Fundamental analysis · SEC EDGAR · TTM through 30/06/2026

Fundamental analysis of Ptc Inc.

PTC · Nasdaq · Technology

Fundamental quality

EXCELLENT

93

out of 100

Ptc Inc. fits the profile of a quality compounder: it pairs high return on capital (ROE 35.3%) with wide margins (net margin 41.4%) and a business that keeps growing (13.1% a year). On fundamental quality it scores 93 out of 100, profiling it as a company with solid fundamentals. Whether it's cheap or expensive depends on the current price, which you can compute in the tool.

What the company does

PTC sells the software engineers use to design physical products: CAD for modeling parts and PLM for managing the whole product lifecycle, from blueprint to factory. It is one of those invisible companies behind almost any complex manufactured object.

What will shape its future

  • A completed transition to subscriptions, making revenue highly predictable.
  • Industrial digitization: digital twins, industrial IoT and cloud design.
  • The industrial cycle: its customers make things, and cut software when they make fewer.

Breakdown by area

I.Growth
95

EPS growth: 47.1% · Revenue growth: 13.1%

II.Profitability
93

Net margin: 41.4% · ROE: 35.3% · ROIC: 19.7%

III.Financial health
92

Net debt/EBITDA: 0.88x · FCF: 31.7%

Source: SEC EDGAR · TTM through 30/06/2026

The score combines growth, profitability and financial strength, and here its pillars hold up evenly.

Versus its sector

Percentile against the other 101 Technology companies in our coverage: how far it beats them on each metric (100 = best in sector).

Net marginbeats 94%
ROEbeats 77%
Growthbeats 46%
Cash generationbeats 83%
Less debtbeats 45%

Computed from the daily dataset scores. A high percentile places the company among the best in its sector on that metric; it is not a buy recommendation.

Key concepts

What do these metrics mean? Fundamental analysis · What is the P/E · What is EPS · What is ROE · Net & gross margin · Free cash flow

Ptc Inc. strengths

  • High gross margin (84.5%), pointing to pricing power.
  • Excellent free-cash-flow generation (FCF margin of 31.7%): profit turns into real cash.
  • Growing earnings per share (47.1% annualized).
  • Expanding margins: net margin has risen from 9% to 27% in recent years.

Ptc Inc. risks and weaknesses

  • Its net debt has grown over the period.

Ptc Inc. historical evolution

YearRevenueNet incomeFree cash flowNet debt
20201,458131214730
20211,8074773441,113
20221,9333134161,078
20232,0972465871,408
20242,2983767361,483
20252,7397348571,013

Between 2020 and 2025, revenue went from $1,458M to $2,739M (+88%) and net income went from $131M to $734M (+462%). Meanwhile, its margins have widened (from 9% to 27%).

Annual figures in millions of U.S. dollars ($M) per SEC filings. Net debt is total debt minus cash.

Latest results

Versus the same period a year earlier

Figures for the nine months ended June 30, 2026, versus the nine months ended June 30, 2025 (SEC filings):

  • Revenue+11.6%
  • Net income+126.8%

What changed with the June 30, 2026 results

Compared with the previous close (March 31, 2026), this is what moved in its accounts:

  • Quality score9493
  • ROE32.3%35.3%
  • Net debt/EBITDA0.6×0.88×

Automatic comparison between the two most recent periods filed with the SEC. One quarter doesn't make a trend: read it alongside the historical evolution above.

Dividend

This company doesn't pay a dividend: it reinvests all its earnings back into the business.

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Is Ptc Inc. cheap or expensive?

That depends on the current price. Look it up, enter it in the tool and get the full valuation verdict (P/E against its sector).

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Frequently asked questions

Is Ptc Inc. a good company to invest in?

In terms of business quality, Ptc Inc. scores 93 out of 100 in our analysis, placing it as a company of high fundamental quality. That said, this isn't a recommendation: whether it's a good investment also depends on its current price and your goals.

Is Ptc Inc. a profitable company?

Very. Ptc Inc. shows a net margin of 41.4% and an ROE of 35.3%, typical of a highly profitable business.

Does Ptc Inc. have a lot of debt?

Not particularly. Its net debt is 0.88 times its EBITDA, a low level.

Is Ptc Inc. growing?

Its revenue has grown 13.1% annualized in recent years and its earnings per share 47.1%, and without interruption since 2020.

Does Ptc Inc. generate cash?

Yes. It converts about 31.7% of its revenue into free cash flow, and has done so positively year after year.

The thresholds are general and the system doesn't judge qualitative factors. See the full methodology and use this analysis as a first filter, never as a final decision.

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