Education
About Us
Working with TipRanks
Follow Us
Procore Technologies (PCOR)
NYSE:PCOR
Top Page
Procore Technologies
(NYSE:PCOR)
64Neutral
Positive Factors
Financial Performance
Management called out strong levels of early renewals and healthy large deal momentum in both the installed base and new logo acquisition, resulting in impressive cRPO growth.
Market Leadership
PCOR is viewed as the clear market leader and its go-to-market changes should pay greater dividends.
Valuation
Shares at the current level represent attractive risk/reward for a vertical software leader.
Negative Factors
Leadership Transition
The company's ongoing significant go-to-market changes and the potential for further changes by a new CEO add uncertainty.
Macroeconomic Concerns
Concerns for construction investment in an environment of higher tariffs, potentially even tighter labor conditions, and greater 'uncertainty,' all of which can impact demand and ultimately the value of construction projects managed on the Procore platform.
Tariff Impact
Tariff-related turbulence is expected to affect Procore, as the company has greater tangential exposure to tariff impacts due to the nature of the construction industry.
Procore Technologies (PCOR) vs. S&P 500 (SPY)
Market Cap
$9.43B
Dividend YieldN/A
Average Volume (3M)1.37M
Price to Earnings (P/E)―
Beta (1Y)1.57
Revenue Growth21.23%
EPS Growth46.74%
CountryUS
Employees4,203
SectorTechnology
Sector Strength65
IndustrySoftware - Application
Share Statistics
EPS (TTM)-0.71
Shares Outstanding149,145,540
10 Day Avg. Volume1,258,299
30 Day Avg. Volume1,368,566
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)0.00
Price to Cash Flow (P/CF)0.00
P/FCF Ratio0.00
Enterprise Value/Market Cap1.11
Enterprise Value/RevenueN/A
Enterprise Value/Gross Profit11.08
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
$79.12Price Target Upside25.17% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering19
Procore Technologies Business Overview & Revenue Model
Company DescriptionProcore 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 MoneyProcore Technologies generates revenue primarily through a subscription-based model, selling access to its cloud-based platform to construction companies of various sizes. The company charges subscription fees based on the number of products used and the size of the client's business, making it scalable according to the client's needs. Key revenue streams include enterprise agreements with large construction firms and partnerships with industry leaders to expand its customer base. Procore also benefits from strategic integrations with other software tools and platforms, enhancing its value proposition and driving further adoption of its products.
Procore Technologies Key Performance Indicators (KPIs)
Any
Organic Customer Count
Measures the number of customers acquired without paid marketing, highlighting the company's ability to grow through word-of-mouth, product quality, and brand reputation.
Measures the number of customers acquired without paid marketing, highlighting the company's ability to grow through word-of-mouth, product quality, and brand reputation.
Data provided by:
Main Street Data
Main Street DataProcore Technologies Financial Statement Overview
Summary
Procore Technologies demonstrates strong revenue growth and cash flow generation, despite ongoing net losses impacting profitability metrics. The company maintains a solid balance sheet with low debt levels, supporting its growth trajectory.Income Statement
Procore Technologies shows a strong revenue growth trajectory, with a 21.2% increase from the previous year (2023 to TTM 2024). The gross profit margin is healthy at 81.5% for TTM 2024, indicating efficient cost management. However, the company is not yet profitable, with a negative net profit margin of -9.2% and a negative EBIT margin of -11.5%. This suggests that while revenue is growing, expenses are significantly impacting profitability.72
Positive
Balance Sheet
The balance sheet is solid with an equity ratio of 61.2%, reflecting a strong capital base. The debt-to-equity ratio is low at 0.06, indicating minimal reliance on debt financing. However, consistent negative net income has impacted ROE, which remains negative at -8.2%, indicating limited returns to shareholders.65
Positive
Cash Flow
The cash flow statement reveals a positive trajectory with a 207.5% increase in free cash flow from the previous year. The operating cash flow to net income ratio is strong at 1.85, suggesting sound cash generation relative to earnings. This highlights the company’s ability to generate cash even as it reports net losses, which is crucial for its growth and operational needs.78
Positive
| Breakdown | ||||
| Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|
| Income Statement | Total Revenue | |||
| 1.15B | 950.01M | 720.20M | 514.82M | 400.29M | Gross Profit |
| 946.10M | 775.55M | 571.79M | 416.51M | 328.63M | EBIT |
| -136.42M | -215.68M | -290.45M | -285.93M | -58.53M | EBITDA |
| -12.53M | -119.49M | -221.29M | -250.22M | -62.53M | Net Income Common Stockholders |
| -105.96M | -189.69M | -286.93M | -265.17M | -96.17M |
| Balance Sheet | Cash, Cash Equivalents and Short-Term Investments | |||
| 775.39M | 677.95M | 582.21M | 586.11M | 379.91M | Total Assets |
| 2.10B | 1.89B | 1.74B | 1.69B | 820.77M | Total Debt |
| 74.05M | 81.50M | 83.67M | 88.92M | 95.39M | Net Debt |
| -363.67M | -276.29M | -213.05M | -497.19M | -284.51M | Total Liabilities |
| 813.02M | 737.96M | 623.63M | 501.37M | 1.09B | Stockholders Equity |
| 1.29B | 1.16B | 1.12B | 1.19B | -272.10M |
| Cash Flow | Free Cash Flow | |||
| 177.03M | 47.01M | -36.82M | 9.10M | 2.89M | Operating Cash Flow |
| 196.17M | 92.02M | 12.61M | 36.73M | 21.85M | Investing Cash Flow |
| -150.11M | -76.06M | -340.48M | -541.77M | -33.51M | Financing Cash Flow |
| 36.24M | 41.16M | 38.65M | 711.83M | 272.12M |
Procore Technologies Technical Analysis
Neutral
63.21
Price Trends
67.53
Negative
72.94
Negative
68.40
Negative
Market Momentum
-1.07
Negative
49.19
Neutral
86.36
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PCOR, the sentiment is Neutral. The current price of 63.21 is above the 20-day moving average (MA) of 60.69, below the 50-day MA of 67.53, and below the 200-day MA of 68.40, indicating a neutral trend. The MACD of -1.07 indicates Negative momentum. The RSI at 49.19 is Neutral, neither overbought nor oversold. The STOCH value of 86.36 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for PCOR.
Procore Technologies Risk Analysis
Procore Technologies disclosed 41 risk factors in its most recent earnings report. Procore Technologies reported the most risks in the “Finance & Corporate” category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Procore Technologies Peers Comparison
Overall Rating
UnderperformOutperform
Sector (59)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
80 Outperform | $13.01B | 59.39 | 24.39% | 0.58% | 10.15% | -28.62% | |
77 Outperform | $7.44B | 38.57 | 49.11% | ― | 22.73% | 154.79% | |
76 Outperform | $7.35B | 99.06 | 25.23% | ― | 18.63% | -55.09% | |
71 Outperform | $10.77B | 50.57 | 89.60% | ― | 9.18% | 14.35% | |
70 Outperform | $9.00B | 192.75 | -16.95% | ― | 17.95% | -345.28% | |
64 Neutral | $9.43B | ― | -8.67% | ― | 21.23% | 46.74% | |
59 Neutral | $10.75B | 10.37 | -6.64% | 3.00% | 7.30% | -12.02% |
* Technology Sector Average
Performance Comparison
PCOR
Procore Technologies
63.21
-6.02
-8.70%
CVLT
CommVault Systems
166.02
61.26
58.48%
MANH
Manhattan Associates
178.63
-30.21
-14.47%
APPF
AppFolio
206.63
-29.42
-12.46%
ESTC
Elastic
86.30
-19.80
-18.66%
BSY
Bentley Systems
42.84
-8.63
-16.77%
Procore Technologies Earnings Call Summary
Earnings Call Date:May 01, 2025
(Q1-2025)
| % Change Since: 0.00%|
Next Earnings Date:Jul 31, 2025
Earnings Call Sentiment Positive
The earnings call reflects a generally positive quarter for Procore Technologies, with significant revenue growth, customer expansion, and advancements in AI. However, concerns about tariff impacts and go-to-market transition disruptions introduced some uncertainty. Overall, the company remains optimistic about its long-term opportunities.Q1-2025 Updates
Positive Updates
Revenue Growth
Procore Technologies reported a 15% year-over-year revenue growth in Q1 2025, reaching $311 million.
Increase in Non-GAAP Operating Margins
Non-GAAP operating margins increased quarter-over-quarter to 10%.
Customer Milestone
Procore now has over 2,400 customers contributing more than $100,000 in annual recurring revenue (ARR).
International Revenue Growth
International revenue grew 18% year-over-year, with a constant currency growth of 20%.
New Customer Acquisitions
Procore added notable customers like Workday, a major social media platform, and the Iowa Army National Guard.
AI and Product Innovation
Procore is developing AI agents to enhance productivity and reduce risk, with a focus on customer feedback.
Negative Updates
Tariff Uncertainty
Potential impacts of tariff policies create uncertainty in demand, with no current material changes observed but cautious monitoring required.
Go-to-Market Transition Disruption
The transition to a new go-to-market model caused some disruption in Q1, although it was anticipated and managed.
Currency Headwinds
International results were slightly impacted by currency headwinds, contributing approximately two points of headwind to international revenue growth.
Company Guidance
During Procore Technologies' FY 2025 Q1 earnings call, various metrics and guidance were discussed. Revenue for Q1 stood at $311 million, marking a 15% year-over-year growth, with international revenue increasing by 18% despite currency headwinds. The company noted a non-GAAP operating margin of 10% for the quarter. Additionally, Procore now boasts over 2,400 customers contributing more than $100,000 in annual recurring revenue (ARR). The company maintained the high end of its full-year revenue guidance at $1.286 billion to $1.29 billion, representing an annual growth of 12%. Procore anticipates a non-GAAP operating margin between 13% and 13.5% for the full year, reflecting a margin expansion of 300 to 350 basis points. The guidance reflects cautious optimism amid uncertainties surrounding tariff policies, with the company prepared to leverage its robust financial position to maintain growth and profitability.Procore Technologies Corporate Events
Executive/Board ChangesBusiness Operations and Strategy
Procore Technologies CEO Transition to Executive Chairman
Neutral
Mar 10, 2025
On March 10, 2025, Procore Technologies announced that its Founder, President, and CEO, Tooey Courtemanche, plans to transition to Executive Chairman once a successor is appointed. The Board will conduct a comprehensive search for a new CEO, while Courtemanche will remain involved in the company and lead the Board as Executive Chairman. The company also reaffirmed its fiscal 2025 guidance and announced the termination of Courtemanche’s Rule 10b5-1 trading plan.
Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.