"Noisy" metrics like net subscriptions do not tell a clear story about the health of Autodesk's subscription transition in its Q1 results, JPMorgan analyst Sterling Auty tells investors in a post-earnings research note. Annualized recurring revenue is the most important metric and the results were solid in the quarter, the analyst contends. He says total ARR and subscription ARR were better than anticipated with some ASC 606 impacts. However, the billings 606 headwind should wain through the year as cash flow generation is forecasted to return, Auty contends. He keeps an Overweight rating on Autodesk with a $150 price target.

Autodesk announced an interoperability agreement with the Nemetschek Group to improve open collaboration and efficiencies for the architecture, engineering, construction and operations, or AECO, and media and entertainment industries. The agreement will enhance existing interoperability between the two companies' industry cloud and desktop products and improve the fluent exchange of information across solutions. Whether constructing buildings or highways or producing media assets, working with cloud-connected tools powers automation and unlocks valuable insights for better decisions at every stage of a project. But too often, people, processes, and data are siloed due to software and file incompatibility, resulting in inefficient workflows. Under the terms of the agreement, Autodesk and the Nemetschek Group will provide mutual access to their APIs and industry clouds, thereby giving developer access to Autodesk solutions including AutoCAD, Revit, 3ds Max and Maya, as well as Autodesk Forma and Autodesk Construction Cloud, similarly to Nemetschek solutions including Allplan, Archicad, Bluebeam, Maxon One, Vectorworks as well as Nemetschek's relevant cloud platforms. This will enable the two companies to improve upon existing data exchanges and open new data-centric workflows that span disciplines and industries.