NiCE (NASDAQ:NICE) Issues Earnings Results, Beats Expectations By $0.01 EPS

NiCE (NASDAQ:NICE) announced its quarterly earnings results on Thursday. The technology company reported $3.24 earnings per share for the quarter, beating the consensus estimate of $3.23 by $0.01, FiscalAI reports. The business had revenue of $786.50 million during the quarter, compared to analysts’ expectations of $779.95 million. NiCE had a net margin of 19.48% and a return on equity of 17.71%. The firm’s revenue for the quarter was up 9.0% compared to the same quarter last year. During the same quarter in the prior year, the company posted $3.02 EPS. NiCE updated its FY 2026 guidance to 10.850-11.050 EPS and its Q1 2026 guidance to 2.450-2.550 EPS.

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

• NICE closed 2025 on a strong note, meeting guidance with total revenue of $2.945B (+8%), cloud revenue up 13%, and AI ARR up 66% to $328 million, alongside record AI logo wins and seven-figure cloud ACV bookings that grew cloud backlog ~25%.
• The cash-funded acquisition of Cognigy makes NICE the only vendor claiming a fully AI-native CX platform; management plans full integration into CXone, new features (Cognigy Simulator, Copilot task assist), and expects Cognigy to be accretive within ~18 months.
• Financial flexibility improved—NICE fully repaid $460M of debt, ended the year debt-free, repurchased $489M of shares in 2025, and authorized a new $600M buyback (≈$1B of remaining repurchase capacity), supporting capital returns.
• Management will make deliberate, front-loaded investments in 2026 (COGS, R&D, and S&M) that will weigh on near-term margins and cash generation; FY 2026 non-GAAP EPS guide of $10.85–$11.05 is below 2025’s $12.30, signaling near-term earnings pressure.
• International momentum accelerated (international revenue +16% FY, +29% Q4) aided by partner channels and an earlier-than-expected large go‑live, offering a sizable growth runway that depends on continued execution and conversions.

NiCE Stock Performance

Shares of NICE traded up $4.45 on Friday, reaching $116.00. The stock had a trading volume of 207,101 shares, compared to its average volume of 964,415. NiCE has a 12-month low of $94.65 and a 12-month high of $180.61. The firm has a market capitalization of $7.34 billion, a price-to-earnings ratio of 13.18, a price-to-earnings-growth ratio of 1.50 and a beta of 0.96. The company has a 50-day simple moving average of $111.21 and a 200-day simple moving average of $124.99.

Trending Headlines about NiCE

Here are the key news stories impacting NiCE this week:

• Positive Sentiment: Board approved a $600 million share repurchase authorization (~9.6% of outstanding shares), a signal management believes the stock is undervalued and a direct capital-return catalyst. RTT News
• Positive Sentiment: NiCE raised FY‑2026 EPS guidance to $10.85–$11.05, above the prior consensus (implies stronger full‑year profitability). This supports a more constructive medium‑term outlook. Press Release / Slides
• Positive Sentiment: Q4 results showed modest beats: EPS $3.24 vs. $3.23 consensus and revenue $786.5M vs. $779.95M, with cloud revenue up 14% YoY — evidence of continued top‑line cloud growth. BusinessWire
• Positive Sentiment: Rosenblatt reaffirmed a “buy” and set a $155 price target (~39% upside from the $111.55 open), which can support buying interest from growth/value‑oriented funds. Benzinga
• Neutral Sentiment: Wedbush reaffirmed a “neutral” rating with a $120 target (~7.6% upside), reflecting a more cautious view that may temper momentum from bullish research. Benzinga
• Negative Sentiment: Management guided Q1 FY‑2026 EPS to $2.45–$2.55 and revenue to $755–$765M, both below street estimates (Q1 consensus ~ $2.76 EPS and ~$779M revenue), creating near‑term earnings growth concerns and prompting profit‑taking. Guidance / Slides

Analyst Ratings Changes

A number of analysts have recently weighed in on NICE shares. DA Davidson dropped their target price on shares of NiCE from $150.00 to $130.00 and set a “neutral” rating for the company in a report on Tuesday, November 18th. Piper Sandler reaffirmed a “neutral” rating and set a $122.00 price target on shares of NiCE in a research report on Tuesday, December 23rd. Barclays dropped their price objective on NiCE from $200.00 to $165.00 and set an “overweight” rating for the company in a report on Wednesday, November 19th. Cantor Fitzgerald reduced their target price on NiCE from $154.00 to $133.00 and set a “neutral” rating on the stock in a research note on Tuesday, November 18th. Finally, Morgan Stanley decreased their target price on NiCE from $193.00 to $160.00 and set an “overweight” rating for the company in a report on Tuesday, November 18th. Seven investment analysts have rated the stock with a Buy rating, five have assigned a Hold rating and two have issued a Sell rating to the company’s stock. According to MarketBeat.com, NiCE currently has a consensus rating of “Hold” and an average price target of $152.67.

NiCE declared that its board has approved a share buyback plan on Thursday, February 19th that permits the company to repurchase $600.00 million in shares. This repurchase authorization permits the technology company to buy up to 9.6% of its stock through open market purchases. Stock repurchase plans are often an indication that the company’s leadership believes its stock is undervalued.

Hedge Funds Weigh In On NiCE

Several institutional investors and hedge funds have recently added to or reduced their stakes in NICE. FIL Ltd grew its position in shares of NiCE by 0.7% in the 4th quarter. FIL Ltd now owns 1,732,137 shares of the technology company’s stock worth $195,801,000 after buying an additional 11,433 shares during the period. Neuberger Berman Group LLC boosted its stake in NiCE by 13.7% during the fourth quarter. Neuberger Berman Group LLC now owns 961,146 shares of the technology company’s stock worth $108,648,000 after acquiring an additional 115,526 shares in the last quarter. Lazard Asset Management LLC boosted its stake in NiCE by 32.0% during the fourth quarter. Lazard Asset Management LLC now owns 897,445 shares of the technology company’s stock worth $101,447,000 after acquiring an additional 217,673 shares in the last quarter. RPD Fund Management LLC purchased a new stake in NiCE in the fourth quarter worth about $100,154,000. Finally, Alliancebernstein L.P. increased its stake in shares of NiCE by 6.6% during the second quarter. Alliancebernstein L.P. now owns 819,140 shares of the technology company’s stock valued at $138,361,000 after purchasing an additional 50,403 shares in the last quarter. Hedge funds and other institutional investors own 63.34% of the company’s stock.

About NiCE

NiCE Ltd is a global software provider specializing in solutions for customer engagement, financial crime prevention, public safety, workforce optimization and border security. Its product offerings include cloud-native and on-premises platforms that leverage advanced analytics, artificial intelligence and automation to help organizations enhance customer experiences, streamline operations and ensure regulatory compliance. NiCE’s portfolio addresses the needs of contact centers, financial institutions, government agencies and enterprises across a broad range of industries.

In customer engagement, NiCE delivers tools for omnichannel interaction management, real-time and historical analytics, workforce management, and quality management.