Street Calls of the Week
Investing.com - DA Davidson has reiterated its Buy rating on Progress Software (NASDAQ:PRGS) with a price target of $75.00. The stock, currently trading near its 52-week low, appears undervalued according to InvestingPro analysis.
The research firm maintained its positive outlook on the software company following Progress Software's recent quarterly performance, which demonstrated continued strength in its business operations.
DA Davidson noted that Progress Software is benefiting from demand tailwinds as customers adopt new AI capabilities and seek to reduce IT complexity.
The firm expressed confidence that Progress Software can continue to deliver strong inorganic growth while maintaining low organic growth rates.
DA Davidson also highlighted Progress Software's "best-in-class margins" as a key factor supporting its investment thesis for the company.
In other recent news, Progress Software reported financial results for the third quarter of 2025 that surpassed analyst expectations. The company achieved earnings per share (EPS) of $1.50, which exceeded the anticipated $1.30, representing a surprise of 15.38%. Additionally, Progress Software's revenue reached $250 million, surpassing the forecasted $240.11 million. This strong performance was attributed to broad-based product strength, particularly in the company's ShareFile and OpenEdge offerings.
Despite these strong results, Jefferies adjusted its price target for Progress Software, lowering it to $50 from $60 while maintaining a Hold rating on the stock. These developments reflect the ongoing evaluation of the company's performance and future prospects by financial analysts.
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