S&P Global (NYSE:SPGI) Issues Earnings Results, Beats Expectations By $0.15 EPS

Key Points

• S&P Global beat expectations with $4.97 EPS vs. $4.82 expected and revenue of $4.17B (up 10.4% YoY), and updated FY2026 guidance to 19.400–19.650 EPS.
• Management flagged rapid AI monetization: API call volume rose more than 5x quarter‑over‑quarter, >300 customers are using Kensho LLM‑ready APIs, and early AI clients show materially higher ACV growth while some pay a premium for AI‑ready access (including the new CERA Titan offering).
• Near‑term energy headwinds from geopolitical shocks prompted a ~1 percentage‑point cut to Energy guidance and expected Q2 weakness, while the planned Mobility spin (mid‑2026) and capital return program will boost buybacks to at least 100% of adjusted free cash flow (~$4.5B).

S&P Global (NYSE:SPGI - Get Free Report) posted its quarterly earnings data on Tuesday. The business services provider reported $4.97 earnings per share for the quarter, topping analysts' consensus estimates of $4.82 by $0.15, Zacks reports. S&P Global had a net margin of 29.16% and a return on equity of 16.56%. The company had revenue of $4.17 billion for the quarter, compared to analyst estimates of $4.08 billion. During the same period in the prior year, the company posted $4.37 EPS. The firm's revenue for the quarter was up 10.4% on a year-over-year basis. S&P Global updated its FY 2026 guidance to 19.400-19.650 EPS.

Here are the key takeaways from S&P Global's conference call:

• Strong Q1 results: revenue +10% YoY (9% organic CC), adjusted diluted EPS +14%, 140 bps trailing‑12‑month margin expansion, and $1 billion returned to shareholders via repurchases plus dividends.
• Rapid AI adoption and early monetization signals: API call volume rose more than 5x quarter‑over‑quarter, >300 customers engaged with Kensho LLM‑ready APIs, and AI customers show materially higher ACV growth (Market Intelligence ~30% higher; Energy ~2x), with some clients paying a meaningful premium for AI‑ready access.
• Geopolitical risk is weighing on near‑term outlook: the conflict in Iran has driven the largest energy shock in decades, creating supply‑chain disruption and higher volatility, and management lowered Energy division guidance by ~1 percentage point and expects Q2 weakness before a H2 recovery.
• Mobility separation and capital return plan progressing: the Mobility spin remains on track for mid‑2026 with an expected ~$2 billion Mobility debt issuance and cash payment to S&P Global, and management plans to increase share repurchases to at least 100% of adjusted free cash flow (~$4.5B).
• Strategic portfolio moves in Energy: S&P is divesting upstream software (~25% of upstream revenue) to focus on proprietary data and launched the AI‑native CERA Titan (subscription model) with positive early demos and pipeline, but commercial results depend on energy market normalization.

S&P Global Trading Up 2.4%

SPGI stock traded up $10.42 during mid-day trading on Tuesday, reaching $447.64. The company had a trading volume of 443,136 shares, compared to its average volume of 2,386,328. The company has a debt-to-equity ratio of 0.40, a current ratio of 0.82 and a quick ratio of 0.82. The firm has a 50 day moving average of $429.32 and a 200 day moving average of $474.31. S&P Global has a 12 month low of $381.61 and a 12 month high of $579.05. The company has a market capitalization of $135.84 billion, a PE ratio of 30.55, a price-to-earnings-growth ratio of 1.96 and a beta of 1.20.

Hedge Funds Weigh In On S&P Global

Hedge funds and other institutional investors have recently modified their holdings of the business. Palisade Asset Management LLC bought a new position in shares of S&P Global during the third quarter valued at approximately $36,000. Swiss RE Ltd. bought a new position in shares of S&P Global during the fourth quarter valued at approximately $39,000. Wealth Watch Advisors INC bought a new position in shares of S&P Global during the third quarter valued at approximately $47,000. Headlands Technologies LLC bought a new position in shares of S&P Global during the second quarter valued at approximately $47,000. Finally, Sfam LLC bought a new position in shares of S&P Global during the fourth quarter valued at approximately $52,000. 87.17% of the stock is currently owned by institutional investors.

Analyst Upgrades and Downgrades

SPGI has been the topic of a number of research analyst reports. Stifel Nicolaus dropped their target price on shares of S&P Global from $599.00 to $489.00 and set a "buy" rating on the stock in a research note on Wednesday, February 11th. Barclays restated an "overweight" rating and issued a $565.00 target price on shares of S&P Global in a research note on Monday, February 23rd. Morgan Stanley dropped their target price on shares of S&P Global from $580.00 to $556.00 and set an "overweight" rating on the stock in a research note on Tuesday, April 7th. BMO Capital Markets upped their target price on shares of S&P Global from $482.00 to $495.00 and gave the stock an "outperform" rating in a research note on Tuesday, March 17th. Finally, Royal Bank Of Canada dropped their target price on shares of S&P Global from $620.00 to $560.00 and set an "outperform" rating on the stock in a research note on Wednesday, February 11th. One analyst has rated the stock with a Strong Buy rating, sixteen have issued a Buy rating and one has assigned a Hold rating to the company. Based on data from MarketBeat, the company presently has an average rating of "Buy" and a consensus target price of $558.47.

S&P Global Company Profile

S&P Global is a leading provider of financial information, analytics and benchmark indices that serve investors, issuers, corporations and public institutions worldwide. The company operates through well-known businesses that include credit ratings, market intelligence and index licensing, as well as commodity and energy information services. Its products and services are used to assess creditworthiness, inform investment decisions, construct and track benchmark portfolios, and support risk and commodity market analysis.

S&P Global Ratings provides independent credit ratings, research and data used by fixed income investors and capital market participants to evaluate issuer and transaction risk.

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