Nomura Research Institute (OTCMKTS: NRILY) has been downgraded to a “strong sell” rating by analysts at Zacks Research, shifting from a previous rating of “hold.” This change was reported on Monday, and it reflects a growing concern about the company’s stock performance. In contrast, Citigroup recently upgraded Nomura Research Institute from a “strong sell” to a “hold” on November 19, 2023.
Presently, the stock has received mixed reviews, with two analysts maintaining a “hold” rating and one assigning a “sell” rating. According to data from MarketBeat.com, the overall consensus rating for Nomura Research Institute stands at “reduce.”
Recent Earnings Performance
The latest earnings results for Nomura Research Institute were announced on October 30, 2023. The company reported earnings per share (EPS) of $0.33 for the quarter, surpassing the consensus estimate of $1.36 billion in revenue. The firm achieved a total revenue of $1.37 billion for the quarter, indicating a solid performance relative to expectations.
Nomura Research Institute also reported a return on equity of 22.63% and a net margin of 12.96%. Analysts project that the company will post an EPS of $1.04 for the current fiscal year, suggesting cautious optimism about future performance despite the recent downgrade.
Company Background
Founded in 1965 and headquartered in Tokyo, Nomura Research Institute, Ltd. (NRI) specializes in management consulting and information technology services. The firm integrates industry research, strategic advisory, and systems development to assist both corporate and public-sector clients in tackling complex business and technology challenges.
NRI is recognized for its ability to combine consulting insights with extensive system integration, outsourcing, and software solutions, which are crucial for facilitating digital transformation initiatives. The company’s core services encompass management and IT consulting, system integration, application development, and IT outsourcing.
As market analysts and investors monitor these developments, the contrasting ratings from Zacks Research and Citigroup highlight the uncertainty surrounding Nomura Research Institute’s stock trajectory. Stakeholders will be keen to see how the firm navigates the evolving landscape in the coming months.
