Aspen Technology
Market Cap
US$7.8b
Last Updated
2019/10/22 23:31 UTC
Data Sources
Company Financials +
Executive Summary
Aspen Technology, Inc., together with its subsidiaries, provides asset optimization solutions in the United States, Europe, the Asia Pacific, Canada, Latin America, and the Middle East.
Snowflake
Fundamentals
Adequate balance sheet with acceptable track record.
Similar Companies
Share Price & News
How has Aspen Technology's share price performed over time and what events caused price changes?
Latest Share Price and Events
Market Performance
7 Day Return
-7.3%
AZPN
-4.4%
US Software
0.07%
US Market
1 Year Return
15.5%
AZPN
19.3%
US Software
8.9%
US Market
Return vs Industry: AZPN underperformed the US Software industry which returned 19.3% over the past year.
Return vs Market: AZPN exceeded the US Market which returned 8.9% over the past year.
Shareholder returns
| AZPN | Industry | Market | |
|---|---|---|---|
| 7 Day | -7.3% | -4.4% | 0.07% |
| 30 Day | -10.6% | -4.4% | -0.3% |
| 90 Day | -17.1% | -9.3% | -1.6% |
| 1 Year | 15.5%15.5% | 21.1%19.3% | 11.3%8.9% |
| 3 Year | 138.0%138.0% | 108.2%99.8% | 46.3%36.8% |
| 5 Year | 181.1%181.1% | 157.9%139.3% | 62.1%44.3% |
Price Volatility Vs. Market
How volatile is Aspen Technology's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 month ago | Simply Wall St
Here's What Aspen Technology, Inc.'s (NASDAQ:AZPN) P/E Ratio Is Telling Us2 months ago | Simply Wall St
What Is Aspen Technology, Inc.'s (NASDAQ:AZPN) Share Price Doing?2 months ago | Simply Wall St
Aspen Technology, Inc. (NASDAQ:AZPN): Should The Future Outlook Worry You?Valuation
Is Aspen Technology undervalued compared to its fair value and its price relative to the market?
30.17x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: AZPN ($113.36) is trading above our estimate of fair value ($65.95)
Significantly Below Fair Value: AZPN is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: AZPN is good value based on its PE Ratio (30.2x) compared to the Software industry average (45x).
PE vs Market: AZPN is poor value based on its PE Ratio (30.2x) compared to the US market (17.8x).
Price to Earnings Growth Ratio
PEG Ratio: AZPN's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: AZPN is overvalued based on its PB Ratio (19.8x) compared to the US Software industry average (5.3x).
Next Steps
Future Growth
How is Aspen Technology forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?
-2.5%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: AZPN's earnings are forecast to decline over the next 3 years (-2.5% per year).
Earnings vs Market: AZPN's earnings are forecast to decline over the next 3 years (-2.5% per year).
High Growth Earnings: AZPN's earnings are forecast to decline over the next 3 years.
Revenue vs Market: AZPN's revenue (5.1% per year) is forecast to grow slower than the US market (7.2% per year).
High Growth Revenue: AZPN's revenue (5.1% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: AZPN's Return on Equity is forecast to be high in 3 years time (28.6%)
Next Steps
Past Performance
How has Aspen Technology performed over the past 5 years?
13.9%
Historical annual earnings growth
Earnings and Revenue History
Past Earnings Growth Analysis
Earnings Trend: AZPN's earnings have grown by 13.9% per year over the past 5 years.
Accelerating Growth: AZPN's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: AZPN had negative earnings growth (-10.5%) over the past year, making it difficult to compare to the Software industry average (19.1%).
Return on Equity
High ROE: AZPN's Return on Equity (66.8%) is considered outstanding.
Return on Assets
ROA vs Industry: AZPN has a higher Return on Assets than the Software industry average last year.
Return on Capital Employed
ROCE Improving: Insufficient data to calculate AZPN's Return on Capital Employed to determine if it has improved over the past 3 years.
Next Steps
Financial Health
How is Aspen Technology's financial position?
Financial Position Analysis
Short Term Liabilities: AZPN's short term assets ($429.0M) exceeds its short term liabilities ($320.8M)
Long Term Liabilities: AZPN's short term assets (429.0M) exceeds its long term liabilities (189.0M)
Debt to Equity History and Analysis
Debt Level: AZPN's debt to equity ratio (55.9%) is considered high
Reducing Debt: Insufficient data to determine if AZPN's debt to equity ratio has reduced over the past 5 years.
Debt Coverage: AZPN's debt is well covered by operating cash flow (108.3%).
Interest Coverage: AZPN earns more interest than it pays, so coverage of interest payments is not a concern.
Balance Sheet
Inventory Level: AZPN has a low level of unsold assets or inventory.
Debt Coverage by Assets: AZPN's debt is covered by short term assets (assets are 1.950180x debt).
Next Steps
Dividend
What is Aspen Technology's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Current dividend yield vs market & industry
Stability and Growth of Payments
Notable Dividend: Unable to evaluate AZPN's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate AZPN's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.
Stable Dividend: Insufficient data to determine if AZPN's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if AZPN's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of AZPN's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
What is the CEO of Aspen Technology's salary, the management and board of directors tenure and is there insider trading?
6.0yrs
Average management tenure
CEO
Antonio Pietri (53yo)
6yrs
Tenure
US$6,325,453
Compensation
Mr. Antonio J. Pietri has been the Chief Executive Officer and President at Aspen Technology, Inc. since October 1, 2013. Mr. Pietri served as Executive Vice President of Worldwide Field Operations of Aspe ...
CEO Compensation Analysis
Compensation vs. Market: Antonio's total compensation ($USD6.33M) is about average for companies of similar size in the US market ($USD6.88M).
Compensation vs Earnings: Antonio's compensation has been consistent with company performance over the past year.
Management Age and Tenure
6.0yrs
Average Tenure
52yo
Average Age
Experienced Management: AZPN's management team is seasoned and experienced (6 years average tenure).
Board Age and Tenure
7.7yrs
Average Tenure
67yo
Average Age
Experienced Board: AZPN's board of directors are considered experienced (7.7 years average tenure).
Insider Trading
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
| Entity | Individual |
| Role | Chief Executive Officer President |
| Shares | 5,900 |
| Max Price | US$118.81 |
| Entity | Individual |
| Role | Chief Executive Officer President |
| Shares | 11,927 |
| Max Price | US$120.19 |
| Entity | Individual |
| Role | Chief Legal Officer Senior VP |
| Shares | 4,552 |
| Max Price | US$121.34 |
| Entity | Individual |
| Role | Chief Financial Officer Senior VP & CFO |
| Shares | 3,037 |
| Max Price | US$121.38 |
| Entity | Individual |
| Role | Chairman of the Board Independent Chairman |
| Shares | 1,250 |
| Max Price | US$96.86 |
| Entity | Individual |
| Role | Chief Financial Officer Senior VP & CFO |
| Shares | 2,388 |
| Max Price | US$96.50 |
| Entity | Individual |
| Role | Chief Financial Officer Senior VP & CFO |
| Shares | 2,387 |
| Max Price | US$80.69 |
Ownership Breakdown
Management Team
Glover Lawrence (51yo)
Senior Vice President of Corporate Development
- Tenure: 0yrs
Fritz Hammond (59yo)
Senior VP
- Tenure: 14.3yrs
- Compensation: US$1.31m
Michele Triponey
Executive VP of Field Operations & Chief Customer Success Officer
- Tenure: 14yrs
Antonio Pietri (53yo)
President
- Tenure: 6yrs
- Compensation: US$6.33m
John Hague
Senior VP & GM of APM Business Unit
- Tenure: 8.8yrs
Henry Lau
MD of Regional Sales & Services - APAC & Senior VP
- Tenure: 12.5yrs
Willie Chan
Chief Technology Officer
- Tenure: 4.2yrs
Gary Weiss (52yo)
Chief Operating Officer
- Tenure: 1.2yrs
Karl Johnsen (51yo)
Senior VP & CFO
- Tenure: 4yrs
- Compensation: US$2.00m
Bill Scudder
Senior VP & Chief Information Officer
- Tenure: 1.2yrs
Board Members
Bob Whelan (67yo)
Independent Chairman
- Tenure: 6.8yrs
- Compensation: US$371.47k
Don Casey (72yo)
Independent Director
- Tenure: 15.5yrs
- Compensation: US$323.97k
Gary Haroian (67yo)
Independent Director
- Tenure: 15.8yrs
- Compensation: US$308.97k
Joan McArdle (68yo)
Independent Director
- Tenure: 25.8yrs
- Compensation: US$293.97k
R. Wise (54yo)
Independent Director
- Tenure: 3.3yrs
- Compensation: US$293.97k
Simon J. Gann (68yo)
Independent Director
- Tenure: 8.7yrs
- Compensation: US$288.97k
Antonio Pietri (53yo)
President
- Tenure: 6yrs
- Compensation: US$6.33m
Georgia Keresty
Director
- Tenure: 0.5yrs
Company Information
Aspen Technology, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Aspen Technology, Inc.
- Ticker: AZPN
- Exchange: NasdaqGS
- Founded: 1981
- Industry: Application Software
- Sector: Software
- Market Cap: US$7.750b
- Shares outstanding: 68.37m
- Website: https://www.aspentech.com
Number of Employees
Location
- Aspen Technology, Inc.
- 20 Crosby Drive
- Bedford
- Massachusetts
- 1730
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| AZPN | NasdaqGS (Nasdaq Global Select) | Yes | Common Stock | US | USD | Oct 1994 |
| AST | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Oct 1994 |
| AZPN * | BMV (Bolsa Mexicana de Valores) | Yes | Common Stock | MX | MXN | Oct 1994 |
Biography
Aspen Technology, Inc., together with its subsidiaries, provides asset optimization solutions in the United States, Europe, the Asia Pacific, Canada, Latin America, and the Middle East. The company operate ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/10/22 23:31 |
| End of Day Share Price | 2019/10/22 00:00 |
| Earnings | 2019/06/30 |
| Annual Earnings | 2019/06/30 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.