FactSet price target raised to $503 from $464 at RBC Capital

RBC Capital analyst Ashish Sabadra raised the firm’s price target on FactSet to $503 from $464 and keeps a Sector Perform rating on the shares. The company’s Annual Subscription Value – or ASV – growth could moderate in Q1 due to seasonality, tight budgets, and potential attrition, while lower pricing dollars could also weigh on ASV growth in Q2, but growth could improve in the second half of FY25, driven by competitive wins, asset management budgets opening up, and capital market recovery, driving more investment banking hiring, the analyst tells investors in a research note. RBC adds that FactSet’s November investor day could guide 50-75bps of annual margin expansion and low-double-digit EPS growth annually in the mid-term.