MSCI’s (MSCI) Q1 results could modestly beat estimates on the back of asset based fees, or ABF, strength, RBC Capital Markets said in an earnings preview emailed Monday.
The firm said it was modeling a 15% year-over-year increase in Q1 ABF, roughly in line with the 15.9% posted last quarter. However, RBC said it was conservatively estimating Q1 revenue of $682 million, in line with consensus.
Meanwhile, net new subscriptions should rise single digit year-over-year after declining for the last five quarters, the note said.
RBC Capital has an Outperform rating on the company’s stock with a price target of $638.
MSCI shares were up 1% in recent Monday trading.