The positive reaction to FQ4 results is a sign of turning momentum on a beat down stock.
The strong 2016 guidance along with the lower stock price reduced valuation multiples to more reasonable long-term levels.
Splunk is finally a long-term buy even for those missing the recent bottom.
Hopefully investors learned a lesson by the stock reaction of Splunk (SPLK) after the last two earnings reports. Despite generally strong results for both quarters, the stock had completely opposite moves.