Piper Sandler Initiates Coverage of Roper Technologies (ROP) with 'Overweight' Rating, $600 PT

Roper Technologies Inc. (NASDAQ:ROP) is one of the most profitable large cap stocks to buy right now. On November 20, Piper Sandler analyst Clarke Jeffries initiated coverage of Roper Technologies with an Overweight rating on the shares and $600 price target. Jeffries noted that Roper Technologies has successfully transformed its business model and shifted from being an industrial product manufacturer to a vertical software franchise with solutions spanning sectors like healthcare, education, financial services, and logistics.

Piper Sandler believes that Roper’s acquisition strategy has been highly effective and yielded durable free cash flow alongside growing recurring revenue. Consequently, the firm views Roper Technologies as a long-term compounder.

In Q3 2025, Roper Technologies reported generating a total revenue of over $2 billion, which marked a 14% increase year-over-year. Diluted EPS was $5.14, an 11% increase over the prior year and $0.02 above the high end of the company’s guidance range. The company executed its M&A strategy effectively by deploying $1.3 billion in the quarter, including $800 million for the Subsplash acquisition and $500 million for tuck-in acquisitions.

Roper Technologies Inc. (NASDAQ:ROP) designs and develops vertical software and technology-enabled products in the US, Canada, Europe, Asia, and internationally.

While we acknowledge the potential of ROP as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.