RBC Capital analysts provided their outlook on Roper Technologies, Inc. (NYSE:ROP) ahead of the upcoming Analyst Meeting on March 21.

The analysts expect the company to issue updated long-term metrics, likely to target organic sales growth of 7%-8% (vs. 6%-7% today), EBITDA margins of 40%, and free cash flow generation equal to approximately 80% of EBITDA.

The analysts look for Roper to review its repeatable self-funded growth-by-M&A compounder model focused on acquiring niche software/SaaS businesses with high barriers to entry and low capital-intensity/high free cash flow. With over $4 billion in M&A firepower, the analysts like Roper’s near-term prospects to pursue M&A.