Progress Software

Cloud Migration Risks Will Erode Margins Yet Prompt Renewal

AN

AnalystLowTarget

AnalystLowTarget

Not Invested

Community Contributor

Published

20 Jul 25

Updated

08 Feb 26

Views

25

n/a

n/a

AnalystLowTarget's Fair Value

n/a

1Y

-38.1%

7D

-14.4%

Loading

1Y

-38.1%

7D

-14.4%

You can edit this narrative until Feb 9 4:20 AM. Then, changes will post as Updates.

Author's Valuation

US$4522.1% undervalued

AnalystLowTarget Fair Value

Shared on 08 Feb 26

PRGS: AI Tools And Buybacks Will Support Cautious But Balanced Outlook

Analysts have nudged their price target on Progress Software modestly higher by $6 overall, reflecting updated assumptions around discount rates, revenue growth, profit margins, and future P/E after a mix of recent target increases and reductions in Street research. Analyst Commentary Recent research around Progress Software reflects a mixed but generally cautious tone, even with the modest net increase in the overall price target figure.

Shared on 24 Jan 26

PRGS: AI Offerings And Buybacks Will Support Balanced Future Margin Profile

Analysts have recently adjusted their price targets on Progress Software in a mixed fashion, with one firm lifting its target by US$6 and others trimming theirs by US$3 and US$5. These moves reflect updated views on growth, margins and appropriate forward P/E multiples.

Shared on 10 Jan 26

Fair value Decreased 10%

PRGS: AI Platform Expansion And M&A Execution Will Support Future Margin Strength

Analysts have reduced their fair value estimate for Progress Software from US$50 to US$45, citing updated assumptions around the discount rate, revenue growth, profit margins and future P/E levels. What's in the News Progress was included as one of nine vendors in The Forrester Wave: Digital Experience Platforms, Fourth Quarter 2025, with its Agentic RAG earning the highest score of 5.0 in the Search criterion (Key Developments).

Shared on 15 Dec 25

Fair value Decreased 12%

PRGS: AI Demand And M&A Execution Will Drive Margin Expansion Ahead

Analysts have trimmed their blended price target on Progress Software to $50 from $57, reflecting expectations for slower top-line growth, despite strong execution, improving margins, and continued benefits from acquisitions and AI-driven demand. Analyst Commentary Analyst commentary on Progress Software reflects a mixed backdrop, with strong recent execution and margin performance counterbalanced by concerns around the sustainability of growth and the stock's risk reward profile.

AnalystLowTarget Fair Value

US$45

22.1% undervalued

Future estimation in

Growth p.a.

Growth p.a.

%

Decrease

Increase

Current revenue growth rate

1.33%

Software revenue growth rate

1.21%

Risk Level (Discount Rate)

Our default considers factors like the company's size, volatility, profitablity and country of operation.

%

0

Decrease

Increase

Current discount rate

11.07%

Calculation

US$80.46m

Earnings '29

x

29.48x

PE Ratio '29

=

US$2.37b

Market Cap '29

US$2.37b

Market Cap '29

/

39.49m

No. shares '29

=

US$60.07

Share Price '29

US$60.07 Share Price '29

Discounted to 2026 @ 10.57% p.a.

=

US$44.44

Fair Value '26