FactSet Research Systems Inc. (NYSE:FDS) Quarterly Earnings Preview
Summary
FactSet Research Systems (NYSE:FDS) is set to report quarterly earnings on June 23, 2025. Analysts expect EPS of $4.31, slightly down year-over-year, but project revenue growth of 5.1% to $580.7 million, driven by strong client demand. Key financial metrics like P/E and P/S ratios indicate investor confidence. Analyst EPS estimates have remained stable, potentially influencing short-term stock performance.
FactSet Research Systems Inc. (NYSE:FDS) Quarterly Earnings Preview
FactSet Research Systems Inc. (NYSE:FDS), a prominent provider of financial data and technology solutions, is scheduled to release its quarterly earnings report on June 23, 2025.
Key Expectations
- Earnings Per Share (EPS): Analysts anticipate an EPS of $4.31. This represents a slight decrease compared to the $4.37 reported in the same quarter last year.
- Revenue: Revenue is projected to reach $580.7 million, indicating a year-over-year growth of 5.1%.
Driving Factors for Revenue Growth
The expected increase in revenue is largely attributed to robust demand from both wealth management and institutional buy-side clients. FactSet's organic subscription value, a key indicator of recurring revenue from its existing client base, is also forecast to show an uptick. This suggests a stable and loyal customer base, which is crucial for the company's sustained financial performance.
Financial Snapshot
FactSet currently boasts a strong market capitalization of approximately $16 billion. Over the past twelve months, the company reported total revenue of $2.3 billion.
Key valuation and efficiency metrics include:
- Price-to-Earnings (P/E) Ratio: 29.78
- Price-to-Sales Ratio: 7.16
- Enterprise Value to Sales Ratio: ~7.77
- Enterprise Value to Operating Cash Flow Ratio: ~26.47
- Earnings Yield: ~3.36%
These ratios suggest that the market values FactSet's earnings and sales at a premium, reflecting investor confidence in its future growth trajectory.
Balance Sheet Health
FactSet maintains a balanced capital structure with a debt-to-equity ratio of 0.81. Its current ratio stands at approximately 1.47, indicating sufficient liquidity to cover short-term liabilities.
Analyst Sentiment Stability
The consensus EPS estimate has remained relatively stable over the past 30 days. This stability suggests that analysts have not made significant adjustments to their forecasts leading up to the earnings release. Consistent analyst expectations can influence investor behavior and potentially impact the stock's short-term price performance, as changes in earnings outlooks are often correlated with stock price movements.
Investors will closely watch the official earnings report on June 23rd for confirmation of these projections and further insights into FactSet's performance and outlook.