Tuesday, August 10, 2021
Information Services (III)
Excellent 2Q21. Will the Momentum Continue?
ISG (Information Services Group) (Nasdaq: III) is a leading global technology research and advisory firm. A trusted business partner to more than 700 clients, including more than 70 of the top 100 enterprises in the world, ISG is committed to helping corporations, public sector organizations, and service and technology providers achieve operational excellence and faster growth. The firm specializes in digital transformation services, including automation, cloud and data analytics; sourcing advisory; managed governance and risk services; network carrier services; strategy and operations design; change management; market intelligence and technology research and analysis. Founded in 2006, and based in Stamford, Conn., ISG employs more than 1,300 digital-ready professionals operating in more than 20 countries—a global team known for its innovative thinking, market influence, deep industry and technology expertise, and world-class research and analytical capabilities based on the industry’s most comprehensive marketplace data. For more information, visit www.isg-one.com
Joe Gomes, Senior Research Analyst, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
Strong 2Q21 Results. Revenue of $70.6 million rose 23.0% y-o-y and exceeded consensus of $65.5 million and our estimate of $65 million. ISG reported net income of $4.1 million, or $0.08 per share, up from $612,000, and $0.01, respectively, last year. Adjusted EPS was $0.12 and adjusted EBITDA totaled $9.7 million. We had forecast EPS of $0.04, adjusted EPS of $0.09, and adjusted EBITDA of $8.0 million.
All Segments Contributing. ISG saw solid contribution from each of its geographic segments as clients doubled down on their digital investments. Reported revenue in the Americas rose 28%, Europe was up 13% and 4% on a constant currency basis, while Asia Pacific revenues rose 36% on a reported basis and 18% on a constant currency basis …
This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).
*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.
