CHICAGO--(BUSINESS WIRE)-- Shares of Huron Consulting Group (NASDAQ: NASDAQ: HURN ) soared 17% following the announcement of record fourth-quarter 2024 financial results and the provision of optimistic guidance for 2025. The global professional services firm reported an earnings per share (EPS) of $1.90 for Q4, surpassing the analyst estimate of $1.52. Q4 revenue reached $399.31 million, beating the consensus estimate of $379.99 million and marking a significant increase from $339.2 million in the same quarter the previous year.

The company's guidance for the full year 2025 forecasts an EPS range of $6.80-$7.60, with revenue projections between $1.58-1.66 billion, both aligning closely with consensus estimates. Huron's financial highlights for the fourth quarter of 2024 included a 14.5% rise in revenues before reimbursable expenses to a record $388.4 million and a substantial increase in net income to $34.0 million, compared to $2.8 million in the fourth quarter of 2023. Adjusted EBITDA also saw a significant increase.

Huron's full-year results echoed this positive trend, with a 9.1% increase in revenues before reimbursable expenses to a record $1.49 billion for 2024, and a remarkable 86.7% increase in net income to $116.6 million. Diluted earnings per share nearly doubled to a record $6.27 for 2024. The company also reported an increase in net cash provided by operating activities and returned $122.2 million to shareholders through the repurchase of 1.2 million shares.

Benchmark analyst Bill Sutherland raised the price target on Huron to $165.00 (from $140.00) while maintaining a Buy rating, citing the company's strong fourth-quarter performance and conservative yet promising guidance for 2025. Sutherland highlighted Huron's potential in the healthcare sector due to possible changes in clinical reimbursement models and other factors. He also noted the company's focus on margin expansion through various strategic initiatives.

Truist Securities analyst Tobey Sommer also raised the price target to $165.00 (from $140.00), maintaining a Buy rating. Sommer pointed to regulatory changes creating new opportunities for Huron, particularly in healthcare and education. With the company's valuation still appearing attractive and trading below its five-year average, Sommer finds Huron's prospects favorable.

Huron will host an Investor Day on March 25, 2025, to provide updates on its strategy and financial goals.

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