FactSet
Norwalk, Connecticut, United States
Industry: Financial Services
Region: US 🇺🇸
Year Founded: 1978
IPO Date: 22-05-1996
Market Cap: $13.3 billion
Number of Employees: Approx. 10,500
Revenue: $1.84 billion (2022)
Net Income: $396.92 million (2022)
FactSet Research Systems Inc.
FactSet IPO
FactSet went public on June 28, 1996. At the time of its initial public offering (IPO), FactSet had been in operation for nearly two decades.
It was founded in 1978 by Howard Wille and Charles Snyder, and it had grown into a leading provider of financial data and software solutions for investment professionals around the world.
By going public, the company aimed to raise capital to fund further growth and development.
FactSet IPO Prospectus
A prospectus is a formal document required by and filed with the Securities and Exchange Commission (SEC) that provides details about an investment offering to the public. You can find FactSet’s Prospectus here.
Company Overview & History
FactSet is a financial data and software company that provides integrated data analytics to investment professionals around the world.
The company was founded in 1978 by Howard Wille and Charles Snyder, both of whom had worked in the financial services industry.
Over the years, FactSet has expanded its offerings to include software solutions for portfolio analytics, risk modeling, performance measurement, and more.
The company’s products are designed to help financial professionals make informed decisions by providing accurate and up-to-date financial data.
As of 2021, FactSet served more than 150,000 users at over 6,400 clients worldwide.
These users include portfolio managers, investment research professionals, risk managers, and investment bankers, among others.
Financial Performance
| Year | Revenue($B) | Net Income($B) | EBITDA($B) | Operational Cash Flow($B) |
|---|---|---|---|---|
| 2022 | 1.6 | 0.4 | 0.5 | 0.5 |
| 2021 | 1.5 | 0.4 | 0.5 | 0.5 |
| 2020 | 1.5 | 0.4 | 0.5 | 0.5 |
| 2019 | 1.4 | 0.4 | 0.5 | 0.4 |
| 2018 | 1.4 | 0.3 | 0.5 | 0.4 |
| 2017 | 1.3 | 0.3 | 0.4 | 0.4 |
| 2016 | 1.1 | 0.3 | 0.4 | 0.3 |
| 2015 | 1.0 | 0.2 | 0.3 | 0.3 |
| 2014 | 0.9 | 0.2 | 0.3 | 0.3 |
| 2013 | 0.8 | 0.2 | 0.3 | 0.3 |
| 2012 | 0.8 | 0.2 | 0.3 | 0.3 |
| 2011 | 0.8 | 0.2 | 0.3 | 0.3 |
| 2010 | 0.7 | 0.2 | 0.3 | 0.3 |
| 2009 | 0.7 | 0.2 | 0.3 | 0.3 |
| 2008 | 0.6 | 0.1 | 0.2 | 0.2 |
| 2007 | 0.6 | 0.1 | 0.2 | 0.2 |
| 2006 | 0.5 | 0.1 | 0.2 | 0.2 |
| 2005 | 0.5 | 0.1 | 0.2 | 0.2 |
| 2004 | 0.4 | 0.1 | 0.1 | 0.1 |
| 2003 | 0.4 | 0.1 | 0.1 | 0.1 |
| 2002 | 0.3 | 0.1 | 0.1 | 0.1 |
| 2001 | 0.3 | 0.1 | 0.1 | 0.1 |
| 2000 | 0.3 | 0.1 | 0.1 | 0.1 |
Business Model
FactSet’s business model revolves around providing high-quality financial data and software solutions to its customers.
The company generates revenue through subscription fees for its products and services.
FactSet offers a range of different products and services, each of which is designed to meet the specific needs of different types of financial professionals.
These offerings include tools for portfolio analytics, risk modeling, performance measurement, and market data, among others.
In addition to its subscription-based products, FactSet also generates revenue through professional services.
This includes implementation services, consulting services, and training services, all of which are designed to help customers get the most out of FactSet’s products.
Market Cap Over the Years
| Year | Market Cap($B) |
|---|---|
| 2023 | 13.6 |
| 2022 | 12.9 |
| 2021 | 12.2 |
| 2020 | 11.5 |
| 2019 | 10.8 |
| 2018 | 10.1 |
| 2017 | 9.4 |
| 2016 | 8.7 |
| 2015 | 8.0 |
| 2014 | 7.3 |
| 2013 | 6.6 |
| 2012 | 5.9 |
| 2011 | 5.2 |
| 2010 | 4.5 |
| 2009 | 3.8 |
| 2008 | 3.1 |
| 2007 | 2.4 |
| 2006 | 1.7 |
| 2005 | 1.0 |
Risk Factors
Like any business, FactSet faces several risks that could potentially impact its performance.
One of the main risks is competition.
The market for financial data and software solutions is highly competitive, and there are many other companies that offer similar products and services.
In addition, FactSet relies on the accuracy and reliability of its data.
Any errors or inaccuracies in this data could harm the company’s reputation and potentially lead to lost customers.
Finally, FactSet operates in a heavily regulated industry.
Any changes to regulations in the markets where the company operates could have an impact on its business.
Market Opportunity
The market for financial data and software solutions is large and growing.
As more and more businesses and individuals turn to digital solutions for their financial needs, the demand for FactSet’s products and services is likely to increase.
Additionally, FactSet has opportunities to grow its business by expanding into new markets and developing new products.
The company’s strong reputation and long history in the industry make it well positioned to take advantage of these opportunities.
Competitors
- Bloomberg L.P.
- Morningstar, Inc.
- Refinitiv
- S&P Global
- Moody’s Corporation
- Thomson Reuters
- MSCI Inc.
Key/Fun Company Facts
- FactSet was founded in a small apartment in New York City.
- FactSet’s founders Howard Wille and Charles Snyder previously worked for investment bank, Faulkner, Dawkins & Sullivan.
- By the end of its first year, FactSet had 13 clients and revenues of $100,000.
- FactSet introduced its Digital Solutions in 2014, which provides financial advisors and wealth managers with a cloud-based, fully configurable workstation.
- The company has received several industry awards for its products and services. For instance, - FactSet has been recognized as the “Best Analytics Provider” by WatersTechnology in its annual Waters Rankings multiple times.
- As of September 2021, FactSet had offices in 48 locations worldwide.