Jersey City, New Jersey-based Verisk Analytics, Inc. (VRSK) provides data analytics and technology solutions to the insurance markets. Valued at a market cap of $39.4 billion, the company offers policy language, prospective loss costs, policy writing and rating rules, and various underwriting solutions. It is expected to announce its fiscal Q4 earnings results on Wednesday, Feb. 19.
Ahead of this event, analysts expect the consulting company to report a profit of $1.60 per share, up 14.3% from $1.40 per share in the year-ago quarter. The company has surpassed Wall Street’s earnings estimates in three of the last four quarters while missing on another occasion. In Q3, VRSK’s adjusted EPS of $1.67 outpaced the consensus estimates by a margin of 4.4%.
For fiscal 2024, analysts expect Verisk Analytics to report an EPS of $6.63, up 16.1% from a profit of $5.71 in fiscal 2023.
Shares of VRSK have gained 14.7% over the past 52 weeks, underperforming both the S&P 500 Index’s ($SPX) 25.5% rise, and the Industrial Select Sector SPDR Fund’s (XLI) 23.8% return over the same time frame.
On Oct. 30, shares of VRSK surged 4.5% after its Q3 earnings release as the company delivered better-than-expected Q3 adjusted earnings of $1.67 per share and revenues of $725.3 million. Moreover, the top line grew 7% year-over-year, while the bottom line climbed 9% from the year-ago quarter. Strong subscription revenue growth of 9.1% aided the results. Adjusted EBITDA margin expanded by 120 bps annually, highlighting Verisk’s strong revenue growth and cost discipline. This might have further bolstered investor confidence.
Wall Street analysts are moderately optimistic about VRSK’s stock, with a “Moderate Buy” rating overall. Among 18 analysts covering the stock, six recommend “Strong Buy,” two recommend “Moderate Buy,” and 10 indicate “Hold.” This configuration is slightly less bullish than three months ago, with seven analysts suggesting a “Strong Buy” rating.
The mean price target for Verisk Analytics is $296.88 which indicates a modest 6.3% potential upside from the current levels.
On the date of publication,
did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy
here.
More news from Barchart