PTC INC (PTC) Fundamental Analysis & Valuation
NASDAQ:PTC • US69370C1009
Current stock price
139.19 USD
-5.13 (-3.55%)
At close:
139.19 USD
0 (0%)
After Hours:
This PTC fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. PTC Profitability Analysis
1.1 Basic Checks
- PTC had positive earnings in the past year.
- PTC had a positive operating cash flow in the past year.
- Each year in the past 5 years PTC has been profitable.
- Each year in the past 5 years PTC had a positive operating cash flow.
1.2 Ratios
- PTC has a Return On Assets of 12.73%. This is amongst the best in the industry. PTC outperforms 90.55% of its industry peers.
- Looking at the Return On Equity, with a value of 21.30%, PTC belongs to the top of the industry, outperforming 87.27% of the companies in the same industry.
- The Return On Invested Capital of PTC (16.99%) is better than 93.09% of its industry peers.
- PTC had an Average Return On Invested Capital over the past 3 years of 11.08%. This is in line with the industry average of 10.99%.
- The last Return On Invested Capital (16.99%) for PTC is above the 3 year average (11.08%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.73% | ||
| ROE | 21.3% | ||
| ROIC | 16.99% |
ROA(3y)6.96%
ROA(5y)7.63%
ROE(3y)13.35%
ROE(5y)15.42%
ROIC(3y)11.08%
ROIC(5y)10.4%
1.3 Margins
- The Profit Margin of PTC (28.61%) is better than 91.64% of its industry peers.
- PTC's Profit Margin has improved in the last couple of years.
- Looking at the Operating Margin, with a value of 39.28%, PTC belongs to the top of the industry, outperforming 97.45% of the companies in the same industry.
- PTC's Operating Margin has improved in the last couple of years.
- Looking at the Gross Margin, with a value of 84.23%, PTC belongs to the top of the industry, outperforming 90.55% of the companies in the same industry.
- In the last couple of years the Gross Margin of PTC has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 39.28% | ||
| PM (TTM) | 28.61% | ||
| GM | 84.23% |
OM growth 3Y12.68%
OM growth 5Y16.28%
PM growth 3Y18.28%
PM growth 5Y24.49%
GM growth 3Y1.52%
GM growth 5Y1.68%
2. PTC Health Analysis
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so PTC is still creating some value.
- Compared to 1 year ago, PTC has less shares outstanding
- The number of shares outstanding for PTC has been increased compared to 5 years ago.
- PTC has a better debt/assets ratio than last year.
2.2 Solvency
- PTC has an Altman-Z score of 5.54. This indicates that PTC is financially healthy and has little risk of bankruptcy at the moment.
- The Altman-Z score of PTC (5.54) is better than 78.55% of its industry peers.
- PTC has a debt to FCF ratio of 1.35. This is a very positive value and a sign of high solvency as it would only need 1.35 years to pay back of all of its debts.
- PTC's Debt to FCF ratio of 1.35 is fine compared to the rest of the industry. PTC outperforms 69.82% of its industry peers.
- A Debt/Equity ratio of 0.31 indicates that PTC is not too dependend on debt financing.
- Looking at the Debt to Equity ratio, with a value of 0.31, PTC is doing worse than 60.36% of the companies in the same industry.
- Although PTC's pure debt/equity ratio does not look good, it has limited outstanding debt compared to the Free Cash Flow. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | 1.35 | ||
| Altman-Z | 5.54 |
ROIC/WACC1.56
WACC10.87%
2.3 Liquidity
- A Current Ratio of 1.22 indicates that PTC should not have too much problems paying its short term obligations.
- The Current ratio of PTC (1.22) is worse than 65.45% of its industry peers.
- A Quick Ratio of 1.22 indicates that PTC should not have too much problems paying its short term obligations.
- Looking at the Quick ratio, with a value of 1.22, PTC is doing worse than 65.09% of the companies in the same industry.
- The current and quick ratio evaluation for PTC is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.22 | ||
| Quick Ratio | 1.22 |
3. PTC Growth Analysis
3.1 Past
- PTC shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 73.62%, which is quite impressive.
- PTC shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 25.59% yearly.
- The Revenue has grown by 23.62% in the past year. This is a very strong growth!
- PTC shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 13.44% yearly.
EPS 1Y (TTM)73.62%
EPS 3Y20.43%
EPS 5Y25.59%
EPS Q2Q%74.55%
Revenue 1Y (TTM)23.62%
Revenue growth 3Y12.32%
Revenue growth 5Y13.44%
Sales Q2Q%21.36%
3.2 Future
- Based on estimates for the next years, PTC will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.30% on average per year.
- Based on estimates for the next years, PTC will show a quite strong growth in Revenue. The Revenue will grow by 8.40% on average per year.
EPS Next Y2.47%
EPS Next 2Y4.72%
EPS Next 3Y7.15%
EPS Next 5Y11.3%
Revenue Next Year4.92%
Revenue Next 2Y5.57%
Revenue Next 3Y6.36%
Revenue Next 5Y8.4%
3.3 Evolution
- Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. PTC Valuation Analysis
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 15.78, the valuation of PTC can be described as correct.
- Compared to the rest of the industry, the Price/Earnings ratio of PTC indicates a somewhat cheap valuation: PTC is cheaper than 74.91% of the companies listed in the same industry.
- The average S&P500 Price/Earnings ratio is at 26.91. PTC is valued slightly cheaper when compared to this.
- The Price/Forward Earnings ratio is 15.87, which indicates a correct valuation of PTC.
- Based on the Price/Forward Earnings ratio, PTC is valued a bit cheaper than the industry average as 69.45% of the companies are valued more expensively.
- When comparing the Price/Forward Earnings ratio of PTC to the average of the S&P500 Index (23.69), we can say PTC is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.78 | ||
| Fwd PE | 15.87 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, PTC is valued a bit cheaper than 78.91% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, PTC is valued a bit cheaper than the industry average as 73.09% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.64 | ||
| EV/EBITDA | 14.92 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates PTC does not grow enough to justify the current Price/Earnings ratio.
- PTC has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)6.38
PEG (5Y)0.62
EPS Next 2Y4.72%
EPS Next 3Y7.15%
5. PTC Dividend Analysis
5.1 Amount
- PTC does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
PTC Fundamentals: All Metrics, Ratios and Statistics
139.19
-5.13 (-3.55%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)02-04 2026-02-04/amc
Earnings (Next)04-29 2026-04-29/amc
Inst Owners101.55%
Inst Owner Change0%
Ins Owners0.19%
Ins Owner Change1.68%
Market Cap16.56B
Revenue(TTM)2.86B
Net Income(TTM)818.28M
Analysts76
Price Target197.84 (42.14%)
Short Float %3.47%
Short Ratio3.4
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)36.43%
Min EPS beat(2)21.56%
Max EPS beat(2)51.3%
EPS beat(4)4
Avg EPS beat(4)33.52%
Min EPS beat(4)21.56%
Max EPS beat(4)51.3%
EPS beat(8)8
Avg EPS beat(8)22.47%
EPS beat(12)11
Avg EPS beat(12)16.47%
EPS beat(16)13
Avg EPS beat(16)13.38%
Revenue beat(2)2
Avg Revenue beat(2)12.23%
Min Revenue beat(2)6.6%
Max Revenue beat(2)17.86%
Revenue beat(4)4
Avg Revenue beat(4)9.4%
Min Revenue beat(4)3.79%
Max Revenue beat(4)17.86%
Revenue beat(8)6
Avg Revenue beat(8)4.84%
Revenue beat(12)8
Avg Revenue beat(12)3.25%
Revenue beat(16)10
Avg Revenue beat(16)2.37%
PT rev (1m)-1.38%
PT rev (3m)-10.33%
EPS NQ rev (1m)-3.29%
EPS NQ rev (3m)9.32%
EPS NY rev (1m)0%
EPS NY rev (3m)4.46%
Revenue NQ rev (1m)-2.64%
Revenue NQ rev (3m)4.78%
Revenue NY rev (1m)-3.68%
Revenue NY rev (3m)-2.34%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.78 | ||
| Fwd PE | 15.87 | ||
| P/S | 5.79 | ||
| P/FCF | 18.64 | ||
| P/OCF | 18.42 | ||
| P/B | 4.31 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.92 |
EPS(TTM)8.82
EY6.34%
EPS(NY)8.77
Fwd EY6.3%
FCF(TTM)7.47
FCFY5.36%
OCF(TTM)7.55
OCFY5.43%
SpS24.03
BVpS32.29
TBVpS-3.15
PEG (NY)6.38
PEG (5Y)0.62
Graham Number80.05
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.73% | ||
| ROE | 21.3% | ||
| ROCE | 21.24% | ||
| ROIC | 16.99% | ||
| ROICexc | 17.69% | ||
| ROICexgc | 104.13% | ||
| OM | 39.28% | ||
| PM (TTM) | 28.61% | ||
| GM | 84.23% | ||
| FCFM | 31.06% |
ROA(3y)6.96%
ROA(5y)7.63%
ROE(3y)13.35%
ROE(5y)15.42%
ROIC(3y)11.08%
ROIC(5y)10.4%
ROICexc(3y)11.64%
ROICexc(5y)11.05%
ROICexgc(3y)629.92%
ROICexgc(5y)394.58%
ROCE(3y)13.85%
ROCE(5y)13%
ROICexgc growth 3Y26.99%
ROICexgc growth 5Y19.48%
ROICexc growth 3Y12.23%
ROICexc growth 5Y13.01%
OM growth 3Y12.68%
OM growth 5Y16.28%
PM growth 3Y18.28%
PM growth 5Y24.49%
GM growth 3Y1.52%
GM growth 5Y1.68%
F-Score8
Asset Turnover0.44
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | 1.35 | ||
| Debt/EBITDA | 0.96 | ||
| Cap/Depr | 11.25% | ||
| Cap/Sales | 0.37% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 73.85% | ||
| Profit Quality | 108.57% | ||
| Current Ratio | 1.22 | ||
| Quick Ratio | 1.22 | ||
| Altman-Z | 5.54 |
F-Score8
WACC10.87%
ROIC/WACC1.56
Cap/Depr(3y)17.07%
Cap/Depr(5y)22.09%
Cap/Sales(3y)0.79%
Cap/Sales(5y)1.02%
Profit Quality(3y)183.31%
Profit Quality(5y)150.54%
High Growth Momentum
Growth
EPS 1Y (TTM)73.62%
EPS 3Y20.43%
EPS 5Y25.59%
EPS Q2Q%74.55%
EPS Next Y2.47%
EPS Next 2Y4.72%
EPS Next 3Y7.15%
EPS Next 5Y11.3%
Revenue 1Y (TTM)23.62%
Revenue growth 3Y12.32%
Revenue growth 5Y13.44%
Sales Q2Q%21.36%
Revenue Next Year4.92%
Revenue Next 2Y5.57%
Revenue Next 3Y6.36%
Revenue Next 5Y8.4%
EBIT growth 1Y91.79%
EBIT growth 3Y26.56%
EBIT growth 5Y31.91%
EBIT Next Year19.69%
EBIT Next 3Y11.33%
EBIT Next 5YN/A
FCF growth 1Y48.72%
FCF growth 3Y27.91%
FCF growth 5Y33.42%
OCF growth 1Y45.63%
OCF growth 3Y25.85%
OCF growth 5Y29.99%
PTC INC / PTC Fundamental Analysis FAQ
Can you provide the ChartMill fundamental rating for PTC INC?
ChartMill assigns a fundamental rating of 7 / 10 to PTC.
What is the valuation status of PTC INC (PTC) stock?
ChartMill assigns a valuation rating of 5 / 10 to PTC INC (PTC). This can be considered as Fairly Valued.
Can you provide the profitability details for PTC INC?
PTC INC (PTC) has a profitability rating of 9 / 10.
What is the valuation of PTC INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for PTC INC (PTC) is 15.78 and the Price/Book (PB) ratio is 4.31.
What is the expected EPS growth for PTC INC (PTC) stock?
The Earnings per Share (EPS) of PTC INC (PTC) is expected to grow by 2.47% in the next year.