Bubble or no bubble, this is the best stock for AI exposure: analyst
Investing.com -- Wolters Kluwer stock rose 3.5% after the information services company reported accelerated revenue growth for the first nine months of 2025, with underlying revenue increasing 6% compared to 5% in the first half of the year.
The company’s nine-month adjusted EBIT increased by 15% in constant currency, driven by strong performance across its business segments. Recurring revenues grew 7% on an underlying basis, while non-recurring revenue declined 2% due to expected decreases in print, professional services, and on-premise software licenses.
By segment, underlying revenue growth was 5% for Health, 7% for Tax, 4% for Financial & Compliance Compliance (F&CC), 6% for Legal & Regulatory (L&R), and 8% for Corporate Performance & ESG (CP&ESG). All segments performed in line with or better than full-year consensus expectations.
"Given recent weak share price performance, the acceleration in organic growth should be taken well," UBS analysts noted.
Wolters Kluwer maintained its full-year guidance, expecting adjusted operating profit margins near the top end of the 27.1% to 27.5% range. The company also reaffirmed its adjusted free cash flow target of €1,250m-€1,300m and its outlook for mid to high single-digit growth in diluted adjusted earnings per share.
The company completed its €1 billion share buyback program on November 3 and announced plans for an additional buyback of up to €200 million between November and February 2026. The company’s leverage ratio stood at 2.2x at the end of the period.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.
