Strong Q1 Performance and Positive Outlook Justify Buy Rating for CRA International

Analyst Kevin Steinke of Barrington reiterated a Buy rating on Cra International (CRAI – Research Report), boosting the price target to $228.00.

Kevin Steinke’s rating is based on the strong financial performance of CRA International in the first quarter of 2025, where revenue increased by 6% year-over-year, surpassing both the firm’s and market expectations. The company saw significant growth in several consulting practices, including Energy, Finance, Intellectual Property, and Life Sciences, while its largest practice, Antitrust & Competition Economics, achieved record quarterly revenue. The improved demand trends throughout the quarter and increased project lead flow further support the positive outlook.
Moreover, CRA International’s non-GAAP EBITDA rose by 11% year-over-year, exceeding estimates, and the EBITDA margin expanded due to higher consultant utilization rates. The company’s management reaffirmed its favorable guidance for fiscal year 2025, projecting revenue growth and maintaining strong profit margins. These factors, along with the increased price target of $228, which suggests a 19% upside potential, underpin Steinke’s Buy rating for CRA International’s stock.

Based on the recent corporate insider activity of 49 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of CRAI in relation to earlier this year.