UBS analysts reiterated their Neutral rating and maintained a price target of $88 on Exponent (NASDAQ:EXPO), following investor meetings with Exponent's CEO Cat

UBS Reiterates Neutral Rating on Exponent, Sees Potential for Growth in 2025


blog post cover photo

Image credit: FMP

UBS analysts reiterated their Neutral rating and maintained a price target of $88 on Exponent (NASDAQ:EXPO), following investor meetings with Exponent's CEO Catherine Corrigan and CFO Rich Schlenker.

The discussions revealed a stable demand environment, particularly in Consumer Electronics, which has shown modest sequential gains. The Reactive segment remains healthy, although slightly below the Q1 surge. Management indicated that sequential headcount growth might resume in the second half of the year, with year-over-year headcount growth anticipated in 2025. This could help Exponent return to its historical revenue growth algorithm in the high single-digit to low double-digit percentage range.

If achieved, this growth could surpass UBS's current estimate of a 5% increase. Despite being surprised by the stock's performance during Q1 earnings and its subsequent resilience, the analysts noted that management's optimistic outlook and the potential for stronger growth in 2025 could present a positive narrative for Exponent.

Other Blogs

Nov 25, 2023 6:39 AM - Parth Sanghvi

DCF Valuation vs. Comparable Companies Analysis: Choosing the Right Valuation Method

Choosing the Right Valuation Method: DCF vs. Comparable Companies Analysis Introduction: Valuation methods play a pivotal role in determining the fair value of a company, aiding investors in making informed investment decisions. Two commonly used methods, DCF Valuation and Comparable Companies A...

blog post title

Dec 23, 2023 2:19 AM - Parth Sanghvi

Understanding the Limitations of DCF Analysis: A Guide to Overcoming Challenges

Introduction: Discounted Cash Flow (DCF) analysis stands as a cornerstone in valuing investments, yet its efficacy is contingent upon various assumptions and methodologies. While a powerful tool, DCF analysis comes with inherent limitations and challenges that investors must acknowledge to make i...

blog post title

Dec 25, 2023 2:28 AM - Parth Sanghvi

Integrating Sustainability into Valuations: Navigating ESG Factors within the Discounted Cash Flow (DCF) Model

Introduction: The investment landscape is undergoing a profound shift with a heightened emphasis on sustainability and responsible investing. In this blog post, we explore the intersection of Environmental, Social, and Governance (ESG) considerations within the Discounted Cash Flow (DCF) model, h...

blog post title


Financial Modeling Prep API provides real time stock price, company financial statements, major index prices, stock historical data, forex real time rate and cryptocurrencies. Financial Modeling Prep stock price API is in real time, the company reports can be found in quarter or annual format, and goes back 30 years in history.
2017-2024 © Financial Modeling Prep