(PTC) PTC - Overview
Sector: Technology | Industry: Software - Application | Exchange: NASDAQ (USA) | Market Cap: 16.264m USD | Total Return: -16.4% in 12m
Industry Rotation: +16.9
Avg Turnover: 171M
EPS Trend: 69.0%
Qual. Beats: 1
Rev. Trend: 87.2%
Qual. Beats: 5
Warnings
No concerns identified
Tailwinds
No distinct edge detected
PTC Inc. is a global software provider specializing in digital solutions for the entire manufacturing lifecycle. Its core portfolio includes Product Lifecycle Management (PLM), Computer-Aided Design (CAD), and Industrial Internet of Things (IIoT) technologies. Key platforms such as Windchill, Creo, and ThingWorx enable industrial firms to modernize product development, automate data sharing across distributed teams, and integrate augmented reality into field services.
The company operates primarily through a recurring revenue model, transitioning much of its legacy on-premise business to Software-as-a-Service (SaaS) via acquisitions like Onshape and Arena. The PLM and CAD sectors are characterized by high switching costs, as these tools integrate deeply into a manufacturers proprietary engineering workflows and historical data archives. This creates a defensive moat common among enterprise application software providers.
For a detailed breakdown of the companys financial health and valuation metrics, consider reviewing the latest reports on ValueRay. Founded in 1985 and headquartered in Boston, PTC continues to expand its footprint in Application Lifecycle Management and service parts optimization to support the growing complexity of smart, connected products.
- Manufacturing sector transition to SaaS business models drives recurring revenue growth
- Global industrial capital expenditure cycles influence demand for CAD and PLM software
- Expansion of Industrial IoT and AR solutions improves high-margin software adoption
- Strategic acquisitions and integration of ServiceMax enhance service lifecycle management scale
- Shift toward subscription-based licensing stabilizes long-term free cash flow generation
| Net Income: 1.25b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.14 > 0.02 and ΔFCF/TA 0.96 > 1.0 |
| NWC/Revenue: 2.44% < 20% (prev -0.57%; Δ 3.01% < -1%) |
| CFO/TA 0.14 > 3% & CFO 938.6m > Net Income 1.25b |
| Net Debt (919.1m) to EBITDA (1.29b): 0.71 < 3 |
| Current Ratio: 1.06 > 1.5 & < 3 |
| Outstanding Shares: last quarter (118.6m) vs 12m ago -1.90% < -2% |
| Gross Margin: 84.31% > 18% (prev 0.81%; Δ 8.35k% > 0.5%) |
| Asset Turnover: 47.21% > 50% (prev 38.08%; Δ 9.13% > 0%) |
| Interest Coverage Ratio: 21.97 > 6 (EBITDA TTM 1.29b / Interest Expense TTM 52.6m) |
| A: 0.01 (Total Current Assets 1.29b - Total Current Liabilities 1.22b) / Total Assets 6.54b |
| B: 0.43 (Retained Earnings 2.84b / Total Assets 6.54b) |
| C: 0.18 (EBIT TTM 1.16b / Avg Total Assets 6.35b) |
| D: 1.03 (Book Value of Equity 2.75b / Total Liabilities 2.68b) |
| Altman-Z'' Score: 3.79 = AA |
| DSRI: 0.93 (Receivables 852.6m/716.6m, Revenue 3.00b/2.35b) |
| GMI: 0.96 (GM 84.31% / 81.13%) |
| AQI: 0.99 (AQ_t 0.77 / AQ_t-1 0.78) |
| SGI: 1.28 (Revenue 3.00b / 2.35b) |
| TATA: 0.05 (NI 1.25b - CFO 938.6m) / TA 6.54b) |
| Beneish M-Score: -2.88 (Cap -4..+1) = A |
Over the past week, the price has changed by -1.27%, over one month by +2.35%, over three months by -7.36% and over the past year by -16.43%.
- StrongBuy: 10
- Buy: 3
- Hold: 7
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 183.9 | 27.6% |
P/E Forward = 21.1416
P/S = 5.4253
P/B = 4.3885
P/EG = 1.6131
Revenue TTM = 3.00b USD
EBIT TTM = 1.16b USD
EBITDA TTM = 1.29b USD
Long Term Debt = 1.17b USD (from longTermDebt, last fiscal year)
Short Term Debt = 25.0m USD (from shortTermDebt, last quarter)
Debt = 1.36b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 919.1m USD (from netDebt column, last quarter)
Enterprise Value = 17.18b USD (16.26b + Debt 1.36b - CCE 439.1m)
Interest Coverage Ratio = 21.97 (Ebit TTM 1.16b / Interest Expense TTM 52.6m)
EV/FCF = 18.51x (Enterprise Value 17.18b / FCF TTM 928.2m)
FCF Yield = 5.40% (FCF TTM 928.2m / Enterprise Value 17.18b)
FCF Margin = 30.96% (FCF TTM 928.2m / Revenue TTM 3.00b)
Net Margin = 41.58% (Net Income TTM 1.25b / Revenue TTM 3.00b)
Gross Margin = 84.31% ((Revenue TTM 3.00b - Cost of Revenue TTM 470.3m) / Revenue TTM)
Gross Margin QoQ = 83.78% (prev 82.83%)
Tobins Q-Ratio = 2.63 (Enterprise Value 17.18b / Total Assets 6.54b)
Interest Expense / Debt = 1.27% (Interest Expense 17.3m / Debt 1.36b)
Taxrate = 20.90% (156.1m / 746.8m)
NOPAT = 914.3m (EBIT 1.16b * (1 - 20.90%))
Current Ratio = 1.06 (Total Current Assets 1.29b / Total Current Liabilities 1.22b)
Debt / Equity = 0.35 (Debt 1.36b / totalStockholderEquity, last quarter 3.86b)
Debt / EBITDA = 0.71 (Net Debt 919.1m / EBITDA 1.29b)
Debt / FCF = 0.99 (Net Debt 919.1m / FCF TTM 928.2m)
Total Stockholder Equity = 3.76b (last 4 quarters mean from totalStockholderEquity)
RoA = 19.63% (Net Income 1.25b / Total Assets 6.54b)
RoE = 33.14% (Net Income TTM 1.25b / Total Stockholder Equity 3.76b)
RoCE = 23.43% (EBIT 1.16b / Capital Employed (Equity 3.76b + L.T.Debt 1.17b))
RoIC = 18.52% (NOPAT 914.3m / Invested Capital 4.94b)
WACC = 8.38% (E(16.26b)/V(17.62b) * Re(9.0%) + D(1.36b)/V(17.62b) * Rd(1.27%) * (1-Tc(0.21)))
Discount Rate = 9.0% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -28.89 | Cagr: -0.63%
[DCF] Terminal Value 80.25% ; FCFF base≈883.3m ; Y1≈1.08b ; Y5≈1.82b
[DCF] Fair Price = 243.0 (EV 28.99b - Net Debt 919.1m = Equity 28.07b / Shares 115.5m; r=8.38% [WACC]; 5y FCF grow 24.12% → 3.0% )
EPS Correlation: 69.02 | EPS CAGR: 31.26% | SUE: 1.57 | # QB: 1
Revenue Correlation: 87.18 | Revenue CAGR: 14.73% | SUE: 1.28 | # QB: 5
EPS current Quarter (2026-06-30): EPS=1.57 | Chg30d=-2.73% | Revisions=-12% | Analysts=17
EPS current Year (2026-09-30): EPS=8.00 | Chg30d=+4.43% | Revisions=+79% | GrowthEPS=-0.0% | GrowthRev=-0.4%
EPS next Year (2027-09-30): EPS=8.61 | Chg30d=+4.09% | Revisions=+47% | GrowthEPS=+7.6% | GrowthRev=+6.0%
[Analyst] Revisions Ratio: +79%