I am currently going through my Watch List to ensure that each company still deserves to be on the list. Because of the number of companies on my list, I am going to try to knock out 2 per weekday.
| Company name | ANSYS, Inc. |
| Stock ticker | ANSS |
| Live stock price | [stckqut]ANSS[/stckqut] |
| P/E compared to competitors | Fair |
MANAGEMENT EXECUTION
| Employee productivity | Good |
| Sales growth | Fair |
| EPS growth | Good |
| P/E growth | Fair |
| EBIT growth | Good |
ANALYSIS
| Confident Investor Rating | Good |
| Target stock price (TWCA growth scenario) | $80.28 |
| Target stock price (averages with growth) | $117.87 |
| Target stock price (averages with no growth) | $112.93 |
| Target stock price (manual assumptions) | $78.59 |
The following company description is from Google Finance: http://www.google.com/finance?q=anss
ANSYS, Inc. (ANSYS) develops and globally markets engineering simulation software and services widely used by engineers, designers, researchers and students across a spectrum of industries and academia, including aerospace, automotive, manufacturing, electronics, biomedical, energy and defense. . The Company distributes its ANSYS suite of simulation technologies through a global network of independent resellers and distributors (collectively, channel partners) and direct sales offices in strategic, global locations. On August 1, 2012, the Company completed its acquisition of Esterel Technologies, S.A. (Esterel). In April 2013, it acquired EVEN – Evolutionary Engineering AG. In January 2014, the Company acquired Reaction Design.
Confident Investor comments: At this price and at this time, I think that a Confident Investor can confidently invest in ANSYS, Inc.
If you would like to understand how to evaluate companies like I do on this site, please read my book, The Confident Investor.
For owners of my book, “The Confident Investor” I offer the following analysis (you must be logged in to this site as a book owner in order to see the following analysis). If you have registered and cannot see the balance of this article, make sure you are logged in and refresh your browser.
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In order to assist you in using the techniques of this book, the values that I used when calculating the Manual pricing above were:
Stock price at the time of the calculation: $76.41
Growth: 0.11
Current EPS (TTM): $2.59
P/E: 29
Future EPS Calc: $4.36
Future Stock Price Calc: $126.56
Target stock price: $78.58
I hope that this makes you a better investor. [/s2If]