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Pegasystems: Its Valuations Compared to the Sector

Pegasystems: Its Valuations Compared to the Sector

Pegasystems (PEGA) has missed five consensus revenue estimates and seven consensus EPS estimates in the last 20 quarters. Revenue and EPS have grown at a five-year CAGR (compound annual growth rate) of 12.7% and 18%, respectively. It has a price-to-sales ratio of 5.7x compared to the sector at 10.8x and the S&P 500 at 2.2x.