2.19%
-24.64%
-18.45%
15.66%
25.19%
0.06%
-6.10%
120.00120.00110.00110.00100.00100.0090.0090.0080.0080.0070.0070.0012/9/202412/9/202412/19/202412/19/202412/30/202412/30/20241/10/20251/10/20251/21/20251/21/20251/31/20251/31/20252/11/20252/11/20252/22/20252/22/2025
Download SVG
Download PNG
Download CSV

Company Description

Pegasystems Inc.develops, markets, licenses, hosts, and supports enterprise software applications in the United States, rest of the Americas, the United Kingdom, rest of Europe, the Middle East, Africa, and the Asia-Pacific.It provides Pega Platform, an application development product for clients; and Pega Infinity, a software platform that unifies customer engagement and digital process automation.


The company also offers customer engagement applications, including Pega Customer Decision Hub that enable enterprises to enhance customer acquisition and experiences across inbound, outbound, and paid media channels; Pega Sales Automation to automate and manage the sales process; and Pega Customer Service to anticipate customer needs, connect customers to people and systems, and automate customer interactions to evolve the customer service experience, as well as to allow enterprises to deliver interactions across channels and enhance employee productivity.In addition, it provides intelligent automation software; Pega Cloud that allows clients to develop, test, and deploy applications and the Pega Platform using an Internet-based infrastructure; Pega Academy, which offers instructor-led and online training to its employees, clients, and partners; and guidance, implementation, and technical support services.The company primarily markets its software and services to financial services, life sciences, healthcare, communications and media, government, insurance, manufacturing and high tech, and consumer services markets through a direct sales force, as well as partnerships with technology providers and application developers.


Pegasystems Inc.was incorporated in 1983 and is headquartered in Cambridge, Massachusetts.

Market Data

Last Price 79.33
Change Percentage 2.19%
Open 77.73
Previous Close 77.63
Market Cap ( Millions) 6814
Volume 795874
Year High 113.67
Year Low 54.55
M A 50 95.14
M A 200 77.33

Financial Ratios

FCF Yield 4.96%
Dividend Yield 0.15%
ROE 21.06%
Debt / Equity 93.88%
Net Debt / EBIDTA 117.06%
Price To Book 11.65
Price Earnings Ratio 68.78
Price To FCF 20.15
Price To sales 4.55
EV / EBITDA 38.7

News

Business Breakdown

Expected Mid-Term Growth

Segment nΒ°1 -> Subscription Services

Expected Growth : 5.5 %

What the company do ?

Pegasystems' Subscription Services provide ongoing support, maintenance, and updates for Pega software, ensuring customers stay current with the latest features and innovations.

Why we expect these perspectives ?

Pegasystems' Subscription Services growth of 5.5% is driven by increasing adoption of cloud-based solutions, expansion into new industries, and growing demand for digital transformation. Additionally, the company's strategic partnerships, innovative product offerings, and strong customer retention rates contribute to this growth.

Segment nΒ°2 -> Subscription License

Expected Growth : 6.2 %

What the company do ?

A Subscription License from Pegasystems Inc. is a flexible, cloud-based licensing model that provides access to Pega software and services for a recurring fee.

Why we expect these perspectives ?

Pegasystems' Subscription License growth of 6.2% is driven by increasing demand for digital transformation, adoption of cloud-based solutions, and expansion into new industries. Additionally, the company's strategic partnerships, innovative product offerings, and strong sales execution contribute to this growth.

Segment nΒ°3 -> Consulting

Expected Growth : 4.8 %

What the company do ?

Pegasystems Inc.'s consulting services help businesses optimize operations and customer engagement through strategic guidance and implementation of their industry-leading software solutions.

Why we expect these perspectives ?

Pegasystems Inc.'s 4.8% growth in consulting is driven by increasing demand for digital transformation, adoption of cloud-based solutions, and growing need for customer experience improvement. Additionally, the company's strong partnerships, innovative products, and expanding presence in emerging markets contribute to its growth momentum.

Segment nΒ°4 -> Perpetual License

Expected Growth : 3.5 %

What the company do ?

A perpetual license from Pegasystems Inc. is a one-time payment for unlimited use of their software, with no expiration or renewal fees.

Why we expect these perspectives ?

Pegasystems' Perpetual License growth is driven by increasing demand for digital transformation, low-code development, and customer engagement solutions. The 3.5% growth rate is fueled by expanding adoption in industries such as financial services, healthcare, and government, as well as the company's strategic partnerships and investments in emerging technologies like AI and cloud computing.

Pegasystems Inc. Products

Product Range What is it ?
Pega Platform A business process management (BPM) and customer relationship management (CRM) platform that enables organizations to digitize and automate business processes, and deliver personalized customer experiences.
Pega Customer Service A customer service platform that enables organizations to deliver personalized, omnichannel customer experiences, and provides a unified view of customer interactions.
Pega Marketing A marketing automation platform that enables organizations to deliver personalized, omnichannel marketing campaigns, and provides real-time customer insights.
Pega Sales Automation A sales automation platform that enables organizations to automate and optimize sales processes, and provides real-time sales insights.
Pega Customer Decision Hub A customer decision hub that enables organizations to make data-driven decisions, and provides real-time customer insights.
Pega Workforce Intelligence A workforce intelligence platform that enables organizations to optimize workforce operations, and provides real-time workforce insights.

Pegasystems Inc.'s Porter Forces

Pegasystems Inc. has a medium threat of substitutes due to the presence of alternative BPM and CRM solutions in the market.

Pegasystems Inc. has a low bargaining power of customers due to its strong brand reputation and customer loyalty.

Pegasystems Inc. has a medium bargaining power of suppliers due to its dependence on a few key suppliers for technology and services.

Pegasystems Inc. has a high threat of new entrants due to the growing demand for digital transformation and BPM solutions.

Pegasystems Inc. operates in a highly competitive market with intense rivalry among established players, leading to a high intensity of rivalry.

Capital Structure

Value
Debt Weight 59.24%
Debt Cost 3.95%
Equity Weight 40.76%
Equity Cost 9.18%
WACC 6.08%
Leverage 145.37%

Historical Valuation

Price/Earnings Ratio

Margin Valuation

Peers Valuation

Competitors

Company Rational
BRZE Braze, Inc. operates a customer engagement platform that provides interactions between consumers and brands worldwide. It offers data ingestion products, such as Braze software development kits that automatically manage data …
WK Workiva Inc., together with its subsidiaries, provides cloud-based compliance and regulatory reporting solutions worldwide. The company offers Workiva platform that offers controlled collaboration, data linking, data integrations, granular permissions, process …
DT Dynatrace, Inc. provides a software intelligence platform for dynamic multi-cloud environments. It operates Dynatrace, a software intelligence platform, which provides application and microservices monitoring, runtime application security, infrastructure monitoring, digital …
ZETA Zeta Global Holdings Corp. operates an omnichannel data-driven cloud platform that provides enterprises with consumer intelligence and marketing automation software in the United States and internationally. Its Zeta Marketing Platform …
SMAR Smartsheet Inc. provides cloud-based enterprise platform to plan, capture, manage, automate, and report on work for teams and organizations. The company offers Dashboards for real-time visibility into the status of …

Peers Metrics

DCF BETA

Parameters

Short Term Growth
Short term Time
Long-Term Growth
WACC
Target Price
79.33$
Current Price
79.33$
Potential
-0.00%

Expected Cash-Flows

Scoring Insights

ValueQualityYieldMomentumVolatilityGrowth
Company A-Score: 5.80Peer Group Average: 4.70Leader: 5.70

Peers Group Analysis

πŸ₯‡

Workiva Logo
Workiva
A-Score # N/A

Value:# N/A

Growth: # N/A

Quality: # N/A

Yield: # N/A

Momentum: # N/A

Volatility: # N/A

1-Year Total Return ->

πŸ₯ˆ

Smartsheet Logo
Smartsheet
A-Score # N/A

Value:# N/A

Growth: # N/A

Quality: # N/A

Yield: # N/A

Momentum: # N/A

Volatility: # N/A

1-Year Total Return ->

πŸ₯‰

Dynatrace Logo
Dynatrace
A-Score # N/A

Value:# N/A

Growth: # N/A

Quality: # N/A

Yield: # N/A

Momentum: # N/A

Volatility: # N/A

1-Year Total Return ->

4

Pegasystems Logo
Pegasystems
A-Score # N/A

Value:# N/A

Growth: # N/A

Quality: # N/A

Yield: # N/A

Momentum: # N/A

Volatility: # N/A

1-Year Total Return ->

5

Zeta Global Logo
Zeta Global
A-Score # N/A

Value:# N/A

Growth: # N/A

Quality: # N/A

Yield: # N/A

Momentum: # N/A

Volatility: # N/A

1-Year Total Return ->

6

Braze Logo
Braze
A-Score # N/A

Value:# N/A

Growth: # N/A

Quality: # N/A

Yield: # N/A

Momentum: # N/A

Volatility: # N/A

1-Year Total Return ->