Why Is New Relic Stock Jumping On Tuesday Premarket?

JPMorgan analyst Sterling Auty upgraded New Relic Inc NEWR to Overweight from Underweight with a $150 price target, implying a 64.9% upside.
The software analytics solution provider reported second-quarter FY22 revenue growth of 18% year-on-year to $196 million, beating the consensus of $182.2 million.
Non-GAAP EPS loss of $(0.10) beat the consensus loss of $(0.13).
This quarter, our total paid customer count is growing again, with over 14,300 customers now paying for services from New Relic, CEO Bill Staples said.
Outlook: New Relic sees Q3 revenue of $198 million - $202 million, above the consensus of $183.2 million. It sees non-GAAP EPS loss of $(0.18) - $(0.15), below the consensus loss of $(0.09).
New Relic sees FY22 revenue of $778 million - $782 million (prior view $730 million - $735 million), above the consensus of $736.8 million. It sees non-GAAP EPS loss of $(0.60) - $(0.54) versus prior vew of $(0.52) - $(0.49), below the consensus loss of $(0.52).
Price Action: NEWR shares traded higher by 29.9% at $118.12 in the premarket session on the last check Tuesday.