Latest Ratios: P/E Ratio 23.6x · EV/EBITDA 14.8x · ROE 15.9%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $1.6B | $1.8B | $3.0B | $2.4B | $2.4B | $2.2B | $1.8B | $1.9B | $1.6B | $2.0B | $1.5B |
| Enterprise Value | $2.4B | $2.6B | $4.5B | $3.0B | $2.7B | $2.6B | $2.1B | $2.0B | $1.6B | $2.0B | $1.4B |
| P/E Ratio → | 23.62 | 24.95 | 44.42 | 34.31 | 24.80 | 27.53 | 22.78 | 72.43 | 25.48 | 53.69 | — |
| P/S Ratio | 1.64 | 1.86 | 4.03 | 3.46 | 3.92 | 4.07 | 4.11 | 4.61 | 4.08 | 5.04 | 3.61 |
| P/B Ratio | 3.61 | 3.81 | 6.93 | 5.23 | 5.92 | 5.24 | 5.25 | 5.77 | 5.23 | 5.33 | 3.60 |
| P/FCF | 7.01 | 7.94 | 14.73 | 14.29 | 12.68 | 12.43 | 13.14 | 15.30 | 14.22 | 19.60 | 15.07 |
| P/OCF | 6.84 | 7.75 | 14.37 | 13.83 | 12.28 | 12.11 | 12.55 | 14.82 | 13.37 | 18.98 | 14.23 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 2.64 | 5.95 | 4.36 | 4.56 | 4.89 | 4.83 | 4.95 | 4.11 | 5.02 | 3.43 |
| EV / EBITDA | 14.82 | 16.17 | 19.74 | 14.16 | 13.26 | 15.36 | 14.99 | 21.14 | 14.54 | 19.86 | 144.73 |
| EV / EBIT | 15.42 | 16.91 | 35.50 | 27.40 | 20.62 | 22.48 | 20.00 | 53.25 | 24.76 | 28.40 | — |
| EV / FCF | — | 11.24 | 21.73 | 17.97 | 14.74 | 14.94 | 15.44 | 16.43 | 14.31 | 19.49 | 14.33 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 80.8% | 80.8% | 82.7% | 81.8% | 84.3% | 85.2% | 86.0% | 81.8% | 78.6% | 80.5% | 83.8% |
| Operating Margin | 15.7% | 15.7% | 16.5% | 15.9% | 21.9% | 21.9% | 24.4% | 9.7% | 17.1% | 14.5% | -7.3% |
| Net Profit Margin | 7.5% | 7.5% | 9.1% | 10.1% | 15.8% | 14.8% | 18.0% | 6.4% | 16.0% | 9.4% | -13.7% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 15.9% | 15.9% | 15.2% | 16.4% | 23.4% | 20.7% | 23.6% | 8.2% | 18.5% | 9.6% | -12.0% |
| ROA | 2.9% | 2.9% | 3.3% | 4.7% | 6.9% | 6.5% | 8.3% | 3.5% | 9.3% | 5.1% | -6.8% |
| ROIC | 7.4% | 7.4% | 6.3% | 8.9% | 12.2% | 11.5% | 14.2% | 7.6% | 14.8% | 12.3% | -5.6% |
| ROCE | 8.2% | 8.2% | 7.5% | 9.4% | 12.4% | 12.8% | 15.2% | 7.4% | 14.2% | 10.8% | -4.8% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 1.78 | 1.78 | 3.56 | 1.63 | 1.61 | 1.43 | 1.20 | 0.89 | 0.37 | 0.32 | 0.33 |
| Debt / EBITDA | 5.33 | 5.33 | 6.88 | 3.50 | 3.10 | 3.50 | 2.92 | 3.05 | 1.03 | 1.21 | 14.04 |
| Net Debt / Equity | — | 1.58 | 3.29 | 1.35 | 0.96 | 1.06 | 0.92 | 0.43 | 0.04 | -0.03 | -0.18 |
| Net Debt / EBITDA | 4.74 | 4.74 | 6.36 | 2.90 | 1.86 | 2.58 | 2.24 | 1.45 | 0.10 | -0.12 | -7.49 |
| Debt / FCF | — | 3.30 | 7.00 | 3.68 | 2.07 | 2.51 | 2.30 | 1.13 | 0.10 | -0.11 | -0.74 |
| Interest Coverage | 2.15 | 2.15 | 3.94 | 3.59 | 8.43 | 5.77 | 10.50 | 3.87 | 12.81 | 15.16 | -7.44 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.49 | 0.49 | 0.81 | 0.94 | 1.34 | 1.05 | 0.91 | 1.18 | 1.17 | 1.27 | 1.65 |
| Quick Ratio | 0.49 | 0.49 | 0.81 | 0.94 | 1.34 | 1.05 | 0.91 | 1.18 | 1.14 | 1.27 | 1.65 |
| Cash Ratio | 0.12 | 0.12 | 0.26 | 0.36 | 0.81 | 0.49 | 0.40 | 0.72 | 0.71 | 0.88 | 1.23 |
| Asset Turnover | — | 0.40 | 0.30 | 0.43 | 0.43 | 0.39 | 0.42 | 0.47 | 0.62 | 0.55 | 0.54 |
| Inventory Turnover | — | — | — | — | — | — | — | — | 11.60 | — | — |
| Days Sales Outstanding | — | 90.48 | 96.04 | 81.88 | 77.00 | 86.31 | 89.95 | 73.92 | 56.18 | 56.20 | 59.14 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 0.0% | 0.0% | 1.0% | 1.3% | 1.3% | 1.5% | 1.6% | 1.5% | 1.6% | 1.2% | — |
| Payout Ratio | 1.1% | 1.1% | 46.0% | 45.0% | 32.7% | 40.2% | 37.5% | 105.2% | 40.6% | 64.5% | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 4.2% | 4.0% | 2.3% | 2.9% | 4.0% | 3.6% | 4.4% | 1.4% | 3.9% | 1.9% | — |
| FCF Yield | 14.3% | 12.6% | 6.8% | 7.0% | 7.9% | 8.0% | 7.6% | 6.5% | 7.0% | 5.1% | 6.6% |
| Buyback Yield | 6.5% | 5.8% | 2.9% | 1.4% | 3.3% | 1.6% | 3.3% | 1.3% | 7.4% | 3.7% | 5.7% |
| Total Shareholder Yield | 6.6% | 5.8% | 3.9% | 2.7% | 4.6% | 3.1% | 4.9% | 2.8% | 9.0% | 4.9% | 5.7% |
| Shares Outstanding | — | $44M | $44M | $45M | $44M | $45M | $45M | $45M | $46M | $49M | $49M |
High leverage and liquidity
According to current market data, PRGS trades at a P/E of 19.97 and a P/FCF of 6.08, suggesting that investors are pricing the firm as a mature cash-flow vehicle rather than a growth-oriented technology entity, likely discounting the sustainability of its acquisition-led expansion strategy.
The low P/FCF multiple relative to broader software peers indicates that the market is skeptical of the company's ability to maintain long-term organic growth. This valuation appears to bake in a terminal decline scenario for the legacy OpenEdge platform, forcing the company to rely on continuous, debt-funded M&A to sustain its top-line profile.
Based on reported figures, PRGS's ROIC has trended downward to 3.0% in 2026Q1 from higher historical levels, indicating that the company is struggling to generate meaningful returns on its invested capital as the cost of integrating large-scale acquisitions continues to weigh on overall capital efficiency.
The persistent gap between the company's cost of capital and its low ROIC suggests that recent M&A activity may be value-destructive on an economic profit basis. Investors should monitor whether management can improve the asset turnover ratio, which has remained stagnant at 0.10, to justify the heavy reliance on inorganic growth.
As reported in financial statements, the company's DSO has fluctuated between 61 and 78 days over the last ten quarters, reflecting inconsistent collection cycles that may indicate challenges in standardizing billing practices across the diverse product portfolios acquired through the firm's aggressive M&A strategy.
The lack of a clear trend in DSO suggests that the integration of disparate sales organizations is not yet yielding the expected operational synergies. Without a more predictable cash conversion cycle, the company remains susceptible to liquidity shocks during periods of reduced customer spending or delayed contract renewals.
According to recent SEC filings, the company's debt-to-EBITDA ratio has climbed to 10.21 in 2026Q1, a significant increase that highlights the growing reliance on leverage to fund operations and acquisitions, thereby narrowing the margin of safety for debt service in a volatile interest rate environment.
The interest coverage ratio of 2.99 warrants close scrutiny, as it suggests that the company's ability to service its debt is becoming increasingly sensitive to operating margin compression. This leverage profile limits the firm's capacity to pivot its strategy or weather potential downturns without further dilutive financing.
The most commonly misapplied metric for PRGS is the Non-GAAP operating margin, which frequently excludes the amortization of acquired intangibles, thereby obscuring the true, recurring cost of maintaining the company's business model through constant, expensive inorganic growth.
Analysts often rely on these adjusted figures to paint a picture of operational efficiency that ignores the reality of the company's capital-intensive acquisition cycle. A more accurate assessment would focus on GAAP operating margins and free cash flow, which better capture the actual cash costs required to sustain the firm's legacy software ecosystem.
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying PRGS stock.
Progress Software Corporation's current P/E ratio is 23.6x. The historical average is 31.2x. This places it at the 26th percentile of its historical range.
Progress Software Corporation's current EV/EBITDA is 14.8x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 13.9x.
Progress Software Corporation's return on equity (ROE) is 15.9%. The historical average is 11.9%.
Based on historical data, Progress Software Corporation is trading at a P/E of 23.6x. This is at the 26th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Progress Software Corporation's current dividend yield is 0.05% with a payout ratio of 1.1%.
Progress Software Corporation has 80.8% gross margin and 15.7% operating margin. Operating margin between 10-20% is typical for established companies.
Progress Software Corporation's Debt/EBITDA ratio is 5.3x, indicating high leverage. A ratio above 4x may signal elevated financial risk.