Procore Technologies (PCOR) AI Stock Analysis

• Market Cap: $11.68B
• Dividend Yield: N/A
• Average Volume (3M): 1.26M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.70
• Revenue Growth: 14.94%
• EPS Growth: -67.31%
• Country: US
• Employees: 4,203
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): 0.42
• Shares Outstanding: 155,469,860
• 10 Day Avg. Volume: 1,224,940
• 30 Day Avg. Volume: 1,256,859
• PEG Ratio: 2.25
• Price to Book (P/B): 8.58
• Price to Sales (P/S): 9.59
• P/FCF Ratio: 62.41
• Enterprise Value/Market Cap: 0.89
• Enterprise Value/Revenue: 8.11
• Enterprise Value/Gross Profit: 10.17
• Enterprise Value/Ebitda: -1.24K
• 1Y Price Target: $86.75
• Price Target Upside: 16.76% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 14
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 71 Outperform
• Price Target: $86.00 ▲(15.75% Upside)

Procore Technologies' overall stock score is driven by strong financial performance in terms of revenue growth and cash flow management, as well as positive technical indicators. The recent earnings call provided optimistic guidance and strategic leadership changes, enhancing future prospects. However, the negative P/E ratio and lack of dividend yield present valuation challenges.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective sales strategies, supporting long-term business expansion.

Operating Margin Improvement

Improved margins reflect enhanced operational efficiency, which can lead to better profitability and financial health over time.

CEO Transition

The new CEO brings extensive experience, potentially driving strategic growth and innovation, strengthening leadership.

Negative Factors

Profitability Challenges

Ongoing profitability issues may hinder financial stability and limit reinvestment capabilities, impacting long-term growth.

Construction Sector Headwinds

Sector headwinds could slow demand for Procore's solutions, affecting revenue growth and market expansion efforts.

CFO Absence

Leadership instability or absence in key financial roles can disrupt strategic financial planning and investor confidence.

Procore Technologies Business Overview & Revenue Model

Company Description

Procore Technologies, Inc. provides a cloud-based construction management platform and related software products in the United States and internationally. The company's platform enables owners, general and specialty contractors, architects, and engineers to collaborate on construction projects. It offers Preconstruction that facilitates collaboration between internal and external stakeholders during the planning, budgeting, estimating, bidding, and partner selection phase of a construction project; and Project Management, which enables real-time collaboration, information storage, design, BIM model clash detection, and regulation compliance for teams on the jobsite and in the back office. The company also provides Resource Management that helps contractors to schedule, track, and forecast labor productivity, enhance time management, communication with workforces, and manage profitability on construction projects; and Financial Management, which provides customers with visibility into the financial health of their individual construction projects and portfolios, as well as facilitates untethered access to financial data, linking the field, and the office in real-time. It serves owners, general contractors, and specialty contractors operating in the commercial, residential, industrial, and infrastructure segments of the construction industry. The company primarily sells subscriptions to access its products on computers, smartphones, and tablets through any web browser or from its mobile application available for iOS and Android platforms through its direct sales team. Procore Technologies, Inc. was incorporated in 2002 and is headquartered in Carpinteria, California.

How the Company Makes Money

Procore generates revenue primarily through subscription fees for its software-as-a-service (SaaS) platform. Customers typically pay annual or monthly subscription fees based on the number of users or projects they manage within Procore's system. The company offers various pricing tiers to accommodate different sizes of construction firms and their specific needs. Additionally, Procore may earn revenue from professional services such as training, implementation, and consulting. Key partnerships with other technology providers and integrations with third-party applications further enhance its value proposition, driving customer retention and attracting new clients. Procore's emphasis on continuous product development and innovation also helps maintain its competitive edge in a rapidly evolving market.

Procore Technologies Financial Statement Overview

Summary

Procore Technologies demonstrates solid revenue growth and robust cash flow management, with a strong gross profit margin and low debt-to-equity ratio. However, profitability remains a challenge, with negative net profit and EBIT margins. Continued focus on reducing operational losses is crucial for future financial performance.

Income Statement

Procore Technologies shows a consistent revenue growth trajectory, with a TTM revenue growth rate of 3.49%. However, profitability remains a challenge, as indicated by negative net profit and EBIT margins. The gross profit margin is strong at 79.75%, reflecting efficient cost management. Continued focus on reducing operational losses could improve overall profitability.

Balance Sheet

The company's balance sheet is relatively stable, with a low debt-to-equity ratio of 0.05, indicating prudent financial leverage. However, the return on equity is negative, reflecting ongoing net losses. The equity ratio is healthy, suggesting a strong capital structure, but improving profitability is crucial for enhancing shareholder returns.

Cash Flow

Procore Technologies exhibits robust cash flow management, with a significant free cash flow growth rate of 53.07% in the TTM. The operating cash flow to net income ratio is positive, indicating effective cash generation relative to net losses. The free cash flow to net income ratio is strong, suggesting efficient cash utilization despite negative net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.28B	1.15B	950.01M	720.20M	514.82M	400.29M
Gross Profit	1.02B	946.10M	775.55M	571.79M	416.51M	328.63M
EBITDA	-8.33M	-12.53M	-114.83M	-221.29M	-250.22M	-68.81M
Net Income	-125.47M	-105.96M	-189.69M	-286.93M	-265.17M	-96.17M
Balance Sheet
Total Assets	2.06B	2.10B	1.89B	1.74B	1.69B	820.77M
Cash, Cash Equivalents and Short-Term Investments	683.98M	775.39M	677.95M	582.21M	586.11M	379.91M
Total Debt	63.04M	80.02M	93.92M	94.32M	96.76M	95.39M
Total Liabilities	834.46M	813.02M	737.96M	623.63M	501.37M	1.09B
Stockholders Equity	1.22B	1.29B	1.16B	1.12B	1.19B	-272.10M
Cash Flow
Free Cash Flow	173.28M	177.03M	47.01M	-36.82M	9.10M	2.89M
Operating Cash Flow	214.38M	196.17M	92.02M	12.61M	36.73M	21.85M
Investing Cash Flow	-136.24M	-150.11M	-76.06M	-340.48M	-541.77M	-33.51M
Financing Cash Flow	-157.97M	36.24M	41.16M	38.65M	711.83M	272.12M

Procore Technologies Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 74.30
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PCOR, the sentiment is Positive. The current price of 74.3 is below the 20-day moving average (MA) of 75.08, above the 50-day MA of 74.28, and above the 200-day MA of 69.56, indicating a neutral trend. The MACD of -0.02 indicates Positive momentum. The RSI at 48.92 is Neutral, neither overbought nor oversold. The STOCH value of 44.46 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PCOR.

Procore Technologies Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BILL	74 Outperform	$5.62B	-202.46	0.30%	―	11.63%	50.72%
PCOR	71 Outperform	$11.68B	-88.57	-10.00%	―	14.94%	-67.31%
APPF	71 Outperform	$8.48B	42.24	44.69%	―	18.88%	54.44%
DAY	67 Neutral	$11.07B	―	-5.71%	―	11.73%	-376.77%
MNDY	66 Neutral	$7.52B	118.33	5.81%	―	28.62%	186.67%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
TTAN	52 Neutral	$10.33B	-33.43	-36.41%	―	26.49%	-44.77%

Procore Technologies Corporate Events

Procore Technologies Appoints Ronald Hovsepian to Board

On December 8, 2025, Brian Feinstein resigned from the Board of Directors of Procore Technologies, effective December 9, 2025. His resignation was not due to any disagreements with the company. Ronald Hovsepian was appointed to fill the vacancy, serving as a Class I director until the 2028 annual meeting. Hovsepian was also appointed to the Compensation and Nominating Committees and qualifies as an independent director. He will receive annual cash retainers and restricted stock units as part of his compensation.

Procore Technologies Appoints Dr. Ajei S. Gopal as CEO

On November 10, 2025, Procore Technologies completed a planned CEO transition with Dr. Ajei S. Gopal assuming the role of CEO, succeeding Craig Courtemanche, Jr. who voluntarily resigned but remains as Chair of the Board. To acknowledge Mr. Courtemanche’s efforts in the transition, the Board approved a $500,000 bonus, continued benefits, and a performance-based stock unit award, ensuring his ongoing support for Dr. Gopal and leveraging his extensive experience with the company.

Procore Technologies Appoints New CEO Designate

On September 19, 2025, Procore Technologies appointed Dr. Ajei S. Gopal as CEO Designate, effective September 22, 2025, with plans for him to become CEO after the company’s Q3 financial results announcement. Dr. Gopal, who previously led Ansys, Inc. to significant growth, is expected to drive Procore’s next phase of growth and innovation. The company reaffirmed its Q3 and full-year fiscal 2025 guidance, indicating confidence in its strategic direction.