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S&P Global Slumps After Underwhelming 2026 Guidance as AI Jitters Meet Ratings Concerns

Investors reassessed the company following a slight Q4 earnings miss and a profit outlook below forecasts, even as some analysts kept bullish calls.

Overview

  • S&P Global projected 2026 adjusted EPS of $19.40 to $19.65, below Wall Street estimates near $19.9.
  • Fourth-quarter results showed adjusted EPS of $4.30 on revenue of $3.92 billion, with indices up 14% and ratings up 12% by revenue.
  • Shares fell as much as 18% premarket and roughly 7%–10% in regular trading, and peers such as Moody’s and MSCI also declined.
  • Management guided 2026 revenue growth to 6.6%–8.6% and sees Ratings growing 4%–7% organically, drawing analyst concern over slower growth and weaker free cash flow.
  • The company returned about $6.2 billion to shareholders in 2025 and plans to return roughly 85% of free cash flow this year, while firms like Evercore ISI trimmed targets but maintained positive ratings and some analysts see AI-driven efficiency as a support for margins.