Roper Technologies (0KXM) AI Stock Analysis

Roper Technologies

(LSE:0KXM)

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Positive Factors

Recurring Revenue and RetentionHigh recurring growth and mid-90s customer retention indicate that Roper’s software is embedded in essential workflows. This supports predictable revenue, lowers replacement risk, and provides a durable foundation for pricing, cross-selling, and steady cash generation.

Negative Factors

Higher Debt Reduces HeadroomThe upward debt trend reduces balance-sheet flexibility if operating conditions weaken, even though leverage remains manageable for a high-margin business. More debt can also constrain acquisition capacity and increase the importance of sustaining cash generation and earnings growth.

Roper Technologies (0KXM) vs. iShares MSCI United Kingdom ETF (EWC)

Market Cap: $46.15B
Dividend Yield: 0.78%
Average Volume (3M): 427
Price to Earnings (P/E): 18.4
Beta (1Y): 0.30
Revenue Growth: 9.24%
EPS Growth: 73.95%
Country: UK
Employees: 19,400
Sector: Technology
Sector Strength: 61
Industry: Software - Application

Roper Technologies Business Overview & Revenue Model

Company Description

Roper Technologies, Inc., established in 1981 and based in Sarasota, Florida (formerly known as Roper Industries, Inc. until 2015), operates as a diversified technology company. It specializes in developing and delivering advanced software solutions...

Roper Technologies Earnings Call Summary

Earnings Call Date:Oct 21, 2026(Q3-2026)|% Change Since:21.53%|Next Earnings Date:Feb 02, 2027

Earnings Call SentimentPositive

The call was strongly positive overall. The company delivered solid revenue, organic growth, EBITDA, and DEPS growth; raised full-year DEPS guidance; expanded AI products and began seeing early monetization; completed three bolt-on acquisitions; reduced leverage to 2.9x; and maintained more than $6 billion of capital deployment capacity. The main challenges were Neptune's weaker market and unfavorable mechanical-meter mix, lower year-over-year free cash flow and margins, uncertainty around DAT and Deltek, early-stage AI commercialization, and temporary Illumia collections issues. These lowlights were outweighed by the breadth of operating achievements and constructive outlook.

Positive Updates

Strong Third-Quarter Financial Performance

Revenue was $2.2 billion, up 8% year over year, including 7% organic revenue growth. EBITDA was $864 million, up 7%, and adjusted DEPS was $5.89, up 15% and above the guided range of $5.75 to $5.80 due to better margin performance.

Negative Updates

Free Cash Flow Declined Year Over Year

Third-quarter free cash flow of $805 million was down 4% versus the prior year due to the timing of interest coupon payments on bonds issued in 2025 and a temporary lag in collections at Illumia during an ERP implementation.

Company Guidance

Management raised full-year adjusted DEPS guidance to a range of $22.35 to $22.40, a $0.15 increase at the midpoint from the prior guide and a $0.95 increase from the original guide, with total revenue growth north of 8% and organic revenue growth in the 6% area; fourth-quarter adjusted DEPS guidance is $5.95 to $6.00, the tax rate is expected to be in the 20% to 21% ZIP code, application software organic growth is expected to be similar to that of the third quarter, in the mid single digit plus range, network software organic growth is expected to be a touch higher than Q3 and be in the mid-single-digit-plus range, and TEP organic growth is expected to be in the mid single digit range; free cash flow is expected to be 30% or more of revenue, with free cash flow per share expected to grow in the double-digits area.

Roper Technologies Risk Analysis

Roper Technologies disclosed 25 risk factors in its most recent earnings report. Roper Technologies reported the most risks in the "Finance & Corporate" category.

Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy

Latest Risks Added

1 New Risk

1.Our increasing use of artificial intelligence technologies presents operational, intellectual property, and competitive risks that could adversely affect our business, reputation, financial condition, and results of operations.Q2, 2026

Roper Technologies Peers Comparison

Overall Rating

UnderperformOutperform

Sector (61)

Financial Indicators

GB:0KXM against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MANH	81Outperform	$14.48B	69.00	96.99%	―	8.42%	1.21%
VEEV	81Outperform	$50.67B	50.40	14.00%	―	16.50%	24.67%
GWRE	75Outperform	$13.44B	98.54	10.03%	―	22.70%	99.66%
SSNC	74Outperform	$18.86B	22.52	12.60%	1.38%	8.75%	2.60%
TYL	73Outperform	$15.68B	49.16	10.25%	―	7.96%	9.43%
Sector *	61Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

* Technology Sector Average

Performance Comparison

GB:0KXM and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
GB:0KXM	Roper Technologies	482.20	36.75	8.25%
GWRE	Guidewire Software Inc.	162.43	-60.35	-27.09%
MANH	Manhattan Associates	253.22	74.77	41.90%
SSNC	Ss&C Technologies Holdings	81.55	-2.95	-3.49%
TYL	Tyler Technologies	403.94	-65.77	-14.00%
VEEV	Veeva Systems Inc	307.00	13.51	4.60%

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Roper Technologies AI Stock Analysis