Zacks Investment Research cut shares of FTI Consulting (NYSE:FCN) from a buy rating to a hold rating in a research report released on Wednesday morning.
According to Zacks, “FTI Consulting has elected few highly qualified executive officers for improving its operational performance in the long term. Acquisitions on a global basis in high-growth segments and significant investments in technology are likely to fuel growth. FTI Consulting’s unique capabilities of bringing together damage assessment, accounting, economics, statistics, finance and industry under a single umbrella make it an excellent partner for global clients dealing with international arbitration issues. However, the company is highly exposed to foreign exchange rate risks and pricing pressure due to the Brexit referendum. Despite improving corporate earnings, clients’ spending patterns remained cautious, given the concerns over the current environment, volatile financial markets and a lack of visibility regarding the impact of future tax and regulatory policies. FTI Consulting has also underperformed the industry year to date.”
Separately, TheStreet upgraded shares of FTI Consulting from a c rating to a b rating in a research note on Thursday, October 26th. One analyst has rated the stock with a sell rating and three have assigned a hold rating to the company. FTI Consulting currently has a consensus rating of Hold and a consensus price target of $44.33.
FTI Consulting (NYSE:FCN) last announced its earnings results on Thursday, October 26th. The business services provider reported $0.83 earnings per share for the quarter, beating the consensus estimate of $0.59 by $0.24. The business had revenue of $448.96 million during the quarter, compared to the consensus estimate of $446.63 million. FTI Consulting had a net margin of 2.70% and a return on equity of 6.12%. The business’s quarterly revenue was up 2.5% compared to the same quarter last year. During the same period in the prior year, the firm earned $0.52 earnings per share. analysts anticipate that FTI Consulting will post 2.06 EPS for the current fiscal year.
FTI Consulting declared that its Board of Directors has authorized a stock repurchase plan on Monday, December 4th that permits the company to repurchase $100.00 million in shares. This repurchase authorization permits the business services provider to repurchase shares of its stock through open market purchases. Stock repurchase plans are typically a sign that the company’s management believes its shares are undervalued.
Several hedge funds have recently made changes to their positions in the company. Amalgamated Bank boosted its stake in FTI Consulting by 0.6% during the 2nd quarter. Amalgamated Bank now owns 5,870 shares of the business services provider’s stock valued at $205,000 after acquiring an additional 37 shares during the last quarter. Northwestern Mutual Investment Management Company LLC boosted its stake in FTI Consulting by 0.8% during the 2nd quarter. Northwestern Mutual Investment Management Company LLC now owns 7,155 shares of the business services provider’s stock valued at $291,000 after acquiring an additional 56 shares during the last quarter. Comerica Bank boosted its stake in FTI Consulting by 0.8% during the 2nd quarter. Comerica Bank now owns 32,062 shares of the business services provider’s stock valued at $1,061,000 after acquiring an additional 270 shares during the last quarter. Arizona State Retirement System boosted its stake in FTI Consulting by 1.8% during the 2nd quarter. Arizona State Retirement System now owns 17,400 shares of the business services provider’s stock valued at $608,000 after acquiring an additional 300 shares during the last quarter. Finally, Public Employees Retirement System of Ohio boosted its stake in FTI Consulting by 12.8% during the 2nd quarter. Public Employees Retirement System of Ohio now owns 4,698 shares of the business services provider’s stock valued at $164,000 after acquiring an additional 533 shares during the last quarter. Institutional investors and hedge funds own 97.19% of the company’s stock.
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About FTI Consulting
FTI Consulting, Inc is a business advisory company. The Company operates through five segments: Corporate Finance & Restructuring, Forensic and Litigation Consulting, Economic Consulting, Technology and Strategic Communications. The Company provides advice and services, such as restructuring (including bankruptcy), capital formation and indebtedness, interim business management, performance improvements, forensic accounting and litigation matters, international arbitrations, mergers and acquisitions (M&A), antitrust and competition matters, securities litigation, electronic discovery (or e-discovery), management and retrieval of electronically stored information (ESI), reputation management and strategic communications.
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