBD Composite Rating of 88 out of 99.
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