PTC Inc. (PTC)
Technology · NASDAQ · US
Fundamentals
Valuation and ratings
PTC Inc. trades at $127.36, which is 115% below the $274.43 our discounted cash flow model puts on the business. On that measure alone it screens as undervalued, though a DCF is an argument rather than a measurement, and the market is frequently right about why something is cheap.
Our moat model scores it 94 out of 100, which is a wide moat. A moat is a structural reason competitors cannot take the profits away, and it matters more to a long holding period than any single quarter's numbers do.
It changes hands at 12.0 times earnings. Be careful reading that in isolation: for a cyclical business a low P/E arrives at the top of the cycle, when profits are peaking and about to fall, which is exactly when the shares look cheapest and are not.
About PTC Inc.
PTC Inc. operates as software company in the Americas, Europe, and the Asia Pacific. The company provides Windchill, a suite that manages all aspects of the product development lifecycle(PLM) that provides real-time information sharing, dynamic data visualization, collaborate across geographically distributed teams, and enabling manufacturers to elevate product development, manufacturing, field service, and end-of-life processes; ThingWorx, an Industrial Internet of Things software; ServiceMax, a service lifecycle management solutions enable companies to asset uptime with optimized in-person and remote service and technician productivity with mobile tools, and deliver metrics; and Arena, a SaaS PLM solution enables product teams to collaborate virtually to share product and quality information with internal teams and supply chain partners and deliver products to customers. It offers Codebeamer, an application lifecycle management for products and software development; Servigistics, a service parts management solution; and FlexPLM, a platform for merchandising and line planning, materials management, sampling, and others. In addition, it offers Kepware, an enterprise industrial connectivity solution; Kepware Edge, a Linux-based industrial communications platform; KEPServerEX, an industrial connectivity solution for small projects; Creo, a 3D CAD technology enables the digital design, testing, and modification of product models; and Onshape, a SaaS product development platform that delivers computer-aided design with data management, collaboration tools, and real-time analytics. Further, it offers Vuforia, an augmented reality (AR) software; and Arbortext, a dynamic publishing solution streamlines how organizations create, manage, and publish technical documentation. Additionally, the company provides PTC Products; PTC Mathcad; and augmented reality product. PTC Inc. was incorporated in 1985 and is headquartered in Boston, Massachusetts.
PTC passes 6 of our 30 screens today
Each screen prints the exact criteria it used, and the circumstances in which it is wrong.
Smart money ownership
14 of the funds we track reported a position in their latest SEC 13F filing. Largest first:
- Boykin Curry, EAGLE CAPITAL MANAGEMENT LLC$104.25M · 0.3% of book
- Ken Griffin, CITADEL ADVISORS LLC$83.08M · 0.0% of book
- Renaissance Technologies, RENAISSANCE TECHNOLOGIES LLC$55.44M · 0.1% of book
- Impax Asset Management, Impax Asset Management Group plc$42.70M · 0.3% of book
- Joel Greenblatt, Gotham Asset Management, LLC$37.12M · 0.1% of book
A word of warning on reading these figures: a 13F reports the market value of a holding, so a fund that traded nothing at all still appears to have sold when the price fell. We found 102 companies where the standard reading gives the opposite answer. Only the share count is honest.
Common questions
Is PTC Inc. (PTC) undervalued?
Against our discounted cash flow estimate of $274.43, PTC at $127.36 is 115% below fair value. That is one model's answer, not a recommendation, and most of a DCF's output sits in a terminal value nobody can forecast.
Which funds own PTC?
14 of the institutions we track reported a position in PTC in their most recent SEC 13F filing. A 13F is filed up to 45 days after quarter end, so it tells you what a fund held then, not what it holds now.
What is PTC's P/E ratio?
PTC trades at 12.0 times earnings. A low P/E is not automatically cheap: on a cyclical company it is usually a warning that earnings are at a peak.
The full research page for PTC, with financial statements, ownership detail, peer comparison and alerts, is free inside the app.
Data from company filings, exchange quotes and SEC EDGAR 13F disclosures. Quotes are delayed. Metrics we do not have are left out rather than estimated. Educational information, not financial advice.