D.A. Davidson analyst Will Jellison has maintained their neutral stance on PEGA stock, giving a Hold rating on April 21.
Will Jellison has given his Hold rating due to a combination of factors, including Pegasystems’ strong performance in the first quarter of 2025, which exceeded expectations in several areas such as Pega Cloud and Total ACV. Despite this strong execution, the company’s overall valuation and its position in the bottom quartile of software coverage on the Rule of X suggest a more cautious approach.
Additionally, while Pegasystems has shown impressive improvements in return on invested capital and free cash flow, the current market environment and the company’s valuation metrics warrant a Hold rating. The upward revision of revenue and operating income expectations, driven by significant contributions from a Subscription License renewal, supports a positive outlook, but not enough to justify a Buy rating at this time.
According to TipRanks, Jellison is an analyst with an average return of -19.1% and a 18.52% success rate. Jellison covers the Technology sector, focusing on stocks such as Vertex, PDF Solutions, and Manhattan Associates.
In another report released on April 21, Barclays also maintained a Hold rating on the stock with a $84.00 price target.