PTC Inc. (PTC) Expands Partnerships, Divests Non-Core Units, and Retains Analyst Confidence in AR Growth

PTC Inc. (NASDAQ:PTC) is one of the best augmented reality stocks to buy right now. PTC Inc. (NASDAQ:PTC) holds a consensus Moderate Buy rating from 10 analysts, with 7 Buys and 3 Holds. The average 12‑month price target is $223.50, implying a 26.31% upside from the last close at $176.94.

PTC Inc. (PTC) Expands Partnerships, Divests Non-Core Units, and Retains Analyst Confidence in AR Growth

On November 19, PTC Inc. announced the expansion of its strategic partnership with Garrett Motion following the successful use of its PTC Onshape cloud-native CAD and product data management platform.

Garrett Motion is increasingly leveraging the company’s PTC Codebeamer+™ application lifecycle management (ALM) and Windchill+ product lifecycle management (PLM) solutions. It’s using the solutions to enhance its SaaS driven transformation in product development.

“We’re thrilled to build on Garrett’s success with Onshape with the adoption of Codebeamer+ and Windchill+,” said Neil Barua, President and CEO, PTC. “With our Intelligent Product Lifecycle vision and the deep integrations that we’re advancing between CAD, PLM, and ALM, PTC is forging a path for leaders like Garrett to transform engineering, build a product data foundation required for AI, and drive greater value across the organization.”

The expansion of the Garret Motion strategic pact comes on Mizuho cutting its price target on PTC Inc. to $180 from $220. The cut is in response to the company’s announcement that it plans to divest its slower-growing Kepware and Thingworx business units to TPG.

PTC Inc. (NASDAQ:PTC) is a key enabler of industrial augmented reality through its Vuforia platform, which helps frontline workers with tasks such as training, inspection, and service by overlaying digital content and instructions onto the physical world. The company provides software, tools, and integrations with IoT and CAD systems that allow manufacturers, field service teams, and product designers to create practical AR applications, but it does not produce AR hardware. This makes PTC an AR enabler and beneficiary rather than a pure-play AR company.

While we acknowledge the potential of PTC 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 PTC 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.