Progress Software Corp. [NASDAQ: PRGS] traded at a low on Wednesday, posting a -0.88 loss after which it closed the day’ session at $52.66. The company report on February 27, 2024 at 10:28 PM that Progress Software Announces Upsize and Pricing of Convertible Senior Notes Offering.
The Notes will be Progress’ senior unsecured obligations and will mature on March 1, 2030, unless earlier converted, redeemed or repurchased. The Notes will bear interest at a rate of 3.50% per year, payable semi-annually in arrears on March 1 and September 1, of each year, beginning on September 1, 2024. Before November 1, 2029, Noteholders will have the right to convert their Notes only upon the occurrence of certain events. From and after November 1, 2029, Noteholders may convert their Notes at any time at their election until the close of business on the second scheduled trading day immediately before the maturity date. Progress will satisfy its conversion obligations by paying cash up to the aggregate principal amount of Notes to be converted and pay or deliver, as the case may be, cash, shares of its common stock or a combination of cash and shares of its common stock, at its election, in respect of the remainder. The initial conversion rate is 14.7622 shares of common stock per $1,000 principal amount of Notes, which represents an initial conversion price of approximately $67.74 per share of common stock. The initial conversion price represents a premium of approximately 27.50% over the last reported sale price of $53.13 per share of Progress’ common stock on February 27, 2024. The conversion rate and conversion price will be subject to adjustment upon the occurrence of certain events. In addition, upon certain corporate events or upon a notice of redemption (as described below), Progress will, under certain circumstances, increase the conversion rate for Noteholders who convert Notes in connection with such a corporate event or notice of redemption.
The results of the trading session contributed to over 4584805 shares changing hands. Over the past one week, the price volatility of Progress Software Corp. stands at 2.46% while the volatility over the past one month is 1.80%.
The market cap for PRGS stock reached $2.31 billion, with 43.80 million shares outstanding and 43.11 million shares in the current float. Compared to the average trading volume of 370.63K shares, PRGS reached a trading volume of 4584805 in the most recent trading day, which is why market watchdogs consider the stock to be active.
What do top market gurus say about Progress Software Corp. [PRGS]?
Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for PRGS shares is $63.67 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on PRGS stock is a recommendation set at 1.67. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.
Guggenheim have made an estimate for Progress Software Corp. shares, keeping their opinion on the stock as Buy, with their previous recommendation back on January 24, 2023. While these analysts kept the previous recommendation, Jefferies raised their target price to Hold. The new note on the price target was released on September 09, 2022, representing the official price target for Progress Software Corp. stock. Previously, the target price had yet another raise to $60, while Guggenheim analysts kept a Buy rating on PRGS stock.
The Average True Range (ATR) for Progress Software Corp. is set at 1.24, with the Price to Sales ratio for PRGS stock in the period of the last 12 months amounting to 3.33. The Price to Book ratio for the last quarter was 5.02, with the Price to Cash per share for the same quarter was set at 2.89. Price to Free Cash Flow for PRGS in the course of the last twelve months was 13.73 with Quick ratio for the last quarter at 0.94.
How has PRGS stock performed recently?
Progress Software Corp. [PRGS] fell into the red zone at the end of the last week, falling into a negative trend and dropping by -3.69. With this latest performance, PRGS shares dropped by -8.58% in over the last four-week period, additionally sinking by -14.68% over the last 6 months – not to mention a drop of -8.48% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for PRGS stock in for the last two-week period is set at 35.88, with the RSI for the last a single of trading hit 30.61, and the three-weeks RSI is set at 39.81 for Progress Software Corp. [PRGS]. The present Moving Average for the last 50 days of trading for this stock 55.69, while it was recorded at 54.63 for the last single week of trading, and 56.21 for the last 200 days.
Progress Software Corp. [PRGS]: Deeper insight into the fundamentals
Progress Software Corp.’s liquidity data is similarly interesting compelling, with a Quick Ratio of 0.94 and a Current Ratio set at 0.94.
Earnings analysis for Progress Software Corp. [PRGS]
With the latest financial reports released by the company, Progress Software Corp. posted 1.19/share EPS, while the average EPS was predicted by analysts to be reported at 1.05/share. When compared, the two values demonstrate that the company surpassed the estimates by a Surprise Factor of 13.30%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for PRGS. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for Progress Software Corp. go to 2.00%.
Insider trade positions for Progress Software Corp. [PRGS]
The top three institutional holders of PRGS stocks are: VANGUARD GROUP INC with ownership of 1.3 billion shares, which is approximately 8.2815%. BLACKROCK INC., holding 1.03 billion shares of the stock with an approximate value of $176.59 billion in PRGS stocks shares; and BERKSHIRE HATHAWAY INC, currently with $156.75 billion in PRGS stock with ownership which is approximately 5.8325%.
