Fti Consulting Stock Fair Value Calculation – Marshall Wace LLP significantly decreases FTI Consulting’s stock ownership in 2nd quarter
October 15, 2024

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FTI ($NYSE:FCN) Consulting, Inc. is a global business advisory firm that specializes in providing a wide range of services to help companies and organizations navigate complex business challenges. The company offers services in areas such as corporate finance and restructuring, economic consulting, forensic and litigation consulting, and technology. FTI Consulting‘s stock is publicly traded on the New York Stock Exchange and has been steadily increasing in value over the past few years. The company’s stock has been particularly successful due to its strong financial performance and strategic acquisitions, which have allowed it to expand its services and reach new markets. – Marshall Wace LLP’s significant decrease in stock ownership is a notable event in the company’s history The hedge fund’s ownership of FTI Consulting’s stock has decreased by 73.4% in the 2nd quarter, representing a significant reduction in their stake in the company. One possible reason could be the hedge fund’s strategy to reduce its risk exposure and diversify its portfolio by selling off some of its shares in the company. Another potential reason could be a change in the hedge fund’s investment objectives or a shift in their overall investment strategy. It is also possible that Marshall Wace LLP may have found better investment opportunities elsewhere and decided to reallocate their funds accordingly. – Impact on FTI Consulting’s stock performance and shareholder value While the decrease in stock ownership by Marshall Wace LLP may be seen as a negative event, it does not necessarily reflect the overall sentiment towards FTI Consulting’s stock. The company’s stock has been performing well in the market, and this slight decrease in ownership is not expected to have a significant impact on its performance or shareholder value. In fact, this decrease in stock ownership could potentially create an opportunity for other investors to purchase shares in FTI Consulting at a lower price, leading to an increase in the company’s demand and stock value in the long run. – Conclusion In conclusion, Marshall Wace LLP’s significant decrease in stock ownership in FTI Consulting, Inc. is a notable event that may have various reasons behind it.
However, it is not expected to have a major impact on the company’s stock performance or shareholder value. Investors should continue to monitor FTI Consulting’s financial performance and strategic developments to make informed decisions regarding their investments.
Price History
On Friday, it was reported that Marshall Wace LLP, a London-based hedge fund, has significantly decreased its stock ownership in FTI Consulting during the second quarter. This news comes after the consulting firm’s stock had opened at $222.86 and closed at $223.49, showing a 0.77% increase from the previous closing price of $221.78. This decrease in ownership represents a shift in the hedge fund’s investment strategy, as it previously held a larger stake in the consulting firm. It offers a wide range of services including corporate finance, financial restructuring, forensic accounting, and more. The decrease in stock ownership by Marshall Wace LLP could be seen as a signal to other investors, as hedge funds are known for their strategic and calculated investment decisions. It is unclear why the hedge fund has reduced its stake in FTI Consulting, but it could be due to various reasons such as changes in market conditions, company performance, or portfolio rebalancing.
This growth was driven by strong demand for its services and an expanding client base. Moreover, FTI Consulting has been actively expanding its global footprint through strategic acquisitions and partnerships. This includes the recent acquisition of Delta Partners Group, a leading economic and financial consulting firm, which will strengthen the company’s presence in Europe and the Middle East. In conclusion, while Marshall Wace LLP has significantly decreased its stock ownership in FTI Consulting during the second quarter, this does not reflect a lack of confidence in the consulting firm’s performance. The company continues to show strong financial results and is actively expanding its global presence, indicating a positive outlook for future growth. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Fti Consulting. More…
| Total Revenues | Net Income | Net Margin |
| 3.49k | 274.89 | 8.1% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Fti Consulting. More…
| Operations | Investing | Financing |
| 224.46 | -73.83 | -354.66 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Fti Consulting. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 3.33k | 1.34k | 55.78 |
Key Ratios Snapshot
Some of the financial key ratios for Fti Consulting are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 12.3% | 9.6% | 10.7% |
| FCF Margin | ROE | ROA |
| 5.0% | 12.1% | 7.0% |
Analysis – Fti Consulting Stock Fair Value Calculation
After conducting a detailed analysis of FTI CONSULTING‘s fundamentals, GoodWhale has determined that the intrinsic value of the company’s shares is approximately $187.5. This valuation was derived using our proprietary Valuation Line, which takes into account various financial metrics and market conditions. Currently, FTI CONSULTING’s stock is trading at $223.49, which indicates that the stock is overvalued by 19.2%. This means that based on our calculations, the current market price of FTI CONSULTING’s shares is higher than what we believe the company is truly worth. It’s important to note that while our valuation may not align with the current market price, it does not necessarily mean that FTI CONSULTING is a bad investment. Other factors such as market sentiment and overall industry trends may be driving the stock’s price higher. However, from a fundamental standpoint, our analysis suggests that FTI CONSULTING may be overvalued at its current trading price. Investors should carefully consider this information when making decisions about buying or selling shares of this company. More…

Peers
Its competitors include Booz Allen Hamilton Holding Corp, Circulation Co Ltd, Aimrite Holdings Corp.
– Booz Allen Hamilton Holding Corp ($NYSE:BAH)
Since going public in 2010, Booz Allen Hamilton Holding Corporation has been a leading provider of management and technology consulting services to the US government. The company has a market capitalization of $13.17 billion and a return on equity of 43.17%. Booz Allen Hamilton Holding Corporation provides consulting services in the areas of strategy, operations, organizational design, human capital, and change management. The company also offers a range of technical services, including engineering, analytics, digital, and cyber solutions.
– Circulation Co Ltd ($TSE:7379)
As of 2022, the market cap for Circulation Co Ltd is 13.97 billion. The company’s return on equity is 16.6%. The company provides a variety of services related to circulation, including print and digital circulation, marketing, and distribution.
Summary
This suggests that the hedge fund may have lost confidence in the company’s potential for growth and profitability. This decrease in ownership could also signal potential concerns about the company’s financial performance or industry trends. Investors should take note of this change in ownership and consider conducting further analysis on FTI Consulting to make informed investment decisions. This move by Marshall Wace LLP may also impact the market perception of FTI Consulting and its stock price, making it important for investors to stay updated on any future developments.
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