FDS' recurring revenues, AI adoption and recent client wins fuel subscription growth. Its rising costs and competition remain key risks.

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FactSet Research Systems remains a buy as ASV growth accelerates, AI adoption strengthens, and valuation stays attractive at a low-teens forward P/E. Q3 2026 delivered 7.1% organic ASV growth, robust client wins, and >95% ASV retention, supporting recurring revenue and cross-workflow expansion. AI is driving deeper client integration, with >90% of top clients using multiple FDS AI products and AI client ASV growth outpacing the rest by over 50%.

FactSet Research Systems Inc. (NYSE:FDS) on Wednesday posted third-quarter earnings and revenue that topped Wall Street estimates.

While FactSet Research Systems Inc (NYSE:FDS) reported strong ASV (annual subscription value) growth for the third quarter, driven to some extent by AI products, management indicated a "meaningful" margin recovery in the fourth quarter, according to RBC Capital Markets.

FDS says AI demand reshapes contracts and product use, with ASV gains, wider enterprise deals and reaffirmed fiscal 2026 guidance.

FactSet Research Systems Inc. (FDS) Q3 2026 Earnings Call Transcript

FactSet beats Q3'26 earnings and revenue estimates as organic growth, ASV gains, client demand and stronger cash flow offset margin pressure.

Although the revenue and EPS for FactSet (FDS) give a sense of how its business performed in the quarter ended May 2026, it might be worth considering how some key metrics compare with Wall Street estimates and the year-ago numbers.

FactSet Research (FDS) came out with quarterly earnings of $4.53 per share, beating the Zacks Consensus Estimate of $4.44 per share. This compares to earnings of $4.27 per share a year ago.