PTC (NASDAQ:PTC) Shares Gap Up After Strong Earnings

Shares of PTC Inc. (NASDAQ:PTC) gapped up prior to trading on Thursday following a stronger than expected earnings report. The stock had previously closed at $136.76, but opened at $153.98. PTC shares last traded at $147.5050, with a volume of 696,691 shares.

The technology company reported $2.69 earnings per share for the quarter, topping analysts’ consensus estimates of $2.06 by $0.63. The firm had revenue of $774.30 million during the quarter, compared to analysts’ expectations of $712.40 million. PTC had a return on equity of 25.84% and a net margin of 41.81%.The firm’s quarterly revenue was up 21.7% on a year-over-year basis. During the same period in the prior year, the business posted $1.79 EPS. PTC has set its FY 2026 guidance at 6.650-8.900 EPS and its Q3 2026 guidance at 1.240-1.780 EPS.

Key PTC News

Here are the key news stories impacting PTC this week:

• Positive Sentiment: PTC beat Wall Street expectations with Q2 adjusted EPS of $2.69 and revenue of $774.3 million, both ahead of estimates, signaling stronger-than-expected execution. PTC earnings report
• Positive Sentiment: The company raised full-year fiscal 2026 guidance for revenue and non-GAAP EPS, which suggests management sees momentum continuing into the rest of the year. Reuters article
• Positive Sentiment: Investors also reacted to strong ARR growth, better cash generation, and a large share repurchase plan, all of which point to improving fundamentals and shareholder returns. Quiver Quantitative article
• Positive Sentiment: Analyst and market commentary today has been focused on PTC beating estimates and benefiting from AI-related demand trends, reinforcing the bullish reaction. Zacks article
• Neutral Sentiment: Some recent institutional filings show mixed ownership trends, with several funds adding to PTC while others trimmed positions. Fund update
• Negative Sentiment: One offsetting caution is that insider selling has been persistent over recent months, which may keep some investors guarded despite the strong earnings beat. Quiver Quantitative article

Analyst Ratings Changes

A number of brokerages recently weighed in on PTC. Robert W. Baird set a $198.00 price objective on PTC in a research note on Thursday. Weiss Ratings cut PTC from a “hold (c)” rating to a “hold (c-)” rating in a research note on Wednesday. Mizuho decreased their price objective on PTC from $180.00 to $160.00 and set a “neutral” rating for the company in a research note on Monday, March 23rd. Citigroup increased their price target on PTC from $146.00 to $155.00 and gave the company a “neutral” rating in a research note on Friday. Finally, Rosenblatt Securities reiterated a “buy” rating and issued a $190.00 price target on shares of PTC in a research note on Tuesday. Ten research analysts have rated the stock with a Buy rating, five have issued a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $177.23.

Insider Transactions at PTC

In other PTC news, Director Corinna Lathan sold 675 shares of the stock in a transaction dated Monday, March 16th. The stock was sold at an average price of $157.24, for a total value of $106,137.00. Following the completion of the sale, the director directly owned 8,429 shares in the company, valued at approximately $1,325,375.96. This trade represents a 7.41% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, EVP Staats Aaron C. Von sold 240 shares of the stock in a transaction dated Wednesday, February 11th. The shares were sold at an average price of $161.10, for a total value of $38,664.00. Following the completion of the sale, the executive vice president owned 22,221 shares of the company’s stock, valued at approximately $3,579,803.10. This trade represents a 1.07% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Company insiders own 0.29% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors have recently modified their holdings of the company. Root Financial Partners LLC purchased a new position in shares of PTC in the third quarter worth about $30,000. Elyxium Wealth LLC purchased a new position in shares of PTC in the fourth quarter worth about $27,000. Palladiem LLC purchased a new position in shares of PTC in the fourth quarter worth about $28,000. DV Equities LLC purchased a new position in shares of PTC in the fourth quarter worth about $29,000. Finally, Versant Capital Management Inc raised its stake in shares of PTC by 37.6% in the third quarter. Versant Capital Management Inc now owns 194 shares of the technology company’s stock worth $39,000 after purchasing an additional 53 shares during the last quarter. 95.14% of the stock is currently owned by hedge funds and other institutional investors.

PTC Stock Performance

The stock has a market capitalization of $17.45 billion, a PE ratio of 13.99, a PEG ratio of 2.57 and a beta of 0.98. The company has a quick ratio of 1.22, a current ratio of 1.68 and a debt-to-equity ratio of 0.31. The firm has a 50 day moving average price of $146.29 and a 200-day moving average price of $163.60.

PTC Company Profile

PTC Inc (NASDAQ: PTC) is a global technology company that develops software and services to help manufacturers design, operate, and service physical products. Founded in 1985 as Parametric Technology Corporation, PTC pioneered parametric, feature-based CAD with its Pro/ENGINEER product (now marketed as Creo) and has since expanded its portfolio to address product lifecycle management, Internet of Things (IoT), augmented reality (AR) and industrial connectivity.

Key product lines include Creo for 3D CAD; Windchill for product lifecycle management (PLM); ThingWorx, an IoT platform for connecting devices and building industrial applications; Vuforia, an AR platform for creating immersive service and training experiences; and Kepware, a suite for industrial connectivity and protocol translation.