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Pegasystems Inc. PEGA NASDAQ

NASDAQ Global Select • Technology • Software - Application • US • USD

SharesGrow Score
81/100
6/7 Pass
SharesGrow Intrinsic Value
$93.89
+127.7%
Analyst Price Target
$58.25
+41.3%
SharesGrow 7-Criteria Score All 7 criteria scored · valuation-related highlighted on this page

Pegasystems Inc. (PEGA) trades at a trailing P/E of 17.0, forward P/E of 15.2. Trailing earnings yield is 5.88%, forward earnings yield 6.58%. PEG 0.19 (Peter Lynch undervalued ≤1.0). Graham Number is $15.53.

Criteria proven by this page:

  • VALUE (84/100, Pass) — P/E is below market average (17.0); PEG ≤ 1.0 — Peter Lynch undervalued (0.19); analyst target implies upside (+41.3%); earnings yield beats bond yields (5.88%).
  • Forward P/E 15.2 (down from trailing 17.0) — analysts expect earnings to grow, which would improve the valuation.
  • PEG Ratio 0.19 — below 1.0 suggests the stock is undervalued relative to its earnings growth rate (Peter Lynch criterion).
  • Trailing Earnings Yield 5.88% — exceeds typical bond yields (~4.3%), making equity attractive vs fixed income. Forward yield improves to 6.58% as earnings recover.
  • Analyst consensus target $58.25 (+41.3% upside) — significant upside potential according to Wall Street analysts.

Overall SharesGrow Score: 81/100 with 6/7 criteria passed.

SharesGrow 7-Criteria Score
81/100
SG Score
View full scorecard →
VALUE
84/100
Price-to-Earnings & upside
Proven by this page
FUTURE
85/100
Analyst consensus
→ Forecast
~
PAST
75/100
→ Income
HEALTH
83/100
Debt-to-Equity & liquidity
→ Health
MOAT
74/100
→ Income
GROWTH
83/100
→ Income
INCOME
85/100
→ Income

Valuation Snapshot — PEGA

Valuation Multiples
P/E (TTM)17.0
Forward P/E15.2
PEG Ratio0.19
Forward PEG0.55
P/B Ratio8.50
P/S Ratio3.83
EV/EBITDA21.3
Per Share Data
EPS (TTM)$2.31
Forward EPS (Est.)$2.71
Book Value / Share$4.63
Revenue / Share$10.27
FCF / Share$2.89
Yields & Fair Value
Earnings Yield5.88%
Forward Earnings Yield6.58%
Dividend Yield0.30%
Graham Number$15.53
SharesGrow IV$93.89 (+127.7%)
Analyst Target$58.25 (+41.3%)

Historical Valuation

Year P/E (TTM) PEG Ratio P/B Ratio P/S Ratio Dividend Yield
2016 101.8 -3.99 8.18 3.66 0.33%
2017 110.9 0.42 9.84 4.34 0.25%
2018 354.0 -3.96 6.05 4.22 0.25%
2019 -69.6 0.07 11.68 6.91 0.15%
2020 -174.4 5.23 19.75 10.52 0.09%
2021 -144.4 -54.86 21.87 7.51 0.11%
2022 -8.1 -0.02 21.44 2.13 0.35%
2023 59.9 -0.50 11.48 2.84 0.25%
2024 80.1 1.93 13.57 5.31 0.13%
2025 25.9 0.09 12.95 5.84 0.15%

EPS: Actual vs Estimates

P/E Ratio & Earnings Yield

Earnings Per Share (EPS) History

Year EPS (Diluted) Revenue Net Income Net Margin
2016 $0.56 $750.27M $26.99M 3.6%
2017 $1.19 $840.58M $32.93M 3.9%
2018 $0.13 $891.58M $10.62M 1.2%
2019 $-1.14 $911.38M $-90.43M -9.9%
2020 $-0.76 $1.02B $-61.37M -6%
2021 $-0.77 $1.21B $-63.04M -5.2%
2022 $-4.22 $1.32B $-345.58M -26.2%
2023 $0.73 $1.43B $67.81M 4.7%
2024 $1.11 $1.5B $99.19M 6.6%
2025 $2.13 $1.75B $393.44M 22.5%

Analyst Estimates

Year EPS (Avg) EPS Range Revenue (Avg) Revenue Range Analysts
2026 $2.72 $2.68 – $2.74 $1.99B $1.95B – $2.02B 6
2027 $3.07 $2.47 – $3.30 $2.23B $2.13B – $2.27B 6
2028 $3.37 $2.60 – $3.92 $2.54B $2.5B – $2.58B 3
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