Progress Software advances after results beat, raised annual EPS forecast

Progress Software's PRGS.O shares up 7.9% premarket to $55.60 after qtrly results top Wall Street's expectations and co boosts annual earnings outlook

Burlington, Massachusetts-based AI-powered software late Mon posted fiscal Q1 rev of $238 mln, up 29% y/y, and adj EPS of $1.31, both above LSEG estimates of $235.6 mln and $1.06/sh

Co said now expects FY25 adj EPS of $5.25-$5.37, up from prior forecast of $5.00-$5.12, topping consensus, and stuck with rev guidance of $958-$970 mln

Increased EPS guidance reflects strong start to the year, due to steady demand and well-controled expenses, co said

Guggenheim and D.A. Davidson pointed to ShareFile integration tracking ahead of schedule, which should drive PRGS to achieve targeted operating margins of 40%

5 of 7 brokerages rate PRGS "strong buy" or "buy", 2 rate "hold', per LSEG; median PT of $75 implies ~46% upside to stock's last close

Through Mon, stock down 21% YTD after 20% gain in 2024