Pegasystems
Market Cap
US$6.0b
Last Updated
2019/10/14 23:41 UTC
Data Sources
Company Financials +
Executive Summary
Pegasystems Inc. develops, markets, licenses, and supports enterprise software applications in the United States, India, and internationally.
Snowflake
Fundamentals
Flawless balance sheet with concerning outlook.
Similar Companies
Share Price & News
How has Pegasystems's share price performed over time and what events caused price changes?
Latest Share Price and Events
Market Performance
7 Day Return
1.9%
PEGA
1.5%
US Software
1.3%
US Market
1 Year Return
40.8%
PEGA
23.1%
US Software
5.9%
US Market
Return vs Industry: PEGA exceeded the US Software industry which returned 23.1% over the past year.
Return vs Market: PEGA exceeded the US Market which returned 5.9% over the past year.
Shareholder returns
| PEGA | Industry | Market | |
|---|---|---|---|
| 7 Day | 1.9% | 1.5% | 1.3% |
| 30 Day | 6.9% | -0.8% | -1.9% |
| 90 Day | -0.8% | -3.4% | -1.8% |
| 1 Year | 41.1%40.8% | 24.8%23.1% | 8.3%5.9% |
| 3 Year | 160.4%158.7% | 122.8%114.1% | 45.6%36.2% |
| 5 Year | 302.0%295.4% | 179.3%159.1% | 66.1%47.9% |
Price Volatility Vs. Market
How volatile is Pegasystems's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 month ago | Simply Wall St
The Senior Vice President of Global Customer Success of Pegasystems Inc. (NASDAQ:PEGA), Leon Trefler, Just Sold 34.1% Of Their Holding1 month ago | Simply Wall St
Our Take On Pegasystems Inc.'s (NASDAQ:PEGA) CEO Salary3 months ago | Simply Wall St
Introducing Pegasystems (NASDAQ:PEGA), The Stock That Zoomed 239% In The Last Five YearsValuation
Is Pegasystems undervalued compared to its fair value and its price relative to the market?
10.78x
Price to Book (PB) ratio
Share Price vs. Fair Value
Undervalued: PEGA ($75.92) is trading above our estimate of fair value ($46.4)
Significantly Undervalued: PEGA is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: PEGA is unprofitable, so we can't compare its PE Ratio to the Software industry average.
PE vs Market: PEGA is unprofitable, so we can't compare its PE Ratio to the US market.
Price to Earnings Growth Ratio
Low PEG Ratio: Insufficient data to calculate PEGA's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: PEGA is overvalued based on its PB Ratio (10.8x) compared to the US Software industry average (5.1x).
Next Steps
Future Growth
How is Pegasystems forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?
81.1%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: PEGA is forecast to remain unprofitable over the next 3 years.
Earnings vs Market: PEGA is forecast to remain unprofitable over the next 3 years.
High Growth Earnings: PEGA is forecast to remain unprofitable over the next 3 years.
Revenue vs Market: PEGA's revenue (14.3% per year) is forecast to grow faster than the US market (7.3% per year).
High Growth Revenue: PEGA's revenue (14.3% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
High Future ROE: Insufficient data to determine if PEGA's Return on Equity is forecast to be high in 3 years time
Next Steps
Past Performance
How has Pegasystems performed over the past 5 years?
-16.6%
Historical annual earnings growth
Earnings and Revenue History
Past Earnings Growth Analysis
Earnings Trend: PEGA is unprofitable, and losses have increased over the past 5 years at a rate of -16.6% per year.
Accelerating Growth: Unable to compare PEGA's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: PEGA is unprofitable, making it difficult to compare its past year earnings growth to the Software industry (19.1%).
Return on Equity
High ROE: PEGA has a negative Return on Equity (-9.36%), as it is currently unprofitable.
Return on Assets
ROA vs Industry: PEGA is currently unprofitable, so its Return on Assets is negative.
Return on Capital Employed
ROCE Improving: PEGA is currently unprofitable, so its Return on Capital Employed is negative.
Next Steps
Financial Health
How is Pegasystems's financial position?
Financial Position Analysis
Short Term Liabilities: PEGA's short term assets ($536.9M) exceeds its short term liabilities ($311.4M)
Long Term Liabilities: PEGA's short term assets (536.9M) exceeds its long term liabilities (71.9M)
Debt to Equity History and Analysis
Debt Level: PEGA is debt free.
Reducing Debt: PEGA has not had any debt for past 5 years.
Debt Coverage: PEGA has no debt, therefore it does not need to be covered by operating cash flow.
Interest Coverage: PEGA has no debt, therefore coverage of interest payments is not a concern.
Balance Sheet
Inventory Level: PEGA has a low level of unsold assets or inventory.
Debt Coverage by Assets: Insufficient data to determine if PEGA's debt is covered by short term assets.
Next Steps
Dividend
What is Pegasystems's current dividend yield, its reliability and sustainability?
0.16%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Stability and Growth of Payments
Notable Dividend: PEGA's dividend (0.16%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.47%).
High Dividend: PEGA's dividend (0.16%) is low compared to the top 25% of dividend payers in the US market (3.77%).
Stable Dividend: PEGA is not paying a notable dividend for the US market, therefore no need to check if payments are stable.
Growing Dividend: PEGA is not paying a notable dividend for the US market, therefore no need to check if payments are increasing.
Current Payout to Shareholders
Dividend Coverage: PEGA is not paying a notable dividend for .
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of PEGA'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 Pegasystems's salary, the management and board of directors tenure and is there insider trading?
5.3yrs
Average management tenure
CEO
Alan Trefler (63yo)
36.8yrs
Tenure
US$981,250
Compensation
Mr. Alan Trefler founded Pegasystems Inc. in 1983 and has been its Chairman of the Board and Chief Executive Officer since 1983. Mr. Trefler has been Director of Pegasystems, Inc. since 1983. Mr. Trefler s ...
CEO Compensation Analysis
Compensation vs. Market: Alan's total compensation ($USD981.25K) is about average for companies of similar size in the US market ($USD6.81M).
Compensation vs Earnings: Alan's compensation has increased whilst the company is unprofitable.
Management Age and Tenure
5.3yrs
Average Tenure
57yo
Average Age
Experienced Management: PEGA's management team is seasoned and experienced (5.3 years average tenure).
Board Age and Tenure
7.2yrs
Average Tenure
63yo
Average Age
Experienced Board: PEGA's board of directors are considered experienced (7.2 years average tenure).
Insider Trading
Insider Buying: PEGA insiders have only sold shares in the past 3 months.
Recent Insider Transactions
| Entity | Individual |
| Shares | 240 |
| Max Price | US$71.75 |
| Entity | Individual |
| Role | Senior Key Executive Senior Vice President of Global Customer Success |
| Shares | 3,956 |
| Max Price | US$70.00 |
| Entity | Individual |
| Shares | 427 |
| Max Price | US$70.00 |
| Entity | Individual |
| Shares | 293 |
| Max Price | US$71.25 |
| Entity | Company |
| Shares | 30,000 |
| Max Price | US$66.01 |
| Entity | Company |
| Shares | 5,000 |
| Max Price | US$71.59 |
| Entity | Individual |
| Shares | 1,365 |
| Max Price | US$74.00 |
| Entity | Individual |
| Shares | 500 |
| Max Price | US$70.00 |
| Entity | Company |
| Shares | 5,000 |
| Max Price | US$65.10 |
| Entity | Individual |
| Role | Member of the Board of Directors Director |
| Shares | 20,000 |
| Max Price | US$65.25 |
| Entity | Individual |
| Shares | 500 |
| Max Price | US$65.50 |
| Entity | Individual |
| Role | Chief Financial Officer SVP, Chief Administrative Officer & CFO |
| Shares | 5,000 |
| Max Price | US$63.96 |
| Entity | Individual |
| Role | Member of the Board of Directors Director |
| Shares | 1,000 |
| Max Price | US$65.99 |
| Entity | Individual |
| Role | Senior Key Executive Senior Vice President of Global Customer Success |
| Shares | 1,474 |
| Max Price | US$47.34 |
| Entity | Individual |
| Role | Chief Financial Officer SVP, Chief Administrative Officer & CFO |
| Shares | 400 |
| Max Price | US$46.90 |
| Entity | Individual |
| Role | Senior Key Executive Senior Vice President of Engineering & Product Development |
| Shares | 500 |
| Max Price | US$46.90 |
| Entity | Individual |
| Role | Member of the Board of Directors Director |
| Shares | 350 |
| Max Price | US$47.09 |
| Entity | Individual |
| Role | Member of the Board of Directors Director |
| Shares | 500 |
| Max Price | US$53.45 |
| Entity | Individual |
| Role | Member of the Board of Directors Director |
| Shares | 750 |
| Max Price | US$54.20 |
Ownership Breakdown
Management Team
Alan Trefler (63yo)
Founder
- Tenure: 36.8yrs
- Compensation: US$981.25k
Mike Pyle (64yo)
Senior Vice President of Engineering & Product Development
- Tenure: 0yrs
- Compensation: US$922.94k
Efstathios Kouninis (57yo)
Chief Accounting Officer
- Tenure: 11.4yrs
Ken Stillwell (48yo)
SVP, Chief Administrative Officer & CFO
- Tenure: 3.3yrs
- Compensation: US$1.74m
Douglas Kra (56yo)
Senior Vice President of Global Customer Success
- Tenure: 9.8yrs
- Compensation: US$1.55m
Matt Cushing (49yo)
VP, Chief Commercial Officer
- Tenure: 2.6yrs
Leon Trefler (58yo)
Senior Vice President of Global Customer Success
- Tenure: 5.3yrs
- Compensation: US$1.69m
Lisa Pintchman
Vice President of Corporate Communications
- Tenure: 5.3yrs
Peter Welburn
Vice President of Investor Relations
- Tenure: 0yrs
Don Schuerman
CTO & VP of Product Marketing
- Tenure: 3.6yrs
Board Members
Peter Gyenes (74yo)
Director
- Tenure: 10.6yrs
- Compensation: US$190.00k
Alan Trefler (63yo)
Founder
- Tenure: 36.8yrs
- Compensation: US$981.25k
Richard Jones (67yo)
Director
- Tenure: 18.9yrs
- Compensation: US$186.00k
James O'Halloran (86yo)
Director
- Tenure: 20.8yrs
- Compensation: US$200.00k
Ron Hovsepian (58yo)
Director
- Tenure: 0.8yrs
Sharon Rowlands (60yo)
Director
- Tenure: 3.5yrs
- Compensation: US$188.00k
Larry Weber (63yo)
Director
- Tenure: 7.2yrs
- Compensation: US$191.00k
Chris Lafond (53yo)
Director
- Tenure: 0.5yrs
Dianne Ledingham (56yo)
Director
- Tenure: 3.1yrs
- Compensation: US$186.00k
Company Information
Pegasystems Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Pegasystems Inc.
- Ticker: PEGA
- Exchange: NasdaqGS
- Founded: 1983
- Industry: Application Software
- Sector: Software
- Market Cap: US$6.008b
- Shares outstanding: 79.13m
- Website: https://www.pega.com
Number of Employees
Location
- Pegasystems Inc.
- One Rogers Street
- Cambridge
- Massachusetts
- 2142
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| PEGA | NasdaqGS (Nasdaq Global Select) | Yes | Common Stock | US | USD | Jul 1996 |
| PEA | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Jul 1996 |
| 0KGS | LSE (London Stock Exchange) | Yes | Common Stock | GB | USD | Jul 1996 |
Biography
Pegasystems Inc. develops, markets, licenses, and supports enterprise software applications in the United States, India, and internationally. It provides Pega Platform, an application development product f ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/10/14 23:41 |
| End of Day Share Price | 2019/10/14 00:00 |
| Earnings | 2019/06/30 |
| Annual Earnings | 2018/12/31 |
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.