Roper Technologies, Inc.
- Open
- 362.24
- Day high
- 376.19
- Day low
- 362.24
- Prev close
- 367.34
- Volume
- 89K
- Mkt cap
- $38.0B
- P/E (TTM)
- 15.6
- EPS (TTM)
- $24.11
- P/B
- 2.0
- P/S
- 4.6
- Yield
- 0.95%
- Per share
- $3.55
Roper Technologies, Inc. (ROP) is a Industrials company listed on NASDAQ. The stock is down 35% over the past year. Drillr has 1 published research article covering ROP.
Roper Technologies, Inc. (ROP) financials & analyst ratings
Fundamentals (TTM)
Analyst consensus · 3 analysts
Source: exchange market data + company filings. Figures are trailing-twelve-month or as most recently reported. For informational purposes only — not investment advice.
ROP earnings date, history & EPS estimates
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| Jul 23, 2026 | $5.28 | $5.38 | +1.9% | $2.1B | +0.6% |
| Apr 23, 2026 | $4.99 | $5.16 | +3.4% | $2.1B | +1.6% |
| Jan 27, 2026 | $5.14 | $5.21 | +1.4% | $2.1B | -1.1% |
| Oct 23, 2025 | $5.11 | $5.14 | +0.6% | $2.0B | -0.3% |
| Jul 21, 2025 | $4.83 | $4.87 | +0.8% | $1.9B | +0.8% |
| Jan 30, 2025 | $4.73 | $4.81 | +1.7% | $1.9B | +2.2% |
| Oct 23, 2024 | $4.53 | $4.62 | +2.0% | $1.8B | +2.4% |
| Jul 24, 2024 | $4.46 | $4.48 | +0.4% | $1.7B | -0.9% |
| Apr 26, 2024 | $4.34 | $4.41 | +1.6% | $1.7B | +1.4% |
| Jan 31, 2024 | $4.34 | $4.37 | +0.7% | $1.6B | +2.1% |
| Oct 25, 2023 | $4.21 | $4.32 | +2.6% | $1.6B | +1.7% |
| Jul 21, 2023 | $3.99 | $4.12 | +3.3% | $1.5B | +2.2% |
ROP insider trading activity (SEC Form 4)
| Date | Insider | Type | Shares | Price |
|---|---|---|---|---|
| May 21, 2026 | Thatcher Laura Gdirector | Grant | 1,191 | — |
| May 21, 2026 | Joyce Thomas Patrick JRdirector | Grant | 1,191 | — |
| May 21, 2026 | JOHNSON ROBERT Ddirector | Grant | 1,191 | — |
| May 21, 2026 | WALLMAN RICHARD Fdirector | Grant | 1,191 | — |
| May 21, 2026 | Murphy John Francisdirector | Grant | 1,191 | — |
| May 21, 2026 | ARCHAMBEAU SHELLYE Ldirector | Grant | 1,191 | — |
| May 21, 2026 | ESTEVES IRENE Mdirector | Grant | 1,191 | — |
| May 21, 2026 | BRINKLEY AMY WOODSdirector | Grant | 1,191 | — |
| Mar 18, 2026 | WALLMAN RICHARD Fdirector | Grant | 92 | — |
| Mar 12, 2026 | Stipancich John Kofficer: Executive VP, GC & Secretary | Tax | 3,198 | $353.87 |
| Mar 12, 2026 | HUNN LAURENCE NEILdirector, officer: President and CEO | Tax | 12,854 | $353.87 |
| Mar 12, 2026 | Conley Jasonofficer: EVP, Chief Financial Officer | Tax | 3,065 | $353.87 |
| Mar 12, 2026 | HUNN LAURENCE NEILdirector, officer: President and CEO | Grant | 67,495 | $353.87 |
| Mar 12, 2026 | Cross Brandon Lofficer: VP and Corporate Controller | Grant | 3,626 | $353.87 |
| Mar 12, 2026 | Cross Brandon Lofficer: VP and Corporate Controller | Grant | 230 | — |
Source: ROP SEC Form 4 filings, latest May 21, 2026. For informational purposes only — not investment advice.
See the full ROP insider & 13F page →Roper Technologies, Inc. company profile
Overview
Roper Technologies, Inc. (NYSE:ROP) is a diversified technology company that has transformed itself from an industrial conglomerate into a software-focused enterprise over the past decade. Founded in 1981 and originally known as Roper Industries, the company changed its name to Roper Technologies in 2015 to reflect its strategic pivot toward technology and software businesses. Based in Sarasota, Florida, Roper has evolved through aggressive portfolio transformation, divesting traditional industrial assets while acquiring market-leading vertical software companies. Today, the company operates as a collection of niche software businesses serving specialized industries, complemented by select technology-enabled products primarily in medical and water utility markets.
Business
Roper Technologies operates three main business segments that collectively generate over $7 billion in annual revenue. The company's strategy focuses on acquiring and operating vertical market software businesses - specialized software solutions designed for specific industries rather than general-purpose applications. The Application Software segment represents approximately 45% of total revenue and includes software solutions for government contractors (Deltek), legal firms (Aderant), insurance companies (Vertafore), healthcare financial management (Syntellis), early childhood education (Procare), and campus management (Transact Campus). These are mission-critical software platforms that manage core business processes like project management, billing, compliance, and customer relationship management within their respective industries. The Network Software segment accounts for roughly 20% of revenue and focuses on network-based software platforms. Key businesses include freight matching platforms (DAT and Loadlink) that connect shippers with truckers, life insurance software (iPipeline), construction project management software, and visual effects software for entertainment (Foundry). These platforms facilitate transactions and workflows between multiple parties in their respective ecosystems. The Technology Enabled Products (TEP) segment comprises about 35% of revenue and includes physical products enhanced by software and data analytics. Major businesses include ultrasound equipment for medical procedures (Verathon), water meters and leak detection systems (Neptune), RFID systems for access control, and various precision instruments for testing and measurement. While these are physical products, they increasingly incorporate software, data analytics, and connected capabilities. The company has deliberately moved away from traditional industrial manufacturing, with software now representing approximately 75% of the business mix. This transformation reflects management's focus on businesses with recurring revenue streams, higher margins, and less cyclical demand patterns compared to traditional industrial products.
Revenue model
Roper Technologies generates revenue through multiple business models, with recurring revenue representing a significant portion of total income. In the software segments, the company primarily operates on subscription-based models where customers pay annual or multi-year licensing fees for access to software platforms. These arrangements typically include maintenance, support, and regular updates, creating predictable revenue streams with high gross margins exceeding 80% in many cases. The Application Software and Network Software segments generate revenue through software licensing, subscription fees, and transaction-based pricing. For example, freight matching platforms earn revenue by taking a percentage of transactions facilitated between shippers and carriers, while enterprise software businesses charge annual licensing fees based on user counts or company size. Approximately 85% of software revenues are recurring in nature, providing revenue visibility and stability. The Technology Enabled Products segment operates on traditional product sales models, selling physical devices and equipment to hospitals, utilities, and other end users. However, many of these products now include software components, data analytics services, and ongoing support contracts that generate recurring revenue beyond the initial hardware sale. Several factors influence Roper's margins and profitability. Positive margin drivers include the company's focus on niche markets with limited competition, the mission-critical nature of its software solutions that reduces price sensitivity, and the scalability of software businesses that allows revenue growth without proportional cost increases. The company's vertical market focus creates switching costs for customers who have integrated these specialized solutions into their core business processes. Margin pressures can arise from increased competition in software markets, the need for continuous product development and innovation to maintain market leadership, and integration costs associated with frequent acquisitions. Economic downturns can impact the Technology Enabled Products segment more significantly than software businesses, though the mission-critical nature of most offerings provides some recession resilience. Currency fluctuations and supply chain disruptions can also affect the physical products businesses, though these represent a smaller portion of the overall portfolio.
Competitive moat
Roper Technologies possesses several competitive advantages, though the strength varies across its diverse portfolio of businesses. The company's primary moat stems from its focus on vertical market leadership in specialized industries where switching costs are high and competitive alternatives are limited. In the software segments, Roper benefits from significant customer switching costs. Once organizations implement specialized software for core business processes like legal case management, government contract administration, or insurance policy management, the cost and disruption of changing systems creates substantial barriers to customer defection. These software solutions often become deeply integrated into customers' workflows, data systems, and compliance processes, making replacement extremely difficult and expensive. The company also benefits from network effects in certain businesses, particularly the freight matching platforms where the value of the platform increases as more shippers and carriers participate. Similarly, some software platforms become more valuable as industry adoption increases, creating data advantages and ecosystem effects. However, Roper's moat faces several challenges. The software industry is experiencing rapid technological change, particularly with artificial intelligence and cloud computing, which could potentially disrupt established solutions. New entrants with modern technology architectures might offer superior user experiences or lower costs, potentially eroding market positions over time. The company's acquisition-heavy growth strategy also presents risks to sustainable competitive advantages. Integrating numerous acquisitions while maintaining their market-leading positions requires significant management attention and resources. Additionally, as private equity and other acquirers compete for similar assets, purchase prices have increased, potentially reducing returns on deployed capital. The Technology Enabled Products segment faces more traditional competitive pressures from established industrial companies and new technology entrants. While some products benefit from regulatory approvals or customer relationships, these advantages may be less durable than software switching costs. Overall, Roper's moat is moderately strong but requires continuous investment in product development, customer relationships, and market position maintenance across its diverse portfolio.
Risks & safety
Roper Technologies presents a mixed margin of safety profile with strong cash generation offset by high valuation metrics and moderate leverage. **Cash Flow and Solvency:** - Strong free cash flow generation of $2.3 billion annually (33% of revenue) - Operating cash flow of $2.4 billion provides substantial financial flexibility - Current ratio of 0.40 indicates tight working capital management but potential liquidity concerns - Debt-to-equity ratio of 0.41 represents moderate leverage levels - Over $5 billion in available M&A capacity suggests strong balance sheet flexibility **Valuation Metrics:** - Price-to-earnings ratio of 36x indicates premium valuation - EV/EBITDA of 21x suggests expensive relative to historical industrial averages - Price-to-book ratio of 3.0x reflects asset-light software business model - Graham number analysis suggests significant overvaluation relative to conservative metrics **Other Considerations:** - High-quality recurring revenue base provides earnings stability - Strong ROIC and cash conversion characteristics support premium valuation - Acquisition-dependent growth model creates execution risk - Interest rate sensitivity due to acquisition financing needs
Recent development
Over the past few years, Roper Technologies has executed a comprehensive strategic transformation focused on becoming a premier vertical software company. The most significant development has been the company's aggressive acquisition program, deploying over $7 billion since 2022 to acquire market-leading software businesses including Frontline Education ($3.7 billion), Procare Solutions ($1.75 billion), and most recently CentralReach ($1.65 billion) for applied behavior analysis therapy software. The company has systematically divested traditional industrial businesses to focus resources on higher-margin, more predictable software operations. This portfolio transformation has resulted in software representing approximately 75% of the business mix, up from a much lower percentage just a few years ago. Management has specifically targeted vertical market leaders with recurring revenue models, high customer switching costs, and opportunities for organic growth acceleration. Artificial Intelligence integration has emerged as a key strategic initiative across the portfolio. The company is deploying generative AI capabilities in multiple businesses, with CentralReach leading in AI-powered therapy solutions and other businesses rapidly developing AI-enhanced features. Management views AI as both a competitive advantage and a barrier to entry, leveraging their deep vertical market expertise and customer data to create context-specific AI applications. The company has also focused on operational improvements, including leadership development programs, go-to-market enhancements, and integration capabilities to better onboard and optimize acquired businesses. Recent quarters have shown improved organic growth rates, with management targeting mid-to-high single-digit organic growth across the portfolio through better execution and market penetration. Capital allocation discipline remains central to the strategy, with management maintaining over $5 billion in acquisition capacity while being selective about deployment opportunities. The company continues to see favorable M&A market conditions with increased seller pressure and more reasonable valuations compared to recent peak levels.
ROP company profile · for informational purposes only — not investment advice.
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