Domo Stock Surges 16% on Analyst Upgrade Ahead of Earnings

Domo shares soared over 16% Tuesday after TD Cowen analyst Derrick Wood upgraded the stock to buy from hold, citing the company's shift to consumption-based pricing and its position in the next-generation data infrastructure space. The rally dramatically outpaced the broader market's 0.4% gain.

Wood nearly doubled his price target to $21, betting Domo's new pricing model will drive adoption and monetization. The stock now trades as a rare public pure-play in next-gen data analytics—a sector seeing growing investor appetite but limited listed options.

All eyes now turn to Wednesday's Q2 earnings release. May's Q1 results showed promising traction, though whether Domo can sustain this momentum remains the critical question for investors chasing this suddenly high-flying tech name.