Top 10 Stocks to Buy According to Akre Capital Management

8. Roper Technologies, Inc. (NASDAQ:ROP)

Number of Hedge Fund Holders as of Q4: 54

Akre Capital Management’s Equity Stake: $770.38 Million

Roper Technologies, Inc. (NASDAQ:ROP), originally founded as Roper Industries in 1890 by George D. Roper, is a diversified industrial company based in Sarasota, Florida. Initially focused on manufacturing home appliances, pumps, and industrial products, Roper has evolved into a leading technology-driven enterprise. The company recently announced its financial results for the fourth quarter and full year ending December 31, 2024, showcasing strong growth driven by both organic expansion and strategic acquisitions. Fourth-quarter revenue increased by 16% to $1.88 billion, with 9% of the growth attributed to acquisitions and 7% to organic revenue gains. GAAP net earnings rose by 22% to $462 million, while adjusted net earnings increased by 10% to $520 million. For the full year, revenue climbed 14% to $7.04 billion, with operating cash flow reaching $2.39 billion, a 16% increase.

CEO Neil Hunn highlighted 2024 as a milestone year for Roper Technologies, Inc. (NASDAQ:ROP), with free cash flow surpassing $2 billion for the first time. The company deployed $3.6 billion toward high-quality vertical software acquisitions, including Procare Solutions, a leader in early childhood education software, and Transact Campus, which was integrated with CBORD to enhance Roper’s education and healthcare software segment. These acquisitions, combined with organic growth, contributed to a 14% increase in total revenue for the year. Adjusted EBITDA rose 13% to $2.83 billion, while adjusted diluted earnings per share (DEPS) grew 10% to $18.31. Roper Technologies, Inc. (NASDAQ:ROP) remains committed to its capital deployment strategy, reinforcing its long-term focus on sustainable cash flow growth.

Looking ahead to 2025, Roper Technologies, Inc. (NASDAQ:ROP) expects to maintain strong momentum, projecting double-digit revenue growth fueled by continued organic expansion and contributions from recent acquisitions. The company anticipates full-year adjusted DEPS of $19.75 to $20.00, with first-quarter DEPS expected between $4.70 and $4.74. Total revenue is forecasted to grow by more than 10%, with organic growth estimated at 6% to 7%. Additionally, on March 7, 2025, Roper’s Board of Directors approved a dividend of $0.82 per share, payable on April 22, 2025, to stockholders of record as of April 4, 2025.