Charles River Associates (NASDAQ:CRAI) Releases Earnings Results, Misses Estimates By $0.03 EPS

Charles River Associates (NASDAQ:CRAI) announced its quarterly earnings data on Thursday. The business services provider reported $1.99 EPS for the quarter, missing the consensus estimate of $2.02 by ($0.03), FiscalAI reports. The firm had revenue of $200.98 million for the quarter, compared to the consensus estimate of $193.81 million. Charles River Associates had a net margin of 6.22% and a return on equity of 25.83%.

Here are the key takeaways from Charles River Associates’ conference call:

• Company reported a record quarterly revenue of $201.0 million, up 10.5% year-over-year, with broad-based growth across eight practices and international revenue rising 20.3%.
• Demand and operations strengthened — consultant headcount rose 2.5% to 971, utilization improved to 77%, and average weekly project lead flow and new project originations set quarterly records.
• Reported non-GAAP EBITDA was $23.2 million (11.5% margin), but results include $13.8 million of non-cash forgivable loan amortization (up 53% YoY), which materially reduced reported profitability.
• Capital deployment was active — $62.3 million spent on talent, $25.3 million returned to shareholders (dividends and buybacks), the credit facility was increased by $50 million to $300 million, and quarter-end net debt was $159.5 million with $86.7 million total liquidity.

Charles River Associates Price Performance

NASDAQ:CRAI traded up $0.46 during mid-day trading on Friday, reaching $139.58. 122,453 shares of the company’s stock traded hands, compared to its average volume of 182,809. The company has a 50 day moving average price of $161.81 and a 200-day moving average price of $180.00. The firm has a market capitalization of $901.69 million, a price-to-earnings ratio of 19.39, a PEG ratio of 1.03 and a beta of 0.75. Charles River Associates has a 12-month low of $134.47 and a 12-month high of $227.29.

Charles River Associates Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, June 12th. Investors of record on Tuesday, May 26th will be issued a dividend of $0.57 per share. This represents a $2.28 dividend on an annualized basis and a yield of 1.6%. The ex-dividend date is Tuesday, May 26th. Charles River Associates’s payout ratio is currently 31.67%.

Charles River Associates News Roundup

Here are the key news stories impacting Charles River Associates this week:

• Positive Sentiment: Charles River Associates reported record first-quarter revenue of about $201 million, topping analyst expectations and signaling continued demand for its consulting services. CRA International Posts Record Revenue, Declares Quarterly Dividend
• Positive Sentiment: The company declared a quarterly dividend of $0.57 per share, which may appeal to income-focused investors and suggests confidence in cash generation. CRA International Posts Record Revenue, Declares Quarterly Dividend
• Neutral Sentiment: Charles River Associates also updated its FY2026 revenue outlook to $785 million-$805 million, a range that appears broadly in line with Wall Street’s expectations. CRA International Posts Record Revenue, Declares Quarterly Dividend
• Negative Sentiment: First-quarter adjusted EPS came in at $1.99, missing the $2.02 consensus estimate, which is weighing on sentiment despite the revenue beat. CRA International (CRAI) Q1 Earnings Miss Estimates

Insider Buying and Selling at Charles River Associates

In other news, EVP Jonathan D. Yellin sold 2,250 shares of the business’s stock in a transaction that occurred on Thursday, March 5th. The stock was sold at an average price of $182.27, for a total transaction of $410,107.50. Following the transaction, the executive vice president directly owned 14,046 shares of the company’s stock, valued at approximately $2,560,164.42. The trade was a 13.81% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Corporate insiders own 4.50% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in CRAI. Kennedy Capital Management LLC raised its holdings in Charles River Associates by 1.2% in the 4th quarter. Kennedy Capital Management LLC now owns 6,489 shares of the business services provider’s stock worth $1,302,000 after purchasing an additional 79 shares in the last quarter. Arkadios Wealth Advisors boosted its stake in shares of Charles River Associates by 3.1% during the 4th quarter. Arkadios Wealth Advisors now owns 4,388 shares of the business services provider’s stock valued at $881,000 after purchasing an additional 134 shares in the last quarter. Jones Financial Companies Lllp purchased a new position in shares of Charles River Associates during the first quarter valued at about $27,000. Russell Investments Group Ltd. raised its stake in Charles River Associates by 8.2% in the fourth quarter. Russell Investments Group Ltd. now owns 4,180 shares of the business services provider’s stock worth $839,000 after buying an additional 318 shares in the last quarter. Finally, New York State Common Retirement Fund raised its stake in Charles River Associates by 25.0% in the fourth quarter. New York State Common Retirement Fund now owns 7,495 shares of the business services provider’s stock worth $1,504,000 after buying an additional 1,500 shares in the last quarter. 84.13% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

Several brokerages have issued reports on CRAI. Weiss Ratings lowered Charles River Associates from a “buy (b-)” rating to a “hold (c+)” rating in a research note on Friday, April 24th. Barrington Research restated an “outperform” rating and issued a $245.00 price objective on shares of Charles River Associates in a report on Monday, March 2nd. One analyst has rated the stock with a Buy rating and one has issued a Hold rating to the stock. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $245.00.

Charles River Associates Company Profile

Charles River Associates (NASDAQ: CRAI) is a global consulting firm specializing in economic, financial and management advisory services. Founded in 1965 and headquartered in Boston, Massachusetts, the company provides expert analysis to support litigation, regulatory proceedings, and strategic decision-making. Its multidisciplinary teams draw on academic rigor and industry experience to deliver quantitative and qualitative insights tailored to clients’ needs.

The firm’s service offerings include competition economics, antitrust and merger analysis, intellectual property valuation and damages assessment, and risk management.