Procore (PCOR) · Q1 2026 results and valuation

At 20.0% growth a year (3-year revenue growth), the model's fair value is $95.81 a share — the stock trades 19% below it. Today's price assumes 16.9% growth a year.

1. Key theme

   The company is seeing increased speed in product delivery and increased capabilities as the R&D organization adopts agentic capabilities during the first quarter of 2026.

   Source quote

   “And to be honest, we are already seeing the benefits of that and the part of the R&D organization that has adopted... ...rest of the organization will be in a position to follow the lead the R&D organization has -- is driving. We're starting to see increased speed in terms of product delivery, increased capabilities.”

2. Guidance

   The company expects much of its sales organization to be selling Procore AI as it translates learnings into enablement for the broader sales force.

   Source quote

   “We are now working on translating those learnings into enablement for the broader sales force and we expect much of our sales organization to be selling Procore AI...”

3. Guidance

   The company expects benefits from deploying AI within its workflows across all parts of the organization to more than offset costs.

   Source quote

   “But even more importantly, on our side, the benefits that we expect from deploying AI within our own workflows across all parts of our organization, I expect will more than offset...”

4. Figure

   Current RPO grew 21% year-over-year and current deferred revenue grew 17% year-over-year, reflecting changes in key backlog metrics.

   Source quote

   “As for our key backlog metrics, current RPO grew 21% year-over-year and current deferred revenue grew 17% year-over-year.”

Script and answers carried a similar tone, so the script's message held up under questioning.

Sentences that drove the tone

“By delivering durable top line growth, combined with strong year-over-year margin expansion, we improved our growth in year-over-year free cash flow.”

“This momentum in high-value customer wins and overall pipeline strength gives us confidence in our trajectory and sets that a favorable foundation for 2026.”

“I think the U.K., Ireland is where we're spending some initial momentum, but we do see opportunities in EMEA and with Walt in seat, I think we'll have an opportunity...”