FactSet price target lowered to $243 from $320 at RBC Capital

RBC Capital analyst Ashish Sabadra lowered the firm’s price target on FactSet (FDS) to $243 from $320 amid concerns about GenAI disintermediation risks and keeps a Sector Perform rating on the shares ahead of its Q2 results. RBC believes that America’s annual subscription value – ASV – should benefit from easier comps as the prior year quarter was impacted by several large losses, the analyst tells investors in a research note. AI investments and higher incentive comps due to stronger ASV growth could pressure margins, though RBC believes the company should modestly raise margin guidance to highlight operating leverage, the firm added.