The patented Build for Change technology offers a comprehensive solution and a unified platform, which allows to build enterprise applications in a fraction of the time it would take using the disjointed architectures offered by their competitors. They maintain alliances with global systems integrators and technology consulting firms like Accenture, Cognizant or Wipro. The flagship product, PegaRules Process Commander can be used for applications ranging from managing health insurance claims to the management of fuelling, maintenance and restocking of aircraft. It’s considered the Rolls Royce among BPM, very pricey but the company invests significant amounts of money (76 mil. USD in 2012, 16% of revenue) to keep it at the top of the industry.
Like with every software in a big company, once their customer installs the product, it is very hard for them to move to competitors. They grew revenues by 20% in the recent quarter, but 12% for the first nine months compared to last year. The estimated 5-year growth rate is 25%, the stock is trading at a forward P/E of 30 and P/S of 3.6. The company was founded by Alan Trefler, who still holds a majority of it's stock. He said the whole BPM technology is in a very young stage and he would rather "eat sand" than sell it.