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Procore Technologies (PCOR)
NYSE:PCOR
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Procore Technologies
(NYSE:PCOR)
Rating:61Neutral
Price Target:
$65.00
▼(-1.04% Downside)
Positive Factors
Financial Performance
Procore reported strong second-quarter results and conservatively raised its full-year outlook solely accounting for the quarterly outperformance.
Market Position
Procore Technologies is considered the clear number one in its market, reinforcing confidence in its leadership position.
Strategic Expansion
Two recent technology-centric acquisitions increase Procore's capabilities in BIM and clash management, aligning with the company's data philosophy.
Negative Factors
Investor Sentiment
Short interest is relatively high at around 10%, indicating a mixed sentiment among investors.
Market Concerns
There is some concern from a customer about potential tariff impacts on costs and supply chains.
Procore Technologies (PCOR) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$9.45B
Dividend YieldN/A
Average Volume (3M)1.98M
Price to Earnings (P/E)―
Beta (1Y)1.52
Revenue Growth16.08%
EPS Growth-51.78%
CountryUS
Employees4,203
SectorTechnology
Sector Strength94
IndustrySoftware - Application
Share Statistics
EPS (TTM)0.35
Shares Outstanding150,192,800
10 Day Avg. Volume3,401,389
30 Day Avg. Volume1,981,431
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)0.00
Price to Sales (P/S)0.00
P/FCF Ratio0.00
Enterprise Value/Market Cap1.03
Enterprise Value/Revenue7.86
Enterprise Value/Gross Profit9.81
Enterprise Value/Ebitda-110.60
Forecast
1Y Price Target
$81.19Price Target Upside23.61% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering19
Procore Technologies Business Overview & Revenue Model
Company DescriptionProcore Technologies, Inc. is a leading provider of cloud-based construction management software. The company operates primarily in the construction industry, offering a comprehensive platform that connects project stakeholders, including owners, general contractors, and specialty contractors. Procore's software solutions facilitate project management, financial management, quality and safety management, and field productivity, enhancing collaboration and efficiency across the construction lifecycle.
How the Company Makes MoneyProcore Technologies generates revenue primarily through a subscription-based model. The company charges construction firms and stakeholders for access to its software platform, which is licensed on a per-project basis or through enterprise agreements. Revenue is driven by the number of projects and the scale of construction activities managed using Procore's solutions. Additionally, Procore may benefit from partnerships with other technology providers, enabling integration and interoperability with complementary applications, further enhancing its platform's value proposition and customer retention.
Procore Technologies Key Performance Indicators (KPIs)
Any
Organic Customer Count
Shows the number of customers acquired without paid marketing, indicating the strength of the product's appeal and word-of-mouth growth potential.
Shows the number of customers acquired without paid marketing, indicating the strength of the product's appeal and word-of-mouth growth potential.
Data provided by:
Main Street Data
Main Street DataProcore Technologies Earnings Call Summary
Earnings Call Date:Aug 01, 2025
(Q2-2025)
| % Change Since: 5.87%|
Next Earnings Date:Oct 29, 2025
Earnings Call Sentiment Positive
Procore Technologies reported strong revenue growth, significant large deal activity, and successful innovation in AI and product offerings. Despite facing currency headwinds and a challenging macroeconomic environment, the company demonstrated resilience with substantial customer wins and global expansion. The sentiment of the call is positive, with an optimistic outlook for future growth and innovation.Q2-2025 Updates
Positive Updates
Strong Revenue Growth
Procore Technologies reported a 14% year-over-year revenue growth for Q2 2025, with total revenue reaching $324 million. Non-GAAP operating margins improved quarter-over-quarter to 13%.
Significant Large Deal Growth
The number of 6- and 7-figure deals grew by 21% year-over-year, contributing to more than 2,500 customers with over $100,000 in annual recurring revenue (ARR).
Innovation and Product Development
Procore introduced new AI capabilities, including Procore Helix, Assist, Agent Builder, and Developer Studio. New products and enhancements aim to transform workflows and improve industry standards.
Successful Customer Wins
New customers include Calpine Corporation and top design-build contractor Clayco, among others. These wins demonstrate Procore's ability to attract diverse clients and meet various industry needs.
Global Expansion
Procore achieved global expansion wins in Japan, UAE, and with organizations like Purdue University and a top ENR 600 specialty contractor.
FedRAMP In-Process Designation
Procore is now listed on the FedRAMP marketplace, enhancing its ability to serve federal markets and contributing to public sector opportunities.
Negative Updates
Currency Headwinds
International revenue growth was impacted by currency headwinds, with FX contributing approximately 3 points of headwind to international revenue growth.
Macroeconomic Environment
The macroeconomic environment remains depressed, impacting growth expectations and contributing to cautious revenue guidance for fiscal '26.
Company Guidance
During Procore Technologies' FY '25 Q2 earnings call, the company reported a 14% year-over-year revenue growth and a non-GAAP operating margin increase to 13%. The number of large deals rose by 21% year-over-year, with over 2,500 customers contributing more than $100,000 in annual recurring revenue (ARR). The company also noted strong international revenue growth of 13% year-over-year, which would have been 16% on a constant currency basis, despite a 3% headwind from foreign exchange. Procore's current remaining performance obligation (RPO) grew by 21% year-over-year, while current deferred revenue increased by 13%. The company maintained its full-year revenue guidance at $1.299 billion to $1.302 billion, representing a 13% year-over-year growth, and projected a non-GAAP operating margin of between 13% and 13.5%. Procore highlighted its go-to-market transition success, evidenced by a shift in its expansion mix to 70-30 between volume expansion and product cross-sell, and cited an improvement in cross-selling, particularly with the adoption of its financial suite, as a key driver in its performance.Procore Technologies Financial Statement Overview
Summary
Procore Technologies exhibits strong revenue growth and robust cash flow, highlighted by an 80.82% gross profit margin and healthy cash management. However, ongoing operational challenges are evident, with a net profit margin of -10.73% and negative EBIT and EBITDA margins. The balance sheet remains stable with low leverage, but profitability improvements are necessary.Income Statement
Procore Technologies demonstrates strong revenue growth with a TTM increase of 3.58% and impressive annual growth over the past years. The gross profit margin is robust at 80.82%, indicating effective cost management. However, the company remains unprofitable, with a TTM net profit margin of -10.73% and negative EBIT and EBITDA margins, reflecting ongoing operational challenges.75
Positive
Balance Sheet
The balance sheet is strong with a low debt-to-equity ratio of 0.05, indicating conservative leverage. The equity ratio stands at 60.63%, highlighting a solid capital structure. However, the negative return on equity of -10.83% suggests inefficiencies in generating profits from shareholders' equity.68
Positive
Cash Flow
Procore's cash flow is healthy with a TTM free cash flow of $131.95 million and a strong operating cash flow to net income ratio of 1.51. The company has demonstrated prudent cash management, although the free cash flow growth has declined compared to previous periods due to increased capital expenditures.80
Positive
| Breakdown | TTM | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 1.23B | 1.15B | 950.01M | 720.20M | 514.82M | 400.29M |
| Gross Profit | 988.04M | 946.10M | 775.55M | 571.79M | 416.51M | 328.63M |
| EBITDA | -87.63M | -20.49M | -119.49M | -221.29M | -250.22M | -62.53M |
| Net Income | -142.76M | -105.96M | -189.69M | -286.93M | -265.17M | -96.17M |
Balance Sheet | ||||||
| Total Assets | 2.00B | 2.10B | 1.89B | 1.74B | 1.69B | 820.77M |
| Cash, Cash Equivalents and Short-Term Investments | 620.88M | 775.39M | 677.95M | 582.21M | 586.11M | 379.91M |
| Total Debt | 65.13M | 74.05M | 81.50M | 83.67M | 88.92M | 95.39M |
| Total Liabilities | 786.50M | 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 | 113.20M | 177.03M | 47.01M | -36.82M | 9.10M | 2.89M |
| Operating Cash Flow | 165.19M | 196.17M | 92.02M | 12.61M | 36.73M | 21.85M |
| Investing Cash Flow | -79.28M | -150.11M | -76.06M | -340.48M | -541.77M | -33.51M |
| Financing Cash Flow | -118.00M | 36.24M | 41.16M | 38.65M | 711.83M | 272.12M |
Procore Technologies Technical Analysis
Negative
65.68
Price Trends
68.93
Negative
67.07
Negative
71.27
Negative
Market Momentum
-2.06
Positive
41.95
Neutral
54.21
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PCOR, the sentiment is Negative. The current price of 65.68 is below the 20-day moving average (MA) of 68.99, below the 50-day MA of 68.93, and below the 200-day MA of 71.27, indicating a bearish trend. The MACD of -2.06 indicates Positive momentum. The RSI at 41.95 is Neutral, neither overbought nor oversold. The STOCH value of 54.21 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative 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 (57)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
78 Outperform | $9.77B | 48.50 | 49.11% | ― | 19.47% | 61.10% | |
75 Outperform | $8.56B | 107.37 | 25.08% | ― | 21.62% | -53.99% | |
75 Outperform | $12.86B | 61.37 | 85.16% | ― | 6.13% | 9.17% | |
68 Neutral | $7.72B | 192.75 | -12.98% | ― | 17.04% | -273.13% | |
66 Neutral | $15.90B | 66.92 | 23.69% | 0.50% | 10.45% | -32.43% | |
61 Neutral | $9.45B | ― | -11.54% | ― | 16.08% | -51.78% | |
57 Neutral | HK$14.37B | 9.53 | -0.60% | 4.38% | 7.06% | -38.12% |
* Technology Sector Average
Performance Comparison
PCOR
Procore Technologies
64.66
8.15
14.42%
CVLT
CommVault Systems
191.44
43.31
29.24%
MANH
Manhattan Associates
215.20
-39.86
-15.63%
APPF
AppFolio
268.72
47.50
21.47%
ESTC
Elastic
76.42
-32.37
-29.75%
BSY
Bentley Systems
52.09
2.45
4.94%
Procore Technologies Corporate Events
Executive/Board ChangesShareholder Meetings
Procore Technologies Elects Directors at Annual Meeting
Neutral
Jun 6, 2025
On June 5, 2025, Procore Technologies held its annual meeting of stockholders, where three directors were elected to serve until 2028. Additionally, the appointment of PricewaterhouseCoopers LLP as the independent registered public accounting firm for 2025 was ratified, and the compensation for named executive officers was approved.
The most recent analyst rating on (PCOR) stock is a Buy with a $78.00 price target. To see the full list of analyst forecasts on Procore Technologies stock, see the PCOR Stock Forecast page.
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
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.