This Red-Hot Growth Stock Keeps Outperforming

With the stock already up more than 16% in 2021, industrial software company PTC (NASDAQ: PTC) has already rewarded investors this year, and it looks like there could be more to come. The latest first-quarter 2021 results saw management raise its full-year revenue and earnings guidance, and the company is well set for another strong year. Here's why.

The investment case for PTC is based on the idea that its pivotal role in the fourth industrial revolution, or Industry 4.0, will lead it to $700 million to $900 million in free cash flow in 2024.

As a reminder, PTC's core solutions include computer-aided design, or CAD, and product life-cycle management (PLM) software solutions. Meanwhile, its growth products comprise Internet of Things (IoT) and augmented reality (AR) solutions. All four of these product groupings are beneficiaries of the shift toward customers digitally transforming their businesses.

Source Fool.com