Boston, Massachusetts-based PTC Inc. (PTC) provides software solutions and services globally that aid manufacturing companies in designing, operating, and managing products. With a market cap. of $18.5 billion, it offers a comprehensive portfolio of software solutions, including computer-aided design modeling, product lifecycle management, and related capabilities.
Shares of PTC have lagged behind the broader market over the past 52 weeks. PTC stock has declined 6.9% over this time frame, while the broader S&P 500 Index ($SPX) has rallied 14.8%. Moreover, shares of the company are down 11% on a YTD basis, compared to SPX's 1.5% gain.
Narrowing the focus, PTC stock has also underperformed the State Street Technology Select Sector SPDR ETF (XLK), which has increased 20.9% over the past 52 weeks.
Shares of PTC rose 1.7% following its solid Q1 2026 results on Feb. 4, highlighted by constant-currency ARR growth of 8.4% to $2.5 billion and revenue of $686 million, up 21% year-over-year. Investor confidence was supported by sharp profitability gains, with adjusted EPS rising 75% to $1.92, and operating margin expanding to 32%, alongside 13% growth in both operating and free cash flow to about $270 million.
For the fiscal year ending in September 2026, analysts expect PTC's EPS to decline 3.6% year-over-year to $6.45. However, the company's earnings surprise history is strong. It beat the consensus estimates in the last four quarters.
PTC stock has a consensus “Moderate Buy” rating overall. Of the 18 analysts covering the stock, opinions include 10 “Strong Buys,” one “Moderate Buy,” six “Holds,” and one “Strong Sell.”
On Feb. 6, Citigroup analyst Tyler Radke maintained a “Neutral” rating for PTC stock and lowered its price target from $181 to $166.
The mean price target of $197.18 represents a premium of 26.7% to PTC's current levels. The Street-high price target of $250 implies a potential upside of 60.7% from the current price levels.
On the date of publication, Sohini Mondal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
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