Progress Software Corp Stock Research

Market Summary

USD57.74+0.87

Market Closed

1.53%

PRGS Stock Price

PRGS RSI Chart

PRGS Valuation

Market Cap

2.5B

Price/Earnings (Trailing)

26.27

Price/Sales (Trailing)

4.15

EV/EBITDA

16.24

Price/Free Cashflow

13.42

PRGS Price/Sales (Trailing)

PRGS Profitability

Operating Margin

84.30%

EBT Margin

19.48%

Return on Equity

23.86%

Return on Assets

6.74%

Free Cashflow Yield

7.45%

PRGS Fundamentals

PRGS Revenue

Revenue (TTM)

602.0M

Revenue Y/Y

12.13%

Revenue Q/Q

3.91%

PRGS Earnings

Earnings (TTM)

95.1M

Earnings Y/Y

58.84%

Earnings Q/Q

8.77%

Price Action

52 Week Range

40.3359.36

(Low)(High)

Last 7 days

0.0%

Last 30 days

0.4%

Last 90 days

14.4%

Trailing 12 Months

29.5%

PRGS Financial Health

Current Ratio

1.34

PRGS Investor Care

Dividend Yield

1.21%

Dividend/Share (TTM)

0.7

Buy Backs (1Y)

2.01%

Diluted EPS (TTM)

2.15

Peers (Alternatives to Progress Software)

View All Peers In Detail

Name	Mkt Capsorted ascending	Revenue	Price %, 1M	Returns, 1Y	P/E	P/S	Rev 1-Yr	Inc 1-Yr
LARGE-CAP
MSFT	2.1T	204.1B	11.55%	-7.07%	30.98	10.24	10.38%	-5.25%
ORCL	237.2B	46.1B	1.96%	8.47%	26.96	5.15	11.29%	-14.28%
CRM	189.5B	31.4B	16.34%	-11.18%	911.01	6.04	19.41%	-85.60%
ADBE	173.2B	17.6B	7.52%	-13.23%	36.42	9.84	11.54%	-1.37%
ZM	20.4B	4.4B	-5.93%	-41.37%	196.74	4.64	7.15%	-92.46%
AZPN	12.1B	-	-7.60%	30.28%	44.35	17.39	-	-
MID-CAP
PLAN	9.6B	631.5M	-1.97%	16.85%	-45.68	15.19	33.30%	-26.60%
MANH	9.2B	767.1M	3.22%	4.63%	71.04	11.94	15.59%	16.73%
GWRE	6.4B	869.9M	7.80%	-18.19%	-32.37	7.38	13.87%	-103.37%
APPN	2.9B	468.0M	-7.97%	-36.63%	-19.31	6.23	26.74%	-70.26%
PING	2.4B	308.3M	1.17%	7.67%	-23.16	7.93	13.75%	-237.98%
SMALL-CAP
ZUO	1.2B	383.7M	7.01%	-39.43%	-9.85	3.22	14.43%	-50.89%
YEXT	1.1B	399.9M	31.21%	29.01%	-13.97	2.84	4.73%	8.15%
UPLD	136.0M	317.3M	-51.83%	-75.83%	-1.99	0.43	5.06%	-17.52%

Financials for Progress Software

* denotes actual numbers (not divided by Millions)
Income Statement (Last 12 Months)					(In Millions)
Description	(%) Q/Q	2022Q4	2022Q3	2022Q2	2022Q1	2021Q4
Revenue	2.9%	602	585	581	555	531
Gross Profit	3.0%	508	493	493	471	453
Operating Expenses	1.2%	375	371	357	353	337
S&GA Expenses	1.9%	141	138	133	130	126
EBITDA	8.3%	138	127	142	-	-
EBITDA Margin	5.2%	0.23*	0.22*	0.24*	-	-
Earnings Before Taxes	12.0%	117	105	117	97.00	96.00
EBT Margin	8.9%	0.19*	0.18*	0.20*	-	-
Interest Expenses	-11.2%	16.00	18.00	20.00	21.00	20.00
Net Income	10.2%	95.00	86.00	95.00	80.00	78.00
Net Income Margin	7.1%	0.16*	0.15*	0.16*	-	-
Free Cahsflow	-2.6%	186	191	187	-	-

Balance Sheet					(In Millions)
Description	(%) Q/Q	2022Q4	2022Q3	2022Q2	2022Q1	2021Q4
Assets	4.8%	1,411	1,346	1,355	1,353	1,364
Current Assets	16.9%	426	364	356	343	338
Cash Equivalents	14.4%	256	224	225	172	155
Net PPE	11.3%	15.00	13.00	14.00	14.00	14.00
Goodwill	-0.3%	671	673	673	673	671
Current Liabilities	13.7%	318	280	284	284	323
LT Debt, Current	0%	6.00	6.00	6.00	6.00	26.00
Shareholder's Equity	8.6%	399	367	372	368	412
Retained Earnings	17.5%	102	87.00	94.00	94.00	90.00
Additional Paid-In Capital	4.1%	332	319	310	303	354
Shares Outstanding	0.6%	43.00	43.00	43.00	44.00	44.00

Cashflow (Last 12 Months)					(In Millions)
Description	(%) Q/Q	2022Q4	2022Q3	2022Q2	2022Q1	2021Q4
Cashflow From Operations	-1.9%	192	196	192	178	179
Share Based Compensation	9.6%	37.00	34.00	32.00	31.00	30.00
Cashflow From Investing	109.6%	22.00	-229	-228	-253	-250
Cashflow From Financing	2.8%	-101	-104	-83.91	143	132
Dividend Payments	-1.5%	31.00	32.00	32.00	31.00	32.00
Buy Backs	2.0%	77.00	76.00	51.00	45.00	35.00

Risks for PRGS

What is the probability of a big loss on PRGS?

48.1%

Probability that Progress Software stock will be more than 20% underwater in next one year

27.3%

Probability that Progress Software stock will be more than 30% underwater in next one year.

Probability that Progress Software stock will be more than 40% underwater in next one year.

*Calculated based on probability distribution of losses observed in actual data in the last 5 years.

How does PRGS drawdown profile look like?

Y-axis is the maximum loss one would have experienced if Progress Software was unfortunately bought at previous high price.

Drawdowns

Returns for PRGS

Cumulative Returns on PRGS

10.8%

10-Year Cumulative Returns

14.7%

7-Year Cumulative Returns

9.4%

5-Year Cumulative Returns

22.2%

3-Year Cumulative Returns

What are the long-term rolling returns for PRGS?

FIve years rolling returns for Progress Software.

Annualized Returns

Which funds bought or sold PRGS recently?

View All Details

Datesorted ascending	Fund Name	Type	% Chg	$ Change	$ Held	% Portfolio
2023-03-10	VICTORY CAPITAL MANAGEMENT INC	reduced	-30.9	-7,116,430	32,278,600	0.04%
2023-03-06	Rockefeller Capital Management L.P.	unchanged	-	2,000	11,000	-%
2023-03-02	LORING WOLCOTT & COOLIDGE FIDUCIARY ADVISORS LLP/MA	new	-	90,810	90,810	-%
2023-02-28	Voya Investment Management LLC	reduced	-6.29	87,619	876,619	-%
2023-02-24	NATIXIS	added	102	21,510,500	36,828,500	0.21%
2023-02-22	TEACHERS RETIREMENT SYSTEM OF THE STATE OF KENTUCKY	unchanged	-	107,000	679,000	0.01%
2023-02-21	MACQUARIE GROUP LTD	sold off	-100	-85,000	-	-%
2023-02-21	Empowered Funds, LLC	sold off	-100	-373,000	-	-%
2023-02-17	TRUIST FINANCIAL CORP	new	-	228,912	228,912	-%
2023-02-16	CHARTWELL INVESTMENT PARTNERS, LLC	reduced	-1.4	1,634,000	11,301,000	0.45%

Latest Funds Activity

Are funds buying PRGS calls or puts?

Calls

Puts

Are funds bullish or bearish(Calls - Puts)?

Net Call Options

No. of funds that own PRGS

No. of Funds

Progress Software News

Schedule 13G FIlings of Progress Software

Date Filed	Name of Filer	Percent of Class	No. of Shares	Form Type
Feb 13, 2023	blackrock inc.	17.2%	7,566,013	SC 13G/A
Feb 09, 2023	vanguard group inc	11.66%	5,012,970	SC 13G/A
Jan 23, 2023	blackrock inc.	17.2%	7,378,311	SC 13G/A
Feb 10, 2022	vanguard group inc	11.09%	4,861,203	SC 13G/A
Feb 10, 2022	renaissance technologies llc	3.05%	1,346,581	SC 13G/A
Jan 27, 2022	blackrock inc.	18.6%	8,136,361	SC 13G/A
Jan 25, 2022	blackrock inc.	18.6%	8,136,361	SC 13G/A
Feb 10, 2021	renaissance technologies llc	5.26%	2,370,990	SC 13G
Feb 10, 2021	vanguard group inc	10.73%	4,837,743	SC 13G/A
Jan 25, 2021	blackrock inc.	16.2%	7,298,629	SC 13G

PRGS Fair Value

Progress Software fair value in different scenarios

The table shows the Fair Value estimates for Progress Software for various scenarios. Disclaimer: These are just estimations from a model. None of the models are good at predicting the future. Please dont buy or sell stocks based on these outputs.

Fair Value	Very Pessimistic	Pessimistic	Base Case	Optimistic	Very Optimistic
Very Low Inflation	24.77 -57.10%	34.89 -39.57%	48.31 -16.33%	66.46 15.10%	99.90 73.02%
Current Inflation	22.79 -60.53%	31.46 -45.51%	42.72 -26.01%	57.91 0.29%	85.95 48.86%
Very High Inflation	20.35 -64.76%	27.32 -52.68%	36.15 -37.39%	48.04 -16.80%	70.03 21.29%

Historical Progress Software Fair Value Estimates

Very Pessimistic Case

Pessimistic Case

Fair Value

Optimistic Case

Very Optimistic Case

Closing Stock Price

Recent SEC filings of Progress Software

View All Filings

Date Filed	Form Type	Document
Mar 13, 2023	8-K	Current Report
Feb 17, 2023	4	Insider Trading
Feb 13, 2023	SC 13G/A	Major Ownership Report
Feb 09, 2023	4	Insider Trading
Feb 09, 2023	SC 13G/A	Major Ownership Report
Feb 08, 2023	4	Insider Trading
Feb 07, 2023	4	Insider Trading
Feb 07, 2023	8-K	Current Report
Feb 03, 2023	4	Insider Trading
Feb 03, 2023	4	Insider Trading

Latest Insider Trading transactions for PRGS

Filter Transactions

Datesorted ascending	Name	Buy/Sell	$ Value	Avg. Price	# Shares	Title
2023-02-15	LoCoco Domenic	sold	-9,043	57.97	-156	chief accounting officer
2023-02-07	Subramanian Sundar	sold	-50,750	58.00	-875	evp/gm infrastructure mgmt
2023-02-06	Jarrett Loren	sold	-258,744	55.8962	-4,629	evp/gm digital experience
2023-02-03	Pitt Ian	acquired	167,321	48.4707	3,452	chief information officer
2023-02-03	Pitt Ian	sold	-225,564	56.8171	-3,970	chief information officer
2023-02-02	Gupta Yogesh K	sold	-616,811	55.9111	-11,032	chief executive officer
2023-02-02	SEGAL JEREMY	sold	-653,284	55.9462	-11,677	evp, corporate development
2023-02-02	FOLGER ANTHONY	sold	-278,488	55.6975	-5,000	chief financial officer
2023-02-01	SEGAL JEREMY	sold	-631,663	53.4402	-11,820	evp, corporate development
2023-02-01	Subramanian Sundar	sold (taxes)	-233,614	53.94	-4,331	evp/gm infrastructure mgmt

About Progress Software

Yogesh K. Gupta

www.progress.com

2100

Progress Software Corporation develops, deploys, and manages business applications. The company offers OpenEdge, a development software, which builds multi-language applications for secure deployment across various platforms and devices, as well as cloud; developer tools that consists of components for user interface development for Web, mobile, desktop, chat, and AR/VR apps, as well as automated application testing and reporting tools; Sitefinity, a web content management and customer analytics platform; Corticon, a business rules management system that provides applications with decision automation and change process, and decision-related insight capabilities. It also offers DataDirect Connect, which provides data connectivity using industry-standard interfaces to connect applications running on various platforms; MOVEit that offers secure collaboration and automated file transfers of critical business information; Chef, an infrastructure automation platform to build, deploy, manage, and secure applications in multi-cloud and hybrid environments, and on-premises; and WhatsUp Gold, a network monitoring solution. In addition, the company provides Kemp LoadMaster, a load balancing solutions; and Kemp Flowmon network performance monitoring and diagnostic solutions that collect and analyze network telemetry from various sources. Further, it provides project management, implementation, custom development, programming, and other services, as well as web-enable applications; and training services. The company sells its products to end users, independent software vendors, original equipment manufacturers, and system integrators. It has operations in the United States, Canada, Latin America, Europe, the Middle East, Africa, and the Asia Pacific. The company was founded in 1981 and is headquartered in Burlington, Massachusetts.

PRGS Income Statement

2022-11-30

Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	12 Months Ended
	Nov. 30, 2022	Nov. 30, 2021	Nov. 30, 2020
Revenue:
Total revenue	$ 602,013	$ 531,313	$ 442,150
Costs of revenue:
Amortization of acquired intangibles	22,076	14,936	7,897
Total costs of revenue	94,496	78,449	62,114
Gross profit	507,517	452,864	380,036
Operating expenses:
Sales and marketing	140,760	125,890	100,113
Product development	114,568	103,338	88,599
General and administrative	77,876	65,128	54,004
Amortization of acquired intangibles	46,868	31,996	20,049
Restructuring expenses	879	6,308	5,906
Acquisition-related expenses	4,603	4,102	3,637
Cyber incident	602	0	0
Gain on sale of assets held for sale	(10,770)	0	0
Total operating expenses	375,386	336,762	272,308
Income from operations	132,131	116,102	107,728
Other (expense) income:
Interest expense	(15,790)	(20,045)	(10,170)
Interest income and other, net	1,414	777	1,495
Foreign currency loss, net	(500)	(1,300)	(2,418)
Total other expense, net	(14,876)	(20,568)	(11,093)
Income before income taxes	117,255	95,534	96,635
Provision for income taxes	22,186	17,114	16,913
Net income	$ 95,069	$ 78,420	$ 79,722
Earnings per share:
Basic (in dollars per share)	$ 2.19	$ 1.79	$ 1.78
Diluted (in dollars per share)	$ 2.15	$ 1.76	$ 1.76
Weighted average shares outstanding:
Basic (in shares)	43,475	43,916	44,886
Diluted (in shares)	44,247	44,620	45,321
Cash dividends declared per common share (in dollars per share)	$ 0.70	$ 0.70	$ 0.67
Software licenses
Revenue:
Total revenue	$ 188,336	$ 156,590	$ 115,249
Costs of revenue:
Costs of revenue	10,243	5,271	4,473
Maintenance and services
Revenue:
Total revenue	413,677	374,723	326,901
Costs of revenue:
Costs of revenue	$ 62,177	$ 58,242	$ 49,744

PRGS Balance Sheet

2022-11-30

Consolidated Balance Sheets - USD ($) $ in Thousands	Nov. 30, 2022	Nov. 30, 2021
Current assets:
Cash and cash equivalents	$ 256,277	$ 155,406
Short-term investments	0	1,967
Total cash, cash equivalents and short-term investments	256,277	157,373
Accounts receivable (less allowances of $859 in 2022 and $634 in 2021)	97,834	99,815
Unbilled receivables and contract assets, net	29,158	25,816
Other current assets	42,784	39,549
Assets held for sale	0	15,255
Total current assets	426,053	337,808
Long-term unbilled receivables and contract assets, net	39,936	17,464
Property and equipment, net	14,927	14,345
Intangible assets, net	217,355	287,185
Goodwill	671,037	671,152
Right-of-use lease assets	17,574	25,253
Deferred tax assets	11,765	1,415
Other assets	12,832	8,915
Total assets	1,411,479	1,363,537
Current liabilities:
Current portion of long-term debt, net	6,234	25,767
Accounts payable	9,282	9,683
Accrued compensation and related taxes	42,467	47,116
Dividends payable to stockholders	8,115	7,925
Short-term operating lease liabilities	7,471	7,926
Other accrued liabilities	16,765	19,491
Short-term deferred revenue, net	227,670	205,021
Total current liabilities	318,004	322,929
Long-term debt, net	259,220	239,992
Convertible senior notes, net	352,625	294,535
Long-term operating lease liabilities	15,041	23,130
Long-term deferred revenue, net	54,770	47,359
Deferred tax liabilities	4,628	14,163
Other noncurrent liabilities	8,687	8,940
Commitments and contingencies (Note 11)
Stockholders’ equity:
Preferred stock, $0.01 par value; authorized, 10,000,000 shares; issued, none	0	0
Common stock, $0.01 par value, and additional paid-in capital; authorized, 200,000,000 shares; issued and outstanding, 43,257,008 shares in 2022 and 44,146,193 shares in 2021	433	441
Additional paid-in capital	331,650	354,235
Retained earnings	101,656	90,256
Accumulated other comprehensive loss	(35,235)	(32,443)
Total stockholders’ equity	398,504	412,489
Total liabilities and stockholders’ equity	$ 1,411,479	$ 1,363,537