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This cloud software play will rally more than 40% this year on new products, valuation, Citi says

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Tableau Software on the floor of the New York Stock Exchange
Brendan McDermid | Reuters

Investors should buy Tableau Software shares because the cloud company will report sales above expectations next year, according to Citi Research, which upgraded the firm to buy from neutral.

"We see ... multiple potential positive catalysts in this year and a favorable valuation set-up as drivers to recommend the stock now," analyst Walter Pritchard wrote in a note to clients Tuesday. "New data prep product in 2H17 [will expand the] market and drives some upsell opportunity for Tableau."

The company is a leading provider of business analytics and data visualization software. It will report fourth-quarter earnings on Feb. 2, according to its website.

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