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Pegasystems (PEGA)


Market Price (6/18/2026): $30.67 | Market Cap: $5.2 BilSector: Information Technology | Industry: Application Software

Pegasystems (PEGA)


Market Price (6/18/2026): $30.67
Market Cap: $5.2 Bil
Sector: Information Technology
Industry: Application Software

Investment Highlights Why It Matters Detailed financial logic regarding cash flow yields vs trend-riding momentum.

0

Attractive yield
Total YieldTotal Yield = Earnings Yield + Dividend Yield, Earnings Yield = Net Income / Market Cap Dividend Yield = Total Dividends / Market Cap is 7.0%, FCF Yield is 9.7%

Attractive cash flow generation
CFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 30%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 29%

Valuation becoming less expensive
P/S 6M Chg %Price/Sales change over 6 months. Declining P/S indicates valuation has become less expensive. is -48%

Low stock price volatility
Vol 12M is 49%

Megatrend and thematic drivers
Megatrends include Artificial Intelligence, Cloud Computing, and Automation & Robotics. Themes include AI Software Platforms, Show more.

Weak multi-year price returns
2Y Excs Rtn is -34%, 3Y Excs Rtn is -44%

Weak revenue growth
Rev Chg QQuarterly Revenue Change % is -9.6%

Key risks
PEGA key risks include [1] ongoing legal challenges and [2] its dependence on key industries susceptible to economic and regulatory changes.

0 Attractive yield
Total YieldTotal Yield = Earnings Yield + Dividend Yield, Earnings Yield = Net Income / Market Cap Dividend Yield = Total Dividends / Market Cap is 7.0%, FCF Yield is 9.7%
1 Attractive cash flow generation
CFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 30%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 29%
2 Valuation becoming less expensive
P/S 6M Chg %Price/Sales change over 6 months. Declining P/S indicates valuation has become less expensive. is -48%
3 Low stock price volatility
Vol 12M is 49%
4 Megatrend and thematic drivers
Megatrends include Artificial Intelligence, Cloud Computing, and Automation & Robotics. Themes include AI Software Platforms, Show more.
5 Weak multi-year price returns
2Y Excs Rtn is -34%, 3Y Excs Rtn is -44%
6 Weak revenue growth
Rev Chg QQuarterly Revenue Change % is -9.6%
7 Key risks
PEGA key risks include [1] ongoing legal challenges and [2] its dependence on key industries susceptible to economic and regulatory changes.

Valuation & Metrics

Price Chart

Why The Stock Moved

Qualitative Assessment

AI Analysis | Feedback

Updated on 6/17/2026

Pegasystems (PEGA) stock has lost about 30% since 2/28/2026 because of the following key factors:

1. Pegasystems reported a significant earnings per share (EPS) miss and a year-over-year revenue decline for fiscal Q1 2026. The company announced Q1 2026 EPS of $0.46, falling short of analysts' expectations of $0.68 by 32.35%. Additionally, revenue for fiscal Q1 2026 decreased 10% year-over-year to $430 million, missing analyst estimates of $473.24 million. GAAP net income also saw a substantial drop of 62% to $32.8 million for the quarter.

2. The decline in traditional revenue streams overshadowed strong cloud growth during the ongoing cloud transition. While Pega Cloud annual contract value (ACV) grew 29% year-over-year to over $900 million and Pega Cloud revenue increased 35.8% year-over-year to $205 million in fiscal Q1 2026, overall revenue suffered as subscription license and consulting revenues declined. Management indicated that term license revenue and maintenance ACV are expected to face continued pressure as the cloud mix shift accelerates, with the quarter framed as consistent with expectations for a back-end-loaded fiscal year.

Show more
Updated on 6/17/2026

Pegasystems (PEGA) stock has lost about 30% since 2/28/2026 because of the following key factors:

1. Pegasystems reported a significant earnings per share (EPS) miss and a year-over-year revenue decline for fiscal Q1 2026. The company announced Q1 2026 EPS of $0.46, falling short of analysts' expectations of $0.68 by 32.35%. Additionally, revenue for fiscal Q1 2026 decreased 10% year-over-year to $430 million, missing analyst estimates of $473.24 million. GAAP net income also saw a substantial drop of 62% to $32.8 million for the quarter.

2. The decline in traditional revenue streams overshadowed strong cloud growth during the ongoing cloud transition. While Pega Cloud annual contract value (ACV) grew 29% year-over-year to over $900 million and Pega Cloud revenue increased 35.8% year-over-year to $205 million in fiscal Q1 2026, overall revenue suffered as subscription license and consulting revenues declined. Management indicated that term license revenue and maintenance ACV are expected to face continued pressure as the cloud mix shift accelerates, with the quarter framed as consistent with expectations for a back-end-loaded fiscal year.

3. Pegasystems' stock performance was impacted by broader software sector weakness and macroeconomic headwinds. The stock's decline occurred within a period of intensified tech selloffs, partly attributed to hotter-than-expected May CPI data and general fears about AI disruption impacting the software sector. Analysts noted that over 75% of software application companies were down this fiscal year, and the broader software sector experienced uneven demand as enterprises evaluated IT budgets.

4. Analyst downgrades and reduced price targets reflected a cautious shift in investor sentiment following the Q1 results. Several financial firms either trimmed their price targets or downgraded Pegasystems' stock after the disappointing fiscal Q1 2026 earnings report. For example, Zacks Research downgraded the stock from a "strong-buy" to a "hold" rating in late April, and Citizens JMP reduced its target price from $78.00 to $58.00 earlier in the period, signaling decreased confidence in the company's near-term outlook.

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Stock Movement Drivers

Fundamental Drivers

The -30.8% change in PEGA stock from 2/28/2026 to 6/17/2026 was primarily driven by a -20.7% change in the company's P/E Multiple.
(LTM values as of)22820266172026Change
Stock Price ($)43.7030.23-30.8%
Change Contribution By: 
Total Revenues ($ Mil)1,7461,700-2.6%
Net Income Margin (%)22.5%20.0%-11.1%
P/E Multiple18.915.0-20.7%
Shares Outstanding (Mil)1701690.7%
Cumulative Contribution-30.8%

LTM = Last Twelve Months as of date shown

Market Drivers

2/28/2026 to 6/17/2026
ReturnCorrelation
PEGA-30.8% 
Market (SPY)8.3%26.7%
Sector (XLK)34.1%26.2%

Fundamental Drivers

The -44.7% change in PEGA stock from 11/30/2025 to 6/17/2026 was primarily driven by a -55.4% change in the company's P/E Multiple.
(LTM values as of)113020256172026Change
Stock Price ($)54.7030.23-44.7%
Change Contribution By: 
Total Revenues ($ Mil)1,7321,700-1.9%
Net Income Margin (%)16.0%20.0%24.9%
P/E Multiple33.615.0-55.4%
Shares Outstanding (Mil)1711691.0%
Cumulative Contribution-44.7%

LTM = Last Twelve Months as of date shown

Market Drivers

11/30/2025 to 6/17/2026
ReturnCorrelation
PEGA-44.7% 
Market (SPY)9.0%24.7%
Sector (XLK)30.2%27.6%

Fundamental Drivers

The -38.3% change in PEGA stock from 5/31/2025 to 6/17/2026 was primarily driven by a -65.0% change in the company's P/E Multiple.
(LTM values as of)53120256172026Change
Stock Price ($)48.9630.23-38.3%
Change Contribution By: 
Total Revenues ($ Mil)1,6431,7003.5%
Net Income Margin (%)12.0%20.0%67.4%
P/E Multiple42.815.0-65.0%
Shares Outstanding (Mil)1721691.8%
Cumulative Contribution-38.3%

LTM = Last Twelve Months as of date shown

Market Drivers

5/31/2025 to 6/17/2026
ReturnCorrelation
PEGA-38.3% 
Market (SPY)27.2%29.4%
Sector (XLK)61.8%28.3%

Fundamental Drivers

The 25.8% change in PEGA stock from 5/31/2023 to 6/17/2026 was primarily driven by a 34.2% change in the company's Total Revenues ($ Mil).
(LTM values as of)53120236172026Change
Stock Price ($)24.0330.2325.8%
Change Contribution By: 
Total Revenues ($ Mil)1,2671,70034.2%
P/S Multiple3.13.0-4.2%
Shares Outstanding (Mil)165169-2.1%
Cumulative Contribution25.8%

LTM = Last Twelve Months as of date shown

Market Drivers

5/31/2023 to 6/17/2026
ReturnCorrelation
PEGA25.8% 
Market (SPY)84.3%39.1%
Sector (XLK)130.9%35.6%

Return vs. Risk

Price Returns Compared

 202120222023202420252026Total [1]
Returns
PEGA Return-16%-69%43%91%28%-46%-51%
Peers Return12%-34%57%28%-1%-26%9%
S&P 500 Return27%-19%24%23%16%10%100%

Monthly Win Rates [3]
PEGA Win Rate33%8%58%58%67%17% 
Peers Win Rate53%27%62%63%42%27% 
S&P 500 Win Rate75%42%67%75%67%50% 

Max Drawdowns [4]
PEGA Max Drawdown-31%-73%-33%-18%-44%-47% 
Peers Max Drawdown-28%-43%-20%-23%-34%-38% 
S&P 500 Max Drawdown-5%-25%-10%-8%-19%-9% 


[1] Cumulative total returns since the beginning of 2021
[2] Peers: CRM, NOW, APPN, MSFT, ORCL. See PEGA Returns vs. Peers.
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
[5] 2026 data is for the year up to 6/17/2026 (YTD)

How Low Can It Go

EventPEGAS&P 500
2025 US Tariff Shock
  % Loss-25.8%-18.8%
  % Gain to Breakeven34.8%23.1%
  Time to Breakeven15 days79 days
Summer-Fall 2023 Five Percent Yield Shock
  % Loss-30.1%-9.5%
  % Gain to Breakeven43.1%10.5%
  Time to Breakeven113 days24 days
2022 Inflation Shock & Fed Tightening
  % Loss-72.4%-24.5%
  % Gain to Breakeven261.7%32.4%
  Time to Breakeven840 days427 days
2020 COVID-19 Crash
  % Loss-37.9%-33.7%
  % Gain to Breakeven61.0%50.9%
  Time to Breakeven61 days140 days
Q4 2018 Fed Policy Error / Growth Scare
  % Loss-26.7%-19.2%
  % Gain to Breakeven36.5%23.8%
  Time to Breakeven62 days105 days
2015-2016 China Devaluation / Global Growth Scare
  % Loss-23.3%-12.2%
  % Gain to Breakeven30.3%13.9%
  Time to Breakeven83 days62 days

Compare to CRM, NOW, APPN, MSFT, ORCL

In The Past

Pegasystems's stock fell -25.8% during the 2025 US Tariff Shock. Such a loss loss requires a 34.8% gain to breakeven.

Preserve Wealth

Limiting losses and compounding gains is essential to preserving wealth.

Asset Allocation

Actively managed asset allocation strategies protect wealth. Learn more.

EventPEGAS&P 500
2025 US Tariff Shock
  % Loss-25.8%-18.8%
  % Gain to Breakeven34.8%23.1%
  Time to Breakeven15 days79 days
Summer-Fall 2023 Five Percent Yield Shock
  % Loss-30.1%-9.5%
  % Gain to Breakeven43.1%10.5%
  Time to Breakeven113 days24 days
2022 Inflation Shock & Fed Tightening
  % Loss-72.4%-24.5%
  % Gain to Breakeven261.7%32.4%
  Time to Breakeven840 days427 days
2020 COVID-19 Crash
  % Loss-37.9%-33.7%
  % Gain to Breakeven61.0%50.9%
  Time to Breakeven61 days140 days
Q4 2018 Fed Policy Error / Growth Scare
  % Loss-26.7%-19.2%
  % Gain to Breakeven36.5%23.8%
  Time to Breakeven62 days105 days
2015-2016 China Devaluation / Global Growth Scare
  % Loss-23.3%-12.2%
  % Gain to Breakeven30.3%13.9%
  Time to Breakeven83 days62 days
2011 US Debt Ceiling Crisis & European Contagion
  % Loss-34.8%-17.9%
  % Gain to Breakeven53.3%21.8%
  Time to Breakeven772 days123 days
2008-2009 Global Financial Crisis
  % Loss-26.0%-53.4%
  % Gain to Breakeven35.2%114.4%
  Time to Breakeven42 days1085 days

Compare to CRM, NOW, APPN, MSFT, ORCL

In The Past

Pegasystems's stock fell -25.8% during the 2025 US Tariff Shock. Such a loss loss requires a 34.8% gain to breakeven.

Preserve Wealth

Limiting losses and compounding gains is essential to preserving wealth.

Asset Allocation

Actively managed asset allocation strategies protect wealth. Learn more.

About Pegasystems (PEGA)

Pegasystems Inc. (PEGA) is a global software company that develops, markets, and supports enterprise applications designed to help large organizations enhance customer engagement and automate complex digital processes. Its flagship offering, Pega Infinity, is a unified software platform that brings together these crucial business capabilities.

The company offers a range of key products, including customer engagement applications such as Pega Customer Decision Hub, which optimizes customer acquisition and experiences across various channels, and Pega Sales Automation, designed to streamline and manage the sales process. Pega Customer Service provides intelligent automation to anticipate customer needs and improve service delivery. Pegasystems also offers the Pega Platform for application development and Pega Cloud for hosting and deploying client applications.

Pegasystems primarily markets its software and services to large enterprises across a broad spectrum of industries. Its main customer segments include financial services, life sciences, healthcare, communications and media, government, insurance, manufacturing and high tech, and consumer services. The company utilizes a direct sales force and strategic partnerships to reach its global clientele.

AI Analysis | Feedback

Here are 1-2 brief analogies to describe Pegasystems:

  • Like Salesforce, but with a powerful underlying AI that automates complex customer interactions and drives real-time decision-making across all channels.
  • A highly specialized ServiceNow for customer engagement and core business operations, focused on intelligent automation and personalized experiences.

AI Analysis | Feedback

  • Pega Platform: An application development product for clients.
  • Pega Infinity: A software platform that unifies customer engagement and digital process automation.
  • Pega Customer Decision Hub: Enhances customer acquisition and experiences across inbound, outbound, and paid media channels.
  • Pega Sales Automation: Automates and manages the sales process for enterprises.
  • Pega Customer Service: Anticipates customer needs, automates interactions, and enhances employee productivity for customer service.
  • Intelligent Automation Software: Provides software designed for automating various business processes.
  • Pega Cloud: An Internet-based infrastructure for developing, testing, and deploying applications and the Pega Platform.
  • Pega Academy: Offers instructor-led and online training to employees, clients, and partners.
  • Technical & Implementation Services: Provides guidance, implementation, and technical support services to clients.

AI Analysis | Feedback

Pegasystems Inc. (PEGA) primarily sells its enterprise software applications and services to other companies.

Based on the provided background information, specific names of individual customer companies are not listed. However, the company primarily markets its software and services to major customers within the following industry categories:

  • Financial Services
  • Life Sciences
  • Healthcare
  • Communications and Media
  • Government
  • Insurance
  • Manufacturing and High Tech
  • Consumer Services

AI Analysis | Feedback

Major Suppliers:

  • Amazon.com, Inc. (AMZN)
  • Microsoft Corporation (MSFT)

AI Analysis | Feedback

Alan Trefler, Founder and Chief Executive Officer

Alan Trefler founded Pegasystems in 1983 at the age of 27. Before establishing Pegasystems, he served as a senior project manager for Casher Associates Inc. from 1978 to 1980 and subsequently led the development of a funds transfer product at TMI Systems from 1980 to 1983. A chess master, he co-championed the 1975 World Open Chess Championship, and his collegiate involvement in tournament chess at Dartmouth College, where he earned a degree in Economics and Computer Science, led to his development of early AI systems. Trefler is the author of the best-selling book "Build for Change" and holds multiple patents for Pega's distinctive architecture. In 1996, he co-founded the Trefler Foundation with his wife, Pam, dedicated to improving educational outcomes.

Ken Stillwell, Chief Operating Officer and Chief Financial Officer

Ken Stillwell joined Pegasystems in July 2016 and was promoted to Chief Operating Officer in April 2021. He brings over 25 years of financial leadership experience in high-growth technology organizations. Prior to Pegasystems, Stillwell served as Senior Vice President and Chief Financial Officer at Dynatrace, and as EVP/CFO at SOVOS, a financial and compliance software as a service (SaaS) company. He also held the role of divisional CFO at PTC, a publicly traded software company, for five years. Stillwell is a Certified Public Accountant, holding an undergraduate degree in business and economics from the University of Pittsburgh and a Master's in accounting and finance from the University of South Carolina. He currently serves as a Board Member at Sovos and a Trustee at The Rivers School.

Don Schuerman, Chief Technology Officer and Vice President of Product Marketing

Don Schuerman is the Chief Technology Officer and Vice President of Product Marketing at Pegasystems, a position he has held since January 2014, having joined the company in August 1997 as a Software Services Consultant. With over 20 years of experience, he specializes in delivering enterprise software solutions for Fortune 500 organizations, focusing on digital transformation, mobility, analytics, business process management, cloud, and CRM. Schuerman has led significant enterprise software implementations and provided technology and architecture consulting to senior executives at major corporations, including American Express, Citibank, JP Morgan Chase, and BP. He holds a Bachelor of Science degree in Physics and Philosophy from Boston College.

Katherine Parente, Chief People Officer

Katherine Parente serves as the Chief People Officer at Pegasystems.

Kerim Akgonul, Chief Product Officer

Kerim Akgonul holds the position of Chief Product Officer at Pegasystems.

AI Analysis | Feedback

Pegasystems (PEGA) faces several key risks to its business:
  1. Intense Competition: Pegasystems operates in a rapidly evolving and fiercely competitive landscape across business process management (BPM), customer relationship management (CRM), and low-code application development. The company faces significant challenges from major platform vendors such as Salesforce, ServiceNow, Microsoft, Oracle, and SAP, who leverage their scale, ecosystems, and existing enterprise relationships. This intense competition puts constant pressure on Pegasystems' pricing power and market share.

  2. Litigation Risk: Pegasystems has been involved in significant trade secret litigation with Appian Corp. While an earlier multibillion-dollar judgment against Pegasystems was reversed and the case remanded for a new trial, the ongoing nature of this litigation represents a material financial and legal risk.

  3. Challenges with Cloud Transition and Revenue Volatility: The company's strategic shift to a recurring revenue, cloud-centric model, particularly with its Pega Cloud offerings, has been a central theme. While this transition aims to improve revenue predictability, it has historically created lumpiness in reported GAAP revenue and pressured near-term profitability. There is an ongoing risk that the adoption of its cloud solutions and new offerings like Pega Blueprint might take longer than anticipated, which could further impact financial forecasts.

AI Analysis | Feedback

The rapid advancement and adoption of generative artificial intelligence (AI) and highly capable low-code/no-code platforms, especially those integrated into broader enterprise ecosystems by major technology providers, pose a clear emerging threat. These technologies simplify and accelerate application development and process automation, potentially allowing enterprises to build custom solutions and automate workflows with significantly less reliance on specialized platforms like Pega Platform or Pega Infinity. This could undermine demand for Pegasystems' core offerings by providing alternative, potentially more accessible and cost-effective, methods for achieving similar outcomes in application development, digital process automation, and customer engagement.

AI Analysis | Feedback

Pegasystems Inc. (PEGA) operates within several significant addressable markets for its core products and services.

Pega Platform (Low-Code Development Platform)

The global low-code development platform market was valued at approximately USD 24.8 billion in 2023 and is projected to grow to about USD 167.0 billion by 2030, at a compound annual growth rate (CAGR) of 31.4% from 2024 to 2030. Another estimate places the market at USD 35.2 billion in 2025, with a projection to reach USD 236.9 billion by 2035, growing at a CAGR of 21.0%. North America is a leading region in this market, holding a 45% share in 2023 and approximately 32.6% of the revenue in 2024.

Pega Infinity (Customer Engagement and Digital Process Automation Platform)

Pega Infinity unifies customer engagement and digital process automation. Therefore, its addressable market encompasses both of these segments.

Customer Engagement Solutions:

The global customer engagement solutions market was estimated at USD 23.45 billion in 2023 and is projected to reach USD 50.03 billion by 2030, with a CAGR of 11.8% from 2024 to 2030. Other estimates for the global market include USD 29.39 billion in 2025, projected to reach USD 86.39 billion by 2035, with a CAGR of 11.38% from 2026 to 2035. North America held a significant share of this market, accounting for 71.5% in 2023 and approximately 40% in 2025.

Digital Process Automation (DPA):

The global digital process automation market was valued at USD 12.4 billion in 2021 and is projected to grow to USD 42.7 billion by 2031, at a CAGR of 13.2% from 2022 to 2031. More recent figures indicate the global market size was USD 15.15 billion in 2024 and is poised to grow to USD 43.39 billion by 2033, at a CAGR of 12.4% from 2026 to 2033. North America was the largest region in the digital process automation market in 2025. The U.S. Digital Process Automation Market alone was valued at USD 4.55 billion in 2025 and is expected to reach USD 11.39 billion by 2035.

Customer Engagement Applications (Pega Customer Decision Hub, Pega Sales Automation, Pega Customer Service)

These applications fall under the broader Customer Relationship Management (CRM) market.

Customer Relationship Management (CRM):

The global customer relationship management market size was valued at USD 112.91 billion in 2025 and is expected to reach USD 320.99 billion by 2034, registering a CAGR of 12.40% from 2026 to 2034. Another projection places the global CRM market at USD 90.10 billion in 2025, reaching USD 304.03 billion by 2035, with a CAGR of 12.93% from 2026 to 2035. North America accounted for the largest CRM market share of 31.70% in 2025 and the United States alone accounts for 37% of CRM software spending.

Intelligent Automation Software

The global intelligent automation market size was recorded at USD 10.59 billion in 2021 and is projected to reach USD 51.58 billion by 2033, growing at a CAGR of 14.1% from 2025 to 2033. Another source indicates the global intelligent automation market is projected to grow from USD 16.62 billion in 2024 to USD 54.86 billion by 2032, at a CAGR of 16.10%. North America holds a significant share, accounting for 39.20% of the global market revenue in 2025.

AI Analysis | Feedback

Here are 3-5 expected drivers of future revenue growth for Pegasystems (PEGA) over the next 2-3 years:

  1. Growth of Pega Cloud and Cloud Adoption: A primary driver of future revenue growth for Pegasystems is the continued expansion and adoption of its Pega Cloud offerings. The company is strategically focused on migrating clients to the cloud, with a goal for Pega Cloud to account for a significant portion of its overall Annual Contract Value (ACV) in the coming years. Pega Cloud ACV demonstrated strong growth in 2025, increasing approximately 30-33%, and is projected to continue growing above 30% in 2026. This shift to a cloud-first, subscription-driven model is also expected to enhance recurring revenue and improve gross margins.
  2. AI-driven Innovation, particularly Generative AI (GenAI) and Agentic AI: Pegasystems is heavily investing in artificial intelligence, with a strong focus on Generative AI (GenAI) and agentic AI capabilities embedded within its Pega Infinity platform. The Pega GenAI Blueprint strategy is expected to unlock significant monetization potential by accelerating application development and enabling clients to envision and build new applications faster. New agentic AI enhancements to Pega Infinity App Studio are designed to guide developers through application creation, enhance workflow optimization, and boost productivity, thereby driving enterprise transformation.
  3. Expansion of Client Engagement and New Customer Acquisition: Pegasystems aims to deepen and expand its relationships with existing clients while also acquiring new customers, particularly within Global 2000 accounts. The company is targeting new logos and expanding into horizontal use cases, such as customer service in utilities. This "land-and-expand" strategy involves embedding Pega deeply into clients' core operations through vertical-specific workflows and pursuing multi-year transformation programs.
  4. Product-Led Growth and Packaged Industry Applications: Revenue growth will also be driven by scaling Pega Cloud for AI-powered customer decisioning, case management, and workflow orchestration. Pegasystems plans to expand its packaged industry applications, such as next-best-action solutions for banking and claims/underwriting solutions for insurance, to meet specific sector needs. The low-code and intelligent automation markets are forecasted to experience significant growth, creating tailwinds for Pega's product roadmap.
  5. Strategic Partnerships and Ecosystem Expansion: Deepening routes to market through strategic partnerships with systems integrators (e.g., Accenture, Capgemini, TCS, Cognizant, Infosys) and hyperscalers (e.g., AWS, Azure, Google Cloud) is a key driver. These collaborations are intended to accelerate cloud migrations and facilitate co-selling of regulated-industry deals, expanding Pega's market reach and accelerating its growth.

AI Analysis | Feedback

Share Repurchases

  • Pegasystems repurchased $498 million in shares in 2025.
  • The annual share buybacks for Pegasystems were $499.689 million in 2025 and $68.057 million in 2024.
  • In February 2026, the board authorized an additional $1 billion in share buyback capacity, extending the program to June 30, 2027.

Share Issuance

  • Shareholders approved an increase in authorized common shares from 200 million to 400 million in June 2025, in conjunction with a two-for-one forward stock split.
  • Pegasystems' shares outstanding increased by 3.08% to 0.185 billion in 2025 from 0.179 billion in 2024.

Capital Expenditures

  • Pegasystems invested $6.0 million in capital expenditures in Q4 2025.
  • Capital expenditures were $14.5 million in 2025, with estimated expenditures of $19.23 million for 2026 and $20.72 million for 2027.
  • Capital expenditures are primarily focused on funding long-term assets and infrastructure.

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Peer Comparisons

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Financials

PEGACRMNOWAPPNMSFTORCLMedian
NamePegasyst.Salesfor.ServiceN.Appian MicrosoftOracle  
Mkt Price30.23155.0295.4821.56378.91183.53125.25
Mkt Cap5.1134.698.81.62,813.8527.5116.7
Rev LTM1,70042,82913,960763318,27364,07728,394
Op Inc LTM1949,3661,8765148,95720,6785,621
FCF LTM49514,6614,6246472,916-24,7362,559
FCF 3Y Avg39312,8813,800770,952-2,2222,097
CFO LTM51315,2215,43767170,14123,51410,329
CFO 3Y Avg40413,5114,62611136,99120,8339,068

Growth & Margins

PEGACRMNOWAPPNMSFTORCLMedian
NamePegasyst.Salesfor.ServiceN.Appian MicrosoftOracle  
Rev Chg LTM3.5%11.0%21.7%20.4%17.9%14.9%16.4%
Rev Chg 3Y Avg10.4%10.0%22.4%16.0%15.3%10.2%12.9%
Rev Chg Q-9.6%13.3%22.1%21.5%18.3%21.7%19.9%
QoQ Delta Rev Chg LTM-2.6%3.1%5.1%4.9%4.2%5.0%4.6%
Op Inc Chg LTM-29.5%18.2%26.5%110.9%22.0%16.6%20.1%
Op Inc Chg 3Y Avg93.5%53.7%71.1%68.7%20.7%13.7%61.2%
Op Mgn LTM11.4%21.9%13.4%0.6%46.8%32.3%17.7%
Op Mgn 3Y Avg12.5%20.3%12.1%-7.5%45.6%31.2%16.4%
QoQ Delta Op Mgn LTM-4.9%0.4%-0.3%0.5%0.1%0.3%0.2%
CFO/Rev LTM30.2%35.5%38.9%8.7%53.5%36.7%36.1%
CFO/Rev 3Y Avg25.2%34.5%39.9%0.7%49.5%36.2%35.4%
FCF/Rev LTM29.1%34.2%33.1%8.4%22.9%-38.6%26.0%
FCF/Rev 3Y Avg24.5%32.9%32.7%0.0%26.1%-1.6%25.3%

Valuation

PEGACRMNOWAPPNMSFTORCLMedian
NamePegasyst.Salesfor.ServiceN.Appian MicrosoftOracle  
Mkt Cap5.1134.698.81.62,813.8527.5116.7
P/S3.03.17.12.18.88.25.1
P/Op Inc26.314.452.7346.118.925.525.9
P/EBIT26.313.541.162.017.923.524.9
P/E15.016.856.31,798.422.532.527.5
P/CFO9.98.818.223.816.522.417.4
Total Yield7.0%6.8%1.8%0.1%5.4%4.2%4.8%
Dividend Yield0.4%0.9%0.0%0.0%0.9%1.1%0.6%
FCF Yield 3Y Avg6.3%5.9%2.8%0.8%2.5%0.4%2.6%
D/E0.00.30.00.20.00.30.1
Net D/E-0.10.2-0.00.1-0.00.20.0

Returns

PEGACRMNOWAPPNMSFTORCLMedian
NamePegasyst.Salesfor.ServiceN.Appian MicrosoftOracle  
1M Rtn-11.5%-13.4%-7.7%2.2%-10.3%-1.7%-9.0%
3M Rtn-29.7%-19.8%-16.0%-14.4%-3.1%20.5%-15.2%
6M Rtn-47.3%-39.5%-39.0%-40.8%-20.1%3.5%-39.3%
12M Rtn-39.8%-40.4%-52.5%-28.1%-20.1%-11.0%-33.9%
3Y Rtn21.2%-25.5%-15.6%-59.0%13.3%51.5%-1.1%
1M Excs Rtn-11.7%-13.6%-7.9%1.9%-10.6%-1.9%-9.2%
3M Excs Rtn-41.8%-31.8%-28.0%-26.5%-15.1%8.4%-27.2%
6M Excs Rtn-57.0%-47.6%-46.5%-50.4%-28.7%-9.0%-47.0%
12M Excs Rtn-62.5%-63.7%-75.5%-52.2%-43.3%-35.2%-57.3%
3Y Excs Rtn-43.9%-97.2%-83.6%-127.2%-54.1%-7.7%-68.9%

Comparison Analyses

Financials

Segment Financials

Revenue by Segment
$ Mil20252024202320222021
Single segment1,7461,4971,4331,3181,212
Total1,7461,4971,4331,3181,212


Net Income by Segment
$ Mil20252024
Single segment39399
Total39399


Price Behavior

Price Behavior
Market Price$30.23 
Market Cap ($ Bil)5.1 
First Trading Date07/19/1996 
Distance from 52W High-54.6% 
   50 Days200 Days
DMA Price$36.18$48.82
DMA Trenddowndown
Distance from DMA-16.5%-38.1%
 3M1YR
Volatility48.3%49.5%
Downside Capture259.53213.80
Upside Capture35.8898.07
Correlation (SPY)22.8%27.8%
PEGA Betas & Captures as of 5/31/2026

 1M2M3M6M1Y3Y
Beta-0.200.830.600.891.121.32
Up Beta0.16-0.370.180.080.941.25
Down Beta-0.491.80-0.34-0.500.541.25
Up Capture-33%13%37%94%96%237%
Bmk +ve Days13283667141432
Stock +ve Days10183060126393
Down Capture-18%409%170%205%153%109%
Bmk -ve Days7132757109318
Stock -ve Days10233363122355

[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
Based On 1-Year Data
Annualized
Return
Annualized
Volatility
Sharpe
Ratio
Correlation
with PEGA
PEGA-39.6%49.4%-0.86-
Sector ETF (XLK)54.0%22.9%1.8127.8%
Equity (SPY)24.5%12.4%1.4829.0%
Gold (GLD)24.7%27.5%0.79-1.9%
Commodities (DBC)22.7%18.9%0.95-7.3%
Real Estate (VNQ)10.6%13.8%0.4915.8%
Bitcoin (BTCUSD)-38.7%42.4%-1.0422.8%

Smart multi-asset allocation framework can stack odds in your favor. Learn How
Based On 5-Year Data
Annualized
Return
Annualized
Volatility
Sharpe
Ratio
Correlation
with PEGA
PEGA-13.8%51.5%-0.11-
Sector ETF (XLK)22.3%25.2%0.7843.3%
Equity (SPY)13.4%17.1%0.6145.5%
Gold (GLD)16.9%18.3%0.751.4%
Commodities (DBC)7.5%19.4%0.294.3%
Real Estate (VNQ)1.9%18.9%0.0036.1%
Bitcoin (BTCUSD)12.3%54.2%0.4222.6%

Smart multi-asset allocation framework can stack odds in your favor. Learn How
Based On 10-Year Data
Annualized
Return
Annualized
Volatility
Sharpe
Ratio
Correlation
with PEGA
PEGA8.2%44.0%0.33-
Sector ETF (XLK)25.1%24.7%0.9252.1%
Equity (SPY)15.2%18.0%0.7252.5%
Gold (GLD)12.4%16.1%0.632.0%
Commodities (DBC)5.9%18.0%0.2612.8%
Real Estate (VNQ)5.3%20.7%0.2240.1%
Bitcoin (BTCUSD)60.4%66.8%1.0015.4%

Smart multi-asset allocation framework can stack odds in your favor. Learn How

Short Interest

Short Interest: As Of Date5292026
Short Interest: Shares Quantity12.6 Mil
Short Interest: % Change Since 51520262.2%
Average Daily Volume1.7 Mil
Days-to-Cover Short Interest7.5 days
Basic Shares Quantity168.8 Mil
Short % of Basic Shares7.5%

Earnings Returns History

Updated 6/2/2026
Expand for More
 Forward Returns
Earnings Date1D Returns5D Returns21D Returns
4/21/2026-4.6%-8.5%-12.5%
2/10/2026-11.9%3.8%-1.2%
10/21/202515.0%14.8%-5.3%
7/22/202513.9%18.6%1.8%
4/22/202528.8%32.6%44.8%
2/12/2025-19.6%-23.2%-32.1%
10/23/202414.7%17.2%28.4%
7/24/202412.8%14.1%10.0%
...
SUMMARY STATS   
# Positive141312
# Negative101112
Median Positive11.3%14.1%11.3%
Median Negative-8.8%-8.1%-12.7%
Max Positive35.7%32.6%44.8%
Max Negative-19.6%-23.2%-32.1%
Collapse to Preview
 Forward Returns
Earnings Date1D Returns5D Returns21D Returns
4/21/2026-4.6%-8.5%-12.5%
2/10/2026-11.9%3.8%-1.2%
10/21/202515.0%14.8%-5.3%
7/22/202513.9%18.6%1.8%
4/22/202528.8%32.6%44.8%
2/12/2025-19.6%-23.2%-32.1%
10/23/202414.7%17.2%28.4%
7/24/202412.8%14.1%10.0%
4/24/20240.3%2.9%3.0%
2/14/202435.7%27.6%22.3%
10/25/20237.2%15.4%37.2%
7/26/2023-10.6%-8.1%-12.8%
4/26/20233.5%-2.3%3.0%
2/15/202318.0%10.3%9.6%
10/26/20229.7%2.0%12.6%
7/27/2022-15.4%-15.2%-22.0%
4/28/20226.9%-2.1%-29.6%
2/16/2022-15.6%-16.7%-18.4%
10/27/2021-4.9%-2.1%-7.7%
7/28/2021-7.0%-7.4%-1.7%
4/28/2021-1.3%-8.2%-6.6%
2/17/20211.0%-1.7%-20.7%
10/28/2020-1.3%0.8%9.9%
7/28/20209.8%11.6%24.5%
SUMMARY STATS   
# Positive141312
# Negative101112
Median Positive11.3%14.1%11.3%
Median Negative-8.8%-8.1%-12.7%
Max Positive35.7%32.6%44.8%
Max Negative-19.6%-23.2%-32.1%

SEC Filings

Expand for More
Report DateFiling DateFiling
03/31/202604/21/202610-Q
12/31/202502/10/202610-K
09/30/202510/21/202510-Q
06/30/202507/22/202510-Q
03/31/202504/22/202510-Q
12/31/202402/12/202510-K
09/30/202410/23/202410-Q
06/30/202407/24/202410-Q
03/31/202404/24/202410-Q
12/31/202302/14/202410-K
09/30/202310/25/202310-Q
06/30/202307/26/202310-Q
03/31/202304/26/202310-Q
12/31/202202/15/202310-K
09/30/202210/26/202210-Q
06/30/202207/27/202210-Q
Collapse to Preview
Report DateFiling DateFiling
03/31/202604/21/202610-Q
12/31/202502/10/202610-K
09/30/202510/21/202510-Q
06/30/202507/22/202510-Q
03/31/202504/22/202510-Q
12/31/202402/12/202510-K
09/30/202410/23/202410-Q
06/30/202407/24/202410-Q
03/31/202404/24/202410-Q
12/31/202302/14/202410-K
09/30/202310/25/202310-Q
06/30/202307/26/202310-Q
03/31/202304/26/202310-Q
12/31/202202/15/202310-K
09/30/202210/26/202210-Q
06/30/202207/27/202210-Q
03/31/202204/28/202210-Q
12/31/202102/16/202210-K
09/30/202110/27/202110-Q
06/30/202107/28/202110-Q
03/31/202104/28/202110-Q
12/31/202002/17/202110-K
09/30/202010/28/202010-Q
06/30/202007/28/202010-Q
03/31/202004/29/202010-Q
12/31/201902/12/202010-K
09/30/201911/07/201910-Q
06/30/201908/07/201910-Q

Insider Activity

Updated 6/8/2026
Expand for More
#OwnerTitleHoldingActionFiling DatePriceSharesTransacted
Value
Value of
Held Shares
Form
1Kouninis, Efstathios ASVP, Chief Accounting OfficerDirectSell602202636.9975027,74279,307Form
2Kouninis, Efstathios ASVP, Chief Accounting OfficerDirectSell602202634.7575026,062100,566Form
3Akgonul, Rifat KerimChief Product OfficerDirectSell520202633.354,545151,5763,570,784Form
4Stillwell, KennethCOO, CFODirectSell506202636.458,383305,5603,955,991Form
5Stillwell, KennethCOO, CFODirectSell403202643.171,00043,1704,685,326Form
Collapse to Preview
#OwnerTitleHoldingActionFiling DatePriceSharesTransacted
Value
Value of
Held Shares
Form
1Kouninis, Efstathios ASVP, Chief Accounting OfficerDirectSell602202636.9975027,74279,307Form
2Kouninis, Efstathios ASVP, Chief Accounting OfficerDirectSell602202634.7575026,062100,566Form
3Akgonul, Rifat KerimChief Product OfficerDirectSell520202633.354,545151,5763,570,784Form
4Stillwell, KennethCOO, CFODirectSell506202636.458,383305,5603,955,991Form
5Stillwell, KennethCOO, CFODirectSell403202643.171,00043,1704,685,326Form
6Akgonul, Rifat KerimChief Product OfficerDirectSell317202643.397,594329,5044,834,904Form
7Trefler, LeonChief of Clients and MarketsDirectSell312202644.766,700299,8585,297,739Form
8Stillwell, KennethCOO, CFODirectSell312202644.8144,0001,971,6404,889,802Form
9Akgonul, Rifat KerimChief Product OfficerDirectSell303202643.847,000306,9044,382,684Form
10Stillwell, KennethCOO, CFODirectSell303202643.371,00043,3705,833,959Form
11Trefler, AlanC.E.O. & ChairmanDirectSell219202645.0317,930807,3881,995,719,783Form
12Trefler, AlanC.E.O. & ChairmanDirectSell219202645.1211,742529,7992,000,517,565Form
13Akgonul, Rifat KerimChief Product OfficerDirectSell217202643.167,000302,1554,570,915Form
14Stillwell, KennethCOO, CFODirectSell203202643.691,00043,6905,324,937Form
15Trefler, AlanC.E.O. & ChairmanDirectSell123202649.5645,0002,230,3102,198,067,232Form
16Trefler, AlanC.E.O. & ChairmanDirectSell123202649.0245,0002,205,9572,176,272,131Form
17Stillwell, KennethCOO, CFODirectSell106202659.994,000239,9607,371,571Form
18Trefler, AlanC.E.O. & ChairmanDirectSell1219202558.6845,0002,640,8022,626,462,332Form
19Trefler, AlanC.E.O. & ChairmanDirectSell1219202558.1345,0002,615,7652,604,177,364Form
20Akgonul, Rifat KerimChief Product OfficerDirectSell1209202560.194,000240,7606,792,141Form
21Stillwell, KennethCOO, CFODirectSell1209202557.8714,405833,6027,616,767Form
22Trefler, AlanC.E.O. & ChairmanDirectSell1107202558.6745,0002,640,2872,631,155,611Form
23Trefler, AlanC.E.O. & ChairmanDirectSell1107202560.0345,0002,701,4592,694,816,774Form
24Stillwell, KennethCOO, CFODirectSell1105202562.1811,442711,4647,948,221Form
25Kouninis, Efstathios ASVP, Chief Accounting OfficerDirectSell1028202567.254,425297,58113,854Form
26Stillwell, KennethCOO, CFODirectSell1028202566.4017,1711,140,1548,487,646Form
27Trefler, LeonChief of Clients and MarketsDirectSell1027202563.4014,865942,4417,531,857Form
28Kouninis, Efstathios ASVP, Chief Accounting OfficerDirectSell1027202565.503,993261,54213,493Form
29Trefler, AlanC.E.O. & ChairmanDirectSell1023202564.2345,0002,890,1592,885,943,798Form
30Trefler, AlanC.E.O. & ChairmanDirectSell1023202556.7345,0002,552,8002,551,628,863Form
31Trefler, AlanC.E.O. & ChairmanDirectSell919202558.3045,0002,623,5652,624,985,296Form
32Kouninis, Efstathios ASVP of Finance & CAODirectSell916202559.002,544  Form
33Kouninis, Efstathios ASVP of Finance & CAODirectSell912202557.50252  Form
34Weber, Larry DirectSell911202556.982,636150,199605,811Form
35Kouninis, Efstathios ASVP of Finance & CAODirectSell909202557.6233219,13014,520Form
36Akgonul, Rifat KerimChief Product OfficerDirectSell909202556.974,000227,8894,028,902Form
37Kouninis, Efstathios ASVP of Finance & CAODirectSell909202555.0023512,92518,260Form
38Akgonul, Rifat KerimChief Product OfficerDirectSell904202554.085,000270,4003,915,662Form
39Akgonul, Rifat KerimChief Product OfficerDirectSell904202553.402,000106,8024,133,504Form
40Kouninis, Efstathios AVP of Finance & CAODirectSell8272025123.5045355,946247Form
41Trefler, AlanC.E.O. & ChairmanDirectSell807202557.3545,0002,580,7501,887,772,286Form
42Trefler, AlanC.E.O. & ChairmanDirectSell807202557.4945,0002,587,0131,894,940,776Form
43Stillwell, KennethCOO, CFODirectSell805202558.1911,147648,6446,975,119Form
44Stillwell, KennethCOO, CFODirectSell805202557.714,000230,8546,918,002Form
45Kouninis, Efstathios ASVP of Finance & CAODirectSell729202559.65582  Form
46Akgonul, Rifat KerimChief Product OfficerDirectSell728202557.829,879571,2044,542,339Form
47Trefler, AlanC.E.O. & ChairmanDirectSell714202551.7545,0002,328,6071,707,991,746Form
48Trefler, AlanC.E.O. & ChairmanDirectSell711202553.3445,0002,400,3001,762,977,251Form
49Stillwell, KennethCOO, CFODirectSell703202552.644,000210,5702,597,907Form
50Trefler, AlanC.E.O. & ChairmanDirectSell6232025100.8331,5003,176,0031,716,845,395Form
51Trefler, AlanC.E.O. & ChairmanDirectSell6182025101.0431,5003,182,8281,723,717,659Form
52Higgins, John GerardChief, Client &Partner SuccessDirectSell6132025102.2311,8301,209,3811,943,699Form
53Kouninis, Efstathios ASVP of Finance & CAODirectSell6092025103.0059861,59417,098Form
54Kouninis, Efstathios ASVP of Finance & CAODirectSell6032025100.5011611,65815,578Form
55Stillwell, KennethCOO, CFODirectSell603202597.482,000194,9602,309,106Form
Core Cache Last Updated: 6/17/2026