Factset Research Systems
FDS on NYSE. Factset Research Systems sells financial data and analytics software to investment professionals. Market value $9.8bn.
Price checks use the past 12 months to May 2026. Quality checks use five annual reports, the latest for the year to August 2025.
Should I look at this?
Look carefully before going further
Why it could be worth it
What to watch out for
Read the warning sign in its own filings
This is not advice. Check the numbers below.
For every $100 of what the whole company costs, it produced $7.32 of spare cash in the past 12 months. A savings account pays about $4.
You pay 15.0 years of operating profit for the business. The average large US company costs around 18.
Each dollar kept in the business earns 18 cents a year. Above 10 is good.
Quality score: 100 of 100. Price score: 93 of 100. Our list needs 70 on quality and 60 on price.
$272.01 a share, 47% above its 1-year low
Over the past year the price has ranged from $185.00 to $320.48.
Dividend: 1.7% a year
Paid every year for at least 5 years
Prices from Tuesday’s close (6 October).
Five years of cash, in billions
| Revenue | |||||
| Revenue | $1.6bn | $1.8bn | $2.1bn | $2.2bn | $2.3bn |
| Operating margin | |||||
| Operating margin | 29.8% | 25.8% | 30.2% | 31.8% | 32.2% |
| Debt to equity | |||||
| Debt to equity | 0.57 | 1.49 | 1.00 | 0.71 | 0.63 |
| Shares outstanding | |||||
| Shares outstanding | 0.04bn | 0.04bn | 0.04bn | 0.04bn | 0.04bn |
Health checks
- Free cash flow positive5 of 5 years
- Accounting looks honest (Beneish)Nothing unusual
- Financial strength (Piotroski)6 of 9
- Profit backed by cash (accruals)Yes
- Debt0.63× equity
- Revenue growth, five yearsSlow, 9.2% a year
- Buying back its own sharesYes, 6% fewer since 2021
The quarter to May 2026
How the business did, compared with the same quarter a year earlier.
- Sales: $623 million last quarter, up 6% on a year ago.
- Profit: $127 million, down 15% on a year ago.
- It keeps 30 cents of each $1 of sales as operating profit, down from 31 cents a year earlier.
- Spare cash over the past 12 months: $708 million, up from $577 million.
- 6% fewer shares than a year ago. Each share owns a bit more of the company.
- Debt is $1.1 billion more than cash, about the same as a year ago.
- Sales grew on a year ago in each of the last 4 quarters.
| Quarter to | Amount |
|---|---|
| August 2024 | $562m |
| November 2024 | $569m |
| February 2025 | $571m |
| May 2025 | $586m |
| August 2025 | $597m |
| November 2025 | $608m |
| February 2026 | $611m |
| May 2026 | $623m |
| Quarter to | Amount |
|---|---|
| August 2024 | $89m |
| November 2024 | $150m |
| February 2025 | $145m |
| May 2025 | $149m |
| August 2025 | $154m |
| November 2025 | $153m |
| February 2026 | $133m |
| May 2026 | $127m |
From the company's quarterly reports to the SEC.
Dates
- Next results (estimated)
- 17 December 2026
- Last annual report (10-K)
- 22 October 2025
- Next quarterly (estimated, 10-Q)
- 30 September 2026
Who owns it
6 long-term investors we follow own it, unchanged from 6 last quarter. 764 funds in all.
- Yacktman Asset ManagementStephen Yacktman
- Value
- $53m
- Share of fund
- 0.7%
- Markel GroupTom Gayner
- Value
- $31m
- Share of fund
- 0.2%
| Fund | Value | Share of that fund | Change |
|---|---|---|---|
| Gotham Asset ManagementJoel Greenblatt | $75m | 0.2% | Added |
| Ariel InvestmentsJohn Rogers Jr. | $54m | 0.5% | Added |
| Yacktman Asset ManagementStephen Yacktman | $53m | 0.7% | |
| LSV Asset ManagementJosef Lakonishok | $34m | <0.1% | Added |
| Markel GroupTom Gayner | $31m | 0.2% | |
| Royce & AssociatesChuck Royce | $14m | 0.1% | Cut |
Largest holders overall
- Bamco$967mAdded
- BlackRock$658m
- Vanguard Capital Management$548m
- State Street$431m
- Vanguard Portfolio Management$410m
- AQR Capital Management$386mAdded
- Loomis Sayles & CO L P$331mCut
- Geode Capital Management$317mAdded
- Ninety One UK$274m
- Morgan Stanley$253mAdded
From 13F filings for the quarter ended 30 June 2026.
Big holders and activists
3 investors own more than 5%.
- Baron Capital Group, Inc.Passive investorat least 11.8%+1.6 pts(filed with 4 related holders)Since 30 June 2026
- Vanguard Capital ManagementPassive investor7.4%Since 31 March 2026
- BlackRock, Inc.Passive investor7.2%Since 31 December 2025
- Morgan StanleyPassive investorSold down below 5%Since 31 December 2025
- The Vanguard GroupPassive investorSold down below 5%Since 13 March 2026
| Holder | Stake | Since | |
|---|---|---|---|
Baron Capital Group, Inc. Passive investor | at least 11.8%+1.6 pts (filed with 4 related holders) | 30 June 2026 | |
Vanguard Capital Management Passive investor | 7.4% | 31 March 2026 | |
BlackRock, Inc. Passive investor | 7.2% | 31 December 2025 | |
Morgan Stanley Passive investor | Sold down below 5% | 31 December 2025 | |
The Vanguard Group Passive investor | Sold down below 5% | 13 March 2026 |
From Schedule 13D and 13G filings: anyone owning more than 5% must file one.
What insiders did
In the last 12 months, 1 insider bought $126,465 of shares on the open market. 2 sold $2m.
- Frank MalcolmDirectorSold
- Date
- 12 January 2026
- Shares
- 2,572
- Price
- $295.70
- Value
- $760,547
- SIEGEL LAURIEDirectorSold
- Date
- 8 January 2026
- Shares
- 2,572
- Price
- $296.25
- Value
- $761,944
- Skoko GoranEVP, Chief Revenue OfficerBought
- Date
- 6 November 2025
- Shares
- 500
- Price
- $252.93
- Value
- $126,465
| Date | Who | Did | Shares | Price | Value |
|---|---|---|---|---|---|
| 12 January 2026 | Frank Malcolm Director | Sold | 2,572 | $295.70 | $760,547 |
| 8 January 2026 | SIEGEL LAURIE Director | Sold | 2,572 | $296.25 | $761,944 |
| 6 November 2025 | Skoko Goran EVP, Chief Revenue Officer | Bought | 500 | $252.93 | $126,465 |
From Form 4 filings: insiders must report trades in their own company's shares within two days.
Warning signs in its filings
Problems the company itself reported to the SEC, in its own words.
1 serious warning sign in Factset Research Systems’ filings.
We look for five warning signs: doubt it can keep going, weak checks on its own accounts, a notice that its past accounts can't be relied on, a change of auditor, and one customer bringing in a big share of sales. We don't check lawsuits, investigations or debt yet.
We checked the auditor's report, internal controls, restatement notices, auditor changes and big customers in the 10-K filed 22 Oct 2025, plus the 10-Q filed 1 Jul 2026 and 9 later 8-Ks.
Weak checks on its own accounts
SeriousThe company said its checks on its own accounts did not work at the end of its latest quarter. Mistakes could slip into the numbers.
“Our Principal Executive Officer and Principal Financial Officer have concluded that our disclosure controls and procedures were not effective as of May 31, 2026 due to a material weakness in internal control over financial reporting.”
Show the full paragraph
Our Principal Executive Officer and Principal Financial Officer have concluded that our disclosure controls and procedures were not effective as of May 31, 2026 due to a material weakness in internal control over financial reporting. This conclusion is due to a material weakness identified in the operation of certain key IT general controls. The material weakness is described below and represents a continuation of a sub-set of the control deficiencies which gave rise to the initial material weakness identified in management’s evaluation of our control environment as of August 31, 2024.
From the 10-Q filed 1 July 2026, Part I, Item 4. Controls and Procedures. Read it in the filing
A 10-K is the yearly report every US company files with the SEC. An 8-K is a short notice of a big event.
What could go wrong
Cheap for a reason is the question the numbers cannot answer.
Whether the price already reflects the risks is what the deep dive is for.
What changed in the risks this year
Companies must list what could hurt them each year. These are the parts that changed since last year’s report.
If we fail to maintain proper and effective internal control and remediate any future control deficiencies, our ability or perceived ability to produce accurate and timely financial statements or reporting could be impaired, which could harm our business.
As previously disclosed in our Annual Report on Form 10-K for the fiscal year ended August 31, 2024, we identified a material weakness in our internal control over financial reporting related to the design and operation of our information technology (“IT”) general controls that support our revenues, accounts receivable, and deferred revenues processes. We are still in the process of enhancing our internal controls related to the design and operation of our IT general controls that support our revenues, accounts receivable, and deferred revenues processes and expect to complete these remediation measures in fiscal 2026. However, remediation efforts have placed, and will continue to place, a significant burden on management and add increased pressure to our financial and IT resources and processes. No system of controls, no matter how well designed and operated, can provide absolute assurance that the objectives of the system of controls will be met, and no evaluation of controls can provide absolute assurance that all control deficiencies or material weaknesses have been or will be detected. There is no assurance that any remediation efforts will be fully effective. If we identify one or more additional material weaknesses, or, if we are otherwise unable to maintain effective internal control over financial reporting or disclosure controls and procedures, our financial reporting may be adversely affected and could result in violations of applicable securities laws, stock exchange listing requirements, negatively affect investor confidence in our financial statements, subject us to litigation or investigations and adversely impact our stock price and our ability to access capital markets.
Read moreLegislative and regulatory changes in the environments in which we and our clients operate
Could happenMany of our clients operate within a highly regulated environment and must comply with governmental legislation and regulations. During the last several years, global regulators have increased their focus on the regulation of the financial services industry. Increased regulation of our clients may increase their expenses, causing them to seek to limit or reduce their costs from outside services such as ours. Some recent legislative and regulatory changes that we believe could impact us and our clients include: (a) in the U.S., the Financial Data Transparency Act 2022 ("FDTA"), which requires the FDTA’s sponsoring U.S. government agencies to identify standards, including common identifiers, for reporting financial products and transactions to those agencies; (b) in the EU, the EU’s DORA imposes operational resilience and cyber security standards and obligations, including technical and organizational standards and responsibilities which require technology and/or organizational investment, upon (i) many of our financial market clients, who aim to pass such obligations onto vendors, including us, and (ii) information and communications technology providers designated by the EU as “Critical Third Party Providers.” The United Kingdom ("UK") is advancing similar legislation and other jurisdictions could follow; and (c) in Asia Pacific, we and our clients are subject to a number of regulatory risks. For example, in China, there is an evolving regulatory environment and complex data security and data transfer regulations. These factors may increase compliance risk and costs for us and our clients.
Read moreInability to hire and retain key qualified personnel or navigate key management transitions
Could happenKey management transitions, such as our recent change in Chief Executive Officer, involve inherent risk, and such transition periods can be disruptive and may result in a loss of personnel with deep institutional or technical knowledge. If we are unsuccessful in our recruiting efforts, or if we are unable to retain key employees or offer competitive compensation and benefit packages and career structures, or if we are unable to navigate key management transitions, our ability to develop and deliver successful products and services or achieve strategic goals may be adversely affected, which could have a material adverse effect on our business and results of operations.
Read moreIf we fail to maintain proper and effective internal control and remediate any future control deficiencies, our ability or perceived ability to produce accurate and timely financial statements or reporting could be impaired, which could harm our business.
Could happenThe Sarbanes-Oxley Act places certain requirements on public reporting companies with respect to internal controls for financial reporting and disclosure controls and procedures. As such, public reporting companies are required to furnish a report by management on, among other things, the effectiveness of internal control over financial reporting. This assessment will include disclosure of any material weaknesses identified by management in a company’s internal control over financial reporting. A material weakness is a deficiency, or a combination of deficiencies, in internal control over financial reporting, such that there is a reasonable possibility that a material misstatement of our annual or interim financial statements will not be prevented or detected on a timely basis.
Read moreEconomic, political and other forces beyond our control could adversely affect our business.
Could happenIn addition, the U.S. has imposed tariffs on many foreign products, including tariffs on imports from China, that in the past have resulted in and may result in future retaliatory tariffs on U.S. goods and products and restrictions on exports to the U.S. Such developments have the potential to adversely impact the U.S. economy, our industry and the demand for our products. There remains uncertainty surrounding tariffs imposed by the U.S. and China and trade relations between the two countries, and we cannot predict whether these policies will continue, or if new policies will be enacted (which may restrict our ability to operate in China, or lead to other consequences, such as the need to comply with data localization requirements). As a result, such changes could have a material adverse effect on our business, financial condition and results of operations.
Read more
The deep dive
Everything above is arithmetic on public filings. The deep dive reads the last ten years of annual reports, the proxy statements, and the earnings calls, then argues the case the way Buffett, Klarman, and Hohn would, and checks every claim against the source.
- What the business is worth, as a range, and the margin of safety at today’s price
- Prices to start buying, buy, and buy hard
- The three things that would make this a mistake
- Every number footnoted to the filing it came from
The company just told the SEC about a big change. The deep dive shows what it means for the price you pay.
Your first deep dive is free.
Not advice. Numbers on this page come from SEC filings and are updated each night; prices are updated again after the US market closes. The five-year figures are rounded.