Should I Buy FDS? FDS 2026 Analysis

Should You Buy Factset Research Systems Inc (FDS) Today? Analysis, Price Targets, and 2026 Outlook.

Conclusion

Hold

Latest Price

207.320

1 Day change

-0.89%

52 Week Range

474.790

Analysis Updated At

2026/02/04

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Not a good buy right now for an impatient entry: price is in a clear downtrend (bearish MAs + negative/expanding MACD), and options flow shows heavy near-term put demand.
Setup is oversold at support (~225), so a short-term bounce is possible, but the tape still favors downside follow-through before a durable reversal.
Intellectia Proprietary Trading Signals
- AI Stock Picker: No signal on given stock today.
- SwingMax: No signal on given stock today.

Technical Analysis

Trend: Bearish — SMA_200 > SMA_20 > SMA_5 confirms a sustained downtrend.
Momentum: MACD histogram -6.746 and negatively expanding = downside momentum is still strengthening.
RSI: RSI(6) = 14.0 (deep oversold) — conditions often precede dead-cat bounces, but oversold can persist in strong downtrends.
Key levels:
- Support: S1 225.161 (price ~225.4 post-market is sitting on it), then S2 206.857.
- Resistance: Pivot 254.789 (major reclaim level), then R1 284.417.
Pattern-based forward view (provided): 70% chance of -4.21% next day, but +5.24% next week and +14.55% next month (suggests near-term pressure with potential rebound if support holds).

Options Data

Bullish

Open Interest Put-Call Ratio

Bearish

Option Volume Put-Call Ratio

Positioning vs flow mismatch:
- Open Interest P/C 0.51 = more calls outstanding (structurally more bullish/covered-call heavy positioning).
- Volume P/C 8.53 (puts 648 vs calls 76) = today’s flow is strongly bearish/hedge-driven.
Volatility: IV(30d) 45.91 vs HV 48.72; IV percentile 82.87 = options pricing implies elevated fear/uncertainty (more hedging demand, not “complacent” bullishness).
Activity: today’s volume ~158% of 30D average = sentiment signal is meaningful (not quiet tape).

Technical Summary

Sell

Buy

Positive Catalysts

- Dividend credibility: news notes 20+ consecutive years of dividend increases, reinforcing business durability.
- Fundamental growth still positive (latest quarter): revenue and EPS grew YoY, supporting a valuation floor if sentiment stabilizes.
- Any stabilization in “GenAI disruption” narrative (or evidence FactSet can defend workflows/data moat) could re-rate the group quickly after heavy selloffs.

Neutral/Negative Catalysts

- Technical pressure remains strong (bear trend + worsening MACD) — increases odds that 225 support breaks.
- Options tape is bearish today (very high put/call volume ratio), consistent with near-term downside hedging/speculation.
- Event/theme overhang: analysts cite GenAI disruption risk across info services after sector read-throughs; this is currently a “front burner” investor concern.
- Latest major Street action (today): Wells Fargo cut PT to $215 and kept Underweight, below the current ~225 area, which can cap near-term upside.

Financial Performance

Latest quarter: FY2026 Q1.
Growth:
- Revenue $607.6M (+6.85% YoY) — healthy top-line growth.
- Net income $152.6M (+1.71% YoY) — profitability growing but slower than revenue.
- EPS $4.06 (+4.37% YoY) — modest EPS growth.
Margins: Gross margin 52.62% (down 3.43% YoY) — confirms margin pressure (consistent with commentary about ongoing investment and tighter visibility on margin expansion).

Growth

Profitability

Efficiency

Analyst Ratings and Price Target Trends

Recent trend: more price-target cuts and cautious ratings, with GenAI/competitive risk repeatedly cited.
Notable changes:
- 2026-02-04 Wells Fargo: PT cut to $215 (from $265), Underweight.
- 2025-12-19 Goldman: PT cut to $253, Sell (flags slowing organic growth + margin contraction).
- 2025-12-19 Stifel: PT cut to $295, Hold.
- Offsetting improvements: Morgan Stanley upgraded to Equal Weight (PT $307) and Huber upgraded to Overweight (PT $326), implying some believe expectations are now more achievable.
Wall Street pro/con snapshot:
- Pros: recurring data franchise, steady growth, shareholder-friendly profile (dividend history).
- Cons: AI disruption narrative + limited pricing power + margin compression/investment cycle keeping multiple and targets under pressure.

12 Analyst Rating

Wall Street analysts forecast FDS stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for FDS is 295.91 USD with a low forecast of 253 USD and a high forecast of 326 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.

1 Buy

7 Hold

4 Sell

Hold

Current: 209.180

Low

253

Averages

295.91

High

326

Current: 209.180

Low

253

Averages

295.91

High

326

Wells Fargo

Underweight

downgrade

$265 -> $215

AI Analysis

2026-02-04

New

Reason

Wells Fargo

Price Target

$265 -> $215

AI Analysis

2026-02-04

New

downgrade

Underweight

Reason

Wells Fargo lowered the firm's price target on FactSet (FDS) to $215 from $265 and keeps an Underweight rating on the shares. The firm notes info services sold off on AI concerns following Gartner's (IT) Q4 earnings and Anthropic entering legal workflows. Wells believes many of the stock moves are unwarranted and sees compelling buying opportunities in info services companies with proprietary data.

Evercore ISI

In Line

maintain

$320 -> $321

2026-01-08

Reason

Evercore ISI

Price Target

$320 -> $321

2026-01-08

maintain

In Line

Reason

Evercore ISI raised the firm's price target on FactSet to $321 from $320 and keeps an In Line rating on the shares. The Business Services sector is navigating a mixed landscape with opportunities in ratings and insurance brokerage, while facing headwinds in insurance premiums and genAI-related disruptions, the analyst tells investors in a year-ahead note on the group.

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FDS Should I Buy

FDS Should I Buy

Should You Buy Factset Research Systems Inc (FDS) Today? Analysis, Price Targets, and 2026 Outlook.

Technical Analysis

Options Data

Technical Summary

Positive Catalysts

Neutral/Negative Catalysts

Financial Performance

Growth

Profitability

Efficiency

Analyst Ratings and Price Target Trends

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