This summary was created by AI, based on 2 opinions in the last 12 months.
Roper Technologies Inc. (ROP-N) is undergoing a significant transition from hardware to a software-centric business model, which has resulted in a higher Weighted Average Cost of Capital (WACC) compared to its Return on Invested Capital (ROIC). This trend is largely attributed to the company's relatively small market capitalization of around $60 billion, making it more susceptible to the impact of high interest rates, particularly when compared to larger firms. Nonetheless, as Roper continues to grow and execute its strategy, it is expected that its ROIC will eventually surpass its WACC. The company's recent stock performance has reached an all-time high, which bodes well for shareholders and is reminiscent of the Canadian success story, Constellation Software. Additionally, Roper has demonstrated strong acquisition capabilities, typically employing cash in its friendly M&A activities, which has contributed to its impressive dividend growth of approximately 14% annually over the past decade and reinforces its positive long-term growth prospects.
Recent all time high of the stock good for shareholders. American version of Constellation Software (Canada). Dividend has grown at ~ 14% annually the past 10 years. M&A skill very good - usually pay cash and is friendly. Excellent growth prospects for the long term investor.
He has admired them for a long time. They are an aggregator of smaller niche profitable businesses. This generates a lot of cash and is well diversified. They have evolved into more digital technology companies and has adapted well. He would scale into a buy as it is pretty expensive here.
Roper Technologies Inc. is a OTC stock, trading under the symbol ROP-N on the (). It is usually referred to as or ROP-N
In the last year, 1 stock analyst published opinions about ROP-N. 0 analysts recommended to BUY the stock. 0 analysts recommended to SELL the stock. The latest stock analyst recommendation is . Read the latest stock experts' ratings for Roper Technologies Inc..
Roper Technologies Inc. was recommended as a Top Pick by on . Read the latest stock experts ratings for Roper Technologies Inc..
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1 stock analyst on Stockchase covered Roper Technologies Inc. In the last year. It is a trending stock that is worth watching.
On , Roper Technologies Inc. (ROP-N) stock closed at a price of $.
Transitioning from hardware, now almost purely in software. Serial acquirers, only now is it easier to find deals at more reasonable valuations. High WACC is more a function of it being a small company, with market cap only ~$60B (high interest rates impact small companies the most).
Over time, ROIC will drive higher than WACC as it gets larger and continues to execute.