- BMO Capital Markets analyst Daniel Jester initiated coverage on PTC Inc (NASDAQ:PTC) at Outperform rating with a price target of $166.
- The analyst is bullish on PTC’s acquisition of the field service management software provider, ServiceMax, in January 2023.
- The company announced the $1.46 billion acquisition in November 2022, which is expected to be accretive to PTC’s SaaS ARR and cash flow in 2023.
- Jester thinks the buyout provides PTC with a strong closed-loop product lifecycle solution portfolio. He expects the company’s strong PLM solution Windchill business to unlock robust cross-sale opportunities and drive ServiceMax growth.
- The analyst estimates revenues of $2.12 billion and adjusted EPS of $4.44 (consensus: $4.37) in FY23.
- For FY24, Jester sees revenues of $2.38 billion and adjusted EPS of $5.30 (consensus: $5.21).
- Also, the analyst expects an FCF margin of ~30% and ARR growth of ~13.0% y/y in FY24, both slightly above consensus.
- Last month, the company announced Q2 FY 23 revenues of $542 million, beating the consensus of $539 million, and adjusted EPS of $1.16 exceeded the street estimates of $1.14.
- Price Action: PTC shares are trading lower by 0.74% at $129.89 on the last check Wednesday.
Fortis Prices $550M Of 5.677% Senior Unsecured Notes Due November 8, 2033
Fortis Inc. announced today that it has priced an offering by private placement (the "Offering"), pursuant to the exemptions from the prospectus requirements of applicable Canadian securities laws,
