The quarterly results for SS&C Technologies Holdings, Inc. (NASDAQ:SSNC) were released last week, making it a good time to revisit its performance. It looks like the results were a bit of a negative overall. While revenues of US$1.5b were in line with analyst predictions, statutory earnings were less than expected, missing estimates by 2.5% to hit US$0.65 per share. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.
See our latest analysis for SS&C Technologies Holdings
After the latest results, the eleven analysts covering SS&C Technologies Holdings are now predicting revenues of US$6.16b in 2025. If met, this would reflect a credible 6.9% improvement in revenue compared to the last 12 months. Per-share earnings are expected to step up 17% to US$3.34. Before this earnings report, the analysts had been forecasting revenues of US$6.10b and earnings per share (EPS) of US$3.37 in 2025. So it's pretty clear that, although the analysts have updated their estimates, there's been no major change in expectations for the business following the latest results.
The analysts reconfirmed their price target of US$84.57, showing that the business is executing well and in line with expectations. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. The most optimistic SS&C Technologies Holdings analyst has a price target of US$92.00 per share, while the most pessimistic values it at US$70.00. This is a very narrow spread of estimates, implying either that SS&C Technologies Holdings is an easy company to value, or - more likely - the analysts are relying heavily on some key assumptions.
Of course, another way to look at these forecasts is to place them into context against the industry itself. We can infer from the latest estimates that forecasts expect a continuation of SS&C Technologies Holdings'historical trends, as the 5.5% annualised revenue growth to the end of 2025 is roughly in line with the 4.8% annual growth over the past five years. Compare this with the broader industry, which analyst estimates (in aggregate) suggest will see revenues grow 5.7% annually. So although SS&C Technologies Holdings is expected to maintain its revenue growth rate, it's only growing at about the rate of the wider industry.
The most important thing to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. Happily, there were no real changes to revenue forecasts, with the business still expected to grow in line with the overall industry. The consensus price target held steady at US$84.57, with the latest estimates not enough to have an impact on their price targets.
With that in mind, we wouldn't be too quick to come to a conclusion on SS&C Technologies Holdings. Long-term earnings power is much more important than next year's profits. At Simply Wall St, we have a full range of analyst estimates for SS&C Technologies Holdings going out to 2026, and you can see them free on our platform here..
You should always think about risks though. Case in point, we've spotted 2 warning signs for SS&C Technologies Holdings you should be aware of, and 1 of them is a bit concerning.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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