FactSet EPS Expected to Rise Despite Recent Stock Struggles

FactSet anticipates a profit of $4.20 per share, a slight dip from last year, but positive EPS growth is projected for fiscal 2025 and 2026. Investors are keenly watching these trends as the company prepares for its upcoming earnings announcement.

Date: 31-01-2025

AI Rating: 6

Earnings Per Share (EPS): FactSet is expected to report a profit of $4.20 per share for fiscal Q2 2025, down marginally from $4.22 in the previous year. Despite this slight decline, projected EPS for fiscal 2025 shows positive growth, with an expected increase to $17.21 from $16.45 in fiscal 2024, marking a 4.6% rise. The EPS for fiscal 2026 is forecasted to rise further to $18.68, indicating an 8.5% year-over-year growth.

Stock Performance: FDS has underperformed against the S&P 500 and the Financial Select Sector SPDR Fund, with its shares down 1.7% in the past 52 weeks, while both indices posted gains of 22.6% and 32.3%, respectively. This is indicative of investor concerns and market pressures surrounding FactSet's stock price.

Subscription Value Growth: On a more positive note, FactSet reported a 4.9% annual subscription value (ASV) increase to $2.27 billion. This reflects robust demand for its financial data services, which could support growth expectations among investors.

Consensus and Analyst Ratings: The cautious consensus rating (majority Hold) from analysts, including only one Strong Buy, suggests mixed sentiment among market watchers. While there are some positive signs, overall hesitance exists about the stock's near-term performance.

In summary, the upcoming fiscal Q2 report will be crucial for investor sentiment. The expected dip in EPS for the quarter needs to be weighed against projected long-term growth to fully gauge the company's outlook.

Stocks: FDS