Aspen Technology, Inc. AZPN recently unveiled a Microgrid Management System (“MMS”) solution tailored for asset-intensive industries with heavy power requirements like chemicals, mining and refining.

Aspen noted that the aging power grid infrastructure amid a tremendous increase in energy demand threatens to undermine the business stability of consumers in these industries. The problem is further compounded by the increasing occurrence of extreme weather events and evolving cybersecurity challenges. Consequently, consumers face issues like protracted power outages and are unable to meet renewable energy goals. These hurt business performance by causing late restarts, higher-end user costs and environmental penalties.

Aspen Technology, Inc. Price and Consensus

Aspen Technology, Inc. price-consensus-chart | Aspen Technology, Inc. Quote
 

What Does MMS Solution Offer?

The solution, powered by the company’s OSI monarch SCADA platform, will deliver heightened power reliability through comprehensive management of various power generation resources, including renewable energy in real-time. Through active real-time resource management, the solution will be able to alarm and report incidents the moment these occur, thereby improving incident-response time. 

The MMS solution uses an Industrial AI approach which can aid in estimating power consumption/renewable generation for a period of 35 days. This particular estimation helps with scheduling and optimization algorithms, thereby reducing emissions and electricity expenses and optimizing resource utilization. By deploying the MMS solution, clients will benefit greatly from enhanced situational awareness. This will aid in the maximization of investment returns and boost cybersecurity to safeguard all critical power loads.

By using the MMS solution, clients will be able to boost operational efficiency and meet net-zero objectives.

This solution forms part of the company’s Digital Grid Management (DGM) suite. Consumers can leverage the advanced capabilities of the MMS solution via its DGM suite.
 

Momentum in DGM Suite Bodes Well for AZPN

Aspen is gaining from continued momentum in the DGM and Subsurface Science & Engineering (SSE) segments. The integration efforts among the Heritage AspenTech, DGM and SSE businesses are creating tailwinds.

The ACV growth for the DGM segment surged 40% in fiscal 2024. Momentum in DGM products along with extensive funding led to the expansion. Going ahead, the DGM segment is likely to benefit from global electrification and grid upgrades. The company is likely to benefit as customers are exploring sustainability solutions in critical minerals mining and low-carbon fuel alternatives.

In fiscal 2024, the company generated revenues of $ 1,127.5 million.
 

AZPN’s Zacks Rank & Stock Price Performance

Aspen currently carries a Zacks Rank #3 (Hold). In the past year, shares have gained 16.8% compared with industry’s growth of 37.5%.

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Stocks to Consider

Some better-ranked stocks worth consideration in the broader technology space are Seagate Technology Holdings plc STX, NetApp NTAP and BlackBerry BB.  All stocks sport a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for STX’s fiscal 2025 EPS is pegged at $7.41, unchanged in the past 30 days. STX’s earnings beat the Zacks Consensus Estimate in three of the trailing four quarters while missing in the remaining quarter, with the average surprise being 80.9%. The stock has surged 63.1% in the past year.

The Zacks Consensus Estimate for NTAP’s fiscal 2025 earnings is pegged at $7.08, unchanged in the past seven days. NTAP’s earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, with the average surprise being 8.6%. Its shares have gained 66.5% in the past year.

The Zacks Consensus Estimate for BlackBerry’s fiscal 2025 EPS is pegged at a loss of 2 cents, improved from a loss of 5 cents in the past 30 days. BB’s earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, with the average surprise being 131.3%. Its shares have declined 35.2% in the past year.

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