Progress Software Insider Purchases $251k Worth of Shares, Boosting Holding by 11%

Progress Software Corporation's Independent Director, David Krall, recently bought $251k worth of shares at $48.90 each, increasing his holding by 11%. This is the largest insider purchase in the last year and indicates optimism about the company. Insiders own 1.1% of shares, worth $25m, which is a reasonable level of alignment.

Progress Software Corporation (PRGS) has seen a significant increase in its stock price following the announcement of its fiscal Q3 results, which exceeded Wall Street's expectations. The company reported a 40% year-over-year revenue increase to $152.6 million, resulting in a net profit of $1.18 per share. CEO Yogesh Gupta expressed satisfaction with the results and raised the company's 2021 outlook for revenue and profit [1].

In addition to the positive financial performance, Progress Software announced the acquisition of Kemp Technologies, a leader in the Application Experience (AX) space, for $258 million in cash. The acquisition aims to enhance Progress's offerings, particularly its WhatsUp Gold network management product, by integrating Kemp's Loadmaster and Flowmon Network Visibility products [1].

Further indicating optimism about the company's future, David Krall, an independent director at Progress Software, recently purchased 5,125 shares worth $250,612 at $48.90 each. This purchase, reported on July 24, 2025, represents an 11% increase in Krall's holding, making it the largest insider purchase in the last year. The insider ownership stands at 1.1%, worth approximately $25 million, which is considered a reasonable level of alignment [2][3].

Analysts have also shown faith in Progress Software. Citigroup, DA Davidson, and Wedbush have maintained or reiterated their positive ratings for the stock. Citigroup and DA Davidson maintain a "Neutral" and "Buy" rating, respectively, while Wedbush reiterates its "Outperform" rating [2].

Despite the positive news, investors should be aware of some financial challenges. Progress Software's earnings per share (EPS) is below the industry average, and the company faces challenges in debt management with a debt-to-equity ratio higher than the industry average. Additionally, the company's valuation metrics, such as the P/E ratio and EV/EBITDA ratio, indicate potential undervaluation [2].

In conclusion, the insider purchase by David Krall and the positive financial results reported by Progress Software Corporation suggest optimism about the company's future. However, investors should consider the company's financial challenges and valuation metrics when making investment decisions.

References:
[1] https://www.zdnet.com/article/progress-software-stock-surges-as-fiscal-q3-results-crush-expectations-raises-year-view/
[2] https://www.nasdaq.com/articles/positive-signal-david-krall-shows-faith-buying-250k-progress-software-stock
[3] https://www.benzinga.com/insights/news/25/07/46605714/positive-signal-david-krall-shows-faith-buying-250k-in-progress-software-stock