Envestnet, Inc. (ENV - Free Report) stock has climbed 3.7% since its second-quarter 2021 earnings release on Aug 5. The price surge can be attributed to better-than-expected earnings and revenue performance, and a raised 2021 guidance.
Adjusted earnings per share of 67 cents outpaced the Zacks Consensus Estimate by 24.1% and improved 14% year over year. The reported figure lies above the guidance of 53-55 cents.
Revenues of $288.7 million surpassed the consensus mark by 2% and climbed 23% year over year. The reported figure lies above the guided range of $281-$284 million.
So far this year, shares of Envestnet have declined 6.2% compared with 6.9% loss of the industry it belongs to.
Let’s check out the numbers in detail.
Quarterly Numbers in Detail
Adjusted revenues of $288.8 million jumped 23% year over year.
Asset-based recurring revenues of $170.07 million increased 39% year over year, contributing 59% of total revenues. Subscription-based recurring revenues of $112.5 million were up 7% from the prior-year quarter’s level, contributing 39% of total revenues. Professional services and other non-recurring revenues decreased 24% year over year to $6.16 million.
Adjusted EBITDA came in at $71.1 million, up 27% year over year.
Envestnet ended second-quarter 2021 with cash and cash equivalent balance of $369.52 million compared with $371.98 million at the end of the prior quarter. Long-term debt was $846.41 million compared with $845.19 million at the end of the prior quarter.
The company generated around $69.35 million of cash from operating activities. CapEx was $4.29 million.
Q3 & 2021 Outlook
For third-quarter 2021, Envestnet expects adjusted earnings to be 58 cents per share. The Zacks Consensus Estimate of 48 cents lies below the guidance.
Total revenues are estimated between $298 million and $300.5 million. The Zacks Consensus Estimate of $294.29 million lies below the guidance.
The company expects adjusted EBITDA in the band of $61-$63 million.
For full-year 2021, Envestnet has raised its guidance. Adjusted EPS is now expected in the range of $2.30-$2.35 compared with the prior guidance of $2.03-$2.10. The Zacks Consensus Estimate of $2.14 lies below the updated guidance.
Total revenues are now anticipated between $1.169 billion and $1.174 billion compared with the prior guidance of $1.138-$1.148 billion. The Zacks Consensus Estimate of $1.15 billion lies below the updated guidance.
The company now projects adjusted EBITDA of $253-$257 million compared with the prior guidance of $230-$236 million.
Currently, Envestnet carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Performance of Other Business Services Companies
Equifax’s (EFX - Free Report) second-quarter 2021 adjusted earnings of $1.98 per share beat the Zacks Consensus Estimate by 15.8% and improved on a year-over-year basis. Revenues of $1.23 billion outpaced the consensus estimate by 6.4% and improved 26% year over year on a reported basis and 23% on a local-currency basis.
Robert Half’s (RHI - Free Report) second-quarter 2021 earnings of $1.33 per share beat the consensus mark by 26.7% and were up more than 100% year over year. Revenues of $1.6 billion surpassed the consensus mark by 6.5% and increased 42.3% year over year on a reported basis and 40% on an adjusted basis.
ManpowerGroup’s (MAN - Free Report) second-quarter 2021 adjusted earnings of $2.02 per share beat the consensus mark by 68.2% and improved more than 100% year over year. Revenues of $5.28 billion beat the consensus mark by 2% and inched up 41% year over year on a reported basis and 31.3% on a constant-currency (cc) basis.
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Envestnet, Inc. (ENV - Free Report) stock has climbed 3.7% since its second-quarter 2021 earnings release on Aug 5. The price surge can be attributed to better-than-expected earnings and revenue performance, and a raised 2021 guidance.
Adjusted earnings per share of 67 cents outpaced the Zacks Consensus Estimate by 24.1% and improved 14% year over year. The reported figure lies above the guidance of 53-55 cents.
Revenues of $288.7 million surpassed the consensus mark by 2% and climbed 23% year over year. The reported figure lies above the guided range of $281-$284 million.
So far this year, shares of Envestnet have declined 6.2% compared with 6.9% loss of the industry it belongs to.
Let’s check out the numbers in detail.
Quarterly Numbers in Detail
Adjusted revenues of $288.8 million jumped 23% year over year.
Asset-based recurring revenues of $170.07 million increased 39% year over year, contributing 59% of total revenues. Subscription-based recurring revenues of $112.5 million were up 7% from the prior-year quarter’s level, contributing 39% of total revenues. Professional services and other non-recurring revenues decreased 24% year over year to $6.16 million.
Adjusted EBITDA came in at $71.1 million, up 27% year over year.
Envestnet ended second-quarter 2021 with cash and cash equivalent balance of $369.52 million compared with $371.98 million at the end of the prior quarter. Long-term debt was $846.41 million compared with $845.19 million at the end of the prior quarter.
The company generated around $69.35 million of cash from operating activities. CapEx was $4.29 million.
Q3 & 2021 Outlook
For third-quarter 2021, Envestnet expects adjusted earnings to be 58 cents per share. The Zacks Consensus Estimate of 48 cents lies below the guidance.
Total revenues are estimated between $298 million and $300.5 million. The Zacks Consensus Estimate of $294.29 million lies below the guidance.
The company expects adjusted EBITDA in the band of $61-$63 million.
For full-year 2021, Envestnet has raised its guidance. Adjusted EPS is now expected in the range of $2.30-$2.35 compared with the prior guidance of $2.03-$2.10. The Zacks Consensus Estimate of $2.14 lies below the updated guidance.
Total revenues are now anticipated between $1.169 billion and $1.174 billion compared with the prior guidance of $1.138-$1.148 billion. The Zacks Consensus Estimate of $1.15 billion lies below the updated guidance.
The company now projects adjusted EBITDA of $253-$257 million compared with the prior guidance of $230-$236 million.
Currently, Envestnet carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Performance of Other Business Services Companies
Equifax’s (EFX - Free Report) second-quarter 2021 adjusted earnings of $1.98 per share beat the Zacks Consensus Estimate by 15.8% and improved on a year-over-year basis. Revenues of $1.23 billion outpaced the consensus estimate by 6.4% and improved 26% year over year on a reported basis and 23% on a local-currency basis.
Robert Half’s (RHI - Free Report) second-quarter 2021 earnings of $1.33 per share beat the consensus mark by 26.7% and were up more than 100% year over year. Revenues of $1.6 billion surpassed the consensus mark by 6.5% and increased 42.3% year over year on a reported basis and 40% on an adjusted basis.
ManpowerGroup’s (MAN - Free Report) second-quarter 2021 adjusted earnings of $2.02 per share beat the consensus mark by 68.2% and improved more than 100% year over year. Revenues of $5.28 billion beat the consensus mark by 2% and inched up 41% year over year on a reported basis and 31.3% on a constant-currency (cc) basis.
Free Report – The Bitcoin Profit Phenomenon
Zacks Investment Research has released a Special Report to help you pursue massive profits from the world’s first and largest decentralized form of money.
No guarantees for the future, but in the past three presidential election years, Bitcoin’s returns were as follows: 2012 +272.4%, 2016 +161.1%, and 2020 +302.8%.
Zacks predicts another significant surge. Click below for Bitcoin: A Tumultuous Yet Resilient History.
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