ANSYS Reported Strong Results in 3Q15
ANSYS’s price movement
ANSYS (ANSS) has a market cap of $8.4 billion. After the 3Q15 earnings report, ANSS fell by 4.5% to close at $93.39 per share on November 5, 2015. The company’s price movements on weekly, monthly, and YTD bases are -2.2%, 4.2%, and 13.9%, respectively.
Technically, the stock has broken the support of 20-day and 50-day moving averages throughout 2015, and a few times it broke its 200-day moving average. Currently, it’s trading 0.16% below its 20-day moving average, 2.2% above its 50-day moving average, and 4.4% above its 200-day moving average.
The PowerShares Dynamic Software Portfolio ETF (PSJ) invests 5.1% of its holdings in ANSYS. The ETF uses a quantitative model to choose US software companies across the market cap spectrum. The YTD price movement of PSJ was 11.6% as of November 4, 2015.
ANSYS’s competitors and their market caps are listed below:
- Synopsys (SNPS)—$7.9 billion
- Cadence Design Systems (CDNS)—$6.7 billion
- PTC (PTC)—$4.1 billion
- Mentor Graphics (MENT)—$3.2 billion
ANSYS’s performance in 3Q15
The company reported 3Q15 net revenue of $237.8 million, a rise of 0.97% when compared to net revenue of $235.5 million in 2Q15. Revenue from software licenses fell by 0.21%, and revenue from maintenance and service rose by 2.7% in 3Q15. The cost of sales as a percentage of sales fell by 6.2% in 3Q15. The company’s 3Q15 net income and EPS (earnings per share) both rose 5.9% to $66.0 million and $0.72, respectively, compared to net income and EPS of $62.3 million and $0.68, respectively, in 2Q15. The company’s cash and cash equivalents fell by 7.6% in 3Q15, and its debt-to-equity ratio remained the same at 0.22.
Below are some of ANSYS’s key activities in 3Q15:
- Manitowoc Cranes maximized safety and minimized design and production costs by using ANSYS engineering simulation solutions to validate complete virtual prototypes of lattice-boom towers and mobile telescopic cranes.
- ANSYS acquired all the assets of Delcross Technologies, a developer of computational electromagnetic simulation and radio frequency system analysis software.
- ANSYS and Cray beat the simulation world record by scaling ANSYS Fluent to 129,000 compute cores, enabling organizations to spur innovation by creating complete virtual prototypes of their products.
ANSYS is an engineering simulation company. It offers a portfolio of engineering simulation software that helps in complex design challenges and engineering products limited only by imagination.
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