Despite a declining net profit margin, the notable increase in PROS Holdings’ future P/E ratio signals higher anticipated growth, driving the consensus analyst price target up from $25.71 to $28.15.
What's in the News
- Thoma Bravo, L.P. agreed to acquire PROS Holdings, Inc. for $1.2 billion in cash ($23.25 per share); transaction subject to shareholder, regulatory, and customary approvals, with closing expected in the fourth quarter of 2025.
- Following the acquisition, PROS Holdings will become a private company and its shares will be delisted from public exchanges.
- PROS Holdings and Commerce announced a strategic partnership to integrate PROS’ pricing and CPQ with Commerce’s applications, aiming to enhance B2B digital commerce operations and improve buyer experiences.
- PROS Holdings issued third quarter guidance: total revenue of $90.5–$91.5 million, subscription revenue of $74.8–$75.3 million, and a GAAP operating loss of $3.8–$4.8 million.
- Full-year 2025 guidance: total revenue of $360–$362 million, subscription revenue of $295.5–$297.5 million, subscription ARR of $310–$313 million, and GAAP operating loss of $14.4–$16.4 million.
Valuation Changes
Summary of Valuation Changes for PROS Holdings
- The Consensus Analyst Price Target has risen from $25.71 to $28.15.
- The Future P/E for PROS Holdings has significantly risen from 26.58x to 30.28x.
- The Net Profit Margin for PROS Holdings has fallen from 13.09% to 12.43%.
Disclaimer
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