FactSet Research Systems (NYSE:FDS) Shares Gap Down - What's Next?

Key Points

• FactSet shares gapped down sharply, opening at $307.03 versus the prior close of $323.39, before last trading near $308.79.
• Analyst sentiment remains cautious: the stock has a consensus rating of “Reduce” with an average price target of $271.79, despite several analysts recently raising their targets.
• FactSet exceeded quarterly expectations, reporting $4.52 in EPS and $634.7 million in revenue, while revenue grew 6.3% year over year. The company also pays a $1.16 quarterly dividend, equivalent to a 1.5% yield.

FactSet Research Systems Inc. (NYSE:FDS - Get Free Report)'s share price gapped down before the market opened on Wednesday. The stock had previously closed at $323.39, but opened at $307.03. FactSet Research Systems shares last traded at $308.7930, with a volume of 11,034 shares.

Analyst Ratings Changes

A number of analysts have recently commented on FDS shares. Bank of America upped their price objective on FactSet Research Systems from $205.00 to $210.00 and gave the stock an "underperform" rating in a report on Thursday, July 2nd. Wolfe Research boosted their price target on FactSet Research Systems from $225.00 to $240.00 and gave the company an "underperform" rating in a research report on Wednesday, July 1st. Wells Fargo & Company upped their price target on FactSet Research Systems from $210.00 to $250.00 and gave the stock an "underweight" rating in a research note on Thursday, October 1st. BMO Capital Markets raised their price objective on FactSet Research Systems from $300.00 to $314.00 and gave the stock a "market perform" rating in a report on Tuesday, October 13th. Finally, Royal Bank Of Canada lifted their price objective on FactSet Research Systems from $240.00 to $304.00 and gave the company a "sector perform" rating in a research note on Thursday, August 27th. One investment analyst has rated the stock with a Strong Buy rating, two have given a Buy rating, ten have given a Hold rating and six have issued a Sell rating to the company. According to data from MarketBeat, FactSet Research Systems currently has a consensus rating of "Reduce" and an average price target of $271.79.

FactSet Research Systems Stock Up 0.6%

The firm has a market cap of $10.97 billion, a price-to-earnings ratio of 21.39 and a beta of 0.77. The business has a 50 day moving average price of $290.94 and a 200-day moving average price of $250.64.

FactSet Research Systems (NYSE:FDS - Get Free Report) last released its quarterly earnings results on Wednesday, September 30th. The business services provider reported $4.52 earnings per share for the quarter, topping analysts' consensus estimates of $4.35 by $0.17. The company had revenue of $634.70 million during the quarter, compared to analysts' expectations of $629.83 million. The firm's revenue was up 6.3% compared to the same quarter last year. During the same quarter in the prior year, the company earned $4.05 EPS. FactSet Research Systems has set its FY 2027 guidance at 19.250-19.650 EPS. Research analysts anticipate that FactSet Research Systems Inc. will post 19.63 earnings per share for the current fiscal year.

FactSet Research Systems Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Thursday, September 17th. Investors of record on Monday, August 31st were paid a dividend of $1.16 per share. The ex-dividend date of this dividend was Monday, August 31st. This represents a $4.64 annualized dividend and a yield of 1.5%. FactSet Research Systems's payout ratio is 31.87%.

Hedge Funds Weigh In On FactSet Research Systems

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. USA Financial Formulas acquired a new position in shares of FactSet Research Systems in the 3rd quarter valued at approximately $38,000. Parkside Financial Bank & Trust increased its stake in shares of FactSet Research Systems by 31.2% in the second quarter. Parkside Financial Bank & Trust now owns 181 shares of the business services provider's stock worth $42,000 after buying an additional 43 shares during the last quarter. State of Wyoming bought a new stake in shares of FactSet Research Systems in the first quarter worth $51,000. CX Institutional raised its holdings in FactSet Research Systems by 75.7% in the second quarter. CX Institutional now owns 239 shares of the business services provider's stock valued at $55,000 after acquiring an additional 103 shares in the last quarter. Finally, Danske Bank A S acquired a new stake in FactSet Research Systems in the second quarter valued at $64,000. 91.24% of the stock is owned by hedge funds and other institutional investors.

About FactSet Research Systems

FactSet Research Systems Inc provides financial data, analytics and workflow technology to investment professionals and financial institutions. Its platform brings together market, company, economic and alternative data with tools for research, portfolio analysis, risk management, trading, performance measurement and reporting.

The company serves asset managers, wealth managers, investment banks, private-equity firms, corporations and other financial professionals. Its products support activities including equity and fixed-income research, portfolio construction, screening, client reporting, investment-banking analysis and environmental, social and governance research.

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