Latest news with #HuronConsultingGroup
Yahoo
26-05-2025
- Business
- Yahoo
Huron Consulting Group (NASDAQ:HURN) Shareholders Will Want The ROCE Trajectory To Continue
Finding a business that has the potential to grow substantially is not easy, but it is possible if we look at a few key financial metrics. Amongst other things, we'll want to see two things; firstly, a growing return on capital employed (ROCE) and secondly, an expansion in the company's amount of capital employed. Ultimately, this demonstrates that it's a business that is reinvesting profits at increasing rates of return. Speaking of which, we noticed some great changes in Huron Consulting Group's (NASDAQ:HURN) returns on capital, so let's have a look. This technology could replace computers: discover the 20 stocks are working to make quantum computing a reality. If you haven't worked with ROCE before, it measures the 'return' (pre-tax profit) a company generates from capital employed in its business. The formula for this calculation on Huron Consulting Group is: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) 0.18 = US$207m ÷ (US$1.4b - US$211m) (Based on the trailing twelve months to March 2025). So, Huron Consulting Group has an ROCE of 18%. On its own, that's a standard return, however it's much better than the 14% generated by the Professional Services industry. See our latest analysis for Huron Consulting Group Above you can see how the current ROCE for Huron Consulting Group compares to its prior returns on capital, but there's only so much you can tell from the past. If you'd like, you can check out the forecasts from the analysts covering Huron Consulting Group for free. Huron Consulting Group is showing promise given that its ROCE is trending up and to the right. More specifically, while the company has kept capital employed relatively flat over the last five years, the ROCE has climbed 154% in that same time. Basically the business is generating higher returns from the same amount of capital and that is proof that there are improvements in the company's efficiencies. On that front, things are looking good so it's worth exploring what management has said about growth plans going forward. To bring it all together, Huron Consulting Group has done well to increase the returns it's generating from its capital employed. And a remarkable 226% total return over the last five years tells us that investors are expecting more good things to come in the future. With that being said, we still think the promising fundamentals mean the company deserves some further due diligence. If you'd like to know about the risks facing Huron Consulting Group, we've discovered 2 warning signs that you should be aware of. If you want to search for solid companies with great earnings, check out this free list of companies with good balance sheets and impressive returns on equity. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) 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. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
30-04-2025
- Business
- Yahoo
Huron's (NASDAQ:HURN) Q1: Beats On Revenue
Professional services firm Huron Consulting Group (NASDAQ:HURN) reported Q1 CY2025 results exceeding the market's revenue expectations , with sales up 11.2% year on year to $404.1 million. The company expects the full year's revenue to be around $1.62 billion, close to analysts' estimates. Its non-GAAP profit of $1.68 per share was 45.3% above analysts' consensus estimates. Is now the time to buy Huron? Find out in our full research report. Revenue: $404.1 million vs analyst estimates of $401 million (11.2% year-on-year growth, 0.8% beat) Adjusted EPS: $1.68 vs analyst estimates of $1.16 (45.3% beat) Adjusted EBITDA: $41.49 million vs analyst estimates of $41.47 million (10.3% margin, in line) The company reconfirmed its revenue guidance for the full year of $1.62 billion at the midpoint Management reiterated its full-year Adjusted EPS guidance of $7.20 at the midpoint Operating Margin: 8.1%, up from 5.5% in the same quarter last year Free Cash Flow was -$108.7 million compared to -$139.5 million in the same quarter last year Market Capitalization: $2.25 billion 'Driven by strong growth across all three operating segments, revenues before reimbursable expenses (RBR) grew 11% over the first quarter of 2024, while we continued to expand our margins,' said Mark Hussey, CEO and president of Huron. Founded in 2002 during a time of significant regulatory change in corporate America, Huron Consulting Group (NASDAQ:HURN) is a professional services company that helps organizations develop growth strategies, optimize operations, and implement digital transformation solutions. A company's long-term sales performance is one signal of its overall quality. Any business can put up a good quarter or two, but the best consistently grow over the long haul. With $1.56 billion in revenue over the past 12 months, Huron is a small player in the business services space, which sometimes brings disadvantages compared to larger competitors benefiting from economies of scale and numerous distribution channels. On the bright side, it can grow faster because it has more room to expand. As you can see below, Huron grew its sales at an impressive 9.7% compounded annual growth rate over the last five years. This is an encouraging starting point for our analysis because it shows Huron's demand was higher than many business services companies. Long-term growth is the most important, but within business services, a half-decade historical view may miss new innovations or demand cycles. Huron's annualized revenue growth of 13.1% over the last two years is above its five-year trend, suggesting its demand was strong and recently accelerated. This quarter, Huron reported year-on-year revenue growth of 11.2%, and its $404.1 million of revenue exceeded Wall Street's estimates by 0.8%. Looking ahead, sell-side analysts expect revenue to grow 8.6% over the next 12 months, a deceleration versus the last two years. Despite the slowdown, this projection is healthy and implies the market sees success for its products and services. Here at StockStory, we certainly understand the potential of thematic investing. Diverse winners from Microsoft (MSFT) to Alphabet (GOOG), Coca-Cola (KO) to Monster Beverage (MNST) could all have been identified as promising growth stories with a megatrend driving the growth. So, in that spirit, we've identified a relatively under-the-radar profitable growth stock benefiting from the rise of AI, available to you FREE via this link. Huron was profitable over the last five years but held back by its large cost base. Its average operating margin of 8.2% was weak for a business services business. On the plus side, Huron's operating margin rose by 8.6 percentage points over the last five years, as its sales growth gave it immense operating leverage. This quarter, Huron generated an operating profit margin of 8.1%, up 2.6 percentage points year on year. This increase was a welcome development and shows it was more efficient. We track the long-term change in earnings per share (EPS) for the same reason as long-term revenue growth. Compared to revenue, however, EPS highlights whether a company's growth is profitable. Huron's EPS grew at an astounding 19.5% compounded annual growth rate over the last five years, higher than its 9.7% annualized revenue growth. This tells us the company became more profitable on a per-share basis as it expanded. Diving into Huron's quality of earnings can give us a better understanding of its performance. As we mentioned earlier, Huron's operating margin expanded by 8.6 percentage points over the last five years. On top of that, its share count shrank by 15.4%. These are positive signs for shareholders because improving profitability and share buybacks turbocharge EPS growth relative to revenue growth. In Q1, Huron reported EPS at $1.68, up from $1.23 in the same quarter last year. This print easily cleared analysts' estimates, and shareholders should be content with the results. Over the next 12 months, Wall Street expects Huron's full-year EPS of $6.94 to grow 6.1%. We were impressed by how significantly Huron blew past analysts' EPS expectations this quarter. We were also happy its revenue narrowly outperformed Wall Street's estimates. Overall, we think this was a decent quarter with some key metrics above expectations. The stock traded up 1.9% to $138.60 immediately after reporting. Huron put up rock-solid earnings, but one quarter doesn't necessarily make the stock a buy. Let's see if this is a good investment. If you're making that decision, you should consider the bigger picture of valuation, business qualities, as well as the latest earnings. We cover that in our actionable full research report which you can read here, it's free.
Boston Globe
22-04-2025
- Politics
- Boston Globe
Harvard attracts new donors as funding fight with Trump administration intensifies
She settled on giving Harvard $1,500. 'They took a stand, and I wanted to support that in a stronger way than I would ever do,' Taylor, 42, said. 'I loved what the president of Harvard [said], how they explained what they were standing for. And I thought, 'Oh, thank goodness. Maybe this will build a movement.'' She isn't alone. In the days since the Trump administration put a hold on Harvard's funding and said it would seek to revoke the school's tax-exempt status – stakes that were further raised Monday when Harvard Advertisement In recent days, officials updated Harvard's website to focus on the school's research initiatives, whose benefits extend well beyond the student body. Suzanne Hilser-Wiles, a managing director at Huron Consulting Group who helps institutions of higher education with fundraising, said it is critical for universities like Harvard to stress their broader impacts – particularly for the wealthiest donors, who can move 'the needle more quickly.' Advertisement The smaller gifts given as a form of public protest have a different value. 'Having a really engaged constituency and having them be part of the support and the messaging … that's incredibly impactful,' Hilser-Wiles said. Many Harvard alumni have felt moved to give to their alma mater for the first time. 'I always thought, 'Oh, Harvard has so much money, they don't need me to give them money,'' said Linda Haverty Rugg, who earned a PhD in comparative literature from the school in 1989 and went on to spend five years as associate vice chancellor for research at the University of California at Berkeley. Rugg was one of few people from her Nebraska hometown to leave the Midwest for school. Thanks to Harvard's endowment, which paid for fellowships and teaching opportunities, she graduated debt-free. Eight of her relatives and her junior-high science teacher flew to Boston for the graduation ceremony. It bothers her when Harvard is characterized as elitist because she knows many graduates with stories like hers. Rugg views the $100 donation she made last week as a symbolic gesture, but hopes it will inspire others to do the same. 'You want to send a message to Harvard: 'Don't give up,'' she said. ''The people that you sent out into the world, we are here, you know, and we are ready to come and try to help you.' Below a Facebook post about her donation, a handful of Rugg's acquaintances – alumni and not – said they would also donate to Harvard for the first time. Roberto Diaz, who received his PhD in Spanish from the school in 1991, told the Globe he earmarked his $100 for two purposes: a Harvard research center near Florence where he and his late husband, also a Harvard graduate, visited while on vacation, and a bucket titled 'Presidential Priorities.' Advertisement Diaz said he has been impressed with the two lawyers retained by Harvard President Alan Garber. 'So if they want to take my little money and give it to the lawyers, I would be happy,' he said. Another new donor, a federal contractor whose business has been hurt by the Trump administration's cuts, said the president's interest in Harvard's academic policies is 'ironic' considering his work to dismantle the U.S. Department of Education. 'He did away with that, but now he wants to dictate how education is run in the country,' said the worker, who spoke on the condition of anonymity due to his position. 'I honestly am totally against that.' While Harvard's fundraising surged in 2021 and 2022, it has dipped since, and the federal funding freeze marks the latest in a string of financial hits. According to Harvard's 2024 financial report, total gifts have decreased by nearly a quarter-billion dollars since 2022, with a 15% drop from 2023 to 2024. In early 2024, hedge fund manager Ken Griffin, a Harvard grad who's donated more than $500 million dollars to the school, said he was pausing his support amid concerns over Harvard's handling of antisemitism on campus. Griffin declined to comment when asked by the Globe if his position has changed in light of the federal funding freeze. The Wall Street Journal reported that university officials have been connecting with other major donors in recent days, including businessman and politician Michael Bloomberg, investor David Rubenstein and hedge fund manager John Paulson. The three all declined to comment to the Globe. Advertisement Della Heiman, a Miami-based Jewish entrepreneur who graduated from Harvard Business School in 2014, said she admired the university's fortitude as they resisted Trump's demands, which the president attributed to the school's mishandling of antisemitism during protests and in classrooms. The granddaughter of a Holocaust survivor, Heiman has been critical of the university's response to antisemitism, but she said she believes the institution has made meaningful strides in protecting Jewish students. She views the Trump administration's financial pressure as a power grab that has 'nothing to do with the welfare of the Jewish people' and threatens the independence of a place where students can debate without feeling unsafe. 'My hope is that what comes out of this for all universities is being able to foster nuanced conversation, tolerance, openness, and curiosity, because I fear that we are losing all those concepts with this society, and it's quite terrifying,' she said The Trump administration's tactics are being felt far beyond Boston. Laura McGarry, managing principal at Graham-Pelton, a nonprofit consulting firm, said higher education clients whose funding has yet to be impacted are seeking guidance on how to engage with donors. Her main advice: stay the course and keep your mission at the forefront. Engaging with donors, even those giving small amounts, can build a more robust base for the future. 'We've captured the attention and the inspiration of these people,' she said. 'How do you grow that and sustain that?' Advertisement Tricia Nadolny can be reached at
Yahoo
26-03-2025
- Business
- Yahoo
Huron Consulting Group Inc.'s (NASDAQ:HURN) Stock Is Going Strong: Is the Market Following Fundamentals?
Huron Consulting Group (NASDAQ:HURN) has had a great run on the share market with its stock up by a significant 19% over the last three months. Since the market usually pay for a company's long-term fundamentals, we decided to study the company's key performance indicators to see if they could be influencing the market. Specifically, we decided to study Huron Consulting Group's ROE in this article. ROE or return on equity is a useful tool to assess how effectively a company can generate returns on the investment it received from its shareholders. Put another way, it reveals the company's success at turning shareholder investments into profits. The end of cancer? These 15 emerging AI stocks are developing tech that will allow early identification of life changing diseases like cancer and Alzheimer's. The formula for return on equity is: Return on Equity = Net Profit (from continuing operations) ÷ Shareholders' Equity So, based on the above formula, the ROE for Huron Consulting Group is: 21% = US$117m ÷ US$561m (Based on the trailing twelve months to December 2024). The 'return' is the amount earned after tax over the last twelve months. So, this means that for every $1 of its shareholder's investments, the company generates a profit of $0.21. View our latest analysis for Huron Consulting Group We have already established that ROE serves as an efficient profit-generating gauge for a company's future earnings. Depending on how much of these profits the company reinvests or "retains", and how effectively it does so, we are then able to assess a company's earnings growth potential. Assuming all else is equal, companies that have both a higher return on equity and higher profit retention are usually the ones that have a higher growth rate when compared to companies that don't have the same features. To start with, Huron Consulting Group's ROE looks acceptable. Further, the company's ROE is similar to the industry average of 20%. This certainly adds some context to Huron Consulting Group's exceptional 36% net income growth seen over the past five years. We reckon that there could also be other factors at play here. For instance, the company has a low payout ratio or is being managed efficiently. We then compared Huron Consulting Group's net income growth with the industry and we're pleased to see that the company's growth figure is higher when compared with the industry which has a growth rate of 11% in the same 5-year period. Earnings growth is an important metric to consider when valuing a stock. It's important for an investor to know whether the market has priced in the company's expected earnings growth (or decline). Doing so will help them establish if the stock's future looks promising or ominous. One good indicator of expected earnings growth is the P/E ratio which determines the price the market is willing to pay for a stock based on its earnings prospects. So, you may want to check if Huron Consulting Group is trading on a high P/E or a low P/E, relative to its industry. Huron Consulting Group doesn't pay any regular dividends to its shareholders, meaning that the company has been reinvesting all of its profits into the business. This is likely what's driving the high earnings growth number discussed above. On the whole, we feel that Huron Consulting Group's performance has been quite good. Specifically, we like that the company is reinvesting a huge chunk of its profits at a high rate of return. This of course has caused the company to see substantial growth in its earnings. Having said that, the company's earnings growth is expected to slow down, as forecasted in the current analyst estimates. To know more about the company's future earnings growth forecasts take a look at this free report on analyst forecasts for the company to find out more. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) 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. Sign in to access your portfolio
Yahoo
05-03-2025
- Business
- Yahoo
Statutory Profit Doesn't Reflect How Good Huron Consulting Group's (NASDAQ:HURN) Earnings Are
When companies post strong earnings, the stock generally performs well, just like Huron Consulting Group Inc.'s (NASDAQ:HURN) stock has recently. We did some digging and found some further encouraging factors that investors will like. See our latest analysis for Huron Consulting Group To properly understand Huron Consulting Group's profit results, we need to consider the US$24m expense attributed to unusual items. While deductions due to unusual items are disappointing in the first instance, there is a silver lining. When we analysed the vast majority of listed companies worldwide, we found that significant unusual items are often not repeated. And, after all, that's exactly what the accounting terminology implies. If Huron Consulting Group doesn't see those unusual expenses repeat, then all else being equal we'd expect its profit to increase over the coming year. That might leave you wondering what analysts are forecasting in terms of future profitability. Luckily, you can click here to see an interactive graph depicting future profitability, based on their estimates. Because unusual items detracted from Huron Consulting Group's earnings over the last year, you could argue that we can expect an improved result in the current quarter. Based on this observation, we consider it likely that Huron Consulting Group's statutory profit actually understates its earnings potential! Better yet, its EPS are growing strongly, which is nice to see. Of course, we've only just scratched the surface when it comes to analysing its earnings; one could also consider margins, forecast growth, and return on investment, among other factors. If you want to do dive deeper into Huron Consulting Group, you'd also look into what risks it is currently facing. For example, we've discovered 1 warning sign that you should run your eye over to get a better picture of Huron Consulting Group. This note has only looked at a single factor that sheds light on the nature of Huron Consulting Group's profit. But there are plenty of other ways to inform your opinion of a company. For example, many people consider a high return on equity as an indication of favorable business economics, while others like to 'follow the money' and search out stocks that insiders are buying. While it might take a little research on your behalf, you may find this free collection of companies boasting high return on equity, or this list of stocks with significant insider holdings to be useful. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) 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. Sign in to access your portfolio
