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Decoding 5 Analyst Evaluations For Aspen Technology

Author: Benzinga Insights | June 14, 2024 08:00am

During the last three months, 5 analysts shared their evaluations of Aspen Technology (NASDAQ:AZPN), revealing diverse outlooks from bullish to bearish.

Summarizing their recent assessments, the table below illustrates the evolving sentiments in the past 30 days and compares them to the preceding months.

Bullish Somewhat Bullish Indifferent Somewhat Bearish Bearish
Total Ratings 1 3 1 0 0
Last 30D 0 1 0 0 0
1M Ago 1 1 0 0 0
2M Ago 0 1 1 0 0
3M Ago 0 0 0 0 0

Analysts have set 12-month price targets for Aspen Technology, revealing an average target of $221.0, a high estimate of $255.00, and a low estimate of $180.00. This upward trend is evident, with the current average reflecting a 5.64% increase from the previous average price target of $209.20.

price target chart

Interpreting Analyst Ratings: A Closer Look

An in-depth analysis of recent analyst actions unveils how financial experts perceive Aspen Technology. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Analyst Analyst Firm Action Taken Rating Current Price Target Prior Price Target
Rob Oliver Baird Maintains Outperform $230.00 $230.00
Nay Soe Naing Berenberg Raises Buy $255.00 $185.00
Rob Oliver Baird Raises Outperform $230.00 $210.00
Rob Oliver Baird Lowers Outperform $210.00 $225.00
Clarke Jeffries Piper Sandler Lowers Neutral $180.00 $196.00

Key Insights:

  • Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Aspen Technology. This information provides a snapshot of how analysts perceive the current state of the company.
  • Rating: Gaining insights, analysts provide qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of Aspen Technology compared to the broader market.
  • Price Targets: Analysts navigate through adjustments in price targets, providing estimates for Aspen Technology's future value. Comparing current and prior targets offers insights into analysts' evolving expectations.

Considering these analyst evaluations in conjunction with other financial indicators can offer a comprehensive understanding of Aspen Technology's market position. Stay informed and make well-informed decisions with our Ratings Table.

Stay up to date on Aspen Technology analyst ratings.

About Aspen Technology

Aspen Technology is a global leader in asset optimization software, enabling customers within capital-intensive industries to design, operate and maintain their functions to meet their profitability, safety, and sustainability goals. The heritage business of AspenTech was founded in 1981 and provides software solutions purposed to optimize engineering, manufacturing, and supply chain and asset management functions. In 2021, Emerson Electric traded over $6 billion in cash and its Open Systems International (digital grid management) and subsurface science and engineering businesses for 55% of AspenTech's shares. The new AspenTech is the combination of heritage Aspen, OSI, and SSE and serves more than 3,000 customers across 40 countries.

A Deep Dive into Aspen Technology's Financials

Market Capitalization Analysis: The company's market capitalization is below the industry average, suggesting that it is relatively smaller compared to peers. This could be due to various factors, including perceived growth potential or operational scale.

Revenue Growth: Aspen Technology's remarkable performance in 3 months is evident. As of 31 March, 2024, the company achieved an impressive revenue growth rate of 20.98%. This signifies a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Information Technology sector.

Net Margin: Aspen Technology's net margin is below industry averages, indicating potential challenges in maintaining strong profitability. With a net margin of 0.56%, the company may face hurdles in effective cost management.

Return on Equity (ROE): Aspen Technology's ROE is below industry standards, pointing towards difficulties in efficiently utilizing equity capital. With an ROE of 0.01%, the company may encounter challenges in delivering satisfactory returns for shareholders.

Return on Assets (ROA): Aspen Technology's ROA is below industry standards, pointing towards difficulties in efficiently utilizing assets. With an ROA of 0.01%, the company may encounter challenges in delivering satisfactory returns from its assets.

Debt Management: Aspen Technology's debt-to-equity ratio is below the industry average at 0.01, reflecting a lower dependency on debt financing and a more conservative financial approach.

Understanding the Relevance of Analyst Ratings

Analyst ratings serve as essential indicators of stock performance, provided by experts in banking and financial systems. These specialists diligently analyze company financial statements, participate in conference calls, and engage with insiders to generate quarterly ratings for individual stocks.

Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.

If you want to keep track of which analysts are outperforming others, you can view updated analyst ratings along withanalyst success scores in Benzinga Pro.

This article was generated by Benzinga's automated content engine and reviewed by an editor.

Posted In: AZPN