
Bentley Systems (BSY) Stock Forecast & Price Target
Bentley Systems (BSY) Analyst Ratings
Bulls say
Bentley Systems exhibited a robust performance in Q3, with subscription revenue reaching $344.3 million, reflecting a 14% year-over-year increase, highlighting the company's strong position amid ongoing global infrastructure activities and rising productivity from engineering tool adoption. The company's annual recurring revenue (ARR) also experienced solid growth at $1,405 million, marking a 10.5% increase year-over-year in constant currency, driven by the successful implementation of the E365 subscription program and sustained demand in the public works and utilities sector. Additionally, Bentley demonstrated improved profitability, with an EBITDA margin of 27.7%, up from 26.7% the previous year, indicating effective cost management and growth in dollar terms of 16.2%, further underpinning a positive outlook for the firm.
Bears say
Bentley Systems has revised its revenue expectations downward, specifically reducing its guidance for services revenue by $5 million due to ongoing challenges related to IBM Maximo work. The firm reported total revenue of $375.5 million for the quarter, which exceeded previous estimates but highlighted a stagnation in services revenue that was expected to remain flat, indicating potential struggles ahead. Additionally, while EBITDA margins were strong at approximately 35%, the company faces challenges with perpetual licenses falling short of forecasts, raising concerns about sustained growth in a competitive landscape dominated by larger peers like Autodesk.
This aggregate rating is based on analysts' research of Bentley Systems and is not a guaranteed prediction by Public.com or investment advice.
Bentley Systems (BSY) Analyst Forecast & Price Prediction
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