Oppenheimer Reiterates Outperform Rating For Progress Software (PRGS)

Progress Software Corp. (NASDAQ:PRGS) is one of the best 11 small-cap software infrastructure stocks to buy now.

On July 1, Oppenheimer reduced its target price on the stock from $57 to $50, while reaffirming an Outperform rating based on the company’s impressive performance during the second quarter. Despite the downward revision in the price target, the stock carries an upside potential of over 149%.

The firm noted that both topline and profitability figures came in above consensus estimates. It also acknowledged management’s operational discipline, which resulted in expense control and the resulting bottom-line outperformance.

Earlier that day, management reported more than $253 million in second-quarter revenue, compared to consensus forecasts of almost $243 million. The topline beat is attributed to persistent momentum across the company’s AI-enabled solutions, along with elevated demand for its product portfolio.

Earlier on June 30, Progress Software Corp. (NASDAQ:PRGS) disclosed that its Progress Chef platform now offers lifecycle management of enterprise and configuration features for NVIDIA DGX Spark. It allows IT teams to monitor, allocate, and handle the desktop-based AI supercomputer safely on a large scale.

The platform enables its engineering and IT teams to combine DGX Spark with the current infrastructure operations and automate major lifecycle stages. These include uniform configuration, controlled maintenance to orchestrate updates, issue response, system-wide visibility, governed automation, ongoing compliance, and lifecycle management.

Progress Software Corp. (NASDAQ:PRGS) is a software company that offers products for developing and managing AI-enabled applications, digital experiences, and management tools. Its product portfolio comprises OpenEdge, Chef, Agentic RAG, MOVEit, Automate MFT, and Sitefinity. It delivers solutions for project management, software development, programming, training, and other services.

While we acknowledge the risk and potential of PRGS as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than PRGS and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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