Health Catalyst, Veeva Systems, 8x8, Amplitude, and DocuSign Stocks Trade Down, What You Need To Know

What Happened?

A number of stocks fell in the afternoon session after a wave of competitive anxiety hit the enterprise software sector sparked by a high-profile downgrade of Adobe, triggering a broader sell-off in high-valuation cloud stocks. 

A major analyst at Oppenheimer downgraded the stock, warning that Adobe's AI tools aren't boosting sales as quickly as everyone hoped.Also, Snowflake took a direct hit after Barclays downgraded it to "Hold," citing intense pressure from heavyweights like Amazon and Oracle, who aggressively bundled their own AI data tools. Simultaneously, DocuSign and Asana struggled against the narrative that their core markets were becoming commoditized.

The stock market overreacts to news, and big price drops can present good opportunities to buy high-quality stocks.

Among others, the following stocks were impacted:

• Data Analytics company Domo fell 8.8%. Is now the time to buy Domo? Access our full analysis report here, it’s free.
• Data Analytics company Amplitude fell 5.1%. Is now the time to buy Amplitude? Access our full analysis report here, it’s free.
• Advertising Software company LiveRamp fell 5.6%. Is now the time to buy LiveRamp? Access our full analysis report here, it’s free.

Zooming In On Domo (DOMO)

Domo’s shares are extremely volatile and have had 37 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business.

The previous big move we wrote about was 5 days ago when the stock dropped 4.4% on the news that a broader market rotation out of the technology sector led to profit-taking following a recent rally. 

The move was part of a wider trend that saw high-growth technology stocks fall, with the Nasdaq experiencing the sharpest decline among the major indices. Multiple reports indicated that traders were locking in profits, particularly from the artificial-intelligence trade, which had previously seen a strong run-up. This market action represented a shift in investor focus, as money moved out of tech. 

Defense stocks emerged as the primary beneficiary of this capital shift, surging after President Trump proposed a massive $1.5 trillion defense budget for 2027. Major contractors rallied on the news, with Northrop Grumman jumping over 10% and Lockheed Martin gaining nearly 8%, providing a counterbalance to the tech slump that kept the S&P 500 flat. The rotation into heavy industry was further supported by a stabilization in energy markets, as crude prices rebounded.

Domo is down 13.1% since the beginning of the year, and at $7.21 per share, it is trading 60.4% below its 52-week high of $18.20 from September 2025. Investors who bought $1,000 worth of Domo’s shares 5 years ago would now be looking at an investment worth $111.97.

What Happened?

Shares of electronic signature company DocuSign fell 5.6% in the afternoon session after a wave of competitive anxiety hit the enterprise software sector sparked by a high-profile downgrade of Adobe, triggering a broader sell-off in high-valuation cloud stocks. 

A major analyst at Oppenheimer downgraded the stock, warning that Adobe's AI tools aren't boosting sales as quickly as everyone hoped.Also, Snowflake took a direct hit after Barclays downgraded it to "Hold," citing intense pressure from heavyweights like Amazon and Oracle, who aggressively bundled their own AI data tools. Simultaneously, DocuSign and Asana struggled against the narrative that their core markets were becoming commoditized.

What Is The Market Telling Us

DocuSign’s shares are quite volatile and have had 17 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business.

The previous big move we wrote about was 29 days ago when the stock dropped 4% on the news that investors grew increasingly concerned that the billions of dollars being invested into artificial intelligence may not generate sufficient profits. 

This sentiment fueled fears of a potential "AI bubble," leading to a significant downturn in the technology-heavy Nasdaq Composite index. The selloff was intensified after chipmaker Broadcom warned that increased sales of AI systems could lead to thinner profit margins, causing its stock to tumble. 

Subsequently, the broader market questioned whether the massive spending on chips and data centers would produce a worthwhile return on investment. This uncertainty caused a market recalibration, with investors rotating capital out of more speculative tech stocks and into more stable assets.

DocuSign is flat since the beginning of the year, and at $64.72 per share, it is trading 33.8% below its 52-week high of $97.70 from January 2025. Investors who bought $1,000 worth of DocuSign’s shares 5 years ago would now be looking at an investment worth $252.96.

As the craze of earnings season draws to a close, here’s a look back at some of the most exciting (and some less so) results from Q3. Today, we are looking at vertical software stocks, starting with Veeva Systems .

Software is eating the world, and while a large number of solutions such as project management or video conferencing software can be useful to a wide array of industries, some have very specific needs. As a result, vertical software, which addresses industry-specific workflows, is growing and fueled by the pressures to improve productivity, whether it be for a life sciences, education, or banking company.

The 14 vertical software stocks we track reported a strong Q3. As a group, revenues beat analysts’ consensus estimates by 3.7% while next quarter’s revenue guidance was in line.

While some vertical software stocks have fared somewhat better than others, they have collectively declined. On average, share prices are down 1.2% since the latest earnings results.

Veeva Systems

Originally named "Verticals onDemand" before rebranding in 2009, Veeva Systems provides cloud software, data solutions, and consulting services that help life sciences companies develop and bring products to market more efficiently.

Veeva Systems reported revenues of $811.2 million, up 16% year on year. This print exceeded analysts’ expectations by 2.3%. Overall, it was a strong quarter for the company with full-year EPS guidance beating analysts’ expectations and a solid beat of analysts’ EBITDA estimates.

The stock is down 11.2% since reporting and currently trades at $240.50.

We think Veeva Systems is a good business, but is it a buy today? Read our full report here, it’s free.

Best Q3: nCino

Born from the internal technology needs of a community bank in 2011, nCino provides cloud-based software that helps financial institutions streamline client onboarding, loan origination, and account opening processes.

nCino reported revenues of $152.2 million, up 9.6% year on year, outperforming analysts’ expectations by 3.3%. The business had an exceptional quarter with a solid beat of analysts’ billings estimates and EPS guidance for next quarter exceeding analysts’ expectations.

However, the results were likely priced into the stock as it’s traded sideways since reporting. Shares currently sit at $25.59.

Weakest Q3: Upstart

Using over 2,500 data variables and trained on nearly 82 million repayment events, Upstart is an AI-powered lending platform that uses machine learning to help banks and credit unions more accurately assess borrower risk for personal loans, auto loans, and home equity lines of credit.

Upstart reported revenues of $277.1 million, up 70.9% year on year, falling short of analysts’ expectations by 1.3%. It was a softer quarter as it posted full-year revenue guidance missing analysts’ expectations and a significant miss of analysts’ transaction volume estimates.

Upstart delivered the fastest revenue growth but had the weakest performance against analyst estimates in the group. Interestingly, the stock is up 5.8% since the results and currently trades at $49.32.

Read our full analysis of Upstart’s results here.

Agilysys

With a tech stack that powers everything from check-in to checkout at some of the world's top hospitality venues, Agilysys develops and provides cloud-based and on-premise software solutions for hotels, resorts, casinos, and restaurants to manage operations and enhance guest experiences.

Agilysys reported revenues of $79.3 million, up 16.1% year on year. This print beat analysts’ expectations by 3.1%. Overall, it was a very strong quarter as it also produced an impressive beat of analysts’ EBITDA estimates and full-year revenue guidance topping analysts’ expectations.

The stock is up 1.7% since reporting and currently trades at $117.11.

Read our full, actionable report on Agilysys here, it’s free.

Autodesk

Starting with AutoCAD in the 1980s and evolving into a comprehensive design ecosystem, Autodesk provides software solutions for architecture, engineering, construction, manufacturing, and entertainment industries to design, simulate, and visualize projects.

Autodesk reported revenues of $1.85 billion, up 18% year on year. This number surpassed analysts’ expectations by 2.4%. It was a very strong quarter as it also logged full-year EPS guidance exceeding analysts’ expectations and a solid beat of analysts’ EBITDA estimates.

The stock is down 6% since reporting and currently trades at $276.75.

Read our full, actionable report on Autodesk here, it’s free.

Over the past six months, 8x8’s stock price fell to $1.94. Shareholders have lost 5.8% of their capital, which is disappointing considering the S&P 500 has climbed by 10.8%. This may have investors wondering how to approach the situation.

Why Do We Think 8x8 Will Underperform?

Despite the more favorable entry price, we don't have much confidence in 8x8. Here are three reasons you should be careful with EGHT and a stock we'd rather own.

1. Billings Hit a Plateau

Billings is a non-GAAP metric that is often called “cash revenue” because it shows how much money the company has collected from customers in a certain period. This is different from revenue, which must be recognized in pieces over the length of a contract.

Over the last year, 8x8 failed to grow its billings, which came in at $185.5 million in the latest quarter. This performance was underwhelming and shows the company faced challenges in acquiring and retaining customers. It also suggests there may be increasing competition or market saturation.

2. Projected Revenue Growth Shows Limited Upside

Forecasted revenues by Wall Street analysts signal a company’s potential. Predictions may not always be accurate, but accelerating growth typically boosts valuation multiples and stock prices while slowing growth does the opposite.

Over the next 12 months, sell-side analysts expect 8x8’s revenue to stall, close to its 8% annualized growth for the past five years. This projection doesn't excite us and implies its newer products and services will not accelerate its top-line performance yet.

3. Long Payback Periods Delay Returns

The customer acquisition cost (CAC) payback period measures the months a company needs to recoup the money spent on acquiring a new customer. This metric helps assess how quickly a business can break even on its sales and marketing investments.

8x8’s recent customer acquisition efforts haven’t yielded returns as its CAC payback period was negative this quarter, meaning its incremental sales and marketing investments outpaced its revenue. The company’s inefficiency indicates it operates in a highly competitive environment where there is little differentiation between 8x8’s products and its peers.

Final Judgment

8x8 falls short of our quality standards. After the recent drawdown, the stock trades at 0.4× forward price-to-sales (or $1.94 per share). While this valuation is optically cheap, the potential downside is huge given its shaky fundamentals. There are more exciting stocks to buy at the moment. Let us point you toward a top digital advertising platform riding the creator economy.

As the Q3 earnings season comes to a close, it’s time to take stock of this quarter’s best and worst performers in the data analytics industry, including Amplitude and its peers.

Organizations generate a lot of data that is stored in silos, often in incompatible formats, making it slow and costly to extract actionable insights, which in turn drives demand for modern cloud-based data analysis platforms that can efficiently analyze the siloed data.

The 7 data analytics stocks we track reported a very strong Q3. As a group, revenues beat analysts’ consensus estimates by 4% while next quarter’s revenue guidance was in line.

Amidst this news, share prices of the companies have had a rough stretch. On average, they are down 12.9% since the latest earnings results.

Amplitude

Born from the realization that companies were flying blind when it came to understanding user behavior in their digital products, Amplitude provides a digital analytics platform that helps businesses understand how people use their digital products to improve user experiences and drive revenue growth.

Amplitude reported revenues of $88.56 million, up 17.7% year on year. This print exceeded analysts’ expectations by 2.6%. Overall, it was a strong quarter for the company with an impressive beat of analysts’ billings estimates and a solid beat of analysts’ EBITDA estimates.

"AI is changing how software gets built," said Spenser Skates, CEO and co-founder of Amplitude.

Interestingly, the stock is up 14.1% since reporting and currently trades at $11.00.

Best Q3: Strategy

Once a traditional business intelligence software provider, Strategy develops AI-powered enterprise analytics software while also functioning as a major corporate holder of Bitcoin cryptocurrency.

Strategy reported revenues of $128.7 million, up 10.9% year on year, outperforming analysts’ expectations by 9.1%. The business had a stunning quarter with a solid beat of analysts’ EBITDA estimates and full-year EPS guidance exceeding analysts’ expectations.

Strategy achieved the biggest analyst estimates beat among its peers. Although it had a fine quarter compared its peers, the market seems unhappy with the results as the stock is down 35.4% since reporting. It currently trades at $164.74.

Weakest Q3: Health Catalyst

Built on its "Health Catalyst Flywheel" methodology that emphasizes measurable outcomes, Health Catalyst provides data and analytics technology and services that help healthcare organizations manage their data and drive measurable clinical, financial, and operational improvements.

Health Catalyst reported revenues of $76.32 million, flat year on year, exceeding analysts’ expectations by 1.7%. Still, it was a slower quarter as it posted revenue guidance for next quarter missing analysts’ expectations significantly and EBITDA guidance for next quarter missing analysts’ expectations significantly.

As expected, the stock is down 19.8% since the results and currently trades at $2.33.

Read our full analysis of Health Catalyst’s results here.

CLEAR Secure

Recognized by its signature blue lanes and biometric pods at airport checkpoints across America, CLEAR Secure provides biometric identity verification technology that allows subscribers to bypass regular security lines at airports and access secure experiences at various venues.

CLEAR Secure reported revenues of $229.2 million, up 15.5% year on year. This print beat analysts’ expectations by 1.9%. Overall, it was a very strong quarter as it also produced an impressive beat of analysts’ EBITDA estimates and a decent beat of analysts’ revenue estimates.

The company added 57 customers to reach a total of 7,683. The stock is up 10.9% since reporting and currently trades at $35.25.

Read our full, actionable report on CLEAR Secure here, it’s free for active Edge members.

Domo

Named for the Japanese word meaning "thank you very much," Domo provides a cloud-based business intelligence platform that connects people with real-time data and insights across organizations.

Domo reported revenues of $79.4 million, flat year on year. This number met analysts’ expectations. Zooming out, it was a satisfactory quarter as it also recorded EPS guidance for next quarter exceeding analysts’ expectations but a significant miss of analysts’ billings estimates.

Domo pulled off the highest full-year guidance raise but had the weakest performance against analyst estimates and weakest performance against analyst estimates among its peers. The stock is down 28% since reporting and currently trades at $8.33.

Read our full, actionable report on Domo here, it’s free for active Edge members.

What Happened?

A number of stocks jumped in the afternoon session after investors wagered geopolitical tension would be contained following the U.S. military's operation in Venezuela, with the Dow hitting a fresh record. 

Sentiment remained firmly "risk-on" for early 2026, with Wall Street prioritizing domestic economic strength over foreign turbulence. Analysts noted that while the event raises short-term supply questions, the market largely viewed the potential stabilization of Venezuela's vast oil reserves as a long-term economic positive.Also, investor attention turned to the annual CES 2026 technology conference in Las Vegas, with artificial intelligence emerging as a central theme. 

Attention shifted to tech giants like Nvidia and AMD, whose CEOs were headlining the event. This focus continued the AI-fuelled momentum that drove market gains the previous year. The rally had global reach, with an MSCI Asia Pacific Index surge being driven by heavyweight chip names like Samsung and Taiwan Semiconductor Manufacturing Company. The event reinforced investor confidence in the long-term demand for the booming AI and chipmaking trend, boosting shares of companies across the semiconductor and technology space.

The stock market overreacts to news, and big price drops can present good opportunities to buy high-quality stocks.

Among others, the following stocks were impacted:

• Data Storage company MongoDB jumped 5.1%. Is now the time to buy MongoDB? Access our full analysis report here, it’s free for active Edge members.
• Healthcare And Life Sciences Software company Doximity jumped 6%. Is now the time to buy Doximity? Access our full analysis report here, it’s free for active Edge members.
• Advertising Software company DoubleVerify jumped 3.8%. Is now the time to buy DoubleVerify? Access our full analysis report here, it’s free for active Edge members.
• Video Conferencing company 8x8 jumped 3.1%. Is now the time to buy 8x8? Access our full analysis report here, it’s free for active Edge members.

Zooming In On Doximity (DOCS)

Doximity’s shares are very volatile and have had 23 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business.

The previous big move we wrote about was 14 days ago when the stock gained 3.3% on the news that the stock's positive momentum continued as a Bank of America analyst reiterated a Buy rating and an $82 price target on the stock. 

The analyst noted accelerating growth within healthcare provider budgets and that Doximity was also raising its spending on advertising to these providers. The price target suggested a potential 88% upside from the stock's trading range at the time of the report. Adding to the positive sentiment, the company also launched PeerCheck, a new physician-led model designed for the clinical review of medical AI tools.

Doximity is up 6.9% since the beginning of the year, but at $46.28 per share, it is still trading 44.3% below its 52-week high of $83.14 from February 2025. Investors who bought $1,000 worth of Doximity’s shares at the IPO in June 2021 would now be looking at an investment worth $873.11.