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Low-code software for automating business processes and customer engagement in large enterprises.
Low-code software for automating business processes and customer engagement in large enterprises.
Sells multi-year subscriptions, increasingly to run its software in its own Pega Cloud, replacing the older one-off licence plus maintenance, and renewals at large banks and insurers sustain it. Consulting partners do much of the implementation work. Founder Alan Trefler remains chief executive and a major shareholder.
Moat: narrow (switching costs, installed base, IP / patents). Mission-critical workflow apps are costly to re-platform once built on Pega.
Headquarters: Cambridge, Massachusetts, US · Founded: 1983 · Employees: 5,598
Size Pegasystems (PEGA) is a United States Information Technology company (Information Technology Services) with a market value of $5.30B, the 1145th largest of 3,117 United States companies the cockpit tracks. Shares closed at $32.40 on 6 Nov 2026.
Performance Over six months the shares fell 9.9%, against +13.3% for the median peer and -1.1% for the United States market (cap-weighted) — 5th lowest of 21 in its peer set.
Growth Revenue grew 0.9% over the last twelve months (peer median +7.9%); the operating margin is 12.3% (peer median 9.0%).
Valuation It trades at 13.8× forward earnings against a peer median of 15.5× (7th cheapest of 20).
Price implies For today's price to make sense, revenue must grow about 9% a year for seven years (Req g). Recent delivered growth is +11%, so the hurdle is -3 pp: the price already allows for a slowdown.
Capital Return on invested capital runs 45.7 points above its cost of capital (9.5% WACC).
Backlog Backlog (remaining performance obligations) was $2.01B at 30 Sep 2026, up 15% on a year earlier — 1.1 years of trailing revenue. Backlog detail →
Short interest Short interest is 6.6% of the free float (15 Oct 2026).
Next results Next results expected around 17 Feb 2027 (exchange calendar; dates can move).
| TTM | FY2025 | FY2024 | FY2023 | FY2022 | |
|---|---|---|---|---|---|
| Revenue | $1.75B | $1.75B | $1.50B | $1.43B | $1.32B |
| Revenue growth | — | +17% | +5% | +9% | — |
| Gross profit | $1.33B | $1.32B | $1.11B | $1.05B | $948M |
| EBITDA | $242M | $310M | $178M | $121M | -$52.9M |
| Net income | $295M | $393M | $99.2M | $67.8M | -$346M |
| Free cash flow | $442M | $491M | $338M | $201M | -$13.0M |
| Capital expenditure | $20.5M | $14.5M | $7.71M | $16.8M | $35.4M |
| Total debt | $69.0M | $76.0M | $550M | $581M | $688M |
The default views of Competitor Analysis ▸ Charts, drawn from the same data. Open them in the cockpit to change the axes, pin companies and read every value.
| Company | Market cap | 6M return | Revenue growth | Op. margin | Forward P/E | Req g |
|---|---|---|---|---|---|---|
| Pegasystems PEGA | $5.30B | -10% | +1% | 12% | 13.8× | 8.8% |
| Salesforce CRM | $176B | +18% | +11% | 22% | 14.6× | 13.7% |
| Appian APPN | $3.70B | +135% | +21% | 4% | 41.6× | 42.9% |
| ServiceNow NOW | $106B | +12% | +22% | 13% | 22.4× | 29.5% |
| Microsoft MSFT | $3.94T | +28% | +18% | 47% | 25.5× | 17.2% |
Peer set: Industry: the same industry and sector in any market, nearest in size. This is the same default set the interactive Competitor Analysis opens with.
| Measure | PEGA | Peer median | Rank in peer set |
|---|---|---|---|
| 1-month return | -8.7% | +0.2% | 7th lowest of 21 |
| 6-month return | -9.9% | +13.3% | 5th lowest of 21 |
| Distance from 52-week high | -48.8% | -23.7% | 5th lowest of 21 |
| Revenue growth (TTM) | +0.9% | +7.9% | 4th lowest of 21 |
| Operating margin | 12.3% | 9.0% | 6th highest of 21 |
| Forward P/E | 13.8× | 15.5× | 7th cheapest of 20 |
| Growth the price implies (Req g, 7 yrs) | 8.8% | 2.9% | 4th most demanding of 19 |
| Growth delivered (Del g) | +11.4% | +6.7% | 5th highest of 19 |
| Hurdle (Req g minus delivered) | -2.6 pp | -2.5 pp | 10th least demanding of 19 |
| ROIC minus cost of capital | +45.7 pp | +4.7 pp | 2nd highest of 21 |
| EV / EBITDA | 20.9× | 10.0× | 3rd most expensive of 15 |
| Net debt / EBITDA | -1.0× | 1.0× | 2nd least indebted of 17 |
| Company | Market | Market cap | 6M return | Revenue growth | Op. margin | Forward P/E | Req g | Delivered g |
|---|---|---|---|---|---|---|---|---|
| Pegasystems PEGA | United States | $5.30B | -10% | +1% | 12% | 13.8× | 8.8% | +11.4% |
| LG Cns 064400.KS | South Korea | $5.29B | +14% | +4% | 9% | 15.5× | 5.6% | +7.2% |
| Parsons PSN | United States | $5.16B | -1% | -3% | 5% | 14.8× | 8.4% | +10.2% |
| HyundaiAutoever 307950.KS | South Korea | $5.49B | -40% | +16% | 5% | 35.7× | 27.6% | +22.2% |
| TISI 3626.T | Japan | $5.50B | +20% | +5% | 13% | 15.1× | -7.7% | +5.9% |
| Box BOX | United States | $5.76B | +63% | +10% | 9% | 26.0× | 20.3% | +8.8% |
| Ingram Micro INGM | United States | $5.85B | -6% | +15% | 2% | 6.8× | 2.9% | +1.4% |
| NICE Ltd. Sponsored ADR NICE | United States | $5.87B | +4% | +8% | 17% | 7.8× | -0.7% | +12.3% |
| Bechtle BC8.DE | Germany | $4.72B | +13% | +8% | 5% | 16.8× | 6.9% | +4.9% |
| KBR KBR | United States | $4.69B | +14% | -3% | 9% | 9.5× | -8.7% | +6.2% |
| Insight Enterprises NSIT | United States | $4.64B | +89% | +3% | 6% | 11.7× | 2.9% | -0.2% |
| Science Applications International SAIC | United States | $6.13B | +56% | -1% | 8% | 14.3× | -4.6% | +0.6% |
| Q2 Holdings, Inc. QTWO | United States | $4.57B | +47% | +13% | 13% | 22.5× | 26.6% | +14.6% |
| Softcat SCT.L | United Kingdom | $4.53B | +14% | +35% | 11% | 17.9× | -4.1% | +20.3% |
| Amdocs DOX | United States | $4.53B | -34% | +4% | 17% | 7.7× | -15.8% | +1.8% |
| RIOT RIOT | United States | $6.27B | -31% | +6% | -84% | n/a | n/a | n/a |
| NS Solutions 2327.T | Japan | $4.43B | +6% | +12% | 12% | 21.3× | -5.1% | +8.6% |
| Computacenter CCC.L | United Kingdom | $6.48B | +15% | +54% | 3% | 16.4× | 7.9% | +11.1% |
| Temenos TEMN.SW | Switzerland | $6.51B | +10% | +30% | 27% | 21.8× | 8.3% | +1.7% |
| Sopra Steria SOP.PA | France | $4.29B | +50% | +2% | 9% | 11.2× | -0.6% | +5.8% |
| Suzhou Centec Communications 688702.SS | China | $6.58B | -45% | +32% | -18% | 5,922.0× | n/a | n/a |
Pegasystems reported $2.01B of remaining performance obligations at 30 Sep 2026, up 15% from a year earlier and down 0% from the previous quarter. That is 1.1 years of trailing revenue already under contract. Book-to-bill last quarter: 0.98.