Analyst Consensus ?
ConsensusHold29 ratings
Bullish26.9%
Neutral2069.0%
Bearish724.1%
FactSet Research Systems Inc. · FDS · FY2026 Q3 · Calendar Q3 2026
FactSet Q3 FY2026: AI-Driven ASV Growth Accelerates as Margins Absorb Strategic Investment
FactSet's Q3 FY2026 results show organic ASV growth accelerating to 7.1% ($2.48B), up from 6.7% in Q2, driven by broad AI adoption and a shift toward longer-term enterprise agreements. Adjusted EPS of $4.53 beat consensus by 2.0% and revenue of $622.9M exceeded estimates by 0.8%. The stock surged 6.9% on the report with continued positive drift of 7.1% on nearly 2x baseline volume. Management maintained full-year guidance rather than raising again, signaling confidence in the trajectory while absorbing 300 bps of deliberate margin compression from investments in AI infrastructure, talent, and token costs. The central question is whether near-term margin pressure translates into durable revenue growth as AI-related products scale and the company approaches its Investor Day with a medium-term plan.
Reported Before market openNYSEFinancial Services
$9.35B market cap
100quality score
Company context
Snapshot as of publicationFactSet Research Systems Inc. is a financial intelligence firm providing a comprehensive suite of integrated data and analytical software. The company serves the global investment community, with its operations spanning the Americas, Europe, the Middle East, Africa, and the Asia Pacific region. FactSet delivers critical insights and information through specialized workflow solutions covering research, analytics, and trading, complemented by its content, technology platforms, and wealth management resources. Its diverse clientele includes portfolio managers, investment banks, asset managers, wealth advisors, corporate entities, and various other financial sector organizations. FactSet was established in 1978 and is headquartered in Norwalk, Connecticut.
Earnings scorecard
Reported versus consensus
Reported EPS
$4.53
Consensus $4
EPS surprise
+2.0%
Reported versus consensus
Reported revenue
$622.9M
Consensus $617.9M
Revenue surprise
+0.8%
Reported versus consensus
Earnings History
Estimate
Beat
Miss
Match
Analyst 52W Price Targets
$263.2Current
$210Low
$341.93Average
$521High
Latest persisted target per named analyst; persisted current price from FN2's market snapshot as of Jul 31, 2026. Not an FN2 forecast.
Firm-level rating actions
FMP grade actions identify the grading firm, not a named analyst.
| Firm | Rating | Prior rating | Action | Date |
|---|---|---|---|---|
| Barclays | Underweight | Underweight | Maintain | Jul 6, 2026 |
| Wolfe Research | Underperform | Underperform | Maintain | Jul 2, 2026 |
| Wells Fargo | Underweight | Underweight | Maintain | Jul 2, 2026 |
| UBS | Buy | Buy | Maintain | Jul 2, 2026 |
| RBC Capital | Sector Perform | Sector Perform | Maintain | Jul 2, 2026 |
| Morgan Stanley | Equal Weight | Equal Weight | Maintain | Jul 2, 2026 |
| Jefferies | Hold | Hold | Maintain | Jul 2, 2026 |
| Evercore ISI Group | In Line | In Line | Maintain | Jul 2, 2026 |
| Deutsche Bank | Hold | Hold | Maintain | Jul 2, 2026 |
| BMO Capital | Market Perform | Market Perform | Maintain | Jul 2, 2026 |
| B of A Securities | Underperform | Underperform | Maintain | Jul 2, 2026 |
| Goldman Sachs | Sell | Sell | Maintain | Apr 1, 2026 |
| Stifel | Hold | Hold | Maintain | Dec 19, 2025 |
| Rothschild & Co | Neutral | Sell | Upgrade | Sep 12, 2025 |
| Raymond James | Market Perform | Underperform | Upgrade | Jun 26, 2025 |
| Redburn Atlantic | Sell | Neutral | Downgrade | Oct 9, 2024 |
| Oppenheimer | Perform | Perform | Maintain | Mar 22, 2024 |
| Redburn Partners | Neutral | Sell | Upgrade | Mar 28, 2023 |
| Credit Suisse | Outperform | Neutral | Upgrade | Jan 12, 2023 |
| Cantor Fitzgerald | Neutral | Neutral | Maintain | Mar 27, 2020 |
| Stifel Nicolaus | Hold | Hold | Maintain | Sep 27, 2019 |
| Bank of America | Underperform | Neutral | Downgrade | Sep 27, 2019 |
| DA Davidson | Neutral | Neutral | Maintain | Jun 17, 2019 |
| Northcoast Research | Neutral | Buy | Downgrade | Dec 5, 2017 |
| Piper Sandler | Neutral | Neutral | Maintain | Jun 17, 2015 |
| BTIG Research | Neutral | Sell | Upgrade | Jun 17, 2015 |
| BTIG | Neutral | Sell | Upgrade | Jun 17, 2015 |
| PiperJaffray | Neutral | Overweight | Downgrade | Sep 17, 2014 |
| JP Morgan | Neutral | Neutral | Maintain | Mar 14, 2012 |
Named analyst price targets
Upside is calculated against the persisted current price $263.2. FMP does not supply a rating on these named-analyst rows.
| Firm | Analyst | 52W target | Price when posted | Upside | Date |
|---|---|---|---|---|---|
| Barclays | Analyst unavailable | $216 | $250.09 | -17.9% | Jul 6, 2026 |
| Jefferies | Analyst unavailable | $253 | $249.66 | -3.9% | Jul 2, 2026 |
| Deutsche Bank | Analyst unavailable | $280 | $247.25 | +6.4% | Jul 2, 2026 |
| UBS | Alex Kramm | $340 | $247.47 | +29.2% | Jul 2, 2026 |
| Evercore ISI | Analyst unavailable | $275 | $247.99 | +4.5% | Jul 2, 2026 |
| BMO Capital | Analyst unavailable | $275 | $245.55 | +4.5% | Jul 2, 2026 |
| UBS | Analyst unavailable | $230 | $245.55 | -12.6% | Jul 2, 2026 |
| Wells Fargo | Analyst unavailable | $210 | $245.55 | -20.2% | Jul 2, 2026 |
| Wolfe Research | Analyst unavailable | $240 | $245.55 | -8.8% | Jul 1, 2026 |
| Stifel Nicolaus | Analyst unavailable | $254 | $245.55 | -3.5% | Jul 1, 2026 |
| Redburn Partners | Analyst unavailable | $215 | $228.3 | -18.3% | Jun 18, 2026 |
| RBC Capital | Ashish Sabadra | $240 | $230.92 | -8.8% | May 27, 2026 |
| Barclays | Analyst unavailable | $210 | $195.05 | -20.2% | Feb 23, 2026 |
| Wells Fargo | Analyst unavailable | $215 | $222.62 | -18.3% | Feb 4, 2026 |
| Evercore ISI | Analyst unavailable | $321 | $295.8 | +22.0% | Jan 8, 2026 |
| BMO Capital | Jeffrey Silber | $305 | $288.54 | +15.9% | Dec 22, 2025 |
| Stifel Nicolaus | Analyst unavailable | $295 | $273.39 | +12.1% | Dec 19, 2025 |
| Goldman Sachs | Analyst unavailable | $253 | $273.39 | -3.9% | Dec 19, 2025 |
| Jefferies | Surinder Thind | $305 | $273.39 | +15.9% | Dec 19, 2025 |
| Morgan Stanley | Toni Kaplan | $307 | $293 | +16.6% | Dec 17, 2025 |
| Wolfe Research | Scott Wurtzel | $290 | $277.94 | +10.2% | Nov 14, 2025 |
| BMO Capital | Jeffrey Silber | $324 | $301.23 | +23.1% | Sep 19, 2025 |
| Morgan Stanley | Toni Kaplan | $293 | $301.23 | +11.3% | Sep 19, 2025 |
| Barclays | Manav Patnaik | $300 | $301.23 | +14.0% | Sep 19, 2025 |
| Wells Fargo | Analyst unavailable | $296 | $301.23 | +12.5% | Sep 18, 2025 |
| Evercore ISI | Analyst unavailable | $394 | $361.76 | +49.7% | Sep 10, 2025 |
| UBS | Analyst unavailable | $452 | $437.6 | +71.7% | Jun 24, 2025 |
| UBS | Analyst unavailable | $393 | $437.6 | +49.3% | Jun 24, 2025 |
| Wells Fargo | Analyst unavailable | $405 | $437.6 | +53.9% | Jun 24, 2025 |
| UBS | Analyst unavailable | $466 | $432.11 | +77.1% | Mar 24, 2025 |
| UBS | Analyst unavailable | $390 | $432.86 | +48.2% | Mar 21, 2025 |
| Wells Fargo | Analyst unavailable | $450 | $440.73 | +71.0% | Mar 7, 2025 |
| BMO Capital | Jeff Silber | $521 | $483.69 | +97.9% | Nov 15, 2024 |
| Evercore ISI | David Motemeden | $470 | $454.98 | +78.6% | Oct 1, 2024 |
| RBC Capital | Ashish Sabadra | $503 | $469.48 | +91.1% | Sep 20, 2024 |
| Wells Fargo | Jason Hass | $503 | $469.48 | +91.1% | Sep 20, 2024 |
| BMO Capital | Jeff Silber | $440 | $457.8 | +67.2% | Sep 19, 2024 |
| Wolfe Research | Scott Wurtzel | $410 | $458.65 | +55.8% | Sep 19, 2024 |
| Wells Fargo | Jason Haas | $435 | $397.04 | +65.3% | Aug 12, 2024 |
| Barclays | Manav Patnaik | $390 | $416.14 | +48.2% | Jul 23, 2024 |
| UBS | Alex Kramm | $455 | $434.34 | +72.9% | Jun 24, 2024 |
| UBS | Ashish Sabadra | $464 | $434.72 | +76.3% | Jun 24, 2024 |
| Deutsche Bank | Faiza Alwy | $461 | $434.97 | +75.2% | Jun 24, 2024 |
| Morgan Stanley | Toni Kaplan | $355 | $423.73 | +34.9% | Jun 23, 2024 |
| Stifel Nicolaus | Shlomo Rosenbaum | $469 | $408.35 | +78.2% | Jun 21, 2024 |
| Morgan Stanley | Toni Kaplan | $350 | $404.26 | +33.0% | Jun 3, 2024 |
| Wolfe Research | Scott Wurtzel | $430 | $428.67 | +63.4% | Apr 11, 2024 |
| BMO Capital | Jeff Silber | $458 | $447.46 | +74.0% | Mar 22, 2024 |
| Barclays | Manav Patnaik | $460 | $450.66 | +74.8% | Mar 21, 2024 |
| RBC Capital | Ashish Sabadra | $464 | $459.1 | +76.3% | Dec 18, 2023 |
| Deutsche Bank | George Hill | $454 | $423.34 | +72.5% | Jun 22, 2023 |
| Credit Suisse | Analyst unavailable | $500 | $412.82 | +90.0% | Jan 12, 2023 |
| Deutsche Bank | Analyst unavailable | $477 | $403.76 | +81.2% | Dec 21, 2022 |
| Deutsche Bank | Analyst unavailable | $483 | $394.75 | +83.5% | Sep 23, 2022 |
| RBC Capital | Analyst unavailable | $500 | $452.85 | +90.0% | Aug 18, 2022 |
| RBC Capital | Ashish Sabadra | $475 | $391.15 | +80.5% | Jun 28, 2022 |
| Stifel Nicolaus | Shlomo Rosenbaum | $394 | $391.15 | +49.7% | Jun 28, 2022 |
| Deutsche Bank | Faiza Alwy | $418 | $391.15 | +58.8% | Jun 28, 2022 |
| Barclays | Manav Patnaik | $440 | $391.15 | +67.2% | Jun 28, 2022 |
| Deutsche Bank | Faiza Alwy | $402 | $348.71 | +52.7% | Jun 17, 2022 |
| RBC Capital | Ashish Sabadra | $525 | $432.14 | +99.5% | Apr 11, 2022 |
| Stifel Nicolaus | Shlomo Rosenbaum | $432 | $429.12 | +64.1% | Apr 2, 2022 |
| Goldman Sachs | George Tong | $351 | $473.84 | +33.4% | Dec 21, 2021 |
Track every rating change on FDS the moment it posts. Free to start.
Start freeMarket reaction
prior-close to event-session close
Stock move
+6.7%
Event window
SPY move
-0.1%
Same window
Abnormal move
+6.9%
Stock minus SPY
Volume
2.0×
Versus trailing sessions
Subsequent drift
+7.1%
Up to 20 sessions
FDSSPY benchmark
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Try FN2 freeTranscript intelligence
What changed
ASV growth accelerated from 6.7% in Q2 to 7.1% in Q3, the fifth consecutive quarter of sequential improvement. AI-related SKUs contributed over 10% of ASV growth. Coding agents now author 27% of committed code, up from roughly 20% in Q2, and token usage grew five-fold quarter over quarter. Enterprise contract term lengths increased approximately 30% with no price compression. Adjusted operating margin compressed 300 bps to 34% due to targeted investments including performance-based compensation, token costs, and a 60 bps FX hedge drag. Free cash flow rose 11% to $254M and share repurchases continued. The market responded with a 6.9% abnormal return on the report date, followed by 7.1% subsequent drift, on approximately 2x baseline volume. Analyst price targets as of July 31, 2026 show a consensus of $254.36 versus a current price of $263.43, suggesting the stock has moved above the mean target following the earnings reaction.
Guidance delta
Management maintained full-year FY2026 guidance for ASV, revenue, and EPS, following the raise issued in Q2 across all three metrics. The maintained stance — rather than a further raise — reflects deliberate near-term investment spending and conservative revenue-recognition timing for AI-related bookings. The prior quarter had raised guidance for ASV, revenue, and EPS while leaving operating-margin guidance unchanged.
Key takeaways
- Organic ASV growth accelerated to 7.1% to $2.48B, the fifth straight quarter of sequential improvement.
- Adjusted EPS of $4.53 beat consensus by 2.0%; revenue of $622.9M beat by 0.8%.
- AI-related SKUs contributed over 10% of ASV growth; coding agents now author 27% of committed code, up from ~20% in Q2.
- Enterprise contract terms extended ~30% on average with no price compression, improving revenue durability.
- Adjusted operating margin compressed 300 bps to 34% as management invested deliberately in AI, talent, and infrastructure.
- Free cash flow grew 11% to $254M; share repurchases continued supporting shareholder returns.
Management priorities
- Launch next-generation AI agents on the Google Gemini Enterprise platform.
- Expand the FactSet Intelligence suite across more client workflows.
- Deepen cloud integrations with Snowflake, Databricks, AWS, and Google Cloud for data mesh capabilities.
- Continue product innovation in deep sector content, private-capital data, and real-time pricing.
- Present medium-term business plan at the upcoming Investor Day.
Related earnings events
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Sources
- Earnings call transcript and parsed analysis · 2026-07-01T19:05:11.946915+00:00
- FN2 earnings calendar · 2026-07-31T01:23:16.182055+00:00
- Polygon adjusted daily market bars · 2026-07-31T19:21:13.262165+00:00
- Financial Modeling Prep analyst price-target consensus and quote snapshot · 2026-07-31T19:21:13.259338+00:00
Methodology
Reported and consensus figures come from FN2's earnings event records. Market reaction and volume are calculated from daily adjusted bars around the event; abnormal move subtracts the SPY move over the same window.
Analyst target low, average, and high values are derived at request time from each named analyst's latest persisted FMP target. The current-price marker comes from FN2's persisted market snapshot. They are sell-side estimates, not an FN2 valuation or recommendation.
Transcript intelligence is a structured synthesis of the current and prior earnings-call analyses. Missing values stay missing and are never estimated.
By FN2 Research · Updated . For educational purposes only; not investment advice.