FactSet Research Systems Inc

FactSet stock has gained 57.8% over the past six months, outperforming both the industry's and the Zacks S&P 500 Composite's 12.6% rally. The company has beaten earnings estimates in each of the past three fiscal quarters, with earnings per share of $4.51 in the first quarter of fiscal 2026 exceeding consensus by 2.7%. Operating cash flow and free cash flow also grew consistently over that period, supporting nearly $950 million in share repurchases and close to $250 million in dividend payments. FactSet entered three major partnership agreements in June and July 2026, including an expanded collaboration with RepRisk and a new partnership with Google Cloud to build AI-backed solutions for the financial industry. FactSet currently carries a Zacks Rank of 3, or Hold.

FactSet Research Systems has affirmed a regular quarterly cash dividend of $1.16 per share, payable on September 17, 2026 to shareholders of record as of August 31, 2026. The dividend decision comes as the company is in focus for its AI partnership with Google Cloud and its ongoing share repurchase program. FactSet Research Systems closed at $285.41, which is above a most followed fair value estimate of $255.06, suggesting the stock may be overvalued by about 11.9%. Analysts expect earnings to reach $721.8 million, or $22.29 per share, by about August 2029, up from $566.0 million today. The stock trades on a P/E of 17.9x, higher than the fair ratio of 16.1x but below peers at 22.3x and the wider US Capital Markets industry at 38.2x.

FactSet Research Systems expanded its footprint in the insurance sector as Curi Holdings adopted its Portfolio Analytics Suite. The agreement centers on FactSet's analytics and data aggregation tools for portfolio and risk management across Curi's investment operations. The move highlights insurance client interest in integrated, front-to-back solutions for data, portfolio analysis, and risk oversight. This deployment illustrates how FactSet's tools are being used beyond traditional asset management, as insurance firms often juggle complex portfolios, regulatory constraints, and liability profiles.

CME Group reported first-quarter revenues of $1.88 billion, up 14.5% year on year but falling short of analysts' expectations by 1.4%, making it the weakest performer against estimates among the ten financial exchanges and data stocks tracked. The group as a whole beat consensus revenue estimates by 1.1%, with Morningstar delivering the biggest beat at 2.9% on revenues of $644.8 million. FactSet posted the slowest revenue growth of the group at 6.4% to $622.9 million, while Moody's and MSCI reported revenues of $2.08 billion and $850.8 million, respectively. CME Group's stock has fallen 13.6% since reporting, contrasting with gains for FactSet, Moody's, and MSCI.

FactSet Research Systems shares have risen 9.9% over the past three months, outpacing the industry's 8.4% gain. The company's organic Annual Subscription Value increased 7.1% year over year to $2.48 billion in the third quarter of fiscal 2026, its fastest growth since the first quarter of fiscal 2024. More than 90% of FactSet's top 50 clients now use four or more AI solutions, and the company has formed strategic partnerships with Google Cloud and others to expand AI capabilities. However, operating margin declined to 26.7% from 33.2% a year ago due to investments in compensation, cloud infrastructure, and AI tools. FactSet carries a Zacks Rank of 3, or Hold.

Several companies posted gains after reporting quarterly earnings that exceeded analyst expectations. General Mills jumped 8.5% after fourth-quarter fiscal 2026 earnings of $0.95 per share beat the Zacks Consensus Estimate of $0.82. FactSet Research Systems rose 6.7% as third-quarter fiscal 2026 earnings of $4.53 per share topped the $4.44 estimate. MSC Industrial Direct gained 3.7% after third-quarter fiscal 2026 earnings of $1.43 per share surpassed the $1.28 estimate. UniFirst advanced 0.8% following third-quarter 2026 earnings of $2.17 per share, above the $1.93 estimate.

FactSet reported third-quarter fiscal 2026 organic annual subscription value growth of 7.1% to $2.48 billion, marking its fifth consecutive quarter of acceleration. Adjusted operating margin was 34%, reflecting deliberate investments, while adjusted diluted earnings per share rose 6.1% to $4.53. CEO Sanoke Viswanathan highlighted that over 90% of the top 50 clients now use four or more FactSet AI solutions, and clients using AI saw 50% higher ASV growth than the rest of the book. The company also announced a strategic partnership with Google Cloud to enhance its workstation with AI capabilities and expand distribution. FactSet reaffirmed its full-year guidance and said it is tracking toward the high end of its revenue and EPS ranges.

FactSet Research reported revenue of $622.92 million for the quarter ended May 2026, a 6.4% increase from the same period last year and 0.93% above the Zacks Consensus Estimate of $617.19 million. Earnings per share came in at $4.53, compared to $4.27 a year ago and surpassing the consensus estimate of $4.44 by 2.09%. Total Annual Subscription Value reached $2.48 billion, exceeding the $2.44 billion average analyst projection. International revenues from clients in EMEA and Asia Pacific were $215.7 million, up 5.2% year over year and ahead of the $212.71 million estimate, while US client revenues rose 7% to $407.2 million, topping the $403.21 million consensus.

Financial data firm FactSet reported third-quarter profit above Wall Street estimates, buoyed by growth in subscriptions. The Norwalk, Connecticut-based company posted adjusted earnings per share of $4.53 for the quarter ended May 31, above analysts' average estimate of $4.46, according to data compiled by LSEG. Organic annual subscription value, a measure of expected revenue for the next 12 months from all client subscriptions, rose 7.1% to $2.49 billion as of May 31. FactSet reaffirmed its fiscal 2026 outlook for all financial metrics, though its operating margin dropped to 26.7% from 33.2% a year ago, largely driven by higher employee compensation costs. FactSet shares were down 1.8% in premarket trading and have shed over 20% so far this year.

FactSet Research Systems reaffirmed its annual guidance for fiscal 2026. The company still expects net income of $14.85 to $15.35 per share, with adjusted profit of $17.25 to $17.75 per share, on revenue of $2.450 billion to $2.470 billion. For fiscal 2025, FactSet reported net income of $15.55 per share, adjusted earnings of $16.98 per share, and revenue of $2.321 billion.

FactSet Research Systems announced a strategic partnership with Google Cloud to create AI-powered solutions for the financial industry. The collaboration aims to deliver agentic experiences across the investment and deal-making lifecycles, addressing growing demand for workflow-specific agentic solutions from financial firms. FactSet CEO Sanoke Viswanathan stated that the partnership will put trusted financial data and advanced AI capabilities to work, empowering clients with more intuitive, connected, and intelligent agents.

Shares of FactSet surged 9.4% after the company announced the limited release of Portfolio Analytics MCP, a new AI-powered tool that integrates portfolio analytics into conversational AI workflows for investment teams. The launch positions FactSet to benefit from rising demand for AI solutions in financial markets. The move also comes ahead of the company's upcoming third-quarter earnings report, with analysts expecting revenue of approximately $617.2 million, a 5.4% increase year-over-year, and earnings per share of $4.44, up 4% from the prior year. FactSet's stock has been volatile, with 21 moves greater than 5% over the past year, and remains down 19.4% year-to-date, trading 49% below its 52-week high of $450.30.

FactSet announced the limited release of the FactSet Portfolio Analytics MCP, bringing governed portfolio analytics into conversational and agentic AI workflows. The new tool provides buy-side investment professionals with broader access to pre-calculated performance, attribution and risk insights through natural language interfaces, without rebuilding data pipelines or compromising governance. It serves as an additional distribution method for analytics already in use, delivering audit-ready, book-of-record results inside clients' private LLM environments. The solution includes enterprise-level AI Ready Data, developer support for building proprietary agents, and seamless integration with fundamental and quantitative research. This release builds on FactSet's expanding suite of AI-ready data capabilities, including unstructured data MCP, vectorized data API, Event Hub, and Intelligent Document Service.

FactSet Research Systems currently holds a Zacks Rank #2 (Buy) and a Value grade of A, signaling it may be undervalued. The stock trades at a P/E ratio of 15.56, below its industry average of 18.27, and its forward P/E has ranged from 15.56 to 28.30 over the past 52 weeks. Its P/S ratio stands at 3.28 versus an industry average of 3.4, while its P/CF ratio of 14.04 compares favorably to the industry's 20.37. These metrics, combined with a strong earnings outlook, suggest FactSet Research Systems is a compelling value opportunity.

FactSet Research Systems is leveraging its recurring revenue model and AI integration to drive growth, though rising costs and stiff competition weigh on margins. Organic Annual Subscription Value reached $2,449.1 million in the last reported quarter, up 6.7% year over year, fueled by data solutions and workstations across all regions. The company is deploying AI internally, with coding assistants generating nearly one-fifth of successful code commits, and completed acquisitions of idaciti, LiquidityBook, and LogoIntern to enhance client workflows. As of February 28, 2026, free cash flow stood at $186 million and cash at $285 million with no current debt, while the current ratio of 1.43 exceeded the industry average of 1.01. However, second-quarter fiscal 2026 operating margin fell to 30.3% from 32.5% a year ago, and management maintained full-year adjusted operating margin guidance of 34-35.5%, reflecting continued investment in compensation, cloud, and AI. The company faces intense competition from Bloomberg, Thomson Reuters, S&P Global Market Intelligence, MSCI, Morningstar, BlackRock Solutions, and RIMES Technologies, which limits pricing power and pressures market share.

FactSet Research Systems reported second-quarter 2026 revenue and adjusted earnings per share that exceeded Wall Street estimates, reinforcing its profile as a consistently growing dividend payer. The company raised its dividend to $1.16 per share in May 2026, signaling confidence in cash generation despite higher technology and cloud expenses. FactSet's narrative projects $2.8 billion in revenue and $712.8 million in earnings by 2029, requiring 5.5% annual revenue growth and a roughly $125 million increase from the current $587.8 million in earnings. Some analysts had previously assumed revenue growth of about 4.5% and earnings near $666.2 million by 2028, but the earnings beat could shift those more pessimistic views on margins and AI competition.

FactSet Research Systems, a Norwalk-based business services company, currently pays a quarterly dividend of $1.16 per share, yielding 2.03% compared to the Business-Information Services industry average of 0.92% and the S&P 500's 1.44%. The company's annualized dividend of $4.64 represents an 8.4% increase over last year, and it has raised its dividend five times in the past five years for an average annual increase of 8.04%. FactSet's payout ratio stands at 25% of trailing twelve-month earnings, and the Zacks Consensus Estimate projects fiscal 2026 earnings of $17.66 per share, a 4% rise from the prior year. The stock carries a Zacks Rank of #2 (Buy).

PurePlay ETFs has launched the PurePlay NVIDIA Ecosystem Picks & Shovels Index ETF, the first US-listed ETF designed to provide end-to-end exposure to the NVIDIA value chain under a single ticker. Trading under the symbol NVPS, the fund tracks the Solactive Nvidia Picks & Shovels Index and uses FactSet supply chain data to identify companies that derive at least 50% of revenue from NVIDIA-related activities. Holdings are organized across six pillars—raw materials, tools, fabrication, packaging, infrastructure, and connectivity—and are weighted by their level of involvement and criticality. Founder Joseph DeYonker said the ETF offers a targeted alternative to broad AI funds that may dilute the theme and leveraged single-stock products that carry elevated risk. NVPS is the inaugural fund from PurePlay ETFs, a thematic issuer focused on precision-engineered, data-driven exposure to the ecosystems shaping the global economy.