BSY

Bentley Systems

Fundamental data last updated:April 13, 2026

company profile

SECTOR

Technology

industry

Software - Application

Exchange

Nasdaq

County of HQ

United States

Next Earnings Date

05/07/26

Business Summary

Bentley Systems operates a software application model focused on delivering specialized digital solutions, generating recurring revenue through licensed and subscription-based platforms. Its economic engine is built on high-margin software distribution, reflected in a 23.40% operating margin that converts revenue into durable operating income. The moat comes from workflow integration and embedded positioning within customer processes, which increases switching costs and supports steady returns on invested capital at 11.60%. With scalable infrastructure and disciplined capital deployment evidenced by a Piotroski F-Score of 9, the company converts software adoption into consistent cash generation rather than one-time project revenue.

VALUATION

P/E

36.8

Market Cap ($M USD)

$9,480

Forward P/E

19.9

PEG

3.3

PRICE TO SALES

6.9

PRICE TO BOOK

8

EV / EBITDA

24.6

5-Year Average P/E

DIVIDEND

Yield

0.90%

Annual Payout

$0.28

Payout Ratio

31.80%

Consecutive Years of Dividend Growth

3

5-Year Dividend Growth Rate

36.00%

Financial Health & Profitability

Earnings Per Share

$0.88

Next Year EPS Growth Estimate

$1.57

Next Year Revenue Growth Estimate

10.40%

Return on Equity (ROE)

23.40%

Operating Margin

24.20%

Debt-to-Equity

1.1

Piotroski F-Score

9

Altman Z-Score

3

Return on Invested Capital (ROIC)

11.60%%

Current Ratio

0.6

Quick Ratio

Gainseekers Quantitative Analysis

Summary

At 36.8x earnings with a Forward P/E of 19.9, the market is clearly pricing in a material earnings acceleration, yet the PEG Forward of 3.3 suggests investors are already paying a premium for that growth. The Altman Z-Score of 3 signals low bankruptcy risk, and a Piotroski F-Score of 9 confirms strong fundamental health, so this is not a distressed balance sheet story. However, with a Price/Sales of 6.9 and Price/Book of 8, valuation leaves little margin for error despite a 23.40% operating margin and 11.60% ROIC. This is not deep value; it’s a quality compounder priced for execution perfection, and the mispricing question hinges entirely on whether the forward multiple compression materializes through earnings delivery.

AI Exposure / Tech Reliance

As a Software - Application company in the Technology sector, Bentley Systems operates in a segment that is directly exposed to digital transformation and AI-enabled workflow optimization. High operating margins of 23.40% suggest scalable software economics, which are structurally advantaged in AI integration cycles. The key resilience factor is its ability to embed automation and intelligence into application-layer products without materially increasing cost structure.

The Bull Case

A GARP investor can justify ownership here because the fundamentals are undeniably strong: a Piotroski F-Score of 9 indicates operational and balance sheet strength across the board, while ROIC of 11.60% exceeds many average capital cost thresholds. Operating margins of 23.40% demonstrate pricing power and disciplined cost management, and Return on Equity of 10.40% reflects consistent capital efficiency. The Forward P/E of 19.9 versus a trailing 36.8 implies meaningful earnings inflection, creating a valuation bridge if estimates are met. Add a 1.1 TTM yield and a Dividend 5-Year Avg of 3, and you have a shareholder-return component layered onto a profitable software platform with institutional ownership at 48.54%, signaling credible long-term sponsorship.

The Bear Case

The red flags are impossible to ignore. A PEG Forward of 3.3 indicates investors are paying aggressively for expected growth, and a Short % of Float at 36.00% suggests a substantial portion of the market is betting against the story. The Current Ratio of 0.6 raises near-term liquidity concerns, while Debt/Equity of 24.20% adds leverage sensitivity in a rising cost-of-capital environment. With a Price/Sales of 6.9 and Price/Book of 8, any earnings disappointment could trigger multiple compression, and the payout ratio listed at $0.28 combined with a Dividend Per Share of 0.90% suggests limited flexibility if cash flows tighten.

Market Sentiment & Smart Money

Short Interest %

8.20%

Analyst Consensus

1.94

Average Analyst Price Target

$48.54

Institutional Ownership %

49.70%

1-Year Beta

0.71

Insider Buying % (6 Mo)

45.00%%

Distance to 52-Week High

52.80%%

Distance to 52-Week Low

101.50%%