Piper Sandler Initiates Coverage of Roper Technologies (ROP) with ‘Overweight’ Rating, $600 PT

Roper Technologies Inc. (NASDAQ:ROP) is one of the most profitable large cap stocks to buy right now. On November 20, Piper Sandler analyst Clarke Jeffries initiated coverage of Roper Technologies with an Overweight rating on the shares and $600 price target. Jeffries noted that Roper Technologies has successfully transformed its business model and shifted from being an industrial product manufacturer to a vertical software franchise with solutions spanning sectors like healthcare, education, financial services, and logistics.

Piper Sandler believes that Roper’s acquisition strategy has been highly effective and yielded durable free cash flow alongside growing recurring revenue. Consequently, the firm views Roper Technologies as a long-term compounder.

Piper Sandler Initiates Coverage of Roper Technologies (ROP) with 'Overweight' Rating, $600 PT

In Q3 2025, Roper Technologies reported generating a total revenue of over $2 billion, which marked a 14% increase year-over-year. Diluted EPS was $5.14, an 11% increase over the prior year and $0.02 above the high end of the company’s guidance range. The company executed its M&A strategy effectively by deploying $1.3 billion in the quarter, including $800 million for the Subsplash acquisition and $500 million for tuck-in acquisitions.

Roper Technologies Inc. (NASDAQ:ROP) designs and develops vertical software and technology-enabled products in the US, Canada, Europe, Asia, and internationally.

While we acknowledge the potential of ROP 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 ROP 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.