S&P Global tops Q3 revenue estimates, raises FY growth outlook
Overview
Financial data provider's Q3 revenue rose 7%, beating analyst expectations
Adjusted EPS for Q3 increased 9% and beat analyst expectations
Company launched strategic review for Capital IQ and associated data businesses
Outlook
S&P Global raises 2026 revenue growth outlook to 7.4%-8.4% from 5.9%-7.9%
Company expects 2026 adjusted diluted EPS of $17.70 to $17.95, above prior guidance
S&P Global continues to expect over $7 bln in share repurchases in 2026
Result Drivers
INDICES AND MARKET INTELLIGENCE - Co said revenue growth was primarily driven by Indices and Market Intelligence divisions
GAIN ON DISPOSITION - Higher GAAP net income was driven by growth in operating profit, including the benefit from a gain on disposition in Energy
MARGIN EXPANSION - Adjusted operating margin improvement was driven by growth and margin expansion in Indices and Market Intelligence divisions
Company press release: Full Story
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Revenue | Beat | $3.68 bln | $3.64 bln (20 Analysts) |
Q3 Adjusted EPS | Beat | $4.58 | $4.43 (22 Analysts) |
Q3 EPS | $4.45 | ||
Q3 Adjusted Net Income | $1.34 bln | ||
Q3 Net Income | $1.3 bln |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 24 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the professional information services peer group is "buy"
Wall Street's median 12-month price target for S&P Global Inc. is $515.05, about 14.3% above its October 26 closing price of $450.65
The stock recently traded at 23 times the next 12-month earnings vs. a P/E of 18 three months ago
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)