US cloud stocks slide as Piper Sandler downgrades on growth risks

Alteryx

23/10/2023 12:39

** Shares of U.S. cloud companies slide in premarket trading
after Piper Sandler downgrades several names, saying they have
less confidence in "acceleration potential"
    ** Salesforce  CRM.N  off 2.0%, Matterport  MTTR.O  down
2.0% and Unity Software  U.N  falls 3.0% after Piper cuts to
"neutral" from "overweight"
    ** Alteryx  AYX.N  down 2.7% and Asana  ASAN.N  off 4.7%
after brokerage cuts to "underweight" from "neutral"
    ** Piper says 2024 growth estimates appear too high, while
unique visitor growth trends for several of the companies slowed
meaningfully in September 
    ** Says, budget priority has shifted in favor of
implementing and testing generative AI features; sees risk of
hitting airpocket in H2
    ** Also adds, sentiment remains mixed on interest rates and
macro uncertainty 

 (Reporting by Sruthi Shankar in Bengaluru)
 ((sruthi.shankar@thomsonreuters.com;))