38.6 USD
-1.49 (-3.72%)
43.5 USD
+4.9 (+12.69%)
Overall PRGS gets a fundamental rating of 5 out of 10. We evaluated PRGS against 277 industry peers in the Software industry. While PRGS has a great profitability rating, there are quite some concerns on its financial health. PRGS is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
- In the past year PRGS was profitable.
- In the past year PRGS had a positive cash flow from operations.
- In the past 5 years PRGS has always been profitable.
- Each year in the past 5 years PRGS had a positive operating cash flow.
1.2 Ratios
- PRGS's Return On Assets of 2.00% is fine compared to the rest of the industry. PRGS outperforms 62.45% of its industry peers.
- PRGS has a better Return On Equity (10.16%) than 74.01% of its industry peers.
- PRGS has a Return On Invested Capital of 8.52%. This is amongst the best in the industry. PRGS outperforms 80.87% of its industry peers.
- PRGS had an Average Return On Invested Capital over the past 3 years of 7.93%. This is below the industry average of 10.78%.
- The last Return On Invested Capital (8.52%) for PRGS is above the 3 year average (7.93%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2% | ||
| ROE | 10.16% | ||
| ROIC | 8.52% |
ROA(3y)4.61%
ROA(5y)5.45%
ROE(3y)18.24%
ROE(5y)19.35%
ROIC(3y)7.93%
ROIC(5y)9.13%
1.3 Margins
- The Profit Margin of PRGS (5.16%) is better than 64.26% of its industry peers.
- In the last couple of years the Profit Margin of PRGS has grown nicely.
- PRGS has a Operating Margin of 18.62%. This is amongst the best in the industry. PRGS outperforms 85.20% of its industry peers.
- PRGS's Operating Margin has improved in the last couple of years.
- The Gross Margin of PRGS (81.11%) is better than 84.84% of its industry peers.
- In the last couple of years the Gross Margin of PRGS has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.62% | ||
| PM (TTM) | 5.16% | ||
| GM | 81.11% |
OM growth 3Y-4.3%
OM growth 5Y3.62%
PM growth 3Y-14.93%
PM growth 5Y7.3%
GM growth 3Y-1.01%
GM growth 5Y0.21%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so PRGS is destroying value.
- PRGS has less shares outstanding than it did 1 year ago.
- The number of shares outstanding for PRGS has been reduced compared to 5 years ago.
- PRGS has a worse debt/assets ratio than last year.
2.2 Solvency
- PRGS has an Altman-Z score of 1.02. This is a bad value and indicates that PRGS is not financially healthy and even has some risk of bankruptcy.
- PRGS has a Altman-Z score of 1.02. This is in the lower half of the industry: PRGS underperforms 62.82% of its industry peers.
- PRGS has a debt to FCF ratio of 7.64. This is a slightly negative value and a sign of low solvency as PRGS would need 7.64 years to pay back of all of its debts.
- The Debt to FCF ratio of PRGS (7.64) is comparable to the rest of the industry.
- PRGS has a Debt/Equity ratio of 2.22. This is a high value indicating a heavy dependency on external financing.
- PRGS's Debt to Equity ratio of 2.22 is on the low side compared to the rest of the industry. PRGS is outperformed by 82.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.22 | ||
| Debt/FCF | 7.64 | ||
| Altman-Z | 1.02 |
ROIC/WACC0.89
WACC9.52%
2.3 Liquidity
- PRGS has a Current Ratio of 0.44. This is a bad value and indicates that PRGS is not financially healthy enough and could expect problems in meeting its short term obligations.
- PRGS has a worse Current ratio (0.44) than 94.22% of its industry peers.
- PRGS has a Quick Ratio of 0.44. This is a bad value and indicates that PRGS is not financially healthy enough and could expect problems in meeting its short term obligations.
- With a Quick ratio value of 0.44, PRGS is not doing good in the industry: 93.86% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.44 | ||
| Quick Ratio | 0.44 |
3. Growth
3.1 Past
- PRGS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 19.91%, which is quite good.
- The Earnings Per Share has been growing by 12.88% on average over the past years. This is quite good.
- The Revenue has grown by 31.41% in the past year. This is a very strong growth!
- The Revenue has been growing by 12.76% on average over the past years. This is quite good.
EPS 1Y (TTM)19.91%
EPS 3Y8.4%
EPS 5Y12.88%
EPS Q2Q%19.05%
Revenue 1Y (TTM)31.41%
Revenue growth 3Y12.35%
Revenue growth 5Y12.76%
Sales Q2Q%39.8%
3.2 Future
- PRGS is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 5.78% yearly.
- Based on estimates for the next years, PRGS will show a small growth in Revenue. The Revenue will grow by 6.24% on average per year.
EPS Next Y14.36%
EPS Next 2Y8.26%
EPS Next 3Y5.78%
EPS Next 5YN/A
Revenue Next Year30.47%
Revenue Next 2Y15.04%
Revenue Next 3Y10.58%
Revenue Next 5Y6.24%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 6.97 indicates a rather cheap valuation of PRGS.
- Based on the Price/Earnings ratio, PRGS is valued cheaply inside the industry as 91.70% of the companies are valued more expensively.
- PRGS's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.38.
- A Price/Forward Earnings ratio of 6.68 indicates a rather cheap valuation of PRGS.
- PRGS's Price/Forward Earnings ratio is rather cheap when compared to the industry. PRGS is cheaper than 92.42% of the companies in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 24.29. PRGS is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.97 | ||
| Fwd PE | 6.68 |
4.2 Price Multiples
- 88.81% of the companies in the same industry are more expensive than PRGS, based on the Enterprise Value to EBITDA ratio.
- Based on the Price/Free Cash Flow ratio, PRGS is valued cheaply inside the industry as 93.14% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.92 | ||
| EV/EBITDA | 9.55 |
4.3 Compensation for Growth
- PRGS's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- PRGS has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)0.49
PEG (5Y)0.54
EPS Next 2Y8.26%
EPS Next 3Y5.78%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 1.31%, PRGS has a reasonable but not impressive dividend return.
- PRGS's Dividend Yield is rather good when compared to the industry average which is at 0.52. PRGS pays more dividend than 93.50% of the companies in the same industry.
- Compared to the average S&P500 Dividend Yield of 1.84, PRGS is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.31% |
5.2 History
- The dividend of PRGS has a limited annual growth rate of 3.19%.
- PRGS has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)3.19%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- 15.77% of the earnings are spent on dividend by PRGS. This is a low number and sustainable payout ratio.
- The dividend of PRGS is growing, but earnings are growing more, so the dividend growth is sustainable.
DP15.77%
EPS Next 2Y8.26%
EPS Next 3Y5.78%
38.6
-1.49 (-3.72%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)09-29 2025-09-29/amc
Earnings (Next)01-20 2026-01-20/amc
Inst Owners112.82%
Inst Owner Change-0.22%
Ins Owners1.79%
Ins Owner Change1.36%
Market Cap1.66B
Revenue(TTM)940.13M
Net Income(TTM)48.54M
Analysts86.67
Price Target68.85 (78.37%)
Short Float %10.96%
Short Ratio8.72
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.31% |
Yearly Dividend0.72
Dividend Growth(5Y)3.19%
DP15.77%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)9.42%
Min EPS beat(2)5.42%
Max EPS beat(2)13.41%
EPS beat(4)4
Avg EPS beat(4)11.91%
Min EPS beat(4)5.42%
Max EPS beat(4)21.52%
EPS beat(8)8
Avg EPS beat(8)10.74%
EPS beat(12)12
Avg EPS beat(12)9.93%
EPS beat(16)16
Avg EPS beat(16)10.12%
Revenue beat(2)1
Avg Revenue beat(2)-0.02%
Min Revenue beat(2)-2.03%
Max Revenue beat(2)1.99%
Revenue beat(4)1
Avg Revenue beat(4)-0.31%
Min Revenue beat(4)-2.03%
Max Revenue beat(4)1.99%
Revenue beat(8)2
Avg Revenue beat(8)-0.06%
Revenue beat(12)4
Avg Revenue beat(12)-0.12%
Revenue beat(16)6
Avg Revenue beat(16)-0.03%
PT rev (1m)-1.22%
PT rev (3m)-3.57%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-0.53%
EPS NY rev (1m)0%
EPS NY rev (3m)3.72%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.44%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.2%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.97 | ||
| Fwd PE | 6.68 | ||
| P/S | 1.76 | ||
| P/FCF | 8.92 | ||
| P/OCF | 8.65 | ||
| P/B | 3.47 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.55 |
EPS(TTM)5.54
EY14.35%
EPS(NY)5.78
Fwd EY14.97%
FCF(TTM)4.33
FCFY11.21%
OCF(TTM)4.46
OCFY11.56%
SpS21.91
BVpS11.13
TBVpS-33.81
PEG (NY)0.49
PEG (5Y)0.54
Graham Number37.25
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2% | ||
| ROE | 10.16% | ||
| ROCE | 10.6% | ||
| ROIC | 8.52% | ||
| ROICexc | 9.06% | ||
| ROICexgc | N/A | ||
| OM | 18.62% | ||
| PM (TTM) | 5.16% | ||
| GM | 81.11% | ||
| FCFM | 19.75% |
ROA(3y)4.61%
ROA(5y)5.45%
ROE(3y)18.24%
ROE(5y)19.35%
ROIC(3y)7.93%
ROIC(5y)9.13%
ROICexc(3y)9.33%
ROICexc(5y)10.7%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)9.87%
ROCE(5y)11.36%
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3Y-17.49%
ROICexc growth 5Y-12.26%
OM growth 3Y-4.3%
OM growth 5Y3.62%
PM growth 3Y-14.93%
PM growth 5Y7.3%
GM growth 3Y-1.01%
GM growth 5Y0.21%
F-Score5
Asset Turnover0.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.22 | ||
| Debt/FCF | 7.64 | ||
| Debt/EBITDA | 3.33 | ||
| Cap/Depr | 3.99% | ||
| Cap/Sales | 0.61% | ||
| Interest Coverage | 3.01 | ||
| Cash Conversion | 60.13% | ||
| Profit Quality | 382.52% | ||
| Current Ratio | 0.44 | ||
| Quick Ratio | 0.44 | ||
| Altman-Z | 1.02 |
F-Score5
WACC9.52%
ROIC/WACC0.89
Cap/Depr(3y)6.21%
Cap/Depr(5y)9.24%
Cap/Sales(3y)0.84%
Cap/Sales(5y)0.97%
Profit Quality(3y)245.65%
Profit Quality(5y)226.43%
High Growth Momentum
Growth
EPS 1Y (TTM)19.91%
EPS 3Y8.4%
EPS 5Y12.88%
EPS Q2Q%19.05%
EPS Next Y14.36%
EPS Next 2Y8.26%
EPS Next 3Y5.78%
EPS Next 5YN/A
Revenue 1Y (TTM)31.41%
Revenue growth 3Y12.35%
Revenue growth 5Y12.76%
Sales Q2Q%39.8%
Revenue Next Year30.47%
Revenue Next 2Y15.04%
Revenue Next 3Y10.58%
Revenue Next 5Y6.24%
EBIT growth 1Y25.44%
EBIT growth 3Y7.51%
EBIT growth 5Y16.84%
EBIT Next Year30.65%
EBIT Next 3Y10.66%
EBIT Next 5YN/A
FCF growth 1Y6.22%
FCF growth 3Y5.88%
FCF growth 5Y10.63%
OCF growth 1Y5.74%
OCF growth 3Y5.82%
OCF growth 5Y10.48%
PROGRESS SOFTWARE CORP / PRGS FAQ
What is the ChartMill fundamental rating of PROGRESS SOFTWARE CORP (PRGS) stock?
ChartMill assigns a fundamental rating of 5 / 10 to PRGS.
What is the valuation status of PROGRESS SOFTWARE CORP (PRGS) stock?
ChartMill assigns a valuation rating of 9 / 10 to PROGRESS SOFTWARE CORP (PRGS). This can be considered as Undervalued.
Can you provide the profitability details for PROGRESS SOFTWARE CORP?
PROGRESS SOFTWARE CORP (PRGS) has a profitability rating of 8 / 10.
How financially healthy is PROGRESS SOFTWARE CORP?
The financial health rating of PROGRESS SOFTWARE CORP (PRGS) is 1 / 10.
Can you provide the expected EPS growth for PRGS stock?
The Earnings per Share (EPS) of PROGRESS SOFTWARE CORP (PRGS) is expected to grow by 14.36% in the next year.