New Lifetime High Reached: PTC (PMTC)

Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.

Trade-Ideas LLC identified PTC ( PMTC) as a new lifetime high candidate. In addition to specific proprietary factors, Trade-Ideas identified PTC as such a stock due to the following factors:

  • PMTC has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $18.9 million.
  • PMTC has traded 562,273 shares today.
  • PMTC is trading at a new lifetime high.

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More details on PMTC:

PTC Inc. develops, markets, and supports software solutions that facilitate companies to design products, manage product information, and enhance their product development processes worldwide. PMTC has a PE ratio of 27.2. Currently there are 3 analysts that rate PTC a buy, no analysts rate it a sell, and 3 rate it a hold.

The average volume for PTC has been 676,300 shares per day over the past 30 days. PTC has a market cap of $3.8 billion and is part of the technology sector and computer software & services industry. The stock has a beta of 2.27 and a short float of 2% with 4.17 days to cover. Shares are up 43.6% year to date as of the close of trading on Monday.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.

TheStreetRatings.com Analysis:

TheStreet Quant Ratings rates PTC as a buy. The company's strengths can be seen in multiple areas, such as its solid stock price performance, impressive record of earnings per share growth, compelling growth in net income, revenue growth and largely solid financial position with reasonable debt levels by most measures. Although no company is perfect, currently we do not see any significant weaknesses which are likely to detract from the generally positive outlook.

Highlights from the ratings report include:
  • Powered by its strong earnings growth of 166.19% and other important driving factors, this stock has surged by 63.55% over the past year, outperforming the rise in the S&P 500 Index during the same period. Regarding the stock's future course, although almost any stock can fall in a broad market decline, PMTC should continue to move higher despite the fact that it has already enjoyed a very nice gain in the past year.
  • PTC INC reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past two years. We feel that this trend should continue. During the past fiscal year, PTC INC turned its bottom line around by earning $1.19 versus -$0.31 in the prior year. This year, the market expects an improvement in earnings ($2.03 versus $1.19).
  • The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Software industry. The net income increased by 167.2% when compared to the same quarter one year prior, rising from -$83.99 million to $56.47 million.
  • Despite its growing revenue, the company underperformed as compared with the industry average of 6.6%. Since the same quarter one year prior, revenues slightly increased by 6.1%. Growth in the company's revenue appears to have helped boost the earnings per share.
  • Although PMTC's debt-to-equity ratio of 0.28 is very low, it is currently higher than that of the industry average.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.

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