Recent News
On November 5, 2025 PTC announced the planned divestiture of Kepware and ThingWorx and introduced FY’26 guidance calling for constant-currency ARR growth of 7%–9%, operating cash flow of approximately $1.03 billion, and free cash flow of about $1 billion; the company also increased planned share repurchases under a $2 billion authorization with roughly $200 million expected in Q1 FY’26.
Technical Analysis
ADX at 51.95 indicates a very strong trend environment; such strength raises the potential for a decisive directional move but increases the risk of sharp, extended swings that can amplify short-term volatility.
DI+ shows a dip & reversal while DI- is decreasing; those directional-index changes favor a shift toward bullish directional pressure, which would align with a price recovery scenario tied to improving fundamentals.
MACD exhibited a dip & reversal (MACD -7.01, signal -6.52); the recent reversal signals return of bullish momentum even though the MACD remains negative, implying momentum has recovered but not yet cleared prior bear-mode readings.
MRO registers -7.16 with a dip & reversal; the negative reading indicates price sits below the WMDST target and therefore carries measurable upside potential as momentum structure repairs.
RSI at 37.59 with a dip & reversal signals building buying pressure from an oversold area, providing room for a multi-week rebound if momentum readings continue to normalize.
Price currently trades below the 26-day EMA ($182.96) and the 200-day average ($181.07) while the 12-day EMA ($175.63) trends downward; these moving-average relationships create technical resistance near recent short-term averages that must be traversed to confirm sustained strength.
Bollinger band positioning (upper ~ $177.85 / lower ~ $171.19) and a super-trend upper band at $181.48 frame a narrow near-term range; a break above the immediate averages would likely accelerate momentum given the ADX strength.
Fundamental Analysis
Revenue accelerated strongly: total revenue reached $893.8M with YoY revenue growth of 86.49% and QoQ growth of 31.61%, demonstrating meaningful top-line expansion that supports higher operating leverage.
Gross margin expanded to 86.92%, while operating margin and EBIT margin both sit near 49.79%; the EBIT margin sits above the industry peer mean (25.79%) and above the industry peer median (27.59%), indicating materially stronger operating profitability versus peers within the provided peer range.
Net income totaled $347.8M and EPS actual equaled $3.47 versus an estimate of $2.27, a $1.20 beat and a 52.86% EPS surprise, reflecting outsized earnings delivery relative to consensus on the reported period.
Cash generation shows operating cash flow of $96.4M and free cash flow of $100.5M; free-cash-flow yield equals 0.42%, modest on an absolute basis but positive in the context of expanding operating margins and a guidance target that implies significantly higher operating cash flow next fiscal year.
Balance-sheet metrics present manageable leverage: debt-to-assets equals 20.70%, debt-to-equity 35.80%, net debt about $1.01B against cash of $184.4M; interest coverage stands at 26.24x, indicating ample capacity to service debt from operating income.
Valuation multiples show a trailing P/E around 57.94 and a forward P/E near 114.70, while price-to-book sits at 6.28—below the industry peer mean (15.14) and median (13.00) for price-to-book, reflecting a gap between market price and tangible equity relative to peers. WMDST values the stock as under-valued given margin strength, accelerating ARR, and planned capital returns that should lift intrinsic cash-flow expectations.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-09-30 |
| REPORT DATE: | 2025-11-05 |
| NEXT REPORT DATE: | 2026-02-04 |
| CASH FLOW | Begin Period Cash Flow | $ 199.9 M |
| Operating Cash Flow | $ 96.4 M | |
| Capital Expenditures | $ -3.55 M | |
| Change In Working Capital | $ -302.77 M | |
| Dividends Paid | — | |
| Cash Flow Delta | $ -14.91 M | |
| End Period Cash Flow | $ 185.0 M | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 893.8 M | |
| Forward Revenue | $ 134.4 M | |
| COSTS | ||
| Cost Of Revenue | $ 116.9 M | |
| Depreciation | $ 34.2 M | |
| Depreciation and Amortization | $ 34.2 M | |
| Research and Development | $ 114.5 M | |
| Total Operating Expenses | $ 448.8 M | |
| PROFITABILITY | ||
| Gross Profit | $ 776.9 M | |
| EBITDA | $ 479.2 M | |
| EBIT | $ 445.1 M | |
| Operating Income | $ 445.0 M | |
| Interest Income | $ 3.4 M | |
| Interest Expense | $ 17.0 M | |
| Net Interest Income | $ -13.56 M | |
| Income Before Tax | $ 428.1 M | |
| Tax Provision | $ 80.3 M | |
| Tax Rate | 18.759 % | |
| Net Income | $ 347.8 M | |
| Net Income From Continuing Operations | $ 347.8 M | |
| EARNINGS | ||
| EPS Estimate | $ 2.27 | |
| EPS Actual | $ 3.47 | |
| EPS Difference | $ 1.20 | |
| EPS Surprise | 52.863 % | |
| Forward EPS | $ 1.75 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 6.6 B | |
| Intangible Assets | $ 4.3 B | |
| Net Tangible Assets | $ -491.75 M | |
| Total Current Assets | $ 1.4 B | |
| Cash and Short-Term Investments | $ 184.4 M | |
| Cash | $ 184.4 M | |
| Net Receivables | $ 1.0 B | |
| Inventory | — | |
| Long-Term Investments | $ 545.9 M | |
| LIABILITIES | ||
| Accounts Payable | $ 11.5 M | |
| Short-Term Debt | $ 25.0 M | |
| Total Current Liabilities | $ 1.2 B | |
| Net Debt | $ 1.0 B | |
| Total Debt | $ 1.4 B | |
| Total Liabilities | $ 2.8 B | |
| EQUITY | ||
| Total Equity | $ 3.8 B | |
| Retained Earnings | $ 2.1 B | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 32.01 | |
| Shares Outstanding | 119.536 M | |
| Revenue Per-Share | $ 7.48 | |
| VALUATION | Market Capitalization | $ 24.0 B |
| Enterprise Value | $ 25.2 B | |
| Enterprise Multiple | 52.622 | |
| Enterprise Multiple QoQ | -47.698 % | |
| Enterprise Multiple YoY | -44.25 % | |
| Enterprise Multiple IPRWA | high: 725.943 median: 119.829 mean: 108.738 PTC: 52.622 low: -500.562 |
|
| EV/R | 28.214 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 1.729 | |
| Asset To Liability | 2.371 | |
| Debt To Capital | 0.264 | |
| Debt To Assets | 0.207 | |
| Debt To Assets QoQ | -8.653 % | |
| Debt To Assets YoY | 153.421 % | |
| Debt To Assets IPRWA | high: 1.164 mean: 0.258 PTC: 0.207 median: 0.199 low: 0.001 |
|
| Debt To Equity | 0.358 | |
| Debt To Equity QoQ | -10.911 % | |
| Debt To Equity YoY | 120.673 % | |
| Debt To Equity IPRWA | high: 2.803 mean: 0.465 PTC: 0.358 median: 0.188 low: -1.761 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 6.281 | |
| Price To Book QoQ | -6.23 % | |
| Price To Book YoY | -6.793 % | |
| Price To Book IPRWA | high: 32.131 mean: 15.136 median: 13.004 PTC: 6.281 low: -17.466 |
|
| Price To Earnings (P/E) | 57.937 | |
| Price To Earnings QoQ | -47.114 % | |
| Price To Earnings YoY | -50.506 % | |
| Price To Earnings IPRWA | high: 535.496 mean: 157.429 median: 141.334 PTC: 57.937 low: -396.374 |
|
| PE/G Ratio | 0.295 | |
| Price To Sales (P/S) | 26.887 | |
| Price To Sales QoQ | -26.417 % | |
| Price To Sales YoY | -22.225 % | |
| Price To Sales IPRWA | high: 95.267 median: 42.816 mean: 41.747 PTC: 26.887 low: 1.307 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 114.701 | |
| Forward PE/G | 0.583 | |
| Forward P/S | 178.811 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | 2.831 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.139 | |
| Asset Turnover Ratio QoQ | 33.888 % | |
| Asset Turnover Ratio YoY | 38.942 % | |
| Asset Turnover Ratio IPRWA | high: 0.414 PTC: 0.139 median: 0.131 mean: 0.131 low: -0.008 |
|
| Receivables Turnover | 1.043 | |
| Receivables Turnover Ratio QoQ | 15.763 % | |
| Receivables Turnover Ratio YoY | 27.931 % | |
| Receivables Turnover Ratio IPRWA | high: 5.69 mean: 1.703 median: 1.571 PTC: 1.043 low: -0.167 |
|
| Inventory Turnover | — | |
| Inventory Turnover Ratio QoQ | — | |
| Inventory Turnover Ratio YoY | — | |
| Inventory Turnover Ratio IPRWA | — | |
| Days Sales Outstanding (DSO) | 87.483 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | — | |
| Cash Conversion Cycle Days QoQ | — | |
| Cash Conversion Cycle Days YoY | — | |
| Cash Conversion Cycle Days IPRWA | high: 167.384 median: 44.35 mean: 24.693 PTC: 0 low: -144.827 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | 6.123 | |
| CapEx To Revenue | -0.004 | |
| CapEx To Depreciation | -0.104 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 5.0 B | |
| Net Invested Capital | $ 5.0 B | |
| Invested Capital | $ 5.0 B | |
| Net Tangible Assets | $ -491.75 M | |
| Net Working Capital | $ 146.0 M | |
| LIQUIDITY | ||
| Cash Ratio | 0.149 | |
| Current Ratio | 1.118 | |
| Current Ratio QoQ | 25.854 % | |
| Current Ratio YoY | 43.516 % | |
| Current Ratio IPRWA | high: 8.127 mean: 2.05 median: 1.124 PTC: 1.118 low: 0.159 |
|
| Quick Ratio | — | |
| Quick Ratio QoQ | — | |
| Quick Ratio YoY | — | |
| Quick Ratio IPRWA | — | |
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | 2.859 | |
| Cost Of Debt | 0.902 % | |
| Interest Coverage Ratio | 26.24 | |
| Interest Coverage Ratio QoQ | 127.708 % | |
| Interest Coverage Ratio YoY | 235.381 % | |
| Interest Coverage Ratio IPRWA | high: 205.936 PTC: 26.24 mean: 16.364 median: 9.798 low: -266.667 |
|
| Operating Cash Flow Ratio | 0.078 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 8.378 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | — | |
| Dividend Payout Ratio | — | |
| Dividend Rate | — | |
| Dividend Yield | — | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | 6.231 % | |
| Revenue Growth | 38.802 % | |
| Revenue Growth QoQ | 3160.672 % | |
| Revenue Growth YoY | 86.494 % | |
| Revenue Growth IPRWA | PTC: 38.802 % high: 25.896 % mean: 4.797 % median: 4.092 % low: -8.913 % |
|
| Earnings Growth | 196.581 % | |
| Earnings Growth QoQ | -2445.835 % | |
| Earnings Growth YoY | 244.016 % | |
| Earnings Growth IPRWA | PTC: 196.581 % high: 175.0 % median: 12.791 % mean: 7.165 % low: -181.25 % |
|
| MARGINS | ||
| Gross Margin | 86.921 % | |
| Gross Margin QoQ | 4.833 % | |
| Gross Margin YoY | 6.01 % | |
| Gross Margin IPRWA | high: 90.981 % PTC: 86.921 % median: 77.518 % mean: 76.344 % low: 26.432 % |
|
| EBIT Margin | 49.794 % | |
| EBIT Margin QoQ | 51.189 % | |
| EBIT Margin YoY | 59.832 % | |
| EBIT Margin IPRWA | high: 76.323 % PTC: 49.794 % median: 27.593 % mean: 25.789 % low: -105.646 % |
|
| Return On Sales (ROS) | 49.788 % | |
| Return On Sales QoQ | 52.794 % | |
| Return On Sales YoY | 59.813 % | |
| Return On Sales IPRWA | high: 76.795 % PTC: 49.788 % median: 27.538 % mean: 24.268 % low: -133.444 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ 100.5 M | |
| Free Cash Flow Yield | 0.418 % | |
| Free Cash Flow Yield QoQ | -59.378 % | |
| Free Cash Flow Yield YoY | 0.966 % | |
| Free Cash Flow Yield IPRWA | high: 10.114 % PTC: 0.418 % median: 0.259 % mean: 0.258 % low: -10.76 % |
|
| Free Cash Growth | -58.485 % | |
| Free Cash Growth QoQ | 346.723 % | |
| Free Cash Growth YoY | 1.231 % | |
| Free Cash Growth IPRWA | high: 368.524 % mean: -15.889 % median: -18.341 % PTC: -58.485 % low: -324.945 % |
|
| Free Cash To Net Income | 0.289 | |
| Cash Flow Margin | 10.783 % | |
| Cash Flow To Earnings | 0.277 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.04 | |
| Return On Assets (ROA) | 5.415 % | |
| Return On Assets QoQ | 137.396 % | |
| Return On Assets YoY | 167.804 % | |
| Return On Assets IPRWA | high: 13.583 % PTC: 5.415 % mean: 2.932 % median: 1.859 % low: -19.283 % |
|
| Return On Capital Employed (ROCE) | 8.273 % | |
| Return On Equity (ROE) | 0.091 | |
| Return On Equity QoQ | 125.951 % | |
| Return On Equity YoY | 130.945 % | |
| Return On Equity IPRWA | high: 0.151 PTC: 0.091 mean: 0.051 median: 0.043 low: -0.395 |
|
| DuPont ROE | 9.478 % | |
| Return On Invested Capital (ROIC) | 7.197 % | |
| Return On Invested Capital QoQ | 120.699 % | |
| Return On Invested Capital YoY | -87.314 % | |
| Return On Invested Capital IPRWA | high: 14.226 % PTC: 7.197 % mean: 3.609 % median: 3.209 % low: -12.344 % |
|