Verisk shares fall over 4% as 2025 outlook misses expectations

Published 26/02/2025, 14:00
Verisk shares fall over 4% as 2025 outlook misses expectations

NEW YORK -On Wednesday, Verisk Analytics Inc . (NASDAQ:VRSK) reported fourth-quarter earnings that slightly beat analyst estimates.

The company’s shares tumbled -4.52% after the data analytics provider issued weaker-than-expected guidance for 2025.

The company posted adjusted earnings per share of $1.61, edging past the consensus forecast of $1.60. Revenue rose 8.6% YoY to $736 million, also topping expectations of $733.53 million.

However, Verisk’s outlook for 2025 fell short of Wall Street projections. The company forecast full-year EPS of $6.80-$7.10, below the $7.31 analysts were expecting. It sees 2025 revenue of $3.03-3.08 billion, also missing the $3.09 billion consensus estimate.

"Verisk delivered strong fourth quarter results capping off another year of strong top line growth and margin improvement," said CEO Lee Shavel in a statement. "We enter 2025 with strong momentum and are energized by the opportunities arising from our strategic engagement with clients."

For Q4, Verisk reported income from continuing operations of $204 million, up 11.6% YoY. Adjusted EBITDA increased 9.9% to $398 million.

The company’s insurance segment, which accounts for all of its revenue, saw 8.6% growth in Q4. Underwriting revenue rose 6.8%, while claims revenue jumped 13%.

Verisk also announced a 15% increase to its quarterly dividend to $0.45 per share.

Despite the earnings beat, investors appeared focused on the softer 2025 guidance, sending shares lower in after-hours trading. The stock move suggests Wall Street was hoping for a more optimistic outlook from the data analytics firm.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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