Core Insights - The article compares two stocks in the Consulting Services sector: CRA International (CRAI) and Equifax (EFX), focusing on which stock offers better value for investors [1] Valuation Metrics - CRAI has a Zacks Rank of 2 (Buy), indicating a more favorable earnings estimate revision activity compared to EFX, which has a Zacks Rank of 3 (Hold) [3] - CRAI's forward P/E ratio is 23.78, while EFX's forward P/E ratio is 26.86, suggesting CRAI may be undervalued relative to EFX [5] - CRAI has a PEG ratio of 1.49, compared to EFX's PEG ratio of 2.43, indicating CRAI's expected EPS growth rate is more favorable [5] - CRAI's P/B ratio is 5.93, while EFX's P/B ratio is 6.15, further supporting CRAI's valuation advantage [6] Value Grades - CRAI has a Value grade of B, while EFX has a Value grade of D, highlighting CRAI's superior valuation metrics and earnings outlook [6]

Core Viewpoint - Charles River Associates (CRAI) has experienced significant stock growth of 80.8% over the past year, outperforming the consulting services industry which saw a 4.6% increase [1]. Group 1: Company Performance and Market Position - CRAI has established a strong reputation for delivering high-quality analytical and strategic consulting services across various industries, positioning itself well in the consulting and research services sector [2]. - The company benefits from increasing demand for specialized advisory services in a complex global marketplace, which enhances its growth potential [2][3]. - CRAI's focus on innovation and client-centered solutions, along with its ability to attract top talent, positions it for significant growth as industries face rapid technological advancements and regulatory complexities [3]. Group 2: Talent and Workforce - CRAI's success is heavily reliant on its ability to acquire and retain talent, with nearly 75% of its senior consultants holding advanced degrees, including doctorates [4]. - In 2023, CRAI employed a total of 1,004 consulting staff, consisting of 156 officers, 527 senior staff, and 321 junior staff [4]. - The company collaborates with independent experts from top academic institutions, enhancing its capability to address complex client needs and generating new business opportunities [5]. Group 3: Financial Performance and Shareholder Returns - CRAI has consistently increased its dividend payouts, with payments rising from $8.29 million in fiscal 2021 to $10.8 million in 2023, and the dividend per share increasing from $1.04 in 2021 to $1.44 in 2023 [6]. - Share repurchase activity has varied, with $44.9 million repurchased in 2021, $27.6 million in 2022, and $24.8 million in 2023, reflecting the company's commitment to long-term value creation for investors [7]. - CRAI's shares have surged 87% over the past year, indicating strong market confidence in the company's long-term prospects [7]. Group 4: Industry Comparisons - CRAI currently holds a Zacks Rank of 2 (Buy), indicating positive market sentiment [8]. - Other top-ranked stocks in the broader Zacks Business Services sector include AppLovin (Zacks Rank 1) and Booz Allen Hamilton (Zacks Rank 2), with AppLovin showing a long-term earnings growth expectation of 20% [8][9].

Core Viewpoint - The article compares two companies, CRA International (CRAI) and Equifax (EFX), in the Consulting Services sector, highlighting CRAI as the more attractive option for value investors based on various valuation metrics and earnings estimate revisions [4][9]. Valuation Metrics - CRAI holds a Value grade of B, while EFX has a Value grade of D, indicating that CRAI is considered more undervalued [3]. - CRAI has a P/B ratio of 6.26 compared to EFX's P/B ratio of 6.57, suggesting CRAI is relatively more favorable in terms of market value versus book value [6]. - CRAI's forward P/E ratio is 26.41, significantly lower than EFX's forward P/E of 35.90, indicating that CRAI may be undervalued relative to its earnings potential [8]. - The PEG ratio for CRAI is 1.65, while EFX has a PEG ratio of 3.24, further supporting the notion that CRAI is a better value investment considering its expected earnings growth [8]. Earnings Estimate Revisions - CRAI has a Zacks Rank of 2 (Buy), while EFX has a Zacks Rank of 3 (Hold), indicating that CRAI is experiencing more positive earnings estimate revisions, which is a favorable sign for investors [7].

Group 1 - CRA International (NASDAQ: CRAI), operating as Charles River Associates, has been a leading performer in the Research and Consulting Services industry for several years [1] - The company offers specialized services in various areas, contributing to its strong market position [1] Group 2 - Joseph Jones, a professor at The University of Southern Mississippi, has over fifteen years of experience in market study, focusing on portfolio construction from a dividend growth investor's perspective [1]

Core Insights - Growth investors prioritize stocks with above-average financial growth, which can lead to solid returns, but identifying such stocks can be challenging [1] - The Zacks Growth Style Score simplifies the process of finding promising growth stocks by analyzing a company's real growth prospects beyond traditional metrics [2] - Stocks with a Growth Score of A or B and a Zacks Rank of 1 (Strong Buy) or 2 (Buy) tend to outperform the market [3] Earnings Growth - CRA International (CRAI) has a historical EPS growth rate of 17.6%, but projected EPS growth for this year is expected to be 30.9%, significantly higher than the industry average of 7.3% [4] - CRA's sales are projected to grow by 8.5% this year, compared to the industry average of 6% [6] Asset Utilization - CRA has an asset utilization ratio (sales-to-total-assets ratio) of 1.2, indicating that the company generates $1.2 in sales for every dollar in assets, outperforming the industry average of 1.07 [14] Earnings Estimate Revisions - There have been upward revisions in CRA's current-year earnings estimates, with the Zacks Consensus Estimate increasing by 0.9% over the past month [15] - CRA has achieved a Growth Score of A and holds a Zacks Rank of 2 due to positive earnings estimate revisions, suggesting it is a potential outperformer for growth investors [16][17]

Company Performance - CRA International (CRAI) shares have increased by 8.4% over the past month, reaching a new 52-week high of $210.7, and have gained 109% since the start of the year, outperforming the Zacks Business Services sector (24.2%) and the Zacks Consulting Services industry (8.9%) [1] - The company has consistently exceeded earnings expectations, reporting EPS of $1.77 against a consensus estimate of $1.58 in its last earnings report on October 31, 2024, and beating revenue estimates by 0.55% [2] - For the current fiscal year, CRA is projected to achieve earnings of $7.15 per share on revenues of $677.28 million, reflecting a 30.95% increase in EPS and an 8.54% increase in revenues [3] Valuation Metrics - CRA has a Value Score of B, a Growth Score of A, and a Momentum Score of B, resulting in a VGM Score of A, indicating strong overall performance [6] - The stock trades at 28.9X current fiscal year EPS estimates, above the peer industry average of 26.3X, and at 22.1X trailing cash flow compared to the peer group's average of 19.8X, with a PEG ratio of 1.81 [7] Zacks Rank - CRA holds a Zacks Rank of 2 (Buy), supported by favorable earnings estimate revisions from analysts, suggesting potential for further gains [8] Industry Comparison - The Consulting Services industry is performing well, ranking in the top 30% of all industries, providing a favorable environment for both CRA and its peer, Huron Consulting Group Inc. (HURN) [11]

Core Viewpoint - Wall Street is experiencing a historic rally, but concerns over high valuations, geopolitical tensions, and uncertainty regarding Federal Reserve rate cuts are leading investors to favor dividend investing as a more stable strategy [1]. Dividend Investing Strategy - Dividend investing provides consistent income and appeals to a wide range of investors, especially during market uncertainty, as it can reduce portfolio volatility and tends to outperform in choppy markets [2]. - Focusing on dividend growth stocks can lead to higher returns compared to simply investing in high-yield dividend stocks [3]. Characteristics of Dividend Growth Stocks - Stocks with a strong history of year-over-year dividend growth are associated with mature companies that are less volatile and provide downside protection during economic or political uncertainty [4]. - These stocks typically exhibit superior fundamentals, including sustainable business models, profitability, rising cash flows, good liquidity, and strong balance sheets, indicating potential for future dividend increases [5]. Selection Criteria for Dividend Growth Stocks - The selection process includes criteria such as: - 5-Year Historical Dividend Growth greater than zero [6]. - 5-Year Historical Sales Growth greater than zero [7]. - 5-Year Historical EPS Growth greater than zero and expected EPS growth rate greater than zero for the next 3-5 years [8]. - Price/Cash Flow ratio less than the industry average, indicating undervaluation [8]. - 52-Week Price Change greater than the S&P 500 [9]. - Top Zacks Rank (1 or 2) and a Growth Score of B or better for optimal upside potential [9]. Selected Dividend Growth Stocks - Five recommended dividend growth stocks include: - **InterDigital, Inc. (IDCC)**: Estimated earnings growth rate of 64.9% with a Zacks Rank 1 and Growth Score of B [11]. - **ResMed Inc. (RMD)**: Expected earnings growth rate of 20.98% with a Zacks Rank 2 and Growth Score of B [12]. - **Greenbrier Companies Inc. (GBX)**: Estimated growth rate of 4.8% with a Zacks Rank 1 and Growth Score of A [13]. - **Charles River Associates (CRAI)**: Expected earnings growth rate of 30.9% with a Zacks Rank 2 and Growth Score of A [14]. - **Kontoor Brands (KTB)**: Projected earnings growth of 13.1% with a Zacks Rank 2 and Growth Score of B [15].

Core Viewpoint - CRA International, Inc. (CRAI) has experienced significant growth, with its shares increasing by 100.9% over the past year, outperforming its industry and the Zacks S&P 500 composite [1] Financial Performance - CRAI's revenues are projected to grow by 8.5% year-over-year in 2024 and by 2.9% in 2025 [3] - Earnings are estimated to rise by 31% in 2024 and by 5.2% in 2025 [3] - The company has achieved a trailing four-quarter average earnings surprise of 31%, exceeding the Zacks Consensus Estimate [4] - Analysts have revised four estimates for 2024 upwards in the past 60 days, with the Zacks Consensus Estimate for 2024 earnings increasing from $6.9 per share to $7.2 [5] Business Diversification - CRAI has a diversified business model, offering services across various functional areas, client bases, and geographical regions, which enhances revenue generation [6] - The multi-disciplinary setup allows the company to leverage expertise from different domains, reducing reliance on any specific market or geographic area [7] - The global network of coordinated offices across North America and Europe enables CRAI to collaborate with leading professionals worldwide, enhancing its knowledge base [8] Client Base and Market Position - The company primarily serves multinational firms facing complex challenges, with expectations that international operations will expand its geographic footprint and contribute significantly to revenue [9] Shareholder Value - CRAI has a consistent history of returning value to shareholders through dividends, with payouts of $10.8 million, $9.58 million, and $8.29 million in fiscal years 2023, 2022, and 2021, respectively [10] - In the third quarter of 2024, the company paid out $3 million in dividends, reflecting its commitment to shareholder value and confidence in its business [10][11] Market Position and Comparisons - CRAI currently holds a Zacks Rank 2 (Buy) [12] - Other top-ranked stocks in the Zacks Business Services sector include Booz Allen Hamilton (BAH), Braze (BRZE), and DLocal Limited (DLO), each also carrying a Zacks Rank 2 [12]

CRA International, Inc. (CRAI) reported impressive third-quarter 2024 results, with earnings and revenues beating the Zacks Consensus Estimate. The stock has risen 9.6% since the earnings release in response to the better-than-expected results and strong guidance.CRAI reaffirmed its 2024 constant currency revenue guidance range to $670 million-$685 million in the third quarter of 2024. The guidance range's midpoint ($677.5 million) is higher than the current Zacks Consensus Estimate of $676.2 million. The c ...

CRA International (CRAI) is looking like an interesting pick from a technical perspective, as the company reached a key level of support. Recently, CRAI crossed above the 20-day moving average, suggesting a short-term bullish trend.The 20-day simple moving average is a well-liked trading tool because it provides a look back at a stock's price over a 20-day period. Additionally, short-term traders find this SMA very beneficial, as it smooths out short-term price trends and shows more trend reversal signals t ...