FTI Consulting Shares Fall 13.8% Over Six Months, Analysts Advise Caution

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FTI Consulting shares have dropped 13.8% over the past six months to $150.63, underperforming the S&P 500's 10.9% gain, and analysts at StockStory recommend avoiding the stock for now. The firm's annualized revenue growth slowed to 3.6% over the last two years, below its five-year trend, while earnings per share grew at a 5.7% compound annual rate over five years, lagging its 8.8% revenue growth and signaling declining per-share profitability. Free cash flow margin fell by 2.1 percentage points over the same period to 6.6% on a trailing 12-month basis, raising concerns about rising capital intensity. With the stock trading at a forward price-to-sales ratio of 1.1 times and insufficient earnings estimates to gauge valuation, StockStory sees better opportunities elsewhere.

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FTI Consulting Inc
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Revenue growth slowing, declining profitability, falling free cash flow margin, and analyst caution.

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