Autodesk Is S&P 500’s Top Stock. Why Wall Street Is Pleased With Earnings.

The design-software maker beat Wall Street’s expectations for earnings and revenue. (Andrew Harrer/Bloomberg)

Autodesk stock was the top performer in the S&P 500 Index and Nasdaq 100 on Friday after the design-software maker reported strong quarterly earnings and issued a positive long-term outlook.

The company posted adjusted earnings late Thursday of $2.62 a share for the second quarter, ahead of Wall Street’s consensus call for $2.45, according to FactSet. Revenue totaled $1.76 billion, up 17% from last year and above analysts’ forecast of $1.72 billion. Management now expects fiscal 2026 core revenue growth of between 9% and 10%, up from a previous range of 8% to 9%.

Autodesk shares were climbing 10.4% to $318.50 Friday, putting the stock on pace for its largest single-day percentage increase since Nov. 10, 2022, according to Dow Jones Market Data.

Of the 15 analysts polled by FactSet after the earnings print, 12 lifted their price targets for the stock. Wall Street appeared especially excited about the company’s decision to issue fiscal 2029 guidance. Autodesk forecast operating margins to expand to around 41% that year from roughly 37% in 2026.

“We feel confident that Autodesk can accelerate its growth and profitability in the longer run,” wrote Siti Panigrahi of Mizuho Securities in a research note. The firm reiterated an Outperform rating and lifted its price target to $375 from $350, arguing that the stock can expand its multiples over time.

Write to Nate Wolf at nate.wolf@barrons.com