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PRGSProgress Software CorporationHold5.9·$38.74+0.83%
HoldModerate Confidence
Investment thesis

Progress Software is an attractively valued infrastructure software company with a perfect four-quarter earnings beat streak, exceptional free cash flow conversion at 291% of net income, and an earnings catalyst in 13 days, but a confirmed death cross with the 200-day moving average declining at negative 6.1% per 30 days and high leverage at 2.8 times debt-to-equity create real downside risk if the upcoming earnings disappoint.

Thesis pillars

  • Earnings Catalyst Upcoming Beat StreakStable
  • Exceptional Cash Conversion QualityStable
  • Death Cross And High LeverageStable
  • +1 more pillar — see the Why tab for full reasoning

Full reasoning →

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Progress Software Corporation (PRGS) Stock Analysis

Recovery setup · Inst Constrain edge

HoldVALUE-TRAP 1/5Moderate Confidence

Technology · Software - Infrastructure

Hold if already holding. Not a fresh buy at $38.74, but acceptable to hold if already in. Reason: Leverage penalty (D/E 2.6): -1.5.

Progress Software Corporation develops and sells enterprise software for building, deploying, and managing business applications and digital experiences, including OpenEdge (application development platform) and ShareFile (SaaS document collaboration), sold through direct sales... Read more

$38.74+13.8% A.UpsideScore 5.9/10#32 of 110 Software - Infrastructure
QualityF-score7 / 9FCF yield19.53%
Stop $36.03Target $44.08(analyst − 13%)A.R:R 0.9:1
Analyst target$50.67+30.8%6 analysts
$44.08our TP
$38.74price
$50.67mean
$83

Hold if already holding. Not a fresh buy at $38.74, but acceptable to hold if already in. Reason: Leverage penalty (D/E 2.6): -1.5. Chart setup: Death cross but MACD improving, RSI 70. Multiple concerning factors. Consider reducing position. | News modifier +2 (SELL_IF_HOLDING → HOLD_IF_HOLDING) Score 5.9/10, moderate confidence.

Passes 7/9 gates (positive momentum, clean insider activity, no SEC red flags, news boost earnings 0.70, earnings proximity 85d clear, semi cycle peak clear, materials cycle peak clear). Fails on favorable risk/reward ratio. Suitability: speculative.

10-K grounded · weekly refresh

About Progress Software Corporation

About Progress Software Corporation

Progress Software's OpenEdge application-development platform and ShareFile SaaS collaboration product together generated slightly more than half of the company's fiscal 2025 consolidated revenue. Progress employed 2,801 people worldwide as of November 30, 2025, including 1,048 in product development, and drew approximately 36% of fiscal 2025 revenue from sales outside North America. No single customer or partner accounted for more than 10% of total revenue in any of the last three fiscal years.

Progress sells roughly a dozen product lines, including OpenEdge, ShareFile, MOVEit managed file transfer, Chef DevOps automation, MarkLogic data platform, Sitefinity digital-experience software, and Kemp LoadMaster load balancers, built through an acquisition-driven growth strategy that has added Ipswitch, Chef, Kemp, MarkLogic, ShareFile, and Nuclia since 2019. Products are licensed under perpetual, term, or subscription models and sold both directly and through independent software vendors, original equipment manufacturers, value-added resellers, and distributors; nearly half of worldwide revenue flows through these indirect channels. The company operates as a single reportable segment, with its CEO as chief operating decision maker reviewing results on a consolidated basis. Progress competes against vendors offering proprietary and open-source alternatives across application development, data integration, and infrastructure-monitoring categories, and states it does not believe any single vendor dominates these markets.

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Progress' most material overhang traces to the May 2023 MOVEit Transfer zero-day vulnerability, which triggered three formal government investigations alongside informal inquiries from data-privacy regulators, the FTC, the SEC, and several state attorneys general, most since closed without enforcement action, plus consolidated class-action and insurance-subrogation litigation in a Massachusetts multidistrict proceeding. The company states it cannot yet estimate the quantitative liability from that litigation with reasonable certainty. A separate cybersecurity incident disclosed in December 2022 involved unauthorized access to Progress' corporate network and exfiltration of company data, underscoring recurring third-party and nation-state cyber-intrusion risk to a vendor whose MOVEit and ShareFile products routinely transmit customer data.

See also: Technology · Software - Infrastructure

From Progress Software Corporation's most recent 10-K filing, extracted July 6, 2026.

TrendMatrix Research · upcoming catalyst calendar

Upcoming dated catalysts

Mon, Sep 28, 202685d to earnings· next earnings call

Thesis

Rewards
Strong earnings beat streak (4/4)
Positive news sentiment (+0.70)
Attractive valuation
Risks
Leverage penalty (D/E 2.6): -1.5

Key Metrics

P/E (TTM)18.7
P/E (Fwd)6.2
Mkt Cap$1.6B
EV/EBITDA8.4
Profit Mgn8.9%
ROE18.6%
Rev Growth6.8%
Beta0.82
DividendNone
Rating analysts13

Quality Signals

Piotroski F7/9MoatNarrow

Options Flow

P/C0.78neutral
IV56%elevated
Max Pain$18-54.8% vs spot

Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.

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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.

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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.

Methodology · Editorial policy & full disclaimer

Rating Breakdown

2 floor-breakers

Technicals below the gate floor. Component breakdown shows what dragged the score down.static

Bollinger
0.0
Support Resistance
1.3
52w Position
1.8

Ranks in the bottom of its industry peers on the composite signal. Better names in the same sector exist.static

Growth Rank
2.4
Quality Rank
6.0
Value Rank
7.1
GatesA.R:R 0.9 < 1.5@spotDeath cross (50MA < 200MA)Momentum 6.7>=5.5Insider activity: OKNo SEC red flagsNEWS BOOST EARNINGS 0.70EARNINGS PROXIMITY 85d clearSEMI CYCLE PEAK CLEARMATERIALS CYCLE PEAK CLEARRecoverySuitability: Speculative
RSI
70 · Overbought
20D MA 50D MA 200D MADEATH CROSSSupport $27.23Resistance $40.50

Price Targets

$36
$44
A.Upside+13.8%
A.R:R0.9:1

Position Sizing

ConvictionNone
Suggested %0.5%
Max %1%
RegimeSteady

Risk Alerts

! NEWS_MOD=+2: SELL_IF_HOLDING → HOLD_IF_HOLDING
! asymmetry at 0.9 (below the engine's 1.5 threshold)@spot

Earnings

B
B
B
B
4/4 beats
Next Earnings2026-09-28 (85d)

Verdict History

reverse chrono — latest first
Loading history...
Verdicts are recorded on every nightly pipeline run. Rows capture transitions (verdict flips, score deltas ≥0.3, entry/TP/SL changes). Rows with a ▶ can be expanded to see the change reason. Aggregate cohort performance is tracked in the recommendation ledger.
Frequently Asked Questions
Is PRGS stock a buy right now?

Hold if already holding. Not a fresh buy at $38.74, but acceptable to hold if already in. Reason: Leverage penalty (D/E 2.6): -1.5. Chart setup: Death cross but MACD improving, RSI 70. Multiple concerning factors. Consider reducing position. | News modifier +2 (SELL_IF_HOLDING → HOLD_IF_HOLDING) Target $44.08 (+13.8%), stop $36.03 (−7.5%), A.R:R 0.9:1. Score 5.9/10, moderate confidence.

What is the PRGS stock price target?

Take-profit target: $44.08 (+13.8% upside). Target $44.08 (+13.8%), stop $36.03 (−7.5%), A.R:R 0.9:1. Stop-loss: $36.03.

What are the risks of investing in PRGS?

Leverage penalty (D/E 2.6): -1.5.

Is PRGS overvalued or undervalued?

Progress Software Corporation trades at a P/E of 18.7 (forward 6.2). TrendMatrix value score: 7.4/10. Verdict: Hold.

What do analysts say about PRGS?

13 analysts cover PRGS with a consensus score of 4.4/5. Average price target: $51.

What does Progress Software Corporation do?Progress Software Corporation develops and sells enterprise software for building, deploying, and managing business...

Progress Software Corporation develops and sells enterprise software for building, deploying, and managing business applications and digital experiences, including OpenEdge (application development platform) and ShareFile (SaaS document collaboration), sold through direct sales plus indirect ISV, OEM, and reseller channels across North America, EMEA, Latin America, and Asia Pacific. OpenEdge and ShareFile together accounted for slightly more than half of fiscal 2025 consolidated revenue, and no single customer or partner exceeded 10% of total revenue in any of the last three fiscal years.

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