Investing.com - Morgan Stanley raised its price target on FactSet Research Systems (NYSE: FDS ) to $393 from $390 on Monday while maintaining an Underweight rating on the stock.

The financial data provider reported better-than-expected organic annual subscription value (ASV) with $23 million of net new ASV sold in the quarter. This performance came despite market volatility following what analysts referred to as "Liberation Day."

FactSet’s organic growth reached 4.5% in the quarter, exceeding Morgan Stanley’s estimate of 4.0% and consensus expectations of 4.3%. The growth was primarily driven by the company’s wealth management segment and data feeds business.

International price increases contributed $11 million to ASV in the quarter, representing a 31% decline from the previous year’s international price increase. The company reiterated its fiscal year 2025 guidance, including organic ASV growth projections of 4.4-5.8%.

FactSet remains on track to achieve 30-50 basis points of growth from its new generative AI products, with multiple offerings now generating seven-figure revenues. The research firm noted that sell-side AI penetration continues to outpace buy-side adoption, where uptake has been slower.

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