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6 Reasons Why You Should Buy FTI Consulting (FCN) Stock

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A prudent investment decision involves buying well-performing stocks at the right time while selling those that are at risk. A rise in share price and strong fundamentals signal a stock’s bullish run.

FTI Consulting, Inc. (FCN - Free Report) has performed extremely well in the past year and has the potential to sustain the momentum in the near term. Consequently, if you haven’t taken advantage of its share price appreciation yet, it’s time you add the stock to your portfolio.

Let’s take a look at the factors that make the stock an attractive pick.

Share Price Performance: A glimpse at the company’s price trend reveals that the stock has had an impressive run on the bourse over the past year. Shares of FTI Consulting have gained a whopping 86.3% in the said period, outperforming the 30.2% rally of the industry it belongs to.

Solid Rank & VGM Score: The consulting services stock currently has a Zacks Rank #1 (Strong Buy) and a VGM Score of B. Our research shows that stocks with a VGM Score of A or B when combined with a Zacks Rank #1 or 2 (Buy) offer the best investment opportunities. Thus, the company appears to be a compelling investment proposition at the moment. You can see the complete list of today’s Zacks #1 Rank stocks here.

Northward Estimate Revisions: Two estimates for 2019 moved north over the past 60 days versus no southward revision, reflecting analysts’ confidence in the company. Over the same period, the Zacks Consensus Estimate for 2019 climbed 9%.

Positive Earnings Surprise History: FTI Consulting has an impressive earnings surprise history. The company outpaced the consensus mark in each of the trailing four quarters, delivering an average beat of 66.5%.

Solid Prospects: The Zacks Consensus Estimate for 2019 earnings is pegged at $5.91, indicating year-over-year growth of 47.8%.

Growth Factors: The potential to club diverse issues like damage assessment, accounting, economics, statistics, finance and industry under a single platform makes FTI Consulting an excellent partner for global clients dealing with international arbitration issues. Increased regulatory scrutiny and corporate litigation are likely to keep the demand for the company’s offerings in good shape.

FTI Consulting, Inc. Revenue (TTM)

The company has been consistently rewarding shareholders though share buybacks. In the first nine months of 2019, FTI Consulting repurchased shares worth $77.9 million. In 2018, 2017 and 2016, the company had repurchased shares worth $40.7 million, $168 million and $21.5 million, respectively. These initiatives not only instill investors’ confidence but also positively impact earnings per share.

Other Stocks to Consider

Some other top-ranked stocks in the broader Zacks Business Services sector are Global Payments (GPN - Free Report) , Mastercard (MA - Free Report) and Cardtronics . While Cardtronics sports a Zacks Rank #1, Global Payments and Mastercard carry a Zacks Rank #2.

Long-term expected EPS (three to five years) growth rate for Global Payments, Mastercard and Cardtronics is 18.1%, 16% and 4%, respectively.

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Mastercard Incorporated (MA) - free report >>

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Global Payments Inc. (GPN) - free report >>

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