PTC Inc.

NasdaqGS:PTC Stock Report

Market Cap: US$24.0b

PTC Valuation

Is PTC undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of PTC when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: PTC ($196.9) is trading below our estimate of fair value ($450.49)

Significantly Below Fair Value: PTC is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for PTC?

Key metric: As PTC is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for PTC. This is calculated by dividing PTC's market cap by their current earnings.
What is PTC's PE Ratio?
PE Ratio62.9x
EarningsUS$376.33m
Market CapUS$24.03b

Price to Earnings Ratio vs Peers

How does PTC's PE Ratio compare to its peers?

The above table shows the PE ratio for PTC vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average52.5x
TYL Tyler Technologies
109.9x16.6%US$26.3b
ZM Zoom Communications
27.5x2.7%US$25.7b
ANSS ANSYS
52.8x15.3%US$30.0b
DOCU DocuSign
19.6x-39.0%US$19.8b
PTC PTC
62.9x14.9%US$24.0b

Price-To-Earnings vs Peers: PTC is expensive based on its Price-To-Earnings Ratio (62.9x) compared to the peer average (52.5x).

Price to Earnings Ratio vs Industry

How does PTC's PE Ratio compare vs other companies in the US Software Industry?

10 CompaniesPrice / EarningsEstimated GrowthMarket Cap
YXT YXT.COM Group Holding
2xn/aUS$123.21m
NISN Nisun International Enterprise Development Group
1.4xn/aUS$24.74m
NXTT Next Technology Holding
0.6xn/aUS$14.86m
ULY Urgent.ly
0.08x-13.0%US$6.89m
PTC 62.9xIndustry Avg. 42.0xNo. of Companies10PE020406080100+
10 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: PTC is expensive based on its Price-To-Earnings Ratio (62.9x) compared to the US Software industry average (41.4x).

Price to Earnings Ratio vs Fair Ratio

What is PTC's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

PTC PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio62.9x
Fair PE Ratio39.9x

Price-To-Earnings vs Fair Ratio: PTC is expensive based on its Price-To-Earnings Ratio (62.9x) compared to the estimated Fair Price-To-Earnings Ratio (39.9x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst PTC forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$196.90
US$211.67
+7.5%
9.3%US$240.00US$156.00n/a20
Dec ’25US$200.06
US$208.47
+4.2%
8.5%US$240.00US$156.00n/a20
Nov ’25US$185.03
US$198.61
+7.3%
8.4%US$220.00US$156.00n/a20
Oct ’25US$175.97
US$198.66
+12.9%
8.5%US$220.00US$156.00n/a20
Sep ’25US$179.09
US$198.66
+10.9%
8.5%US$220.00US$156.00n/a20
Aug ’25US$175.87
US$201.24
+14.4%
7.0%US$220.00US$156.00n/a20
Jul ’25US$181.02
US$199.79
+10.4%
8.9%US$220.00US$138.00n/a20
Jun ’25US$176.24
US$200.29
+13.6%
8.8%US$220.00US$138.00n/a20
May ’25US$174.96
US$200.60
+14.7%
8.8%US$220.00US$138.00n/a20
Apr ’25US$188.12
US$198.40
+5.5%
8.3%US$220.00US$138.00n/a20
Mar ’25US$187.76
US$198.40
+5.7%
8.3%US$220.00US$138.00n/a20
Feb ’25US$179.40
US$196.90
+9.8%
9.1%US$220.00US$138.00n/a20
Jan ’25US$174.96
US$171.10
-2.2%
11.2%US$210.00US$130.00n/a20
Dec ’24US$159.41
US$164.00
+2.9%
7.3%US$182.00US$130.00US$200.0620
Nov ’24US$138.89
US$161.60
+16.4%
8.5%US$180.00US$125.00US$185.0320
Oct ’24US$141.68
US$161.95
+14.3%
8.6%US$180.00US$125.00US$175.9719
Sep ’24US$146.75
US$161.95
+10.4%
8.6%US$180.00US$125.00US$179.0919
Aug ’24US$146.51
US$161.33
+10.1%
8.7%US$180.00US$125.00US$175.8719
Jul ’24US$142.30
US$153.53
+7.9%
8.1%US$170.00US$125.00US$181.0219
Jun ’24US$135.07
US$153.72
+13.8%
8.3%US$170.00US$125.00US$176.2418
May ’24US$125.62
US$152.71
+21.6%
8.1%US$170.00US$125.00US$174.9617
Apr ’24US$128.23
US$151.12
+17.8%
9.4%US$170.00US$111.00US$188.1217
Mar ’24US$123.81
US$150.59
+21.6%
9.8%US$170.00US$111.00US$187.7617
Feb ’24US$138.11
US$146.59
+6.1%
9.9%US$165.00US$106.00US$179.4017
Jan ’24US$120.04
US$142.67
+18.8%
10.0%US$160.00US$106.00US$174.9615
Dec ’23US$127.49
US$142.33
+11.6%
10.0%US$160.00US$106.00US$159.4115

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/17 07:15
End of Day Share Price 2024/12/17 00:00
Earnings2024/09/30
Annual Earnings2024/09/30

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

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.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

PTC Inc. is covered by 47 analysts. 19 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Joseph VruwinkBaird
Raimo LenschowBarclays
Saket KaliaBarclays