Here's What Key Metrics Tell Us About Envestnet (ENV) Q3 Earnings

Core Insights - Envestnet reported revenue of $345.95 million for Q3 2024, reflecting a 9.2% increase year-over-year, with EPS at $0.70 compared to $0.56 in the same quarter last year [1] - The revenue fell short of the Zacks Consensus Estimate of $350.27 million, resulting in a surprise of -1.23%, while the EPS exceeded expectations by 2.94% [1] Financial Performance Metrics - Total Assets Under Management (AUM) stood at $773.49 billion, significantly below the average estimate of $965.45 billion [3] - Assets Under Administration (AUA) were reported at $398.08 billion, compared to the estimated $482.7 billion [3] - Recurring revenue from asset-based sources was $224.98 million, slightly below the average estimate of $225.33 million, marking a 16% year-over-year increase [3] - Total recurring revenue reached $340.38 million, compared to the average estimate of $344.03 million, representing a 10.2% year-over-year increase [3] - Professional services and other revenue amounted to $5.57 million, below the average estimate of $6.23 million, indicating a 30.5% year-over-year decline [3] - Subscription-based recurring revenue was $115.40 million, compared to the average estimate of $118.70 million, with a modest year-over-year increase of 0.4% [3] - Revenue from Envestnet Data & Analytics was $34.43 million, below the average estimate of $35.30 million, reflecting a 17.7% year-over-year decline [3] - Envestnet Wealth Solutions generated $311.52 million, slightly below the average estimate of $312.65 million, with a year-over-year increase of 13.3% [3] Stock Performance - Envestnet's shares have returned +0.4% over the past month, underperforming the Zacks S&P 500 composite's +3.2% change [4] - The stock currently holds a Zacks Rank 3 (Hold), suggesting it may perform in line with the broader market in the near term [4]