Progress Software (PRGS) Stock Fundamentals, Analysis & Risk Signals

Health score, price, valuation, risk signals, and key metrics at a glance.

Progress Software

NasdaqGS•Technology•Software - Infrastructure

$44.93+0.47(0.01%)Pre-market

Market Cap

$1.84B

P/E

19.9x

P/S

1.8x

P/B

3.5x

Progress Software Corporation provides software products that develops, deploys, and manages artificial intelligence (AI) powered applications and digital experiences in the United States and internationally. The company offers Agentic RAG, a next-generation Agentic Rag-as-a-Service platform; Automate MFT, a cloud-native Software-as-a-Service (SaaS) platform for automated and secure file transfers; Chef, a DevOps/DevSecOps automation software; Corticon, a decision automation platform; DataDirect, a secure data connectivity tools for Relational, NoSQL, Big Data, and SaaS data sources; Developer Tools, such as software development tooling collection, including NET and JavaScript UI components for web, desktop and mobile applications, AI-prompt components, reporting and report management tools, and automated testing and mocking tools; Flowmon, a AI-powered network security and visibility product with automated response across hybrid cloud ecosystems; and Kemp LoadMaster, an application delivery and security product for cloud-native, and virtual and hardware load balancers. It also provides MarkLogic, a data agility platform to connect data and metadata; MOVEit, a managed file transfer software; OpenEdge, an application development platform; Semaphore, a Semantic AI platform; ShareFile, an SaaS-native AI-powered document centric collaboration platform; Sitefinity, a digital experience platform foundation; and WhatsUp Gold, a network infrastructure monitoring software to find and fix network problems. The company offers project management, implementation, custom software development, programming, and other services, as well as web-enable applications, and training services. It sells its products to end users, independent software vendors, original equipment manufacturers, system integrators, value added resellers, and distributors. The company was founded in 1981 and is headquartered in Burlington, Massachusetts.

How this company scores

GoodMetricSide Score: 78/100

Strongest: Profitability (25/25); weakest: Balance Sheet & Red Flags (7/25).

Profitability25/25

Growth21/25

Balance Sheet & Red Flags7/25

Cash & Earnings Quality25/25

Strengths

Rising free cash flowStrong marginsHigh ROERising earnings

Valuation vs. 5-year range

Today's multiple positioned against its own trailing range — a visual premium/discount check.

P/E · 19.9x5y range 15.4x – 46.0x

Currently below its 20-quarter median.

P/S · 1.8x5y range 1.4x – 5.3x

Currently below its 20-quarter median.

P/B · 3.5x5y range 2.7x – 7.6x

Watch items

Data-driven signals worth keeping an eye on across the last 8 quarters

Some Concerns

Leverage Risk

Watch

D/E ratio of 2.3 is elevated. Watch for further debt accumulation.

Price & Volume

Market Cap $1.84B

Metrics at a Glance

as of August 2026

Revenue & Profit

Revenue, EBITDA, operating income, net income, EPS, and shares

TTM Revenue: $999.93M
Q. Revenue: $246.00M
TTM EBITDA: $322.80M
TTM Op. Income: $176.59M
Q. Op. Income: $46.55M
TTM Net Income: $92.41M
Q. Net Income: $22.78M
EPS: $0.55
Shares Out.: $41.06M

$999.93M in TTM revenue grew 6.4% YoY, reaching $246.00M last quarter. TTM EBITDA of $322.80M and TTM operating income of $176.59M show growth is flowing through to the bottom line. TTM net income of $92.41M means revenue is converting into profit. Over the past year, TTM revenue is up 6% — a weakening trend.

Margins

Gross, EBITDA, operating, and net margin trends

Gross Margin: 82.7%
EBITDA Margin: 33.2%
Op. Margin: 18.9%
Net Margin: 9.3%

Op. margin of 18.9% is up 1.4% YoY — cost efficiency is improving. Net margin at 9.3% and gross margin of 82.7% show how much of each revenue dollar survives to profit. Over the past year, operating margin is up 8% — an improving trend.

Price Ratios

P/E, P/S, P/B, EV/EBITDA, FCF yield, and earnings yield

P/E Ratio: 19.9x
P/S Ratio: 1.8x
P/B Ratio: 3.5x

At 19.9x P/E, the stock trades within typical market levels. P/S of 1.8x and P/B of 3.5x provide additional context. Use the growth and margin sections to judge whether the multiple is justified. Over the past year, P/E is down 51% — a weakening trend.

Assets & Liabilities

Total assets, cash, debt, book value, and leverage

Total Assets: $2.30B
Cash: $113.65M
Long-Term Debt: $1.23B
Book Value: $529.98M
D/E Ratio: 2.3
Debt/EBITDA: 15.1

With $2.30B in assets and $1.23B in long-term debt, D/E is 2.3and book value is $529.98M — elevated leverage, meaning significant financial risk in a downturn. Over the past year, debt/equity is up 5% — an improving trend.

Cash Flow

Operating cash flow, free cash flow, FCF margin, and earnings quality

Op. Cash Flow: $88.01M
TTM Free Cash Flow: $319.15M
FCF Margin: 31.9%
FCF / Net Income: 3.5

TTM FCF of $319.15M on $88.01M in operating cash flow. The FCF / Net Income ratio of 3.5x means free cash flow covers net income — earnings are backed by cash. Across the last 8 quarters, free cash flow has risen for 5 consecutive quarters — an improving trend.