Citi Trims Progress Software (PRGS) PT to $54, Maintains Buy Rating

Progress Software Corporation (NASDAQ:PRGS) is one of the best small cap tech stocks to invest in now. On January 16, as part of the firm’s 2026 infrastructure software outlook, Citi reduced its price target for Progress Software from $57 to $54 while maintaining a Buy rating. This adjustment came as the firm anticipates that the sector’s strong 2025 momentum will persist throughout the upcoming year.

Earlier on January 5, Jefferies lowered its price target for Progress Software from $50 to $45 while maintaining a Hold rating. This decision was made as the firm cited a cautious outlook for 2026. Jefferies anticipates the year will be characterized by gradual AI monetization and emphasized that significant growth acceleration is necessary to alleviate concerns regarding AI disintermediation.

As sector valuations align with historical averages, Jefferies advised investor patience and a more selective approach. However, the firm remains confident that long-term value will eventually accrue within the software layer.

Citi Trims Progress Software (PRGS) PT to $54, Maintains Buy Rating

Progress Software Corporation (NASDAQ:PRGS) provides software products that develop, deploy, and manage AI powered applications and digital experiences in the US and internationally.

While we acknowledge the potential of PRGS to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than PRGS and that has 100x upside potential, check out our report about this cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.