Street Calls of the Week
Investing.com - Oppenheimer has reduced its price target on Roper Industries (NASDAQ:ROP) to $570.00 from $640.00 while maintaining an Outperform rating on the stock. According to InvestingPro data, the stock is currently trading near its 52-week low, with a P/E ratio of 33.5x.
The price target adjustment follows Roper’s mixed third-quarter results and a downward revision to its organic growth outlook. Despite challenges, the company, now valued at $51.5 billion, maintained robust revenue growth of 13.6% over the last twelve months. The company faced headwinds from the government shutdown, which impacted activity for its Deltek business, while copper tariffs led to contract delays at Neptune.
Roper trimmed its earnings per share guidance by $0.10 at the high end, attributing the reduction to dilution from third-quarter tuck-in acquisitions. The company is seeing early positive results from artificial intelligence products across several of its businesses, including Aderant, CentralReach, and Deltek.
Management announced a $3 billion share repurchase program, the first in the company’s history. InvestingPro analysis shows Roper has maintained dividend payments for 34 consecutive years, demonstrating consistent shareholder returns. Oppenheimer views this move favorably, though notes some investors have raised questions about Roper’s merger and acquisition pipeline.
Roper is expected to remain active in acquisitions with over $5 billion in available capital, according to Oppenheimer, which cited a reset in software multiples as the reason for its reduced price target. InvestingPro rates Roper’s overall financial health as GOOD, with particularly strong scores in profitability metrics.
In other recent news, Roper Technologies Inc. announced its Q3 2025 earnings, revealing an earnings per share (EPS) of $5.14, which exceeded analyst projections of $5.11. However, the company’s revenue for the quarter was slightly below expectations, reporting $2.02 billion compared to the forecasted $2.03 billion. These developments are significant for investors as they reflect both a positive earnings performance and a minor revenue shortfall. Despite the EPS beat, the revenue miss may have contributed to investor concerns. While there were no reports of mergers or acquisitions, the earnings report remains a critical update for stakeholders. Analyst reactions to these results were not specifically mentioned, but such financial outcomes often influence future analyst assessments. These recent developments highlight Roper Technologies’ current financial standing and market perception. Investors will be watching for any further updates or analyst adjustments following these results.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.