Back to top

Image: Bigstock

MSCI to Report Fourth-Quarter Earnings: What's in the Cards?

Read MoreHide Full Article

MSCI (MSCI - Free Report) is set to report fourth-quarter 2021 results on Jan 27, 2022.

The Zacks Consensus Estimate for fourth-quarter earnings has increased 1.2% to $2.52 per share over the past 30 days, suggesting 28.6% growth from the figure reported in the year-ago quarter.

The consensus mark for revenues is pegged at $540 million, indicating an increase of 21.7% from the year-ago quarter’s reported figure.

Notably, the company’s earnings beat the Zacks Consensus Estimate in three of the trailing four quarters, missing the same in one, the earnings surprise being 4.6%, on average.
 

MSCI Inc Price and EPS Surprise

MSCI Inc Price and EPS Surprise

MSCI Inc price-eps-surprise | MSCI Inc Quote

Let’s see how things are shaping up for the upcoming announcement.

Factors to Note

MSCI’s fourth-quarter 2021 results are expected to have benefited from the increasing uptake of ESG solutions in the investment process. Top-line growth is expected to reflect strong demand for custom and factor index modules.

The company’s focus on expanding into new areas like wealth management, insurers, derivatives, and ESG & climate is expected to have driven growth in customer base in fourth-quarter 2021.

MSCI’s strong recurring-revenue model has been a key catalyst. The Zacks Consensus Estimate for Index Recurring Subscription Run Rate is pegged at $668 million, indicating growth of 11.5% from the figure reported in the year-ago quarter.

Notably, assets under management in Equity ETFs linked to MSCI indexes were $1.45 trillion at the end of fourth-quarter 2021.

What Our Model Says

Per the Zacks model, the combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here.

MSCI has an Earnings ESP of 0.00% and a Zacks Rank #2. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Stocks to Consider   

Here are a few other companies worth considering as our model shows that these have the right combination of elements to beat on earnings in their upcoming releases:

Advanced Micro Devices (AMD - Free Report) has an Earnings ESP of +3.47% and is Zacks #2 Ranked. You can see the complete list of today’s Zacks #1 Rank stocks here.

AMD shares have outperformed the Zacks Computer & Technology sector in the past year. AMD returned 23.7% compared with sector’s rally of 3.9%. The company is set to report fourth-quarter 2021 on Feb 1, 2022.

Apple (AAPL - Free Report) has an Earnings ESP of +2.89% and carries a Zacks Rank of 3, at present.

Apple returned 13% in the past year. The iPhone-maker is set to report first-quarter fiscal 2022 results on Jan 27, 2022.

Fabrinet (FN - Free Report) has an Earnings ESP of +0.91% and a Zacks Rank #3.

Fabrinet returned 34.3% in the past year. Fabrinet is set to report second-quarter fiscal 2022 results on Jan 31, 2022.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.


See More Zacks Research for These Tickers


Pick one free report - opportunity may be withdrawn at any time


Apple Inc. (AAPL) - free report >>

Advanced Micro Devices, Inc. (AMD) - free report >>

MSCI Inc (MSCI) - free report >>

Fabrinet (FN) - free report >>

Published in