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SS&C Technologies Holdings, Inc. (NASDAQ:SSNC) Third-Quarter Results: Here's What Analysts Are Forecasting For Next Year
As you might know, SS&C Technologies Holdings, Inc. (NASDAQ:SSNC) recently reported its quarterly numbers. 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. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. 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
Taking into account the latest results, the consensus forecast from SS&C Technologies Holdings' eleven analysts is for revenues of US$6.16b in 2025. This reflects an okay 6.9% improvement in revenue compared to the last 12 months. Per-share earnings are expected to climb 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. The consensus analysts don't seem to have seen anything in these results that would have changed their view on the business, given there's been no major change to their estimates.
There were no changes to revenue or earnings estimates or the price target of US$84.57, suggesting that the company has met expectations in its recent result. 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. There are some variant perceptions on SS&C Technologies Holdings, with the most bullish analyst valuing it at US$92.00 and the most bearish at US$70.00 per share. Even so, with a relatively close grouping of estimates, it looks like the analysts are quite confident in their valuations, suggesting SS&C Technologies Holdings is an easy business to forecast or the the analysts are all using similar assumptions.
Of course, another way to look at these forecasts is to place them into context against the industry itself. The period to the end of 2025 brings more of the same, according to the analysts, with revenue forecast to display 5.5% growth on an annualised basis. That is in line with its 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 Bottom Line
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. We have estimates - from multiple SS&C Technologies Holdings analysts - going out to 2026, and you can see them free on our platform here.
Don't forget that there may still be risks. For instance, we've identified 2 warning signs for SS&C Technologies Holdings (1 can't be ignored) you should be aware of.
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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.
About NasdaqGS:SSNC
SS&C Technologies Holdings
Provides software products and software-enabled services to financial services and healthcare industries.
Undervalued with solid track record and pays a dividend.