NYSE:PRO

Stock Analysis Report

Executive Summary

PROS Holdings, Inc. offers artificial intelligence (AI) solutions that power commerce in the digital economy worldwide.

Snowflake

Fundamentals

Mediocre balance sheet with concerning outlook.


Similar Companies

Share Price & News

How has PROS Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-2.5%

PRO

-0.7%

US Software

-0.6%

US Market


1 Year Return

68.2%

PRO

14.0%

US Software

0.6%

US Market

PRO outperformed the Software industry which returned 14.6% over the past year.

PRO outperformed the Market in United States of America which returned 1.1% over the past year.


Share holder returns

PROIndustryMarket
7 Day-2.5%-0.7%-0.6%
30 Day-17.6%-2.0%2.2%
90 Day-7.1%-1.7%1.1%
1 Year68.2%68.2%15.6%14.0%2.9%0.6%
3 Year177.9%177.9%119.9%111.2%44.6%35.2%
5 Year145.3%145.3%168.7%149.0%61.9%44.2%

Price Volatility Vs. Market

How volatile is PROS Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is PROS Holdings undervalued based on future cash flows and its price relative to the stock market?

25.8x

Price to Book (PB) ratio


Intrinsic Value Based on Future Cash Flows

PROS Holdings's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

PROS Holdings's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

PROS Holdings is loss making, we can't compare its value to the US Software industry average.

PROS Holdings is loss making, we can't compare the value of its earnings to the United States of America market.


Price Based on Expected Growth

Unable to calculate PEG ratio for PROS Holdings, we can't assess if its growth is good value.


Price Based on Value of Assets

PROS Holdings is overvalued based on assets compared to the US Software industry average.


Next Steps

Future Growth

How is PROS Holdings expected to perform in the next 1 to 3 years based on estimates from 10 analysts?

26.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

PROS Holdings's revenue is expected to grow by 15.6% yearly, however this is not considered high growth (20% yearly).

PROS Holdings is not considered high growth as it is expected to be loss making for the next 1-3 years.

PROS Holdings's revenue growth is expected to exceed the United States of America market average.

Unable to compare PROS Holdings's earnings growth to the United States of America market average as it is expected to be loss making during the next 1-3 years.

Unable to compare PROS Holdings's earnings growth to the low risk savings rate as it is expected to be loss making during the next 1-3 years.


Earnings per Share Growth Estimates


Future Return on Equity

PROS Holdings is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has PROS Holdings performed over the past 5 years?

-12.8%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

PROS Holdings does not make a profit and their year on year earnings growth rate was negative over the past 5 years.

Unable to compare PROS Holdings's 1-year earnings growth to the 5-year average as it is not currently profitable.

Unable to compare PROS Holdings's 1-year growth to the US Software industry average as it is not currently profitable.


Return on Equity

It is difficult to establish if PROS Holdings has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.


Return on Assets

It is difficult to establish if PROS Holdings has efficiently used its assets last year compared to the US Software industry average (Return on Assets) as it is loss-making.


Return on Capital Employed

It is difficult to establish if PROS Holdings improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.


Next Steps

Financial Health

How is PROS Holdings's financial position?


Financial Position Analysis

PROS Holdings is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

PROS Holdings's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

PROS Holdings's level of debt (229.9%) compared to net worth is high (greater than 40%).

Unable to establish if PROS Holdings's debt level has increased without past 5-year debt data.


Balance Sheet

Low level of unsold assets.

Debt is covered by short term assets, assets are 1.8x debt.


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

PROS Holdings has sufficient cash runway for more than 3 years based on current free cash flow.

Unable to confirm if PROS Holdings has at least 1 year of cash runway based on growing free cash flows without relevant data.


Next Steps

Dividend

What is PROS Holdings's current dividend yield, its reliability and sustainability?


Dividend Yield and Payments Analysis

Unable to evaluate PROS Holdings's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate PROS Holdings's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as PROS Holdings has not reported any payouts.

Unable to verify if PROS Holdings's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as PROS Holdings has not reported any payouts.


Future Payout to Shareholders

No need to calculate the sustainability of PROS Holdings's dividends in 3 years as they are not expected to pay a notable one for United States of America.


Next Steps

Management

What is the CEO of PROS Holdings's salary, the management and board of directors tenure and is there insider trading?

4.2yrs

Average management tenure


CEO

Andres Reiner (48yo)

8.8yrs

Tenure

US$6,734,833

Compensation

Mr. Andres D. Reiner serves as the Chief Executive Officer and President at PROS, Inc. Mr. Reiner has been the Chief Executive Officer and President at PROS Holdings, Inc. (“PROS”) since November 2010. Mr. ...


CEO Compensation Analysis

Andres's remuneration is higher than average for companies of similar size in United States of America.

Andres's compensation has increased whilst company is loss making.


Management Age and Tenure

4.2yrs

Average Tenure

52yo

Average Age

The tenure for the PROS Holdings management team is about average.


Board Age and Tenure

10.9yrs

Average Tenure

62.5yo

Average Age

The average tenure for the PROS Holdings board of directors is over 10 years, this suggests they are a seasoned and experienced board.


Insider Trading

PROS Holdings individual insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$143,26005 Sep 19
Stefan Schulz
EntityIndividual
Role
Chief Financial Officer
Executive VP & CFO
Shares2,000
Max PriceUS$71.63
SellUS$19,492,08012 Aug 19
Ronald Woestemeyer
EntityIndividual
Role
Member of the Board of Directors
Director
Shares270,160.5
Max PriceUS$72.15
SellUS$33,165,84012 Aug 19
Romaka Llc
EntityCompany
Shares459,679
Max PriceUS$72.15
SellUS$1,453,97512 Aug 19
Mariette Woestemeyer
EntityIndividual
Role
Member of the Board of Directors
Co-Founder & Director
Shares20,160.5
Max PriceUS$72.12
SellUS$143,28002 Aug 19
Stefan Schulz
EntityIndividual
Role
Chief Financial Officer
Executive VP & CFO
Shares2,000
Max PriceUS$71.64
SellUS$217,47001 Aug 19
Thomas Dziersk
EntityIndividual
Role
Head of Sales
Executive Vice President of Worldwide Sales
Shares3,000
Max PriceUS$72.49
SellUS$73,04701 Aug 19
Timothy Williams
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,000
Max PriceUS$73.18
SellUS$63,42010 Dec 18
Thomas Dziersk
EntityIndividual
Role
Head of Sales
Executive Vice President of Worldwide Sales
Shares2,000
Max PriceUS$31.71

Ownership Breakdown


Management Team

  • Tom Dziersk (56yo)

    Executive Vice President of Worldwide Sales

    • Tenure: 1.9yrs
    • Compensation: US$1.38m
  • Benson Yuen (58yo)

    President of Travel

    • Tenure: 0yrs
  • Andres Reiner (48yo)

    CEO, President & Director

    • Tenure: 8.8yrs
    • Compensation: US$6.73m
  • Stefan Schulz (52yo)

    Executive VP & CFO

    • Tenure: 4.5yrs
    • Compensation: US$2.99m
  • Damian Olthoff (44yo)

    Chief Compliance Officer

    • Tenure: 0yrs
  • Mariette Woestemeyer (68yo)

    Co-Founder & Director

    • Tenure: 34.7yrs
    • Compensation: US$186.15k
  • Wagner Williams (40yo)

    Chief People Officer

    • Tenure: 3.8yrs
  • Celia Fleischaker (49yo)

    Chief Marketing Officer

    • Tenure: 1.8yrs
  • Rob Reiner (57yo)

    Chief Technology Officer

    • Tenure: 0yrs
  • Shannon Tatz

    Senior Director of Investor Relations

    • Tenure: 0yrs

Board Members

  • Bill Russell (67yo)

    Non-Executive Chairman

    • Tenure: 8.8yrs
    • Compensation: US$261.15k
  • Tim Williams (70yo)

    Independent Director

    • Tenure: 12.2yrs
    • Compensation: US$223.65k
  • Les Rechan (57yo)

    Independent Director

    • Tenure: 4.3yrs
    • Compensation: US$208.65k
  • Greg Petersen (56yo)

    Independent Director

    • Tenure: 12.2yrs
    • Compensation: US$221.15k
  • Penny Herscher (58yo)

    Independent Director

    • Tenure: 1.7yrs
    • Compensation: US$208.65k
  • Ron Woestemeyer (73yo)

    Director

    • Tenure: 34.7yrs
    • Compensation: US$186.15k
  • Andres Reiner (48yo)

    CEO, President & Director

    • Tenure: 8.8yrs
    • Compensation: US$6.73m
  • Mariette Woestemeyer (68yo)

    Co-Founder & Director

    • Tenure: 34.7yrs
    • Compensation: US$186.15k

Company Information

PROS Holdings, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: PROS Holdings, Inc.
  • Ticker: PRO
  • Exchange: NYSE
  • Founded: 1985
  • Industry: Application Software
  • Sector: Software
  • Market Cap: US$2.466b
  • Shares outstanding: 40.22m
  • Website: https://www.pros.com

Number of Employees


Location

  • PROS Holdings, Inc.
  • 3100 Main Street
  • Suite 900
  • Houston
  • Texas
  • 77002
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PRONYSE (New York Stock Exchange)YesCommon StockUSUSDJun 2007
PH2DB (Deutsche Boerse AG)YesCommon StockDEEURJun 2007

Biography

PROS Holdings, Inc. offers artificial intelligence (AI) solutions that power commerce in the digital economy worldwide. The company’s solutions enable buying experiences for business-to-business (B2B) and  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/21 00:05
End of Day Share Price2019/09/20 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.