Pegasystems Inc (PEGA) Stock Analysis
Verdict: HOLD
Decelerating execution and two consecutive earnings misses cap near-term upside despite a strong 8.5% FCF yield and AI automation demand.
Investment score: 48/100
Analysis as of
Is Pegasystems Inc stock worth reviewing? AI model thesis
Pegasystems offers solid free cash flow generation and clean balance sheet fundamentals, but recent operational misses and slowing top-line growth make the stock a Hold rather than a Buy at $35.82.
7-factor investment score
- Valuation: 60/100 (weight 20%)
- Financial Health: 70/100 (weight 15%)
- Technical Momentum: 40/100 (weight 15%)
- Earnings Quality: 30/100 (weight 15%)
- Insider Sentiment: 35/100 (weight 10%)
- Analyst Consensus: 35/100 (weight 10%)
- Risk-Adjusted Return: 50/100 (weight 15%)
Pegasystems Inc opportunities and risks
What speaks for PEGA
- Free Cash Flow Generation & Yield Floor
What speaks against PEGA
- Earnings Execution Instability
Peers and competitors
| Ticker | P/E | P/S | EV/EBITDA | Gross margin | Net margin | FCF yield |
|---|---|---|---|---|---|---|
| PEGA | 18.9x | 3.4x | 29.4x | 75.6% | 18.7% | 8.5% |
| CIFR | n/a | 36.7x | n/a | -20.0% | -585.8% | -21.4% |
| QBTS | n/a | 517.4x | n/a | 64.2% | -2001.6% | -1.9% |
| RNG | 57.9x | 2.5x | 22.7x | 71.8% | 4.3% | 10.4% |
| TTAN | n/a | 5.1x | n/a | 71.1% | -12.1% | 2.4% |
| CORZ | n/a | 12.6x | n/a | 28.3% | -325.9% | -17.4% |
| Peer median | n/a | 12.6x | n/a | 64.2% | -325.9% | -1.9% |
Frequently asked questions about Pegasystems Inc (PEGA)
Is PEGA stock a good investment?
The cached TradeMates AI model rates Pegasystems Inc as HOLD with an investment score of 48/100. Pegasystems offers solid free cash flow generation and clean balance sheet fundamentals, but recent operational misses and slowing top-line growth make the stock a Hold rather than a Buy at $35.82. This is algorithmic model output, not personal investment advice.
Is PEGA stock a buy?
The TradeMates model verdict for PEGA is HOLD with an investment score of 48/100. Treat this as a model signal to review, not a personal buy recommendation.