Long Position on PTC @ $91.40 on 9/1/2020 (Momentum)

PTC Inc. (PTC) operates as software and services company in the Americas, Europe, and the Asia Pacific.

The company operates in two segments, Software Products and Professional Services. It offers Creo, a suite of product design software that provides capabilities for design flexibility, advanced assembly design, piping and cabling design, advanced surfacing, comprehensive virtual prototyping, and other design functions; Windchill, a product lifecycle management software; ThingWorx, which includes cloud-based tools that allow customers to connect products and devices to the cloud; and Vuforia Studio, a cloud-based tool that enables industrial enterprises to author and publish augmented reality experiences.

The company also provides consulting, implementation, training, cloud, and license and support services. PTC Inc. markets its products primarily through third-party resellers and strategic partners.

The company was formerly known as Parametric Technology Corporation and changed its name to PTC Inc. in January 2013.

PTC Inc. reported 3rd Quarter June 2020 earnings of $0.44 per share on revenue of $351.7 million. The consensus earnings estimate was $0.28 per share on revenue of $337.8 million. Revenue grew 9.1% on a year-over-year basis.

The company said it expects fiscal 2020 non-GAAP earnings of $2.28 to $2.35 per share on revenue of $1.415 billion to $1.43 billion. The company's previous guidance was earnings of $2.20 to $2.35 per share on revenue of $1.40 billion to $1.43 billion and the current consensus earnings estimate is $2.30 per share on revenue of $1.42 billion for the year ending September 30, 2020. 

The company revised its fiscal strategy for the remainder of 2020. Share prices should continue to grow as the stock moves out of its "bullish cup and handle" formation. 

Entry Point: $91.40

Trading Range: $43.90 - $91.94

Stop Loss: $86.80

Target Price: $100.60

Updates

10/26/2020 10:48:20 AM

closed at $85.10

Position closed on 10/26/2020 at price of $85.10 with a -6.89% loss in 55 days.

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