Envestnet, Inc. (ENV - Free Report) has had an impressive run in the past month. The stock has gained 12.4%, outperforming the 5.5% rise of the industry it belongs to and the 4.3% growth of the Zacks S&P 500 composite.
Reasons for the Upside
Envestnet’s business model ensures solid asset-based and subscription-based recurring revenue-generation capacity. ENV provides asset-based and subscription-based services on a business-to-business-to-consumer basis to financial services clients. These clients offer solutions based on ENV’s platform to their end users. Envestnet’s recurring revenues increased 10.2% in 2020, 20.2% in 2021 and 4.5% year over year in 2022.
Several trends are creating significant market opportunities for Envestnet’s technology-enabled solutions and services. Investment advice is becoming an important part of financial planning and customers are increasingly seeking personalized wealth management services. Technology adoption is also increasing significantly with an increasing need to interact with clients who prefer guided advice in a cost-effective manner.
Envestnet continues to focus on technology development to improve operational efficiency, increase market competitiveness, address regulatory demands and cater to client-driven requests for new capabilities. It believes that its technology design allows for significant scalability.
Envestnet’s earnings surpassed the Zacks Consensus Estimate in all the trailing four quarters, delivering an average earnings surprise of 5.7%.
Zacks Rank and Stocks to Consider
ENV currently carries a Zacks Rank #3 (Hold).
Investors interested in the Zacks Business Services sector can consider the following better-ranked stocks:
Maximus (MMS - Free Report) : MMS sports a Zacks Rank of 1 (Strong Buy) at present and has a VGM Score of B. You can see the complete list of today’s Zacks #1 Rank stocks here.
The company has an impressive earnings surprise history, beating the consensus mark in three of the trailing four quarters and missing once, the average surprise being 9.6%.
Green Dot (GDOT - Free Report) : GDOT currently carries a Zacks Rank #2 (Buy) and has a VGM Score of A.
The company has an impressive earnings surprise history, beating the Zacks Consensus Estimate in all the trailing four quarters, with an average surprise of 37.3%.
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Zacks Senior Stock Strategist, Kevin Cook names 5 hand-picked stocks with sky-high growth potential in a brilliant sector of Artificial Intelligence. By 2030, the AI industry is predicted to have an internet and iPhone-scale economic impact of $15.7 Trillion.
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Envestnet, Inc. (ENV - Free Report) has had an impressive run in the past month. The stock has gained 12.4%, outperforming the 5.5% rise of the industry it belongs to and the 4.3% growth of the Zacks S&P 500 composite.
Reasons for the Upside
Envestnet’s business model ensures solid asset-based and subscription-based recurring revenue-generation capacity. ENV provides asset-based and subscription-based services on a business-to-business-to-consumer basis to financial services clients. These clients offer solutions based on ENV’s platform to their end users. Envestnet’s recurring revenues increased 10.2% in 2020, 20.2% in 2021 and 4.5% year over year in 2022.
Several trends are creating significant market opportunities for Envestnet’s technology-enabled solutions and services. Investment advice is becoming an important part of financial planning and customers are increasingly seeking personalized wealth management services. Technology adoption is also increasing significantly with an increasing need to interact with clients who prefer guided advice in a cost-effective manner.
Envestnet continues to focus on technology development to improve operational efficiency, increase market competitiveness, address regulatory demands and cater to client-driven requests for new capabilities. It believes that its technology design allows for significant scalability.
Envestnet’s earnings surpassed the Zacks Consensus Estimate in all the trailing four quarters, delivering an average earnings surprise of 5.7%.
Zacks Rank and Stocks to Consider
ENV currently carries a Zacks Rank #3 (Hold).
Investors interested in the Zacks Business Services sector can consider the following better-ranked stocks:
Maximus (MMS - Free Report) : MMS sports a Zacks Rank of 1 (Strong Buy) at present and has a VGM Score of B. You can see the complete list of today’s Zacks #1 Rank stocks here.
The company has an impressive earnings surprise history, beating the consensus mark in three of the trailing four quarters and missing once, the average surprise being 9.6%.
Green Dot (GDOT - Free Report) : GDOT currently carries a Zacks Rank #2 (Buy) and has a VGM Score of A.
The company has an impressive earnings surprise history, beating the Zacks Consensus Estimate in all the trailing four quarters, with an average surprise of 37.3%.
Top 5 ChatGPT Stocks Revealed
Zacks Senior Stock Strategist, Kevin Cook names 5 hand-picked stocks with sky-high growth potential in a brilliant sector of Artificial Intelligence. By 2030, the AI industry is predicted to have an internet and iPhone-scale economic impact of $15.7 Trillion.
Today you can invest in the wave of the future, an automation that answers follow-up questions … admits mistakes … challenges incorrect premises … rejects inappropriate requests. As one of the selected companies puts it, “Automation frees people from the mundane so they can accomplish the miraculous.”
Download Free ChatGPT Stock Report Right Now >>
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