Business advisory firm FTI Consulting (NYSE:FCN) will be reporting results this Thursday morning. Here’s what you need to know.
FTI Consulting missed analysts’ revenue expectations by 0.9% last quarter, reporting revenues of $898.3 million, down 3.3% year on year. It was a strong quarter for the company, with a solid beat of analysts’ EPS estimates.
Is FTI Consulting a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting FTI Consulting’s revenue to decline 3.9% year on year to $912.3 million, a reversal from the 9.8% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.90 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. FTI Consulting has missed Wall Street’s revenue estimates three times over the last two years.
Looking at FTI Consulting’s peers in the professional services segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Concentrix delivered year-on-year revenue growth of 1.5%, beating analysts’ expectations by 1.2%, and ManpowerGroup reported flat revenue, topping estimates by 3.6%. Concentrix traded down 6.3% following the results while ManpowerGroup’s stock price was unchanged.
Read our full analysis of Concentrix’s results here and ManpowerGroup’s results here.
There has been positive sentiment among investors in the professional services segment, with share prices up 5.1% on average over the last month. FTI Consulting is up 2.6% during the same time and is heading into earnings with an average analyst price target of $178 (compared to the current share price of $165.24).
Today’s young investors won’t have read the timeless lessons in Gorilla Game: Picking Winners In High Technology because it was written more than 20 years ago when Microsoft and Apple were first establishing their supremacy. But if we apply the same principles, then enterprise software stocks leveraging their own generative AI capabilities may well be the Gorillas of the future. So, in that spirit, we are excited to present our Special Free Report on a profitable, fast-growing enterprise software stock that is already riding the automation wave and looking to catch the generative AI next.
StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here.