Aspen Technology (NASDAQ:AZPN) Shares Gap Up Following Better-Than-Expected Earnings

Aspen Technology, Inc. (NASDAQ:AZPN) gapped up prior to trading on Wednesday following a stronger than expected earnings report. The stock had previously closed at $177.84, but opened at $208.47. Aspen Technology shares last traded at $216.00, with a volume of 38,076 shares traded.

The technology company reported $2.37 EPS for the quarter, topping the consensus estimate of $1.88 by $0.49. Aspen Technology had a positive return on equity of 2.76% and a negative net margin of 2.46%. The firm had revenue of $342.91 million for the quarter, compared to analysts’ expectations of $319.10 million. During the same quarter in the previous year, the company earned $1.87 earnings per share. The firm’s quarterly revenue was up 6.9% compared to the same quarter last year.

Wall Street Analysts Forecast Growth

Several research analysts have issued reports on the company. William Blair raised Aspen Technology to a “hold” rating in a report on Tuesday, May 7th. Berenberg Bank upgraded Aspen Technology from a “hold” rating to a “buy” rating and raised their price objective for the stock from $185.00 to $255.00 in a research report on Friday, May 17th. Robert W. Baird reiterated an “outperform” rating and issued a $230.00 target price on shares of Aspen Technology in a report on Friday, June 14th. Finally, Piper Sandler dropped their target price on Aspen Technology from $196.00 to $180.00 and set a “neutral” rating on the stock in a report on Wednesday, May 8th. Three analysts have rated the stock with a hold rating and three have issued a buy rating to the company’s stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $219.50.

Hedge Funds Weigh In On Aspen Technology

A number of hedge funds have recently added to or reduced their stakes in AZPN. Tortoise Investment Management LLC increased its holdings in Aspen Technology by 77.8% in the second quarter. Tortoise Investment Management LLC now owns 128 shares of the technology company’s stock worth $25,000 after buying an additional 56 shares during the last quarter. Mather Group LLC. grew its holdings in Aspen Technology by 2,600.0% during the second quarter. Mather Group LLC. now owns 135 shares of the technology company’s stock valued at $29,000 after purchasing an additional 130 shares during the last quarter. Crewe Advisors LLC grew its holdings in Aspen Technology by 313.2% during the second quarter. Crewe Advisors LLC now owns 157 shares of the technology company’s stock valued at $31,000 after purchasing an additional 119 shares during the last quarter. GAMMA Investing LLC grew its holdings in Aspen Technology by 65.7% during the second quarter. GAMMA Investing LLC now owns 174 shares of the technology company’s stock valued at $35,000 after purchasing an additional 69 shares during the last quarter. Finally, Whittier Trust Co. of Nevada Inc. acquired a new position in Aspen Technology during the second quarter valued at approximately $37,000. Institutional investors and hedge funds own 45.66% of the company’s stock.

Aspen Technology Price Performance

The firm has a fifty day simple moving average of $195.98 and a 200 day simple moving average of $199.26. The company has a market cap of $13.58 billion, a price-to-earnings ratio of -404.18, a P/E/G ratio of 2.26 and a beta of 0.73.

Aspen Technology Company Profile

Aspen Technology, Inc provides industrial software that focuses on helping customers in asset-intensive industries worldwide. The company's solutions address complex environments where it is critical to optimize the asset design, operation, and maintenance lifecycle. Its software is used in performance engineering, modeling and design, supply chain management, predictive and prescriptive maintenance, digital grid management, and industrial data management.