Progress Software (NASDAQ:PRGS) Shares Down 8.4% – Should You Sell?

Progress Software Corporation (NASDAQ:PRGS)’s share price fell 8.4% on Monday . The stock traded as low as $38.83 and last traded at $38.3490. 567,218 shares were traded during mid-day trading, a decline of 49% from the average session volume of 1,104,734 shares. The stock had previously closed at $41.88.

Wall Street Analyst Weigh In

PRGS has been the subject of several research analyst reports. Weiss Ratings upgraded shares of Progress Software from a “sell (d+)” rating to a “hold (c-)” rating in a research report on Wednesday. Citigroup boosted their target price on shares of Progress Software from $54.00 to $60.00 and gave the company a “buy” rating in a research note on Thursday, January 22nd. Jefferies Financial Group decreased their target price on Progress Software from $50.00 to $45.00 and set a “hold” rating for the company in a research report on Monday, January 5th. DA Davidson reiterated a “buy” rating and set a $70.00 price target on shares of Progress Software in a report on Wednesday, February 4th. Finally, Wedbush reduced their price objective on Progress Software from $75.00 to $65.00 and set an “outperform” rating for the company in a research note on Thursday, January 22nd. Four equities research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus target price of $64.60.

Progress Software Stock Down 7.9%

The company has a debt-to-equity ratio of 2.18, a current ratio of 0.49 and a quick ratio of 0.49. The stock has a market cap of $1.62 billion, a price-to-earnings ratio of 23.23, a P/E/G ratio of 1.84 and a beta of 0.57. The business has a fifty day moving average of $41.15 and a 200 day moving average of $42.79.

Progress Software (NASDAQ:PRGS) last posted its earnings results on Tuesday, January 20th. The software maker reported $1.51 EPS for the quarter, topping the consensus estimate of $1.31 by $0.20. The company had revenue of $253.00 million during the quarter, compared to the consensus estimate of $252.86 million. Progress Software had a net margin of 7.48% and a return on equity of 43.90%. The company’s revenue for the quarter was up 17.5% compared to the same quarter last year. During the same period in the previous year, the firm posted $1.33 earnings per share. Progress Software has set its FY 2026 guidance at 1.74-1.910 EPS and its Q1 2026 guidance at 1.56-1.62 EPS. On average, equities analysts predict that Progress Software Corporation will post 4.01 earnings per share for the current year.

Insider Activity

In related news, EVP Sundar Subramanian sold 1,352 shares of the business’s stock in a transaction that occurred on Monday, January 26th. The stock was sold at an average price of $42.37, for a total value of $57,284.24. Following the completion of the sale, the executive vice president directly owned 29,066 shares in the company, valued at approximately $1,231,526.42. The trade was a 4.44% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, CFO Anthony Folger sold 6,000 shares of the company’s stock in a transaction that occurred on Tuesday, February 3rd. The stock was sold at an average price of $40.00, for a total value of $240,000.00. Following the sale, the chief financial officer directly owned 48,802 shares of the company’s stock, valued at $1,952,080. The trade was a 10.95% decrease in their position. The SEC filing for this sale provides additional information. 3.60% of the stock is owned by company insiders.

Institutional Trading of Progress Software

A number of institutional investors and hedge funds have recently modified their holdings of the company. Hantz Financial Services Inc. grew its stake in Progress Software by 194.1% in the 4th quarter. Hantz Financial Services Inc. now owns 747 shares of the software maker’s stock valued at $32,000 after buying an additional 493 shares during the last quarter. Elevation Point Wealth Partners LLC acquired a new position in shares of Progress Software during the second quarter worth approximately $41,000. Kemnay Advisory Services Inc. bought a new stake in shares of Progress Software in the fourth quarter valued at approximately $42,000. Advisors Asset Management Inc. grew its stake in shares of Progress Software by 135.1% in the first quarter. Advisors Asset Management Inc. now owns 1,051 shares of the software maker’s stock worth $54,000 after acquiring an additional 604 shares during the last quarter. Finally, TD Private Client Wealth LLC increased its position in Progress Software by 1,042.5% during the fourth quarter. TD Private Client Wealth LLC now owns 1,291 shares of the software maker’s stock worth $55,000 after acquiring an additional 1,178 shares during the period.

About Progress Software

Progress Software (NASDAQ: PRGS) is a global provider of enterprise software designed to simplify and accelerate the delivery of business applications. The company’s offerings span digital experience management, application development and deployment, data connectivity and integration, and predictive analytics. Progress supports organizations in building, deploying, and managing mission-critical applications across on-premises, cloud and hybrid environments, helping to reduce development complexity and operational overhead.

Key products in Progress’s portfolio include Progress OpenEdge, a robust development and database platform for building transactional applications; Progress DataDirect, which enables high-performance connectivity to disparate data sources; Progress Sitefinity, a digital experience platform for content management and personalization; Progress Telerik, a suite of UI controls and developer tools; and Progress Kinvey, a serverless backend platform for mobile and web applications.