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PLM Companies Form Diverse, Crowded Field.(INTERNET & TECHNOLOGY)

Investor's Business Daily

| June 02, 2004 | COPYRIGHT 2004 Investor's Business Daily, Inc. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan.  All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

Byline: J. BONASIA

After a few slow years, product lifecycle management software sales are rising. But it's a crowded field, a mix of giants, startups and midsize players. Here are the companies most often cited by analysts:

** Agile Software has yet to make a penny, but it posted double-digit year-over-year sales growth the past four quarters. Analysts expect Agile will start making money in the second half of this year.

** Ansys specializes in software for computer testing of new designs. It's met or beat earnings estimates for six straight years. And sales have grown 16% to 32% the past six quarters.

** Arena Solutions sells PLM in an unusual way. The privately held company leases the software, rather than sells or licenses it outright. Arena keeps the software on its servers, doling it out per customer need. Intuit uses Arena to track its product data and any changes to software boxes and packages.

** Autodesk sells software for product design, 3-D modeling and data-sharing. IBD gives the stock a 94 Relative Strength Rating, meaning it's outperformed 94% of all public issues in the past 12 months. Autodesk shares have more than doubled the past year to 34. It says customers include 490 of the Fortune 500. Autodesk's first-quarter sales rose 51% to $295.3 million.

** Dassault Systemes, based in France, makes computer design programs. It also sells data management software in the U.S. through a partnership with IBM. Its sales have risen from 10% to 22% the past five quarters.

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