Shares of Progress Software shares declined Friday, after the company reported revenue that fell short of estimates.
The business applications maker’s third-quarter adjusted earnings came in at 75 cents, higher than the year-ago quarter's 55 cents.
Non-GAAP revenue for the quarter increased +25% to $115.5 million, which is lower than the Street estimate of $111 million.
For the fourth quarter, Progress Software has predicted non-GAAP earnings of 73 cents to 75 cents a share on revenue of $116 million to $119 million a share. Analysts had forecasted revenue of $123.2 million.
For the full year, Progress Software is expecting non-GAAP earnings to range between $2.63 and $2.65 a share, and revenue to come in between $425 million and $428 million.
Chief financial officer Paul Jalbert mentioned that the company expects its $225 million acquisition of Ipswich (completed in May) to bring in substantially all of the $15 million of cost synergies by the end of 2019 - which would be well ahead of schedule, according to Jalbert.
PRGS may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options. In of 33 cases where PRGS's price broke its lower Bollinger Band, its price rose further in the following month. The odds of a continued upward trend are .
The Stochastic Oscillator suggests the stock price trend may be in a reversal from a downward trend to an upward trend. of 55 cases where PRGS's Stochastic Oscillator exited the oversold zone resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
The Momentum Indicator moved above the 0 level on March 28, 2024. You may want to consider a long position or call options on PRGS as a result. In of 90 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
The Moving Average Convergence Divergence (MACD) for PRGS just turned positive on March 19, 2024. Looking at past instances where PRGS's MACD turned positive, the stock continued to rise in of 49 cases over the following month. The odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where PRGS advanced for three days, in of 339 cases, the price rose further within the following month. The odds of a continued upward trend are .
PRGS moved below its 50-day moving average on February 27, 2024 date and that indicates a change from an upward trend to a downward trend.
The 10-day moving average for PRGS crossed bearishly below the 50-day moving average on February 26, 2024. This indicates that the trend has shifted lower and could be considered a sell signal. In of 19 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where PRGS declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
The Aroon Indicator for PRGS entered a downward trend on March 28, 2024. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 89, placing this stock better than average.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. PRGS’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (5.013) is normal, around the industry mean (28.564). P/E Ratio (33.955) is within average values for comparable stocks, (146.896). Projected Growth (PEG Ratio) (5.671) is also within normal values, averaging (2.776). Dividend Yield (0.013) settles around the average of (0.085) among similar stocks. P/S Ratio (3.428) is also within normal values, averaging (77.699).
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
a developer of real-time data management software
Industry PackagedSoftware