FINWIRES · TerminalLIVE
FINWIRES

Research Alert: CFRA Maintains Buy Rating On Shares Of Pegasystems Inc.

By

CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:

We maintain our target price at $44, based on a forward P/E of 16x our 2026 EPS forecast of $2.75, below its three-year average. We increase our 2026 EPS estimate to $2.75 from $2.74 but lower our 2027 EPS projection to $3.15 from $3.22. PEGA reported mixed Q1 2026 results, with total revenue of $430M declining 10% Y/Y, missing consensus, while non-GAAP EPS of $0.46 missed by $0.23, primarily due to a 49% decline in subscription license revenue and higher legal expenses. However, Pega Cloud revenue surged 36% to $205M (now 48% of total revenue), and Pega Cloud ACV accelerated 29% Y/Y to $907M (27% on a constant currency basis), reflecting momentum in the cloud transition. We anticipate stronger 2H 2026 on a favorable renewal mix, strong new logo pipeline, and traction with Blueprint. We see opportunities to convert existing legacy systems to Blueprint-enabled cloud solutions and expect Pega Cloud growth in the 30%-plus range.

Related Articles

Research

Research Alert: Bhp Raises Copper Outlook On Escondida Strength, Cuts Unit Costs Significantly

CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:BHP delivered solid nine-month operational performance with copper production of 1,460.9kt, down 3% Y/Y, due to lower Escondida grades, while iron ore achieved record production of 196.6Mt, up 2%. Average realized copper prices surged 31% Y/Y to USD5.47/lb, led by AI infrastructure demand and electrification trends, with iron ore averaging USD84.91/wmt, up 2%. Strong operational momentum at key assets including record material mined at Escondida and excellence at WAIO support the investment thesis despite grade headwinds. Management upgraded FY 26 (Jun.) copper guidance to the upper half of the 1,900-2,000kt range, reflecting operational confidence. BHP's disciplined capital management realized USD4.8B through strategic transactions, including the Antamina streaming deal, enabling focus on growth projects. Escondida's unit cost guidance was lowered to USD1.00-1.20/lb, reflecting operational excellence, while the Resolution Copper land exchange milestone advances a major untapped copper resource.

$BHP
Research

Research Alert: CFRA Drops Stars Coverage Of Tripadvisor Inc.

CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:We are dropping analytical coverage of TRIP, an online travel agency, due to a shift in investor focus. Our previous recommendation on shares of TRIP was Hold.

$TRIP
Research

Research Alert: CFRA Drops Stars Coverage Of Six Flags Entertainment Corp

CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:We are dropping analytical coverage of FUN, an amusement park operator, due to a shift in investor focus. Our previous recommendation was Hold.

$FUN