PTC Inc. combines a perfect 4-for-4 earnings beat streak, a PEG ratio of 0.94, 34% return on equity, and Rule of 40 score of 55 with deeply depressed momentum signals including RSI of 18 and a confirmed death cross, creating a high-quality business available at a potentially attractive price if the technical setup resolves.
Thesis pillars
- Quality Compounder Fundamentals→Stable
- Earnings Beat Streak↓Deteriorating
- Oversold Technical Setup↓Deteriorating
- +1 more pillar — see the Why tab for full reasoning
PTC Inc. (PTC) Stock Analysis
Catalyst-Driven edge
Technology · Software - Application
Sell if holding. Analyst target reached at $193.15 — A.R:R is negative (-0.4) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Sector modifier (Technology): -0.8.
PTC develops industrial software for PLM and CAD, serving over 30,000 customers globally across industrials, defense, electronics, automotive, and medical technology. The company earns revenue through software subscriptions — 95% of 2025 revenue was recurring — with... Read more
Sell if holding. Analyst target reached at $193.15 — A.R:R is negative (-0.4) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Sector modifier (Technology): -0.8. Chart setup: No clear chart pattern; technical signals are mixed. Score 4.6/10, moderate confidence.
Passes 7/9 gates (positive momentum, clean insider activity, no SEC red flags, news events none recent, earnings proximity 27d clear, semi cycle peak clear, materials cycle peak clear). Fails on favorable risk/reward ratio. Suitability: moderate.
About PTC Inc.
About PTC Inc.
PTC's subscription software platform served more than 30,000 customers globally in fiscal 2025, with 95% of annual revenue classified as recurring. The company's 7,642 full-time employees develop PLM products — Windchill, Codebeamer, ServiceMax, Arena, and Servigistics — and CAD tools including Creo and Onshape, across five customer verticals: industrials, federal/aerospace and defense, electronics, automotive, and medical technology. Approximately 75% of sales are direct, with resellers covering smaller accounts.
PTC earns revenue through software subscriptions providing access to PLM and CAD suites, with Windchill addressing product data management across the product development lifecycle, Creo serving 3D parametric design, and ServiceMax handling field service management. Approximately 75% of sales are made directly by the company's sales force targeting large enterprise accounts, with the remaining 25% through third-party resellers covering smaller businesses. Growth comes primarily from existing customers expanding their PTC software footprint and multi-product adoption, alongside commercial pricing optimization and new customer wins. Competition is intense: Autodesk, Dassault Systèmes SA, and Siemens AG compete in PLM and CAD; IBM and Siemens AG compete in ALM; and Oracle, SAP, IFS AB, Microsoft, and Salesforce compete in field service and SLM. A large amount of PTC's sales are to customers in the discrete manufacturing sector, making results sensitive to manufacturing activity cycles and macroeconomic factors that affect capital spending by manufacturers.
Show full overview
PTC's PLM and CAD products compete against Autodesk, Dassault Systèmes SA, and Siemens AG — all of which hold greater brand recognition and longer-standing relationships at large enterprise accounts. The 10-K notes these competitors have more financial, technical, and marketing resources, which may limit PTC's ability to gain customer confidence or displace incumbents. The company's SaaS transition adds a further dimension: Arena and Onshape are cloud-native solutions, while Windchill+ and Creo+ are newer SaaS offerings. If competing SaaS PLM and CAD solutions from Autodesk or Dassault Systèmes attract new buyers before Windchill+ and Creo+ mature, PTC could lose market share among enterprise accounts evaluating cloud migrations.
See also: Technology · Software - Application
From PTC Inc.'s most recent 10-K filing, extracted June 11, 2026.
Recent developments
updated 2026-10-16Recent Developments — PTC Inc.
Latest news
- NEWS PTC Inc. stock outperforms competitors on strong trading day - MarketWatch — MarketWatch positive
- NEWS PTC (NASDAQ:PTC) Releases FY 2026 Earnings Guidance - MarketBeat — MarketBeat positive
- NEWS PTC (NASDAQ:PTC) Reports Sales Below Analyst Estimates In Q2 CY2026 Earnings - StockStory — StockStory negative
- NEWS PTC Q3 Revenue Falls 7 Percent as EPS Reaches $1.03 - Quiver Quantitative — Quiver Quantitative negative
- NEWS PTC ANNOUNCES THIRD FISCAL QUARTER 2026 RESULTS - PR Newswire — PR Newswire neutral
Generated 2026-10-16T11:52:12Z.
Upcoming dated catalysts
Thesis
Key Metrics
Quality Signals
Options Flow
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.
Show full disclosure ▾Hide full disclosure ▴
About TrendMatrix. TrendMatrix is a publisher of general securities research and market commentary. We publish on a regular schedule. All content is the same for every subscriber in a tier — we do not provide personalized investment advice and we do not take into account any individual subscriber's financial situation, investment objectives, risk tolerance, tax situation, or holdings.
Not investment advice. TrendMatrix is not a registered investment adviser. Our content is for informational and educational purposes only. Consult your own licensed investment adviser, broker, or tax professional before making any investment decision.
Conflicts and positions. The TrendMatrix editorial team frequently holds personal long-term positions in securities discussed. We disclose positions held at the time of publication on each piece. We maintain a trading-window policy: we do not initiate or close positions in the same direction as a TrendMatrix publication within 24 hours before or 72 hours after publication.
No paid promotion. TrendMatrix does not accept payment from any issuer, broker, or third party in exchange for coverage of any security. Our sole compensation is subscription revenue.
No fiduciary duty. No fiduciary, advisory, or agency relationship is created between you and TrendMatrix by reading our content or subscribing to our service.
Performance. Past performance is not indicative of future results. Performance figures reflect the published model only and do not reflect any individual subscriber's actual results.
Rating Breakdown
2 floor-breakers
Revenue shrinking — -6.8% YoY. Growth thesis broken unless recovery story develops.static
Technicals below the gate floor. Component breakdown shows what dragged the score down.static
Price Targets
Position Sizing
Risk Alerts
Earnings
Verdict History
Frequently Asked Questions
Sell if holding. Analyst target reached at $193.15 — A.R:R is negative (-0.4) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Sector modifier (Technology): -0.8. Chart setup: No clear chart pattern; technical signals are mixed. Prior stop was $180.53. Score 4.6/10, moderate confidence.
Take-profit target: $222.12 (-6.3% upside). Prior stop was $180.53. Stop-loss: $180.53.
Analyst target reached - limited upside remaining; Sector modifier (Technology): -0.8; Negative news sentiment (-0.67).
PTC Inc. trades at a P/E of 18.8 (forward 21.7). TrendMatrix value score: 5.0/10. Verdict: Sell.
26 analysts cover PTC with a consensus score of 3.8/5. Average price target: $201.
What does PTC Inc. do?PTC develops industrial software for PLM and CAD, serving over 30,000 customers globally across industrials, defense,...
PTC develops industrial software for PLM and CAD, serving over 30,000 customers globally across industrials, defense, electronics, automotive, and medical technology. The company earns revenue through software subscriptions — 95% of 2025 revenue was recurring — with approximately 75% of sales direct and 25% through resellers, competing against Autodesk, Dassault Systèmes, and Siemens.