The Nomura Research Institute (OTCMKTS:NRILY) has received a significant downgrade from Zacks Research, moving from a “hold” rating to a “strong sell” rating, as indicated in a report published on Monday. This action reflects growing concerns about the company’s performance and market position.
In a contrasting move, Citigroup upgraded Nomura Research Institute from a “strong sell” rating to a “hold” rating in a report released on November 19, 2023. Currently, two research analysts have assigned a “hold” rating to the stock, while one analyst has given it a “sell” rating, resulting in a consensus rating of “Reduce,” according to data from MarketBeat.com.
Financial Performance Overview
Nomura Research Institute recently disclosed its earnings results on October 30, 2023. The company reported earnings per share (EPS) of $0.33 for the quarter, surpassing the consensus estimate of $0.32. The company achieved revenue of $1.37 billion, slightly exceeding expectations that projected revenue of $1.36 billion.
The firm’s financial metrics highlighted a return on equity of 22.63% and a net margin of 12.96%. Analysts forecast that Nomura Research Institute will report an EPS of $1.04 for the current fiscal year, which indicates a cautious outlook moving forward.
Company Background
Founded in 1965 and headquartered in Tokyo, Nomura Research Institute, Ltd. (NRI) is a prominent provider of management consulting and information technology services. The firm specializes in integrating industry research, strategic advisory, and systems development to assist both corporate and public-sector clients in navigating complex business and technology challenges.
NRI is well-regarded for its ability to blend consulting insights with extensive system integration, outsourcing, and software solutions that support digital transformation initiatives. Its core operations encompass management consulting, IT consulting, system integration, application development, and IT outsourcing.
As the market continues to respond to these recent ratings changes, investors will be closely watching how Nomura Research Institute addresses the challenges highlighted by analysts and whether it can maintain a competitive edge in its sector.
