www.jpmorganmarkets.comNorthAmericaEquityResearch11September2019EquityRatingsandPriceTargetsMktCapRatingPriceTargetCompanyTicker($mn)Price($)CurPrevCurEndDatePrevEndDateAltairALTRUS2,381.4432.42UWN34.00Dec-2042.00n/cANSYS,Inc.ANSSUS18,198.58210.38NUW228.00Dec-20190.00n/cAspenTechnologyAZPNUS9,370.69121.81UWn/c123.00Dec-20131.00n/cSource:Companydata,Bloomberg,J.P.Morganestimates.n/c=nochange.Allpricesasof10Sep19.AssumingCoverageofSimulationandOptimizationSoftwareSwappingRatingsofALTRandANSS,RemainUWAZPNSoftwareTechnologyJacksonEAder,CFAAC(1-212)622-4863jackson.e.ader@jpmorgan.comBloombergJPMAADERJ.P.MorganSecuritiesLLCSterlingAuty,CFA(1-212)622-6389sterling.auty@jpmorgan.comJ.P.MorganSecuritiesLLCMatthewParron(1-212)622-0155matthew.parron@jpmorgan.comJ.P.MorganSecuritiesLLCSahilSharma(1-212)622-6102sahil.x.sharma@jpmchase.comJ.P.MorganIndiaPrivateLimitedSeepage30foranalystcertificationandimportantdisclosures,includingnon-USanalystdisclosures.J.P.Morgandoesandseekstodobusinesswithcompaniescoveredinitsresearchreports.Asaresult,investorsshouldbeawarethatthefirmmayhaveaconflictofinterestthatcouldaffecttheobjectivityofthisreport.Investorsshouldconsiderthisreportasonlyasinglefactorinmakingtheirinvestmentdecision.Weareassumingcoverageofthesimulationandoptimizationsoftwaremarkettoday,concurrentwithourassumptionoftheElectronicDesignAutomation(EDA)subsectoraswell.WeareswitchingourratingsonANSSandALTR,upgradingANSStoNeutralwhiledowngradingALTRtoUnderweight,andremainUnderweightonAZPN.ThesearecyclicalnameswithinourSoftwareTechnologycoverageuniverse,andresultsfromthestocksacrossthesub-sectorhavebeenspottycoincidingwithacontinuingdegradationinend-marketdata—ourviewenteringtheyeartoreducecyclicalexposureisplayingout,andwestillbelieveitistheplayasweenterthelastquarteroftheyear.DowngradingAltairasEuropeanmanufacturingposesarisk.WearedowngradingALTRtoUnderweightfromNeutralandalsoloweringourpricetargetto$34.Altairhasahighexposuretotheautomotivesectorandcitedmanufacturingend-ma...
