PRGS · Intrinsic value
Is Progress Software Corporation (PRGS) overvalued or undervalued?
As of Oct 19, 2026, TickerWorth's valuation lenses put Progress Software Corporation (PRGS) at $39.77 – $183.45, too broad a range to say where the delayed market price of $41.75 sits in it, so we do not call it over- or undervalued. It is a model estimate, and every input behind it is sourced below.
Model by Miraaj Patel · generated from SEC filings and market data · Updated Oct 19, 2026 · How these pages are made
What is PRGS worth?
- Fair-value range
- $39.77 – $183.45
- Market price
- $41.75
- Gap to fair value
- —
- Verdict
- Too wide to call
Reverse DCF: Today's price implies revenue growth of 6.5% a year for 5 years; our model assumes 5.4% a year on average over the same horizon.
What is PRGS's TickerWorth Score?
Cheap against our estimate — but a weaker business
Compared with Technology companies in US
Its strongest point: looks cheap on the numbers. Its weakest: balance sheet looks stretched.
- Value · 83 of 100
Cheaper than 83% of Technology companies in US
- Price vs worth · 100 of 100
- Quality · 67 of 100
More profitable than 67% of Technology companies in US
- Financial health · 11 of 100
Financially stronger than 11% of Technology companies in US
- Growth · 47 of 100
Growing faster than 47% of Technology companies in US
- Momentum · 72 of 100
Outperformed 72% of Technology companies in US over the past year
Confidence: Medium confidence · Scored
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Why PRGS gets a range, not one number
At a recent price of $41.75, Progress Software Corporation (PRGS) sits inside a range too wide to call either way: our valuation lenses put the business somewhere between $39.77 and $183.45 per share. They disagree too widely for us to state a single fair value. We publish the range rather than a midpoint because a number that precise would claim more than the methods can support. This is an educational model, not a price target or a recommendation.
Read the full reasoning
The valuation discounts Progress Software Corporation's projected free cash flows at a weighted-average cost of capital (WACC) of 7.1%, with a long-run terminal growth rate of 2.5%. About 81% of the enterprise value comes from the terminal value — the portion beyond the explicit forecast window — which is typical for a stable, cash-generative business and a reminder that small changes in the discount rate or terminal growth assumption swing the intrinsic value meaningfully.
Running the DCF in reverse — solving for the growth the current price already assumes — the market is implying roughly 6.5% annual revenue growth for PRGS. Our base case instead compounds to about 5.4% a year over the same forecast, so the market's implied growth is broadly in line with our base case. The reverse-DCF is a quick sanity check: it reframes 'is this stock cheap?' as 'do I believe the growth the price requires?' rather than arguing over a single point estimate of fair value.
Sensitivity matters more than any single number. Across a reasonable band of discount-rate assumptions, PRGS's modeled DCF value ranges from about $16.77 to $116.44 per share. If that range still sits below today's price, the market is optimistic relative to the model across the whole band; if it brackets the price, the stock is roughly fairly valued on our assumptions. Use the interactive slider to see exactly where your own cost-of-capital view lands.
How to read this page: the DCF fair value is what Progress Software Corporation would be worth if its cash flows grow as modeled and are discounted at the stated WACC. The assumptions table shows every input and its source; the reverse-DCF shows what the market believes; the sensitivity band shows how fragile the answer is. None of this is investment advice — it is a transparent, auditable framework for forming your own view of PRGS's intrinsic value. Figures update as new filings and prices come in.
Every input behind PRGS's DCF
| Input | Value |
|---|---|
| Base-year revenuePROGRESS SOFTWARE CORP /MA FY2025 10-K (accession 0000876167-26-000008): us-gaap:RevenueFromContractWithCustomerExcludingAssessedTax, FY2025 full year. | $977,830,000 |
| Base EBIT marginPROGRESS SOFTWARE CORP /MA FY2025 10-K (accession 0000876167-26-000008): us-gaap:OperatingIncomeLoss 153,290,000 / revenue 977,831,000 = 15.68%, FY2025. | 15.7% |
| Forecast revenue growthESTIMATEAssumption — TickerWorth's 5-year explicit forecast | 7% → 6% → 5% → 5% → 4% |
| Risk-free rateLive feed — US 10-year Treasury yield (^TNX) | 4.7% |
| BetaLive feed — yfinance, 5-year monthly beta vs the S&P 500 (clamped to 0.4–2.5) | 0.81 |
| Terminal growthESTIMATEAssumption — TickerWorth house default 2.5%, held below WACC | 2.5% |
| Diluted sharesPROGRESS SOFTWARE CORP /MA FY2025 10-K (accession 0000876167-26-000008): WeightedAverageNumberOfDilutedSharesOutstanding = 44,019,000 shares, FY2025. | 44M |
| Market priceDelayed quote · as of 2026-10-19 16:19 UTC | $41.75 |
Change PRGS's assumptions
The discount-rate dial and the editable model
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What does Progress Software Corporation do?
What does it do?
Progress Software Corporation provides software products that develops, deploys, and manages artificial intelligence (AI) powered applications and digital experiences in the United States and internationally. The company offers Agentic RAG, a next-generation Agentic Rag-as-a-Service platform; Automate MFT, a cloud-native Software-as-a-Service (SaaS) platform for automated and secure file transfers; Chef, a DevOps/DevSecOps automation software; Corticon, a decision automation platform; DataDirect, a secure data connectivity tools for Relational, NoSQL, Big Data, and SaaS data sources; Developer Tools, such as software development tooling collection, including NET and JavaScript UI components for web, desktop and mobile applications, AI-prompt components, reporting and report management tools, and automated testing and mocking tools; Flowmon, a AI-powered network security and visibility product with automated response across hybrid cloud ecosystems; and Kemp LoadMaster, an application delivery and security product for cloud-native, and virtual and hardware load balancers. It operates in the Software - Infrastructure industry (Technology sector), headquartered in United States. The company employs roughly 2,801 people.
How does it make money?
The business turns $1000M in annual revenue into profit. Out of every $100 of sales, about $22 is left as operating profit (operating margin of 22.0%), after a 86% gross margin on the products/services it sells. After all costs, taxes and interest, 9.2% of revenue becomes bottom-line net profit.
Is it financially healthy?
Financially it looks stretched: carries heavy debt (2.4× equity), may struggle to cover its short-term bills (0.8× current ratio), and is currently profitable.
Who at PRGS filed insider trades?
| Date | Insider | Relationship | What happened | Value | Filing |
|---|---|---|---|---|---|
| WANG YUFAN STEPHANIE | Chief Legal Officer | Open-market sale | $46,065.00 | Form 4 for WANG YUFAN STEPHANIE (opens sec.gov in a new tab) | |
| WANG YUFAN STEPHANIE | Chief Legal Officer | Option exercise | — | Form 4 for WANG YUFAN STEPHANIE (opens sec.gov in a new tab) | |
| WANG YUFAN STEPHANIE | Chief Legal Officer | Shares withheld (tax) | $17,974.39 | Form 4 for WANG YUFAN STEPHANIE (opens sec.gov in a new tab) | |
| WANG YUFAN STEPHANIE | Chief Legal Officer | Option exercise | — | Form 4 for WANG YUFAN STEPHANIE (opens sec.gov in a new tab) | |
| WANG YUFAN STEPHANIE | Chief Legal Officer | Shares withheld (tax) | $20,781.67 | Form 4 for WANG YUFAN STEPHANIE (opens sec.gov in a new tab) | |
| WANG YUFAN STEPHANIE | Chief Legal Officer | Option exercise | — | Form 4 for WANG YUFAN STEPHANIE (opens sec.gov in a new tab) |
A disclosure, not a signal to trade. Source: SEC EDGAR (Form 4). Older filings and the 90-day buying-and-selling read are part of Pro. See plans
Common questions
What is PRGS's intrinsic value?
TickerWorth's valuation lenses put Progress Software Corporation (PRGS) between $39.77 and $183.45 per share, versus a market price of $41.75. They disagree too widely for us to state a single fair value, so we publish the range.
Is PRGS overvalued or undervalued?
At $41.75 the price sits inside a range too wide to call either way. We don't call PRGS overvalued or undervalued from a range this wide. This is an educational estimate, not advice.
What discount rate is used for PRGS?
A WACC of 7.1% and a terminal growth rate of 2.5%.
Is Progress Software stock undervalued?
TickerWorth's fair-value range for Progress Software Corporation (PRGS) is $39.77 – $183.45 against a market price of $41.75. Too wide to call. We publish a range here, not one number, so we do not call it over- or undervalued. This is a model estimate, not investment advice.
Progress Software (PRGS) DCF valuation and fair value
Our fair-value range for Progress Software Corporation (PRGS) is $39.77 – $183.45, built on a 7.1% discount rate (WACC) and 2.5% terminal growth. It blends our discounted-cash-flow model with other valuation lenses. Every assumption is listed on this page with its source.
What growth is priced into Progress Software stock?
Today's price implies revenue growth of 6.5% a year for 5 years; our model assumes 5.4% a year on average over the same horizon. This is a reverse DCF: it holds our cash-flow model's other inputs and solves for the revenue growth that makes the model equal today's price of $41.75. A model estimate, not investment advice.
Progress Software (PRGS) insider trading
The most recent insider filing (SEC Form 4) for Progress Software Corporation (PRGS): WANG YUFAN STEPHANIE, Chief Legal Officer, open-market sale on 2026-10-05. The latest filings are listed on this page. A disclosure, not a signal to trade.
Other ways into the coverage
Not investment advice. TickerWorth Score is a model output.
Educational tool. Every output reflects the assumptions shown — not a prediction and not investment advice. TickerWorth is not a licensed investment adviser, and these figures are estimates from public filings and market data that can be wrong.