PagerDuty, Inc.
Assessment
Our Rating
A journalistic assessment by our editorial team at the time of the deep dive — it rates the company, not the entry point. Not investment advice and not a solicitation to buy or sell.
The business works in principle, but one material question is open. As long as it stays open, our findings do not carry a quality verdict.
Why this colour
The substance is there: PagerDuty makes money from operations, generates more than $100 million of free cash flow a year, holds more cash than debt and has no maturity before October 2028. The filings show no threat to the company itself. But the key operating question is open: revenue is barely growing, existing customers pay less in total than a year ago, and the new leadership is cutting 15 percent of staff at the same time — the turnaround from cutting to growing is unproven. Nobody should read the P/E of about 8.5 as proof of quality; it rests on a tax benefit. If you are waiting, check the quarterly report for Oct. 31, 2026: does net retention move back toward 100 percent, does revenue land within the $123 million to $125 million guidance, and what is left of earnings without the tax effect? The decision is yours.
What the thesis turns on
Assessment: Opportunities & Risks
PagerDuty illustrates the all-clear trap: the stock rose from a closing low of $5.73 (Apr. 10, 2026) to $17.25 (Oct. 15, 2026). What improved is costs, cash and the share count — operating profit, $117.5 million of free cash flow over twelve months and buybacks mostly at $7.40. What did not improve is growth: +0.8 percent in the second quarter, net retention of 98 percent, and the record fiscal 2026 profit came almost entirely from a tax benefit. Not investment advice.
Business model & market position
Deeply embedded subscription software for IT incidents: 15,506 paying customers and 884 large customers above $100,000 (July 31, 2026), more than 750 integrations, 84.9 percent gross margin in fiscal 2026.
Growth & customer expansion
Revenue growth fell from 31.8 percent (FY2023) to 5.4 percent (FY2026) and 0.8 percent (Q2 FY2027); FY2027 guidance of $491.5 million to $496.5 million. Net retention of 98 percent as of July 31, 2026, after 120 percent in early 2023.
Earnings power
Operating income swung from -$129.4 million (FY2023) to +$5.8 million (FY2026), and $10.2 million in Q2 FY2027. But $169.2 million of the $173.9 million FY2026 net income came from a one-time tax benefit.
Cash & balance sheet
Free cash flow of $117.5 million in the twelve months to July 31, 2026; $470.0 million of cash and investments against $402.5 million of convertible notes (1.5 percent, due Oct. 15, 2028). Share count down about 15 percent since January 2024.
Leadership & restructuring
New CEO (May 11, 2026) and new CFO (June 22, 2026), a reduction of about 15 percent of headcount (Aug. 26, 2026, cost $5.5 million to $7.5 million); about 29 to 30 percent of votes withheld from three directors at the June 18, 2026 annual meeting.
Worth Noting
PagerDuty made our research list in October 2026 because of its share price move (closing low of $5.73 on Apr. 10, 2026; $17.25 on Oct. 15, 2026). The latest periodic report is the 10-Q for July 31, 2026 (filed Aug. 27, 2026); the earnings release and the 8-K on the job cuts from the same day and all insider filings through Oct. 16, 2026 have been reviewed. The quarterly report for Oct. 31, 2026 was not yet available on Oct. 17, 2026.
Fiscal year ends January 31: “FY2026” = Feb. 1, 2025, to Jan. 31, 2026; “Q2 FY2027” = May to July 2026. Free cash flow per the company definition (operating cash flow minus capital expenditures minus capitalized software); twelve-month figures are our calculation from FY2026 minus H1 FY2026 plus H1 FY2027.
Market value (about $1.36 billion) calculated from 78,649,873 shares (10-Q cover page, as of Aug. 25, 2026) and the Oct. 15, 2026 close; cross-check with the price in the insider filings for Oct. 2, 2026 ($15.34): about $1.21 billion. The P/E excluding the tax benefit (about 38) is a rough calculation of ours: net income attributable to common stockholders for the twelve months to July 31, 2026 (about $185.5 million) minus the $149.7 million tax benefit from the quarter ended Oct. 31, 2025, divided by about 79.1 million diluted shares. The remaining net tax benefit inside the twelve-month window (about $1.8 million in the quarter ended Jan. 31, 2026: $152.5 million for fiscal 2026 minus $150.7 million for the first nine months) is not stripped out; 38 is therefore more of a floor, and without it the figure is about 40. The $169.2 million is the gross effect of the release and cannot be netted against these figures.
Analyst ratings (9 ratings: 3 strong buy, 4 hold, 1 sell, 1 strong sell) come from the fundamental data (as of Oct. 16, 2026) and are third-party information, not our own assessment. This analysis deliberately names no price target.
Stock Watch
This analysis is as of October 17, 2026. Stock Watch will tell you what's changed at PD since then.
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Price history
Chart
Interactive price chart (TradingView).
52-week range: 5.70 $ to 18.00 $ · Last price: 16.70 $ (As of: November 2, 2026)
Key figures
Key figures at a glance
Every figure we hold for this stock, grouped by topic. The question mark next to a label explains what the number means.
Basics
Performance
Technical Indicators
Calculated from the price history · as of 11/03/2026
Valuation
Profitability
Balance Sheet & Safety
Growth
Dividend
This stock currently pays no dividend.
Quality & Screener
Comparison
Industry comparison
The stock alongside the largest companies in the same group. The median row is the middle value of the companies shown above — not of the whole industry.
Industry: Software - Application
| Company | Market cap ($B) | P/E | EV/EBITDA | Gross Margin % | EBIT Margin % | Sales Growth (Year) % | Perf. 1Y % |
|---|---|---|---|---|---|---|---|
| PagerDuty, Inc. PD | 1.3 | 8.1 | 22.3 | 85.0 | 8.2 | 5.4 | 4.1 |
| Salesforce.com Inc CRM | 181.3 | 22.6 | 13.4 | 77.3 | 21.8 | 9.6 | -12.4 |
| Uber Technologies Inc UBER | 135.8 | 18.1 | 18.1 | 40.8 | 14.6 | 18.3 | -30.9 |
| Automatic Data Processing Inc ADP | 119.4 | 27.4 | 17.0 | 48.8 | 30.2 | 7.1 | 18.1 |
| ServiceNow Inc NOW | 106.0 | 61.5 | 34.1 | 73.2 | 13.3 | 20.9 | -42.3 |
| Snowflake Inc. SNOW | 99.1 | – | -76.6 | 67.0 | -22.2 | 29.2 | 5.8 |
| Adobe Systems Incorporated ADBE | 98.7 | 14.4 | 9.5 | 89.3 | 35.3 | 10.5 | -26.2 |
| Intuit Inc INTU | 96.7 | 22.5 | 13.0 | 81.0 | 47.0 | 15.6 | -47.3 |
| Cadence Design Systems Inc CDNS | 90.9 | 74.2 | 38.8 | 85.7 | 29.7 | 14.1 | -2.7 |
| Median of companies shown | 99.1 | 22.5 | 17.0 | 77.3 | 21.8 | 14.1 | -12.4 |
Based on the most recently reported figures. Only stocks from the same trading venue are lined up, so the market caps are counted in one currency. Compare in a chart →
Fiscal years
Annual Figures
Fiscal years from the audited annual reports, oldest first. EBIT is the operating profit before interest and taxes; total assets are everything the company owns.
Revenue, operating income and net income per fiscal year $M
Revenue Operating income Net income
| Fiscal Year | Revenue ($M) | EBIT ($M) | Net Income ($M) | EPS ($) | Operating Cash Flow ($M) | Equity ($M) | Total Assets ($M) |
|---|---|---|---|---|---|---|---|
| 2018 | 80 | -38 | -38 | -0.63 | -12 | -56 | 81 |
| 2019 | 118 | -42 | -41 | -0.55 | -6 | 104 | 197 |
| 2020 | 166 | -56 | -50 | -0.77 | 0 | 308 | 435 |
| 2021 | 214 | -66 | -69 | -0.87 | 10 | 367 | 795 |
| 2022 | 281 | -102 | -107 | -1.27 | -6 | 267 | 806 |
| 2023 | 371 | -129 | -128 | -1.45 | 17 | 241 | 818 |
| 2024 | 431 | -96 | -82 | -0.89 | 72 | 172 | 925 |
| 2025 | 468 | -60 | -43 | -0.46 | 118 | 130 | 927 |
| 2026 | 493 | 6 | 174 | 1.87 | 115 | 254 | 991 |
Quarters
Quarterly Figures
Each bar is one quarter, the last one is the most recent. Use the switch to step through the individual figures.
Revenue & Profit
Cash Flow
Balance Sheet
Margins
Per Share
Click the chart or tab into it, then use ← and → to step through the periods.
None of the selected stocks reports this metric. Pick another metric or switch between annual and quarterly.
· Total · per year
These companies report in different currencies — switch on “Indexed” or pick a margin for a fair comparison.
The figures could not be loaded right now.
Source: fundamental data
| Quarter | EPS (Earnings Per Share) | EPS YoY (%) | Sales ($M) | Sales YoY (%) | Net Margin (%) | OCF ($M) | FCF ($M) |
|---|---|---|---|---|---|---|---|
| 2024: Q4 | 0.26 | 30.00 | 119 | 9.40 | -5.00 | 22 | 19 |
| 2025: Q1 | 0.22 | 29.40 | 121 | 9.30 | -7.20 | 31 | 29 |
| 2025: Q2 | 0.24 | 41.20 | 120 | 7.80 | -6.00 | 31 | 29 |
| 2025: Q3 | 0.30 | 42.90 | 123 | 6.40 | 7.80 | 34 | 33 |
| 2025: Q4 | 0.34 | 30.80 | 125 | 4.70 | 129.70 | 25 | 24 |
| 2026: Q1 | 0.29 | 31.80 | 125 | 2.70 | 7.50 | 25 | 25 |
| 2026: Q2 | 0.10 | -58.30 | 121 | 1.00 | 4.40 | 44 | 43 |
| 2026: Q3 | 0.17 | -43.30 | 124 | 0.80 | 3.80 | 37 | 35 |
What Do These Terms Mean?
- EPS (Earnings Per Share):
- Quarterly profit divided by the total share count — how much of the profit works out to a single share.
- YoY (Year over Year):
- Change versus the same quarter a year ago — this is how you compare without seasonal distortion (e.g. the holiday shopping season).
- Sales:
- All revenue for the quarter, before any costs are deducted — the top line of the income statement.
- Net Margin:
- What percentage of sales is left over as profit in the end. Negative means the company is posting a loss.
- OCF (Operating Cash Flow):
- The cash that actually flows into the till from the core business during the quarter — harder to dress up than book profit.
- FCF (Free Cash Flow):
- Operating cash flow minus capital expenditures — the money that's genuinely free to use, say for paying down debt, buybacks, or dividends.
Screening
Appears in These Scanners
This stock currently matches 6 of our scanner strategies — each hit links to the scanner.
Growth
Quality & Balance Sheet
Breakout & Setup
Momentum & Trend
Research
Only genuine hits from verified scanners count; pure ranking metrics (P/E, P/S, and similar, which just sort the whole universe) don't count as a hit. View all scanners
Outlook
Analysts & Price Target
Combined picture of the price targets and recommendations of every analyst covering the stock. Price targets are expectations for the next 12 months, not promises — and they often follow the price rather than predict it.
Distribution of Recommendations
Estimates by Fiscal Year
| Fiscal Year | EPS Estimate ($) | EPS Range ($) | Revenue Estimate ($M) | Expected Growth | Analysts |
|---|---|---|---|---|---|
| 01/31/2027 | 1.36 | 1.34 – 1.39 | 494 | 16.9% | 9 |
| 01/31/2028 | 1.47 | 1.36 – 1.72 | 504 | 8.3% | 9 |
Average of the analyst estimates for the coming fiscal years. The range shows how far the most optimistic and the most cautious estimate sit apart — the wider it is, the less certain the expectation.
Valuation
What is priced in?
Instead of guessing what the stock is worth, we turn the question around: what free cash flow growth has to happen for today’s market value to add up? The assumptions behind it can be moved.
Today’s market value implies roughly -1.4% growth in free cash flow per year over ten years (assumptions: discount rate 10.0%, terminal growth 2.5%).
| Free cash flow (last twelve months) | $126.6M |
|---|---|
| Market cap | $1.30B |
| Free cash flow in year ten | $109.5M |
| Terminal value as a share of market value | 44.2% |
For comparison: over the past five years free cash flow grew by 84.4% per year.
It shows which assumption is built into today’s price, not whether that assumption will hold. Every assumption can be changed with the sliders; the figures move with them.
A simplified model calculation — not a forecast and not a recommendation.
AI classification
AI Rating
Geprüft am 16.10.2026 (Filing-Stand am 17.10.2026 erneut abgeglichen) gegen die Geschäftsberichte (10-K) für die Geschäftsjahre 2026 (bis 31.01.2026, eingereicht 12.03.2026) und 2025 (17.03.2025) sowie die Quartalsberichte (10-Q) zum 31.07.2026, 30.04.2026, 31.10.2025 und 31.07.2025: PagerDuty verkauft seine Plattform für IT-Störungsmanagement ausdrücklich als „von KI und Automatisierung angetrieben“ und bietet mit PagerDuty Advance generative KI-Funktionen und mehrere KI-Agenten (SRE Agent, Insights Agent, Shift Agent, Scribe Agent) als Produkt an; KI ist damit Teil des Verkaufsangebots. Zugleich nennt der Geschäftsbericht Fortschritte bei künstlicher Intelligenz als Risiko, das die Nachfrage der Bestandskunden verringern kann — nach der Vorrang-Regel (verkauft vor bedroht) bleibt es bei „verkauft“. Den Umsatzanteil der KI-Funktionen weisen die Berichte nicht gesondert aus.
View the full file — quotes, sources, reviewed filings
„PagerDuty sells an operations management platform powered by AI and automation. The platform includes Incident Management, AIOps, Automation, CSOps, and PagerDuty Advance, which features multiple agentic AI agents (including SRE Agent, Insights Agent, Shift Agent, and Scribe Agent) designed to accelerate incident response and drive operational maturity throughout the incident lifecycle."
PagerDuty verkauft eine Plattform für das Betriebsmanagement, die von KI und Automatisierung angetrieben wird. Die Plattform umfasst Incident Management, AIOps, Automation, CSOps und PagerDuty Advance, das mehrere agentenbasierte KI-Agenten bietet (darunter SRE Agent, Insights Agent, Shift Agent und Scribe Agent), die die Reaktion auf Störungen beschleunigen und die betriebliche Reife über den gesamten Lebenszyklus einer Störung erhöhen sollen.
10-K · 2026-03-12 · View SEC filing
„PagerDuty Advance is a set of generative AI capabilities for the PagerDuty Operations Cloud Platform inclusive of our domain-specific agents (such as the SRE Agent)."
PagerDuty Advance ist ein Paket generativer KI-Funktionen für die PagerDuty Operations Cloud Platform, einschließlich unserer fachspezifischen Agenten (etwa des SRE Agent).
10-K · 2026-03-12 · View SEC filing
„Built for the modern era of artificial intelligence (“AI”), PagerDuty empowers customers to maximize the value of their AI investments through agentic workflows, AI-powered automation, and intelligent orchestration that accelerates incident detection and resolution while enabling teams to focus on innovation rather than firefighting."
Für das moderne Zeitalter der künstlichen Intelligenz („KI“) gebaut, versetzt PagerDuty Kunden in die Lage, den Wert ihrer KI-Investitionen durch agentenbasierte Arbeitsabläufe, KI-gestützte Automatisierung und intelligente Steuerung zu maximieren, die das Erkennen und Beheben von Störungen beschleunigt und Teams erlaubt, sich auf Innovation statt auf Brandbekämpfung zu konzentrieren.
10-Q · 2026-08-27 · View SEC filing
„Our ability to retain our customers and increase the amount of their subscriptions could be impaired for a variety of reasons, including customer reaction to changes in the pricing of our products or the other risks described herein, such as competitive factors, the macroeconomic environment, and advances in artificial intelligence that may reduce demand for our solutions or require us to adapt our platform."
Unsere Fähigkeit, Kunden zu halten und den Umfang ihrer Abonnements zu steigern, könnte aus verschiedenen Gründen beeinträchtigt werden, darunter die Reaktion der Kunden auf Preisänderungen unserer Produkte oder die anderen hier beschriebenen Risiken wie Wettbewerb, das gesamtwirtschaftliche Umfeld und Fortschritte bei der künstlichen Intelligenz, die die Nachfrage nach unseren Lösungen verringern oder uns zwingen könnten, unsere Plattform anzupassen.
10-K · 2026-03-12 · View SEC filing
Filings Reviewed: 10-Q 2026-08-27 · 10-Q 2026-05-28 · 10-Q 2025-11-26 · 10-Q 2025-09-04 · 10-K 2026-03-12 · 10-K 2025-03-17
Rated on October 17, 2026 · How the Rating Is Built
Growth
Growth Score
Ten checks against the annual reports — each one passed counts a point.
- Revenue grows by more than 15% a year over three years 9.9%
- More than 10% revenue growth is expected for the coming year -74.8%
- Share count grows by less than 3% a year 1.6%
- Revenue growth plus cash-flow margin add up to at least 40 ("Rule of 40") 28.1%
- Gross margin at 40% or higher and without meaningful erosion 85.0%
- Goodwill from acquisitions does not grow faster than revenue 13.9%
- Net debt below twice EBITDA 57 m net cash
- Operating cash flow covers the profits of the last three years 255 m
- Return on capital at 15% or higher, or up versus two years ago 0.9%
- Insiders hold at least 10% or are net buyers 8.8%
A criterion without figures counts neither as passed nor as failed; a score is only produced from 7 judgeable criteria upwards. Source: fundamental data. All ten criteria in detail
Quality check
AAQS
4/10The AAQS (AlleAktien Quality Score) checks 10 quality criteria on growth, profitability, and balance-sheet strength — per the methodology developed and published by AlleAktien, calculated by us from our own fundamental data. A stock counts as a quality stock from 9 out of 10 points. Where a company has a shorter listing history, we calculate over the fiscal years available (at least five).
- Sales growth 10Y > 5% 25.6%
- Exp. sales growth 3Y > 5% 1.2%
- EBIT growth 10Y > 5% –
- Exp. EBIT growth 3Y > 5% -11.4%
- Net debt < 4x EBIT -9.7x
- EBIT positive, 10Y straight 1
- Max. EBIT decline < 50% 0.0%
- Return on equity > 15% 172.9%
- ROCE > 15% 0.9%
- Expected return > 10% -3.8%
View stocks with the full AAQS score · Read the methodology at AlleAktien
Source: fundamental data
Insiders
Insider Transactions
Reportable transactions by officers and major shareholders from SEC Form 4 filings. "Other" includes things like stock grants and option exercises without a buy/sell character.
| Date | Person | Role | Type | Shares | Price | Value |
|---|---|---|---|---|---|---|
| Oct 28, 2026 | Tejada Jennifer | Executive Chair | Sell | 5,945 | 18.00 | 107,025 |
| Oct 28, 2026 | Tejada Jennifer | Executive Chair | Other | 3,000 | 7.43 | 22,290 |
| Oct 15, 2026 | Tejada Jennifer | Executive Chair | Sell | 57,500 | 17.17 | 986,988 |
| Oct 14, 2026 | DiLullo John D | Chief Executive Officer | Other | 37,456 | 16.64 | 623,268 |
| Oct 14, 2026 | DiLullo John D | Chief Executive Officer | Other | 294,464 | 0.00 | – |
| Oct 2, 2026 | Prengel Eric Theodore | Chief Financial Officer | Other | 19,277 | 15.34 | 295,709 |
| Oct 2, 2026 | Tejada Jennifer | Executive Chair | Other | 71,210 | 15.34 | 1,092,361 |
| Oct 2, 2026 | Underwood Paul D. | Chief Accounting Officer | Other | 4,264 | 15.34 | 65,410 |
| Oct 2, 2026 | Ferro Christopher G. | Chief Legal Officer | Other | 5,887 | 15.34 | 90,307 |
| Sep 30, 2026 | Tejada Jennifer | Executive Chair | Sell | 107,000 | 15.11 | 1,616,738 |
The company
About the Company
PagerDuty, Inc. engages in the operation of a digital operations management platform in the United States and internationally. The company collects data and digital signals from virtually any software-enabled system or device and leverages artificial intelligence and powerful machine learning to correlate, process, predict, and remediate incident. Its platform includes PagerDuty Incident Management that provides a real-time view status of a digital service; AIOps that applies machine learning to correlate and automate the identification of incidents from billions of events; automation that offers centralized design time and run time environment for orchestrating automated workflows; customer service operations, which is offered to orchestrate, automate, and scale responses to customer issues; and artificial intelligence that offers generative AI capabilities for the PagerDuty operations cloud platform. The company serves various industries, including software and technology, telecommunications, retail, travel and hospitality, media and entertainment, and financial services. PagerDuty, Inc. was founded in 2009 and is headquartered in San Francisco, California.
- Employees
- 1,155
- Headquarters
- San Francisco, CA
- Address
- 600 Townsend Street, 94103 San Francisco, United States
- Phone
- 844 800 3889
- Website
- pagerduty.com
- IPO Date
- 04/11/2019
- ISIN
- US69553P1003
Management
| Name | Title | Birth Year |
|---|---|---|
| Jennifer G. Tejada | Executive Chair of the Board | 1971 |
| Owen Howard Wilson | Strategic Advisor | 1965 |
| John D. DiLullo Ph.D. | CEO & Director | 1966 |
| Eric Prengel | Chief Financial Officer | 1982 |
| Paul D. Underwood | Chief Accounting Officer & Principal Accounting Officer | 1968 |
| Tim Armandpour | Chief Technology Officer | 1977 |
| Eric Johnson | Chief Information Officer | 1972 |
| Christopher G. Ferro Esq. | Chief Legal Officer & Secretary | 1971 |
| Debbie O'Brien | Chief Communication Officer & VP of Global Impact | – |
| Katherine Post Calvert | Chief Marketing & Growth Officer | – |
Executives per the latest required filings; titles kept in their original language. Source: fundamental data.
Filings
Company Filings (8-K)
An 8-K is the filing a US company must use to disclose material events immediately — takeovers, changes at the top, major contracts or payment troubles, for instance. The links open the original document at the US Securities and Exchange Commission (SEC).
- 08/27/2026 PagerDuty, Inc. (PD): Results of Operations and Financial Condition; Cost Associated with Exit or Disposal Activities; Financial Statements and Exhibits SEC ↗
- 07/14/2026 PagerDuty, Inc. (PD): Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers: Compensatory Arrangements of Certain Officers; Regulation FD Disclosure; Financial Statements and Exhibits SEC ↗
Data as of: November 2, 2026 · Source: fundamental data & SEC filings (annual and quarterly reports, 10-K/10-Q)
Note: pure fact-based analysis, not investment advice and not a solicitation to buy or sell. All figures without guarantee.