ASGN (NYSE:ASGN) Releases Earnings Results, Misses Estimates By $0.03 EPS

ASGN (NYSE:ASGN) posted its quarterly earnings data on Wednesday. The business services provider reported $1.15 EPS for the quarter, missing analysts’ consensus estimates of $1.18 by ($0.03), Zacks reports. The firm had revenue of $980.10 million for the quarter, compared to analysts’ expectations of $979.05 million. ASGN had a net margin of 2.85% and a return on equity of 10.92%. The firm’s revenue was down .5% compared to the same quarter last year. During the same quarter last year, the company posted $1.28 EPS. ASGN updated its Q1 2026 guidance to 0.930-1.020 EPS.

Here are the key takeaways from ASGN’s conference call:

• ASGN reported strong Q4 results with revenue of $980.1 million at the top of guidance, an adjusted EBITDA margin of 11% (above expectations), and record commercial consulting bookings of $444.4 million with a 1.3x book-to-bill.
• The company agreed to acquire Quinnox for $290 million to bolster digital engineering and offshore delivery (Quinnox ~ $100M revenue with low- to mid-teens growth and low-20s adjusted EBITDA margins); management says the deal is accretive but will raise net leverage to ~2.9x post-close.
• Cash generation remains strong—Q4 free cash flow of $93.7 million and FY free cash flow of $288.1 million—supporting $64.2 million of Q4 buybacks and a newly approved $1 billion share repurchase program while funding M&A and investments.
• The federal segment showed weakness with revenues down 3.7% YoY and gross margin at 19.9% (down ~60 bps) partly due to loss of higher-margin DOGE contracts and delayed award activity from the government shutdown, leaving a trailing federal book-to-bill of 0.9x.
• Management emphasized accelerating AI-driven demand—launching an AI Factory, expanding partnerships (Elastic, Snowflake, ServiceNow, Workday, Wiz), and noting commercial consulting growth of 19.2% YoY—supporting the strategic shift to higher-margin technology and digital engineering work.

ASGN Price Performance

NYSE:ASGN opened at $53.11 on Friday. The firm has a market capitalization of $2.27 billion, a price-to-earnings ratio of 20.35 and a beta of 0.87. The company has a debt-to-equity ratio of 0.64, a current ratio of 1.99 and a quick ratio of 1.99. The business has a 50 day simple moving average of $48.89 and a 200-day simple moving average of $48.72. ASGN has a 1 year low of $39.25 and a 1 year high of $88.13.

Institutional Trading of ASGN

An institutional investor recently raised its position in ASGN stock. Russell Investments Group Ltd. increased its position in ASGN Incorporated (NYSE:ASGN) by 96.9% during the 3rd quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 30,497 shares of the business services provider’s stock after purchasing an additional 15,011 shares during the quarter. Russell Investments Group Ltd. owned approximately 0.07% of ASGN worth $1,444,000 as of its most recent SEC filing. Institutional investors own 95.36% of the company’s stock.

Wall Street Analyst Weigh In

A number of equities research analysts have commented on ASGN shares. Truist Financial raised their target price on shares of ASGN from $50.00 to $60.00 and gave the stock a “buy” rating in a research note on Tuesday, January 27th. UBS Group dropped their price objective on ASGN from $47.00 to $45.00 and set a “sell” rating for the company in a research note on Thursday, October 23rd. Weiss Ratings reissued a “sell (d+)” rating on shares of ASGN in a report on Wednesday, January 21st. Robert W. Baird set a $62.00 price objective on shares of ASGN in a report on Thursday. Finally, BMO Capital Markets reiterated an “outperform” rating on shares of ASGN in a report on Friday. Two research analysts have rated the stock with a Buy rating, three have issued a Hold rating and three have issued a Sell rating to the stock. According to data from MarketBeat, the company has a consensus rating of “Reduce” and an average price target of $53.57.

About ASGN

ASGN Incorporated (NYSE:ASGN) is a leading provider of specialized staffing and professional services, delivering tailored solutions across information technology, digital transformation, engineering and scientific disciplines. Through its diversified portfolio of brands, ASGN connects clients—ranging from life sciences and healthcare firms to technology enterprises and government agencies—with highly skilled consultants, project teams and permanent personnel. The company’s model emphasizes both temporary staffing and long-term consulting engagements to address complex talent and project needs.

ASGN’s service offerings are organized into two main business segments.