PTC Stock Rises Despite Canceled Acquisition Deal

PTC stock gained after Autodesk called off its acquisition plans. PTC has a $192.80 average target price with a 1.51% upside potential, based on 18 analysts' estimates. The company's average brokerage recommendation is 2.1, indicating "Outperform" status. PTC reported a 10% YoY ARR growth, 13% YoY free cash flow growth, and reduced leverage ratio to 1.5 times.

PTC Inc. (PTC) saw its stock price rise following reports that Autodesk had shelved its potential acquisition plans. The news, which was reported by Bloomberg [3], led to a 5.4% drop in PTC's shares, reversing the gains it had made following initial acquisition rumors. The stock market overreacted to the news, with PTC's shares previously rising on the acquisition speculation.

Analysts remain optimistic about PTC's prospects. The company has an average target price of $192.80, with a 1.51% upside potential, based on estimates from 18 analysts. The average brokerage recommendation is 2.1, indicating an "Outperform" status. This positive outlook is supported by PTC's strong financial performance, including a 10% year-over-year (YoY) increase in annual recurring revenue (ARR), a 13% YoY growth in free cash flow, and a reduction in the leverage ratio to 1.5 times.

The acquisition speculation, which initially led to a significant increase in PTC's stock price, was later dismissed by Autodesk. The company cited a focus on organic investment and targeted acquisitions rather than a major transaction. Despite the shelving of the acquisition talks, PTC continues to attract positive analyst attention, with several brokerages raising their price targets and ratings.

PTC operates as a software company, providing solutions for product development lifecycle management, Industrial Internet of Things, and field service management. The company's strong financial performance and positive analyst sentiment indicate that it remains a promising investment opportunity for investors and financial professionals.

References:
[1] https://www.marketbeat.com/instant-alerts/oppenheimer-issues-positive-forecast-for-ptc-nasdaqptc-stock-price-2025-07-16/
[2] https://www.gurufocus.com/news/2969805/ptc-ptc-shares-surge-amid-autodesk-acquisition-speculation
[3] https://www.ainvest.com/news/ptc-stock-dives-5-4-autodesk-cancels-acquisition-talks-2507/