Parametric Technology Shares Soared: What You Need to Know

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Shares of Parametric Technology (NAS: PMTC) are soaring higher today to the tune of 29% after the company reported strong fourth-quarter earnings.

So what: Fourth-quarter revenue added up to $341.3 million, which turned into $0.47 in earnings per share. Both figures toppled consensus estimates, which were $324.9 million in sales and $0.43 in earnings per share.

Now what: The company has now begun providing forward-looking guidance, and sees first-quarter 2012 revenue in the range of $305 million to $320 million and earnings per share of $0.28 to $0.32. For the fiscal year 2012, Parametric is forecasting roughly $1.3 billion in sales and earnings per share of $1.48 to $1.52. Following up the strong quarter, ThinkEquity has initiated coverage on the stock with a "buy" rating and a $25 price target.

Interested in more info on Parametric Technology? Add it to your watchlist byclicking here.

At the time thisarticle was published Fool contributorEvan Niuholds no position in any company mentioned.Click hereto see his holdings and a short bio. Try any of our Foolish newsletter servicesfree for 30 days. We Fools may not all hold the same opinions, but we all believe thatconsidering a diverse range of insightsmakes us better investors. The Motley Fool has adisclosure policy.

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