Bentley Systems (BSY) reported another solid performance in Q2 with accelerating annualized recurring revenue, setting it up for stable growth prospects, RBC said in a Thursday note.

The report pointed to 12.0% annualized recurring revenue in Q2, and is tracking above the midpoint of its annual guidance range.

The note said a continuation of current trends and success around large Asset Analytics conversions likely move ARR to the higher-end of its annual guidance range.

"We believe the company remains in a good position to drive long-duration stable growth and margin expansion," it said.

RBC has an outperform rating and a $48 price target.

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