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Zacks.com users have recently been watching Axon (AXON) quite a bit. Thus, it is worth knowing the facts that could determine the stock's prospects.

Axon Enterprise, Inc. (AXON) Presents at TD Cowen's 54th Annual Technology, Media & Telecom Conference Transcript

Key Takeaways Axon's Software & Services revenues increased 35% in Q1 2026 after 39.6% growth in 2025.AXON is benefiting from digital evidence management demand and premium software adoption.AXON raised its 2026 revenue growth outlook to approximately 30-32% year over year. Axon Enterprise, Inc. (AXON - Free Report) is witnessing strong momentum in its Software & Services segment, driven by an increase in the aggregate number of users to the Axon network. After witnessing a year-over-year 39.6% jump in revenues in 2025, revenues from the segment increased 35% in the first quarter of 2026.

Continued momentum in digital evidence management and increased adoption of its latest software offerings are driving the segment’s growth. Demand for premium add-on features continues to rise as more customers recognize the value of enhanced capabilities. Existing customers are consistently returning to purchase additional services, reflecting strong customer satisfaction and engagement. This ongoing expansion supports a growing base of annual recurring revenue (ARR).

Solid demand for TASER devices, virtual reality training services and counter-drone equipment is also supporting the company’s overall growth. Axon is also benefiting from its growing presence in the counter-drone space with strength across its Dedrone offerings and Artificial Intelligence (AI)-powered command-and-control platform.

Strong customer alignment, broader adoption across sectors and continuous product innovation led Axon to issue bullish guidance for 2026. The company currently expects revenues to increase approximately 30-32% year over year, higher than 27-30% predicted earlier.

Segment Performance of AXON's PeersAmong its major peers, Woodward, Inc.’s (WWD - Free Report) Industrial business segment reported net sales of $387 million in the second quarter of fiscal 2026, up 20% year over year. Woodward generated 35% of its total sales from this segment in the quarter. The revenue growth for Woodward’s Industrial business segment was driven by higher demand for power generation equipment and services, along with favorable conditions in marine transportation and steady investment in parts of oil and gas.

Its another peer, Teledyne Technologies Incorporated’s (TDY - Free Report) Digital Imaging segment’s first-quarter 2026 revenues increased 7.9% year over year to $816.9 million. Higher revenues were augmented by increased demand for Teledyne’s commercial infrared imaging components and surveillance systems. Teledyne generated 52.4% of its total revenues from this segment in the quarter.

AXON’s Price Performance, Valuation and EstimatesShares of Axon have gained 21.1% in the past month compared with the industry’s growth of 16.5%.

Image Source: Zacks Investment Research

From a valuation standpoint, AXON is trading at a forward price-to-earnings ratio of 51.98X, above the industry’s average of 50.62X. Axon carries a Value Score of F.

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for AXON’s 2026 earnings has inched down 0.4% over the past 60 days.

Image Source: Zacks Investment Research

The company currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

On June 04, 2026, Axon Enterprise Inc AXON shares rose 6.6% today, trading at $513.20. This price movement comes amidst a 52-week range of $339.01 to $885.92, highlighting significant volatility in the stock. The company has experienced a year-to-date decline of 9.6% and a more pronounced drop of 34.2% over the past year.

GF Value™ verdict: Current price of $513.20 is 13.3% below the GF Value™ estimate of $591.97.GF Score™ is 82/100, indicating a strong overall performance compared to peers.Notable signal: Insiders sold $29.2 million worth of shares in the last 3 months, reflecting a lack of buying interest among management. Is AXON Overvalued or Undervalued? Axon Enterprise Inc's current trading price of $513.20 positions it as 13.3% undervalued compared to the GF Value™ estimate of $591.97. This margin of safety suggests a potential opportunity for investors, as the stock is trading below its intrinsic value. The GF Valuation label classifies AXON as modestly undervalued, indicating that the market may not be fully recognizing the company’s growth prospects and future performance potential.

However, it is essential to consider the risk factors associated with this valuation. The company has seen declining stock performance over the past year, which may contribute to investor hesitance. GF Value™ is GuruFocus' proprietary measure of intrinsic value, calculated from historical trading multiples, past business growth, and future performance estimates. Thus, while the current price presents an attractive entry point for some, investors should remain cautious about the overall market sentiment and the company's recent performance trends.

How Does AXON's Valuation Compare to Its History? MetricCurrentHistorical P/E (TTM)206.1x127.7x Forward P/E66.5xN/A The current P/E (TTM) of 206.1x is significantly above its 5-year median P/E of 127.7x, indicating that AXON is trading at a premium relative to its historical valuation metrics. This finding aligns with the GF Value™ assessment, where the stock is deemed undervalued despite its high P/E ratio, suggesting that while there may be growth potential, the market has priced in optimistic future earnings which may not materialize as projected.

What Does AXON's GF Score™ Tell Us? MetricRating GF Score™82 Financial Strength5/10 Profitability6/10 Growth9/10 Valuation10/10 Momentum4/10 Axon’s GF Score™ of 82/100 indicates a solid overall performance, with particularly strong rankings in Growth (9/10) and Valuation (10/10). However, the Financial Strength score of 5/10 and a Momentum rank of 4/10 suggest areas where the company may face challenges. The robust Growth rank indicates that Axon has significant potential for expansion, but the moderate Financial Strength could be a concern for stability and sustainability in the long term.

What Are Insiders Doing with AXON Stock? Recent insider activity for Axon has shown a notable trend, with insiders selling $29.2 million worth of shares over the past three months and no recorded buying. This pattern suggests that insiders may not have confidence in the stock’s near-term performance or could be taking profits after previous gains. A lack of insider buying often raises questions about the company’s future outlook from those closest to its operations.

What This Means for Investors Based on the GF Value™ analysis, Axon Enterprise Inc AXON is currently undervalued. However, potential investors should consider the mixed signals from insider activity and performance metrics. While the stock may present an attractive valuation opportunity, caution is warranted given the recent declines in stock price and the overall market sentiment.

For the complete analysis, visit the Axon Enterprise Inc AXON stock page. You can also explore the GF Value™ page for detailed valuation methodology, or use the GuruFocus Stock Screener to find similar opportunities.

Frequently Asked Questions What is AXON's GF Score™?

AXON's GF Score™ is 82/100, indicating a strong overall performance compared to its peers, suggesting potential for higher long-term returns.

Is AXON overvalued or undervalued?

AXON is currently undervalued, with the price trading 13.3% below the GF Value™ estimate.

What is AXON's P/E ratio?

AXON's P/E (TTM) is 206.1x, significantly above its 5-year median P/E of 127.7x, indicating a premium valuation relative to its historical levels.

This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].

Drone Stocks Soar As Pentagon Considers Funding, Including a Trump-Linked NameAxon Enterprise NASDAQ: AXON President Josh Isner said the company continues to see durable growth opportunities across public safety, international markets, enterprise customers and new artificial intelligence products, speaking during a William Blair & Company fireside chat hosted by research analyst Jonathan Ho.

Isner described Axon’s evolution from its 1993 founding as the maker of TASER devices into a broader public safety technology platform. He said the company’s camera products led to the creation of Evidence.com, which he described as “the largest police evidence repository in the world,” managing about 50 times as much content as the Netflix library and making Axon Microsoft Azure’s biggest customer.

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Airplane Maintenance Companies That Keep Flights Moving Are Ready to SoarThat evidence platform now supports data from body cameras, in-car video, fixed cameras, drones, robots, license plate recognition and other sensors, Isner said. He added that the company’s mission remains “to protect life” by building tools intended to keep police officers and community members safer.

Bookings and margins remain central to growth outlook Isner pointed to five-year bookings as a leading indicator for revenue, saying that if bookings continue to grow by more than 30%, “you can kind of expect revenue to follow that same trend.” He said Axon’s bookings have increased roughly 4.5 times since 2022, while net revenue retention continues to rise as the company sells more products to existing customers.

Axon Surged After Earnings and Is Still Down Over 50% From HighsHe said Axon has been a 30% revenue grower for several years, after growing 25% annually for seven years before that. Isner also highlighted margin expansion, saying adjusted EBITDA margins have risen from about 19% four or five years ago to guidance of 25.5% this year. The company’s long-term guidance calls for 28% EBITDA margins in 2028, he said.

Asked about balancing profitability and growth, Isner said Axon believes it can do both, but would prioritize growth if forced to choose. “It’s way harder to figure out how to grow 30-plus percent than to figure out how to cut costs,” he said.

AI products driving customer interest Isner said Axon booked more than $750 million in dedicated AI tools last year, and that AI bookings were up 140% year over year in the first quarter. He emphasized that Axon’s AI products are already being used by police agencies rather than remaining theoretical.

The company’s flagship AI product, Draft One, uses the audio from body camera footage to create a draft police report, which officers must review and edit before submission. Isner said officers previously spent about 50% of their time writing reports, and that Draft One has reduced that figure to about 20%, giving officers roughly a day and a half per week back for field work.

Other AI products discussed included:

Real-time translation: A body camera feature that identifies a spoken language and translates conversations between officers and the public, which Isner said is being used for the World Cup, at the border and internationally. Axon Vision: A tool that turns CCTV cameras into detection systems for incidents such as a person lying motionless, a struggle or a vehicle break-in. Axon Gravity: A product that connects Evidence.com with other police systems to provide real-time insights across data sets. Isner said Axon views itself as a distribution channel for frontier AI models in law enforcement. He said the company diversifies across vendors, tests publicly available models and maintains version-control flexibility to reduce operational and reputational risk.

New markets and counter-drone demand Axon’s core market remains U.S. state and local public safety, but Isner said international, federal and enterprise customers represent significant long-term opportunities. He said international bookings exceeded $1 billion last year and suggested that international could eventually become larger than the U.S. business if the company executes well. He also said enterprise could become larger than both.

Isner cited private security, retail, security operations centers and Fortune 500 companies as examples of enterprise use cases. He said Axon’s approach is to sell existing products into newer markets while continuing to build new products for its established U.S. public safety customers.

Counter-drone technology was another major topic. Isner said Axon’s Dedrone product line was up 300% year over year in the first quarter and has drawn significant interest amid growing awareness of drone threats. He said the largest current markets for Dedrone are international, federal and enterprise customers, while state and local adoption depends on cities gaining more authority to mitigate drones.

According to Isner, World Cup host cities have received waivers allowing them to mitigate drones, an authority that generally resides with the FAA. He said those cities are effectively getting early deployments of the product, often mounted on trailers to protect stadium airspace, with the potential to later install fixed systems around cities.

TASER and 911 initiatives remain in focus In response to an audience question, Isner said Axon is in the fourth year of its current five-year TASER product cycle. He said TASER 10, which fires 10 darts rather than two cartridges, has sold at twice the volume of TASER 7 over the same period of availability. He said future development is focused on improving effectiveness by addressing resistance from heavy clothing, including new dart designs and machine-vision guidance.

Isner also discussed Axon’s 911 strategy, saying many call centers still rely on antiquated on-premise technology. He said Axon acquired Prepared 911 to add AI capabilities over existing infrastructure, including call transcription, language localization and the potential to dispatch drones using cell phone metadata. He said the company also acquired Carbyne, a cloud-native call center infrastructure provider, as part of a longer-term effort to modernize emergency communications systems.

On distribution, Isner said Axon favors a direct sales model in U.S. state and local markets and generally in federal markets, where it has established relationships. In international and enterprise markets, he said system integrators and partners are more important because Axon does not have the same level of incumbency.

About Axon Enterprise NASDAQ: AXONAxon Enterprise, Inc develops technology and weapons systems for public safety and law enforcement agencies, combining hardware, software and cloud services. The company's hardware portfolio includes conducted energy weapons (commonly known as TASER devices), body-worn cameras and in-car camera systems. Axon pairs these devices with a suite of connected products and accessories designed to capture, store and manage field evidence.

Beyond hardware, Axon operates a subscription-based software platform for digital evidence management, evidence review and records management.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].

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Key Takeaways AXON's Connected Devices revenues climbed 32.8% in Q1 2026 on TASER 10 and Axon Body 4 demand.AXON's Software & Services revenues rose 35%, supported by user growth and recurring revenues.AXON raised its revenue growth outlook to 30-32% and expanded offerings through acquisitions. Shares of Axon Enterprise, Inc. (AXON - Free Report) have been showing impressive gains of late, rising 23.3% in the past month. Shares of the public safety technology solution provider have outpaced the Zacks sub-industry’s growth of 2.7% and the S&P 500 composite’s 0.8% decline. The company has also outperformed other industry players like Kratos Defense & Security Solutions, Inc. (KTOS - Free Report) and Teledyne Technologies Incorporated (TDY - Free Report) , which have returned 2.7% and declined 4.8%, respectively, over the same time frame.

AXON Stock’s Price Performance
Image Source: Zacks Investment Research

Closing at $486.12 yesterday, the stock is trading below its 52-week high of $885.92 but higher than its 52-week low of $339.01. Although the stock is hovering above its 50-day moving average, it is trading below its 200-day moving average.

AXON Shares’ 50-Day and 200-Day SMA
Image Source: Zacks Investment Research

What’s Behind AXON Stock’s Momentum?The strongest driver of Axon’s business at the moment is the solid momentum in its Connected Devices segment. The company continues to witness solid demand for its next-generation TASER 10 products, whose shipment began in 2023. Growth in cartridge revenues, driven by higher adoption of the TASER products, has been driving the segment’s performance.

Solid demand for its next-generation body-worn camera, Axon Body 4, virtual reality training services and counter-drone equipment also supports its growth. Segmental revenues surged 32.8% year over year in the first quarter of 2026, following an increase of 29.1% in 2025.

The company is also witnessing persistent strength in its Software & Services segment, driven by an increase in the aggregate number of users to the Axon network. Continued momentum in digital evidence management and increased adoption of its latest software offerings are driving the segment’s growth.

Existing customers are consistently returning to purchase additional services, reflecting strong customer satisfaction and engagement. This ongoing expansion supports a growing base of annual recurring revenue (ARR). After witnessing a year-over-year 39.6% jump in 2025 revenues, the metric increased 35% in the first quarter of 2026.

AXON remains focused on strategic collaborations with other companies to expand its product offerings and customer base. In October 2025, Axon’s Dedrone business announced its partnership with TYTAN (a leading provider of interceptor systems for Group 3 drones) to boost detection, identification and mitigation capabilities of counter drone equipment. The integration of TYTAN’s kinetic interceptor technology enhanced Dedrone’s Counter-Unmanned Aircraft Systems (CUAS) mitigation capability, making it suitable to deploy against Group 3 threats.

Axon’s acquisition of Carbyne (in February 2026) also enabled it to come up with Axon 911, a state-of-the-art, fully integrated solution that is designed to connect callers and responders instantly. Growing popularity for its Dedrone platform across several sectors also bodes well. The company currently expects revenues to increase approximately 30-32% year over year, higher than 27-30% predicted earlier.

AXON’s Earnings Estimate RevisionThe company’s earnings estimates for 2026 have inched down 0.4% to $8.09 per share over the past 60 days. However. the figure indicates year-over-year growth of 18.1%.

Earnings estimates for 2027 have moved up 0.1% to $10.68 per share. The figure also indicates year-over-year growth of 32%.

Image Source: Zacks Investment Research

Valuation Remains an OverhangThe stock is trading at a forward 12-month price-to-earnings (P/E) ratio of 52.75X, higher than the industry average of 47.30X. This elevated valuation could make the stock vulnerable to further pullbacks if market sentiment sours.

While its peer, Teledyne Technologies, is trading cheaper compared with AXON, Kratos Defense is trading at a premium. Notably, Teledyne Technologies and Kratos Defense are trading at 24.23X and 67.72X, respectively.

Image Source: Zacks Investment Research

Should You Buy AXON Stock Now?Robust momentum across Axon’s TASER and Software & Sensors segments, along with its investments in AI products, drones and robotics, positions it favorably for impressive growth in the quarters ahead. The company’s strategic acquisitions and collaborations with other companies to expand product offerings should also support its top-line performance.

Despite its expensive valuation, positive analyst sentiment and robust growth prospects indicate it is the right time for potential investors to bet on this Zacks Rank #1 (Strong Buy) company. You can see the complete list of today’s Zacks #1 Rank stocks here.

When deciding whether to buy, sell, or hold a stock, investors often rely on analyst recommendations. Media reports about rating changes by these brokerage-firm-employed (or sell-side) analysts often influence a stock's price, but are they really important?

Before we discuss the reliability of brokerage recommendations and how to use them to your advantage, let's see what these Wall Street heavyweights think about Axon Enterprise (AXON - Free Report) .

Axon currently has an average brokerage recommendation (ABR) of 1.27, on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 20 brokerage firms. An ABR of 1.27 approximates between Strong Buy and Buy.

Of the 20 recommendations that derive the current ABR, 15 are Strong Buy and four are Buy. Strong Buy and Buy respectively account for 75% and 20% of all recommendations.

Brokerage Recommendation Trends for AXON

Check price target & stock forecast for Axon here>>>

The ABR suggests buying Axon, but making an investment decision solely on the basis of this information might not be a good idea. According to several studies, brokerage recommendations have little to no success guiding investors to choose stocks with the most potential for price appreciation.

Do you wonder why? As a result of the vested interest of brokerage firms in a stock they cover, their analysts tend to rate it with a strong positive bias. According to our research, brokerage firms assign five "Strong Buy" recommendations for every "Strong Sell" recommendation.

In other words, their interests aren't always aligned with retail investors, rarely indicating where the price of a stock could actually be heading. Therefore, the best use of this information could be validating your own research or an indicator that has proven to be highly successful in predicting a stock's price movement.

Zacks Rank, our proprietary stock rating tool with an impressive externally audited track record, categorizes stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), and is an effective indicator of a stock's price performance in the near future. Therefore, using the ABR to validate the Zacks Rank could be an efficient way of making a profitable investment decision.

Zacks Rank Should Not Be Confused With ABRAlthough both Zacks Rank and ABR are displayed in a range of 1--5, they are different measures altogether.

Broker recommendations are the sole basis for calculating the ABR, which is typically displayed in decimals (such as 1.28). The Zacks Rank, on the other hand, is a quantitative model designed to harness the power of earnings estimate revisions. It is displayed in whole numbers -- 1 to 5.

It has been and continues to be the case that analysts employed by brokerage firms are overly optimistic with their recommendations. Because of their employers' vested interests, these analysts issue more favorable ratings than their research would support, misguiding investors far more often than helping them.

On the other hand, earnings estimate revisions are at the core of the Zacks Rank. And empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.

Furthermore, the different grades of the Zacks Rank are applied proportionately across all stocks for which brokerage analysts provide earnings estimates for the current year. In other words, at all times, this tool maintains a balance among the five ranks it assigns.

There is also a key difference between the ABR and Zacks Rank when it comes to freshness. When you look at the ABR, it may not be up-to-date. Nonetheless, since brokerage analysts constantly revise their earnings estimates to reflect changing business trends, and their actions get reflected in the Zacks Rank quickly enough, it is always timely in predicting future stock prices.

Is AXON a Good Investment?In terms of earnings estimate revisions for Axon, the Zacks Consensus Estimate for the current year has increased 3.5% over the past month to $8.09.

Analysts' growing optimism over the company's earnings prospects, as indicated by strong agreement among them in revising EPS estimates higher, could be a legitimate reason for the stock to soar in the near term.

The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #1 (Strong Buy) for Axon. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>

Therefore, the Buy-equivalent ABR for Axon may serve as a useful guide for investors.

Axon Enterprise (AXON - Free Report) is one of the stocks most watched by Zacks.com visitors lately. So, it might be a good idea to review some of the factors that might affect the near-term performance of the stock.

Over the past month, shares of this maker of stun guns and body cameras have returned +18.8%, compared to the Zacks S&P 500 composite's -1.6% change. During this period, the Zacks Aerospace - Defense Equipment industry, which Axon falls in, has gained 2.2%. The key question now is: What could be the stock's future direction?

Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.

Earnings Estimate RevisionsHere at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.

Our analysis is essentially based on how sell-side analysts covering the stock are revising their earnings estimates to take the latest business trends into account. When earnings estimates for a company go up, the fair value for its stock goes up as well. And when a stock's fair value is higher than its current market price, investors tend to buy the stock, resulting in its price moving upward. Because of this, empirical studies indicate a strong correlation between trends in earnings estimate revisions and short-term stock price movements.

For the current quarter, Axon is expected to post earnings of $1.91 per share, indicating a change of -9.9% from the year-ago quarter. The Zacks Consensus Estimate remained unchanged over the last 30 days.

For the current fiscal year, the consensus earnings estimate of $8.09 points to a change of +18.1% from the prior year. Over the last 30 days, this estimate has remained unchanged.

For the next fiscal year, the consensus earnings estimate of $10.68 indicates a change of +32% from what Axon is expected to report a year ago. Over the past month, the estimate has remained unchanged.

Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, Axon is rated Zacks Rank #1 (Strong Buy).

The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:

12 Month EPS

Revenue Growth ForecastWhile earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.

In the case of Axon, the consensus sales estimate of $868.35 million for the current quarter points to a year-over-year change of +29.9%. The $3.64 billion and $4.6 billion estimates for the current and next fiscal years indicate changes of +31% and +26.3%, respectively.

Last Reported Results and Surprise HistoryAxon reported revenues of $807.34 million in the last reported quarter, representing a year-over-year change of +33.7%. EPS of $1.61 for the same period compares with $1.41 a year ago.

Compared to the Zacks Consensus Estimate of $780.58 million, the reported revenues represent a surprise of +3.43%. The EPS surprise was -3.01%.

Over the last four quarters, Axon surpassed consensus EPS estimates two times. The company topped consensus revenue estimates each time over this period.

ValuationWithout considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.

Comparing the current value of a company's valuation multiples, such as its price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), to its own historical values helps ascertain whether its stock is fairly valued, overvalued, or undervalued, whereas comparing the company relative to its peers on these parameters gives a good sense of how reasonable its stock price is.

The Zacks Value Style Score (part of the Zacks Style Scores system), which pays close attention to both traditional and unconventional valuation metrics to grade stocks from A to F (an A is better than a B; a B is better than a C; and so on), is pretty helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.

Axon is graded F on this front, indicating that it is trading at a premium to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.

Bottom LineThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Axon. However, its Zacks Rank #1 does suggest that it may outperform the broader market in the near term.

NEW YORK, April 08, 2026 (GLOBE NEWSWIRE) -- Leading securities law firm Bleichmar Fonti & Auld LLP notifies stockholders of Mister Car Wash, Inc. (NASDAQ: MCW) that new details have emerged related to BFA Law’s ongoing investigation into the company’s board of directors and its controlling stockholder, LGP, for potential breaches of their fiduciary duties to shareholders in connection with the pending take-private sale of Mister Car Wash that is slated to cash out every public stockholder for $7 per share.

If you are a current shareholder of Mister Car Wash, you are encouraged to obtain additional information by visiting: https://www.bfalaw.com/cases/mister-car-wash-investigation.

Why is Mister Car Wash being Investigated?

On February 18, 2026, Mister Car Wash announced that it had agreed to be acquired by Leonard Green & Partners, L.P. (“LGP”) for $7.00 per share. This price may represent an unfairly low price being paid to Mister Car Wash’s stockholders and may be the result of conflicts of interest between Mister Car Wash’s board of directors and LGP.

LGP is the largest owner of Mister Car Wash stock, owning over 66% of the company’s common stock. As Mister Car Wash noted in its most recent annual report (SEC form 10-k) “[f]or as long as LGP owns more than 50% of [Mister Car Wash’s] common stock it will be able to exert a controlling influence over all matters requiring stockholder approval, including the nomination and election of directors and approval of significant corporate transactions, such as a merger or other sale of our Company or its assets.” As the controlling stockholder of Mister Car Wash, LGP owes fiduciary duties to the public stockholders of Mister Car Wash.

LGP has already used its shares to give stockholder approval to the take-private sale, and the company does not plan to solicit any further votes from public stockholders. With the ability to approve the sale of Mister Car Wash to itself, needing only its own votes, LGP is incentivized to execute the deal as cheaply as possible.

BFA Law is conducting an ongoing investigation into Mister Car Wash’s board of directors and LGP to ascertain whether they have breached fiduciary duties to Mister Car Wash’s stockholders in connection with the contemplated transaction.

On April 3, 2026, Mister Car Wash filed new disclosures with the SEC on Schedule 13E-3. In that form, the company revealed the members of the special committee that negotiated the terms of the transaction on behalf of the company. BFA Law’s investigation has identified potential deficiencies in the independence of those special committee members. Mister Car Wash also revealed new details about the background of how the transaction was negotiated. BFA Law is continuing to investigate whether Mister Car Wash’s management conducted a sufficient sales process in light of this new information—including into whether the company ever genuinely considered alternative purchasers aside from LGP.

Click here for more information: https://www.bfalaw.com/cases/mister-car-wash-investigation

What Can You Do?

If you are a current holder of Mister Car Wash stock you may have legal options and are encouraged to submit your information to the firm.

All representation is on a contingency fee basis, there is no cost to you. Shareholders are not responsible for any court costs or expenses of litigation. The firm will seek court approval for any potential fees and expenses.

Submit your information by visiting:

https://www.bfalaw.com/cases/mister-car-wash-investigation

Or contact:
Adam McCall
[email protected]
212.789.3619

Why Bleichmar Fonti & Auld LLP?

BFA is a leading international law firm representing plaintiffs in securities class actions and shareholder litigation. It has been named a top plaintiff law firm by Chambers USA, The Legal 500, and ISS SCAS, and its attorneys have been named “Elite Trial Lawyers” by the National Law Journal, “Litigation Stars” by Benchmark Litigation, among the top “500 Leading Plaintiff Financial Lawyers” by Lawdragon, “Titans of the Plaintiffs’ Bar” by Law360 and “SuperLawyers” by Thomson Reuters. Among its recent notable successes, BFA recovered over $900 million in value from Tesla, Inc.’s Board of Directors, as well as $420 million from Teva Pharmaceutical Ind. Ltd.

For more information about BFA and its attorneys, please visit https://www.bfalaw.com.

https://www.bfalaw.com/cases/mister-car-wash-investigation

Attorney advertising. Past results do not guarantee future outcomes.

NEW YORK, April 10, 2026 (GLOBE NEWSWIRE) -- Leading securities law firm Bleichmar Fonti & Auld LLP notifies stockholders of Mister Car Wash, Inc. (NASDAQ: MCW) that new details have emerged related to BFA Law’s ongoing investigation into the company’s board of directors and its controlling stockholder, LGP, for potential breaches of their fiduciary duties to shareholders in connection with the pending take-private sale of Mister Car Wash that is slated to cash out every public stockholder for $7 per share.

If you are a current shareholder of Mister Car Wash, you are encouraged to obtain additional information by visiting: https://www.bfalaw.com/cases/mister-car-wash-investigation.

Why is Mister Car Wash being Investigated?

On February 18, 2026, Mister Car Wash announced that it had agreed to be acquired by Leonard Green & Partners, L.P. (“LGP”) for $7.00 per share. This price may represent an unfairly low price being paid to Mister Car Wash’s stockholders and may be the result of conflicts of interest between Mister Car Wash’s board of directors and LGP.

LGP is the largest owner of Mister Car Wash stock, owning over 66% of the company’s common stock. As Mister Car Wash noted in its most recent annual report (SEC form 10-k) “[f]or as long as LGP owns more than 50% of [Mister Car Wash’s] common stock it will be able to exert a controlling influence over all matters requiring stockholder approval, including the nomination and election of directors and approval of significant corporate transactions, such as a merger or other sale of our Company or its assets.” As the controlling stockholder of Mister Car Wash, LGP owes fiduciary duties to the public stockholders of Mister Car Wash.

LGP has already used its shares to give stockholder approval to the take-private sale, and the company does not plan to solicit any further votes from public stockholders. With the ability to approve the sale of Mister Car Wash to itself, needing only its own votes, LGP is incentivized to execute the deal as cheaply as possible.

BFA Law is conducting an ongoing investigation into Mister Car Wash’s board of directors and LGP to ascertain whether they have breached fiduciary duties to Mister Car Wash’s stockholders in connection with the contemplated transaction.

On April 3, 2026, Mister Car Wash filed new disclosures with the SEC on Schedule 13E-3. In that form, the company revealed the members of the special committee that negotiated the terms of the transaction on behalf of the company. BFA Law’s investigation has identified potential deficiencies in the independence of those special committee members. Mister Car Wash also revealed new details about the background of how the transaction was negotiated. BFA Law is continuing to investigate whether Mister Car Wash’s management conducted a sufficient sales process in light of this new information—including into whether the company ever genuinely considered alternative purchasers aside from LGP.

Click here for more information: https://www.bfalaw.com/cases/mister-car-wash-investigation

What Can You Do?

If you are a current holder of Mister Car Wash stock you may have legal options and are encouraged to submit your information to the firm.

All representation is on a contingency fee basis, there is no cost to you. Shareholders are not responsible for any court costs or expenses of litigation. The firm will seek court approval for any potential fees and expenses.

Submit your information by visiting:

https://www.bfalaw.com/cases/mister-car-wash-investigation

Or contact:
Adam McCall
[email protected]
212.789.3619

Why Bleichmar Fonti & Auld LLP?

BFA is a leading international law firm representing plaintiffs in securities class actions and shareholder litigation. It has been named a top plaintiff law firm by Chambers USA, The Legal 500, and ISS SCAS, and its attorneys have been named “Elite Trial Lawyers” by the National Law Journal, “Litigation Stars” by Benchmark Litigation, among the top “500 Leading Plaintiff Financial Lawyers” by Lawdragon, “Titans of the Plaintiffs’ Bar” by Law360 and “SuperLawyers” by Thomson Reuters. Among its recent notable successes, BFA recovered over $900 million in value from Tesla, Inc.’s Board of Directors, as well as $420 million from Teva Pharmaceutical Ind. Ltd.

For more information about BFA and its attorneys, please visit https://www.bfalaw.com.

https://www.bfalaw.com/cases/mister-car-wash-investigation

Attorney advertising. Past results do not guarantee future outcomes.

Posted by Defense World Staff on Apr 15th, 2026

Freestone Capital Holdings LLC acquired a new stake in Mister Car Wash, Inc. (NYSE:MCW – Free Report) during the 4th quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm acquired 324,472 shares of the company’s stock, valued at approximately $1,804,000. Freestone Capital Holdings LLC owned 0.10% of Mister Car Wash at the end of the most recent quarter.

A number of other institutional investors have also recently made changes to their positions in the company. Pallas Capital Advisors LLC acquired a new stake in shares of Mister Car Wash in the fourth quarter worth approximately $81,000. SG Americas Securities LLC lifted its stake in shares of Mister Car Wash by 8.0% in the 4th quarter. SG Americas Securities LLC now owns 46,613 shares of the company’s stock valued at $259,000 after purchasing an additional 3,438 shares during the last quarter. Wealth Enhancement Advisory Services LLC lifted its stake in shares of Mister Car Wash by 249.3% in the 4th quarter. Wealth Enhancement Advisory Services LLC now owns 54,165 shares of the company’s stock valued at $318,000 after purchasing an additional 38,660 shares during the last quarter. GAMMA Investing LLC raised its holdings in shares of Mister Car Wash by 65.4% in the 4th quarter. GAMMA Investing LLC now owns 11,156 shares of the company’s stock valued at $62,000 after buying an additional 4,412 shares during the period. Finally, Tudor Investment Corp ET AL raised its holdings in shares of Mister Car Wash by 24.2% in the 3rd quarter. Tudor Investment Corp ET AL now owns 1,209,493 shares of the company’s stock valued at $6,447,000 after buying an additional 235,817 shares during the period.

Analysts Set New Price Targets Several equities research analysts recently issued reports on MCW shares. Mizuho reiterated a “neutral” rating and issued a $7.00 price objective (down from $8.00) on shares of Mister Car Wash in a report on Wednesday, February 18th. Raymond James Financial downgraded Mister Car Wash from a “moderate buy” rating to a “hold” rating in a report on Friday, February 20th. Morgan Stanley set a $7.00 price objective on Mister Car Wash in a report on Thursday, February 19th. William Blair downgraded Mister Car Wash from an “outperform” rating to a “market perform” rating in a research note on Wednesday, February 18th. Finally, Wells Fargo & Company cut Mister Car Wash from an “overweight” rating to an “equal weight” rating and set a $7.00 price objective for the company. in a research report on Wednesday, February 18th. One investment analyst has rated the stock with a Buy rating, thirteen have issued a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, the stock presently has an average rating of “Hold” and a consensus target price of $7.10.

Read Our Latest Stock Analysis on MCW

Mister Car Wash Stock Up 0.1% MCW opened at $7.00 on Wednesday. The business has a 50 day simple moving average of $6.80 and a 200-day simple moving average of $5.90. The stock has a market capitalization of $2.30 billion, a P/E ratio of 31.82, a P/E/G ratio of 1.65 and a beta of 1.37. Mister Car Wash, Inc. has a 12 month low of $4.61 and a 12 month high of $7.98. The company has a debt-to-equity ratio of 0.92, a current ratio of 0.53 and a quick ratio of 0.24.

Mister Car Wash (NYSE:MCW – Get Free Report) last issued its quarterly earnings data on Wednesday, February 18th. The company reported $0.11 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.10 by $0.01. The firm had revenue of $261.24 million during the quarter, compared to analysts’ expectations of $262.35 million. Mister Car Wash had a return on equity of 10.49% and a net margin of 7.06%.Mister Car Wash’s revenue was up 4.0% on a year-over-year basis. During the same period in the previous year, the firm posted $0.09 earnings per share. On average, equities analysts anticipate that Mister Car Wash, Inc. will post 0.33 earnings per share for the current fiscal year.

About Mister Car Wash (Free Report)

Mister Car Wash, traded on the NYSE under the ticker MCW, is a leading provider of vehicle cleaning services in the United States. The company specializes in a tiered range of wash offerings, including express exterior washes, full-service interior and exterior cleaning, and premium detailing services. In addition to one-time washes, Mister Car Wash markets unlimited monthly membership plans that grant customers access to recurring washes at participating locations.

Founded in 1969 and headquartered in Houston, Texas, Mister Car Wash has grown from a single facility to one of the largest car wash chains in the country.

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NEW YORK, April 15, 2026 (GLOBE NEWSWIRE) -- Wolf Popper LLP is investigating claims on behalf of investors in Mister Car Wash, Inc. (NASDAQ: MCW) concerning the offer to acquire Mister Car Wash by its controlling shareholder, Leonard Green & Partners, L.P. (LGP). Under the terms of the acquisition, Mister Car Wash shareholders will receive $7.00 per share in cash.

LGP is Mister Car Wash’s controlling shareholder and holds 67% of Mister Car Wash’s shares. Importantly, the transaction is not conditioned on approval by a majority of Mister Car Wash’s minority stockholders. As a result, the deal will not be subject to a public stockholder vote.

In addition, the $7.00 per share deal price was below Mister Car Wash’s 52-week high stock price of $8.60 per share, and below the average and high Street price targets of $7.04 and $11.00 per share, respectively.

Wolf Popper is investigating claims on behalf of investors in Mister Car Wash concerning the proposed transaction. Investors seeking more information about the transaction or Wolf Popper’s investigation can contact Carl Stine at (212) 451-9631 or [email protected].

Wolf Popper has extensive experience representing investors in mergers and acquisition investigations and lawsuits. Wolf Popper was recently awarded one of Chambers and Partners’ USA Spotlight Guide top rankings for the third consecutive year. Eleven Wolf Popper attorneys were named Super Lawyers or Rising Stars in the 2025 Super Lawyers New York City Metro Edition. Wolf Popper recently had nine attorneys named to the 2026 Lawdragon 500 Leading Plaintiff Financial Lawyers, including Carl Stine for his work in M&A Litigation. View Wolf Popper attorney biographies at www.wolfpopper.com.

Attorney Advertising: Prior Results Do Not Guarantee a Similar Outcome.

Wolf Popper LLP
570 Lexington Avenue
New York, NY 10022
Telephone: (212) 451-9631

Toll Free Tel.: (877) 370-7703
Toll Free Fax: (877) 370-7704
Email: [email protected]

NEW YORK, April 20, 2026 (GLOBE NEWSWIRE) -- Leading securities law firm Bleichmar Fonti & Auld LLP notifies stockholders of Mister Car Wash, Inc. (NASDAQ: MCW) that new details have emerged related to BFA Law’s ongoing investigation into the company’s board of directors and its controlling stockholder, LGP, for potential breaches of their fiduciary duties to shareholders in connection with the pending take-private sale of Mister Car Wash that is slated to cash out every public stockholder for $7 per share.

If you are a current shareholder of Mister Car Wash, you are encouraged to obtain additional information by visiting: https://www.bfalaw.com/cases/mister-car-wash-investigation.

Why is Mister Car Wash being Investigated?

On February 18, 2026, Mister Car Wash announced that it had agreed to be acquired by Leonard Green & Partners, L.P. (“LGP”) for $7.00 per share. This price may represent an unfairly low price being paid to Mister Car Wash’s stockholders and may be the result of conflicts of interest between Mister Car Wash’s board of directors and LGP.

LGP is the largest owner of Mister Car Wash stock, owning over 66% of the company’s common stock. As Mister Car Wash noted in its most recent annual report (SEC form 10-k) “[f]or as long as LGP owns more than 50% of [Mister Car Wash’s] common stock it will be able to exert a controlling influence over all matters requiring stockholder approval, including the nomination and election of directors and approval of significant corporate transactions, such as a merger or other sale of our Company or its assets.” As the controlling stockholder of Mister Car Wash, LGP owes fiduciary duties to the public stockholders of Mister Car Wash.

LGP has already used its shares to give stockholder approval to the take-private sale, and the company does not plan to solicit any further votes from public stockholders. With the ability to approve the sale of Mister Car Wash to itself, needing only its own votes, LGP is incentivized to execute the deal as cheaply as possible.

BFA Law is conducting an ongoing investigation into Mister Car Wash’s board of directors and LGP to ascertain whether they have breached fiduciary duties to Mister Car Wash’s stockholders in connection with the contemplated transaction.

On April 3, 2026, Mister Car Wash filed new disclosures with the SEC on Schedule 13E-3. In that form, the company revealed the members of the special committee that negotiated the terms of the transaction on behalf of the company. BFA Law’s investigation has identified potential deficiencies in the independence of those special committee members. Mister Car Wash also revealed new details about the background of how the transaction was negotiated. BFA Law is continuing to investigate whether Mister Car Wash’s management conducted a sufficient sales process in light of this new information—including into whether the company ever genuinely considered alternative purchasers aside from LGP.

Click here for more information: https://www.bfalaw.com/cases/mister-car-wash-investigation

What Can You Do?

If you are a current holder of Mister Car Wash stock you may have legal options and are encouraged to submit your information to the firm.

All representation is on a contingency fee basis, there is no cost to you. Shareholders are not responsible for any court costs or expenses of litigation. The firm will seek court approval for any potential fees and expenses.

Submit your information by visiting:

https://www.bfalaw.com/cases/mister-car-wash-investigation

Or contact:
Adam McCall
[email protected]
212.789.3619

Why Bleichmar Fonti & Auld LLP?

BFA is a leading international law firm representing plaintiffs in securities class actions and shareholder litigation. It has been named a top plaintiff law firm by Chambers USA, The Legal 500, and ISS SCAS, and its attorneys have been named “Elite Trial Lawyers” by the National Law Journal, “Litigation Stars” by Benchmark Litigation, among the top “500 Leading Plaintiff Financial Lawyers” by Lawdragon, “Titans of the Plaintiffs’ Bar” by Law360 and “SuperLawyers” by Thomson Reuters. Among its recent notable successes, BFA recovered over $900 million in value from Tesla, Inc.’s Board of Directors, as well as $420 million from Teva Pharmaceutical Ind. Ltd.

For more information about BFA and its attorneys, please visit https://www.bfalaw.com.

https://www.bfalaw.com/cases/mister-car-wash-investigation

Attorney advertising. Past results do not guarantee future outcomes.

NEW YORK, April 24, 2026 (GLOBE NEWSWIRE) -- Leading securities law firm Bleichmar Fonti & Auld LLP notifies stockholders of Mister Car Wash, Inc. (NASDAQ: MCW) that new details have emerged related to BFA Law’s ongoing investigation into the company’s board of directors and its controlling stockholder, LGP, for potential breaches of their fiduciary duties to shareholders in connection with the pending take-private sale of Mister Car Wash that is slated to cash out every public stockholder for $7 per share.

If you are a current shareholder of Mister Car Wash, you are encouraged to obtain additional information by visiting: https://www.bfalaw.com/cases/mister-car-wash-investigation.

Why is Mister Car Wash being Investigated?

On February 18, 2026, Mister Car Wash announced that it had agreed to be acquired by Leonard Green & Partners, L.P. (“LGP”) for $7.00 per share. This price may represent an unfairly low price being paid to Mister Car Wash’s stockholders and may be the result of conflicts of interest between Mister Car Wash’s board of directors and LGP.

LGP is the largest owner of Mister Car Wash stock, owning over 66% of the company’s common stock. As Mister Car Wash noted in its most recent annual report (SEC form 10-k) “[f]or as long as LGP owns more than 50% of [Mister Car Wash’s] common stock it will be able to exert a controlling influence over all matters requiring stockholder approval, including the nomination and election of directors and approval of significant corporate transactions, such as a merger or other sale of our Company or its assets.” As the controlling stockholder of Mister Car Wash, LGP owes fiduciary duties to the public stockholders of Mister Car Wash.

LGP has already used its shares to give stockholder approval to the take-private sale, and the company does not plan to solicit any further votes from public stockholders. With the ability to approve the sale of Mister Car Wash to itself, needing only its own votes, LGP is incentivized to execute the deal as cheaply as possible.

BFA Law is conducting an ongoing investigation into Mister Car Wash’s board of directors and LGP to ascertain whether they have breached fiduciary duties to Mister Car Wash’s stockholders in connection with the contemplated transaction.

On April 3, 2026, Mister Car Wash filed new disclosures with the SEC on Schedule 13E-3. In that form, the company revealed the members of the special committee that negotiated the terms of the transaction on behalf of the company. BFA Law’s investigation has identified potential deficiencies in the independence of those special committee members. Mister Car Wash also revealed new details about the background of how the transaction was negotiated. BFA Law is continuing to investigate whether Mister Car Wash’s management conducted a sufficient sales process in light of this new information—including into whether the company ever genuinely considered alternative purchasers aside from LGP.

Click here for more information: https://www.bfalaw.com/cases/mister-car-wash-investigation

What Can You Do?

If you are a current holder of Mister Car Wash stock you may have legal options and are encouraged to submit your information to the firm.

All representation is on a contingency fee basis, there is no cost to you. Shareholders are not responsible for any court costs or expenses of litigation. The firm will seek court approval for any potential fees and expenses.

Submit your information by visiting:

https://www.bfalaw.com/cases/mister-car-wash-investigation

Or contact:
Adam McCall
[email protected]
212.789.3619

Why Bleichmar Fonti & Auld LLP?

BFA is a leading international law firm representing plaintiffs in securities class actions and shareholder litigation. It has been named a top plaintiff law firm by Chambers USA, The Legal 500, and ISS SCAS, and its attorneys have been named “Elite Trial Lawyers” by the National Law Journal, “Litigation Stars” by Benchmark Litigation, among the top “500 Leading Plaintiff Financial Lawyers” by Lawdragon, “Titans of the Plaintiffs’ Bar” by Law360 and “SuperLawyers” by Thomson Reuters. Among its recent notable successes, BFA recovered over $900 million in value from Tesla, Inc.’s Board of Directors, as well as $420 million from Teva Pharmaceutical Ind. Ltd.

For more information about BFA and its attorneys, please visit https://www.bfalaw.com.

https://www.bfalaw.com/cases/mister-car-wash-investigation

Attorney advertising. Past results do not guarantee future outcomes.

NEW YORK, April 28, 2026 (GLOBE NEWSWIRE) -- Julie & Holleman LLP, a preeminent shareholder rights firm, is investigating the proposed $7 per share buyout of Mister Car Wash, Inc. (NASDAQ: MCW) by the company’s largest shareholder, private equity firm Leonard Green & Partners. The deal, which does not require public shareholder approval, is expected to close soon.

For a free consultation, please visit https://julieholleman.com/mister-car-wash-inc/. You may also contact partner Scott Holleman at (929) 415-1020 or by email at [email protected].

Before the merger was announced, Leonard Green already owned approximately two-thirds of Mister Car Wash’s stock. Pursuant to the deal, Leonard Green proposes will buy the remaining outstanding shares for just $7 per share, which implies a total value for the company of approximately $3.1 billion.

Julie & Holleman, whose attorneys have helped secure hundreds of millions of dollars in prior cases, is pursuing potential legal claims based on the apparent unfairness of the deal. The firm is concerned about conflicts arising from the fact that key insiders are continuing on with the company while public stockholders are being cashed out for a price that may be well below the company’s true value. Julie & Holleman is also concerned by the fact that Mister Car Wash’s board of directors is not submitting the deal for public shareholder approval. Instead, Leonard Green has approved the deal on its own, without a public shareholder vote.

Please visit https://julieholleman.com/mister-car-wash-inc/, or contact partner Scott Holleman at (929) 415-1020 or [email protected] for more information.

FIRM INFORMATION

Julie & Holleman is a boutique law firm that focuses on shareholder litigation, including derivative actions, mergers and acquisitions cases, securities fraud class actions, and corporate investigations. The firm’s attorneys litigate in state and federal courts across the nation and have helped secure hundreds of millions of dollars for aggrieved companies and their shareholders. For more information about the firm, please visit www.julieholleman.com. This notice may constitute attorney advertising.

Julie & Holleman LLP
W. Scott Holleman, Esq.
157 East 86th Street
4th Floor
New York, NY 10028
(929) 415-1020
www.julieholleman.com

April 29, 2026 16:05 ET  | Source: Mister Car Wash

Net revenues increased 6%
Comparable-store sales increased 3.9%
Unlimited Wash Club® (“UWC”) memberships increased 11%
Opened 2 new greenfield locations

TUCSON, Ariz., April 29, 2026 (GLOBE NEWSWIRE) -- Mister Car Wash, Inc. (the “Company”) (Nasdaq: MCW), the nation’s leading car wash brand, today announced its financial results for the quarter ended March 31, 2026.

First Quarter 2026 Highlights:

Net revenues increased 6% to $277.9 million, up from $261.7 million in the first quarter of 2025.Comparable-store sales increased 3.9% during the quarter.UWC sales represented 76% of total wash sales compared to 73% in the first quarter of 2025.Ended the quarter with approximately 2.5 million UWC members, representing a year-over-year increase of 241 thousand members or 11%.Opened 2 new greenfield locations, bringing the total net number of car wash locations operated to 549 as of March 31, 2026, an increase of 6% compared to 518 car wash locations as of March 31, 2025.Net income increased 26.7% to $34.2 million from $27.0 and net income per diluted share increased 25.5% to $0.10 from $0.08.Adjusted net income(1) and adjusted net income per diluted share(1) were $44.3 million and $0.13, respectively.Adjusted EBITDA(1) increased 13% to $96.7 million from $85.6 million in the first quarter of 2025.
(1) Adjusted net income, adjusted EBITDA and adjusted net income per diluted share are non-GAAP financial measures. See Use of Non-GAAP Financial Measures and GAAP to Non-GAAP Reconciliations disclosures included below in this press release.

Location Count

 Three Months Ended March 31,  2026  2025 Beginning location count 548   514 Greenfield locations opened 2   4 Closures (1)  — Ending location count 549   518 
Balance Sheet and Cash Flow Highlights:

As of March 31, 2026, cash and cash equivalents totaled $54.6 million, compared to $28.5 million as of December 31, 2025. There were no borrowings under the Company’s Revolving Commitment as of March 31, 2026 and December 31, 2025.Net cash provided by operating activities totaled $79.7 million compared to $87.6 million for the three months ended March 31, 2026 and 2025, respectively.Free cash flow(2) totaled $33.0 million compared to $32.5 million for the three months ended March 31, 2026 and 2025, respectively.Free cash flow excluding growth capital expenditures(2) totaled $74.1 million compared to $77.1 million for the three months ended March 31, 2026 and 2025, respectively. (2) Free cash flow and free cash flow excluding growth capital expenditures are non-GAAP financial measures. See Use of Non-GAAP Financial Measures and GAAP to Non-GAAP Reconciliations disclosures included below in this press release.

Sale-Leasebacks and Rent Expense:

In the first quarter of 2026, the Company had no sale-leaseback transactions.With 493 car wash leases as of March 31, 2026, versus 474 car wash leases as of March 31, 2025, rent expense increased 7% to $31.8 million, compared to the first quarter of 2025. Conference Call Details

In light of the separately announced transaction with Leonard Green & Partners, the Company will not be hosting an earnings conference call to discuss the Company’s financial results for the first quarter of fiscal 2026.

About Mister Car Wash® | Inspiring People to Shine®

Headquartered in Tucson, Arizona, Mister Car Wash, Inc. (Nasdaq: MCW) operates approximately 550 locations and has the largest car wash subscription program in North America. With a passionate team of professionals, advanced technology, and a commitment to exceptional customer experiences, Mister Car Wash is dedicated to providing a clean, shiny, and dry vehicle every time. The Mister brand is deeply rooted in delivering quality service, fostering friendliness, and demonstrating a genuine commitment to the communities it serves while prioritizing responsible environmental practices and resource management. To learn more, visit www.mistercarwash.com.

Use of Non-GAAP Financial Measures

This press release includes references to non-GAAP financial measures, including adjusted EBITDA, adjusted net income, adjusted net income per diluted share, free cash flow, and free cash flow excluding growth capital expenditures (the “Company’s Non-GAAP Financial Measures”). These non-GAAP financial measures are not based on any comprehensive set of accounting rules or principles and should not be considered a substitute for, or superior to, financial measures calculated in accordance with GAAP, and may be different from similarly titled non-GAAP financial measures used by other companies. In addition, the Company’s Non-GAAP Financial Measures should be read in conjunction with the Company’s financial statements prepared in accordance with GAAP. The reconciliations of the Company’s Non-GAAP Financial Measures to the corresponding GAAP measures should be carefully evaluated.

Adjusted EBITDA is defined as net income before interest expense, net, income tax provision, depreciation and amortization expense, (gain) loss on sale of assets, net, stock-based compensation expense and related taxes, acquisition expenses, non-cash rent expense, debt refinancing costs, and other nonrecurring charges.

Adjusted net income is defined as net income before (gain) loss on sale of assets, net, stock-based compensation expense, acquisition expenses, debt refinancing costs, other nonrecurring charges, income tax impact of stock award exercises and the tax impact of adjustments to net income. Adjusted net income per share is defined as basic net income per share before (gain) loss on sale of assets, net, stock-based compensation expense and related taxes, acquisition expenses, loss on extinguishment of debt, other nonrecurring charges, income tax impact of stock award exercises and the tax impact of adjustments to basic net income per share. Adjusted net income per diluted share is defined as diluted net income per share before (gain) loss on sale of assets, net, stock-based compensation expense, acquisition expenses, debt refinancing costs, other nonrecurring charges, income tax impact of stock award exercises and the tax impact of adjustments to basic net income per share.

Free cash flow is defined as net cash provided by operating activities less purchases of property and equipment in a period. Free cash flow excluding growth capital expenditures is defined as operating cash flows less purchases of maintenance property and equipment. Free cash flow includes the impact of capital expenditures, providing a supplemental view of cash generation. Free cash flow excluding growth capital expenditures includes purchases of maintenance property and equipment, which are uses of cash that are necessary to maintain the Company's existing business operations, including its washes and support functions. Free cash flow excluding growth capital expenditures provides a supplemental view of cash flow generation before investments in growth capital, which expand future business operations, including the opening or improvement of washes and service capabilities. Free cash flow and free cash flow excluding growth capital expenditures have certain limitations, including that they do not reflect adjustments for certain non-discretionary cash expenditures, such as debt repayments or payments made for business acquisitions.

Management believes the Company’s Non-GAAP Financial Measures assist investors and analysts in comparing the Company’s operating performance across reporting periods on a consistent basis by excluding items that management does not believe are indicative of the Company’s ongoing operating performance. Investors are encouraged to evaluate these adjustments and the reasons the Company considers them appropriate for supplemental analysis. In evaluating the Company’s Non-GAAP Financial Measures, investors should be aware that in the future the Company may incur expenses that are the same as or similar to some of the adjustments in the Company’s presentation of the Company’s Non-GAAP Financial Measures. There can be no assurance that the Company will not modify the presentation of the Company’s Non-GAAP Financial Measures in future periods, and any such modification may be material.

Management believes that the Company’s Non-GAAP Financial Measures are helpful in highlighting trends in the Company’s core operating performance compared to other measures, which can differ significantly depending on long-term strategic decisions regarding capital structure, the tax jurisdictions in which the Company operates, and capital investments. Management also uses adjusted EBITDA in connection with establishing discretionary annual incentive compensation; to supplement U.S. GAAP measures of performance in the evaluation of the effectiveness of the Company’s business strategies; to make budgeting decisions, and because the Company’s credit agreement uses measures similar to adjusted EBITDA to measure the Company’s compliance with certain covenants.

The Company’s Non-GAAP Financial Measures have limitations as analytical tools, and investors should not consider these measures in isolation or as substitutes for analysis of the Company’s results as reported under U.S. GAAP. Some of these limitations include, for example, adjusted EBITDA does not reflect: the Company’s cash expenditure or future requirements for capital expenditures or contractual commitments; the Company’s cash requirements for the Company’s working capital needs; the interest expense and the cash requirements necessary to service interest or principal payments on the Company’s debt, cash requirements for replacement of assets that are being depreciated and amortized, and the impact of certain cash charges or cash receipts resulting from matters management does not find indicative of the Company’s ongoing operations. Free cash flow and discretionary free cash flow also have certain limitations, including that they do not reflect adjustments for certain non-discretionary cash expenditures, such as mandatory debt repayments or payments made for business acquisitions.

Contacts

Investor Relations
[email protected]

Media
[email protected]

 Consolidated Statements of Operations and Comprehensive Income
(Amounts in thousands, except share and per share data)
(Unaudited)
  Three Months Ended March 31,  2026  2025 Net revenues$277,913  $261,656       Costs and expenses     Cost of labor and chemicals 76,702   74,252 Other store operating expenses 113,319   109,667 General and administrative 28,756   24,659 Loss on sale of assets, net 125   111 Total costs and expenses 218,902   208,689 Operating income 59,011   52,967       Other expense     Interest expense, net 12,283   16,023 Total other expense 12,283   16,023 Income before taxes 46,728   36,944 Income tax provision 12,546   9,944 Net income$34,182  $27,000       Other comprehensive income, net of tax     Gain on interest rate swap 785   — Total comprehensive income$34,967  $27,000       Earnings per share     Basic$0.10  $0.08 Diluted$0.10  $0.08 Weighted-average common shares outstanding     Basic 328,477,910   324,200,282 Diluted 334,309,927   331,479,048   Consolidated Statements of Cash Flows
(Amounts in thousands)
(Unaudited)
  Three Months Ended March 31,  2026  2025 Cash flows from operating activities     Net income$34,182  $27,000 Adjustments to reconcile net income to net cash provided by operating activities     Depreciation and amortization expense 23,434   20,917 Stock-based compensation expense 6,838   6,843 Loss on sale of assets, net 125   111 Amortization of deferred debt issuance costs 262   285 Non-cash lease expense 14,652   13,535 Deferred income tax 10,978   7,484 Changes in assets and liabilities     Accounts receivable, net (211)  354 Other receivables (2,069)  1,965 Inventory, net 430   490 Prepaid expenses and other current assets (315)  2,356 Accounts payable (2,002)  5,677 Accrued expenses 4,069   10,480 Deferred revenue 1,821   1,266 Operating lease liability (12,791)  (11,604)Other noncurrent assets and liabilities 257   391 Net cash provided by operating activities$79,660  $87,550       Cash flows from investing activities     Purchases of property and equipment (46,686)  (55,081)Proceeds from sale of property and equipment 187   120 Net cash used in investing activities$(46,499) $(54,961)      Cash flows from financing activities     Proceeds from issuance of common stock under employee plans 372   1,587 Payments on debt borrowings (7,000)  (62,307)Principal payments on finance lease obligations (212)  (193)Net cash used in financing activities$(6,840) $(60,913)      Net change in cash and cash equivalents, and restricted cash during period 26,321   (28,324)Cash and cash equivalents, and restricted cash at beginning of period 28,511   67,612 Cash and cash equivalents, and restricted cash at end of period$54,832  $39,288       Reconciliation of cash, cash equivalents, and restricted cash to the consolidated balance sheets     Cash and cash equivalents 54,627   39,133 Restricted cash, included in prepaid expenses and other current assets 205   155 Total cash, cash equivalents, and restricted cash$54,832  $39,288       Supplemental disclosure of cash flow information     Cash paid for interest$12,327  $7,032 Cash paid for income taxes$40  $60       Supplemental disclosure of non-cash investing and financing activities     Property and equipment in accounts payable$5,833  $11,416 Property and equipment accrued in other accrued expenses$4,453  $4,223 Stock option exercise proceeds in other receivables$—  $113   Consolidated Balance Sheets
(Amounts in thousands, except share and per share data)
(Unaudited)
  As of  March 31, 2026  December 31, 2025 Assets     Current assets     Cash and cash equivalents$54,627  $28,450 Accounts receivable, net 850   639 Other receivables 17,554   15,485 Inventory, net 5,054   5,485 Prepaid expenses and other current assets 10,700   9,619 Total current assets 88,785   59,678 Property and equipment, net 930,371   914,022 Operating lease right of use assets, net 930,870   942,664 Other intangible assets, net 110,385   110,822 Goodwill 1,134,830   1,134,830 Other assets 10,801   11,122 Total assets$3,206,042  $3,173,138       Liabilities and stockholders’ equity     Current liabilities     Accounts payable$25,742  $27,824 Accrued payroll and related expenses 27,116   25,074 Other accrued expenses 36,709   41,540 Current maturities of operating lease liability 54,543   53,625 Current maturities of finance lease liability 903   879 Deferred revenue 37,725   35,904 Total current liabilities 182,738   184,846 Long-term debt, net 790,043   796,893 Operating lease liability 895,298   906,371 Financing lease liability 12,109   12,344 Deferred tax liabilities, net 148,787   137,547 Other long-term liabilities 1,877   2,124 Total liabilities 2,030,852   2,040,125 Stockholders’ equity     Common stock, $0.01 par value, 1,000,000,000 shares authorized,
328,685,816 and 328,282,533 shares outstanding as of
March 31, 2026 and December 31, 2025, respectively 3,292   3,288 Additional paid-in capital 869,301   862,095 Accumulated other comprehensive income (loss) 492   (293)Retained earnings 302,105   267,923 Total stockholders’ equity 1,175,190   1,133,013 Total liabilities and stockholders’ equity$3,206,042  $3,173,138   GAAP to Non-GAAP Reconciliations
(Amounts in thousands, except share and per share data)
(Unaudited)
  Three Months Ended March 31,  2026  2025 Reconciliation of net income to adjusted EBITDA     Net income$34,182  $27,000 Interest expense, net 12,283   16,023 Income tax provision 12,546   9,944 Depreciation and amortization expense 23,434   20,917 Loss on sale of assets, net 125   111 Stock-based compensation expense 6,932   7,116 Acquisition expenses 864   1,414 Non-cash rent expense 1,819   1,966 Other 4,478   1,158 Adjusted EBITDA$96,663  $85,649   Three Months Ended March 31,  2026  2025 Reconciliation of net income to adjusted net income     Net income$34,182  $27,000 Loss on sale of assets, net 125   111 Stock-based compensation expense 6,932   7,116 Acquisition expenses 864   1,414 Other 4,478   1,158 Income tax impact of stock award exercises 229   328 Tax impact of adjustments to net income (2,548)  (2,078)Adjusted net income$44,262  $35,049 Diluted adjusted net income per Share$0.13  $0.11 Adjusted weighted-average common shares outstanding - diluted 334,309,927   331,479,048   Three Months Ended March 31,  2026  2025 Free cash flow     Net cash provided by operating activities$79,660  $87,550 Adjustments:     Purchases of property and equipment (46,686)  (55,081)Free cash flow$32,974  $32,469        Three Months Ended March 31,  2026  2025 Free cash flow excluding growth capital expenditures     Net cash provided by operating activities$79,660  $87,550 Adjustments:     Purchases of maintenance property and equipment (5,542)  (10,461)Free cash flow excluding growth capital expenditures$74,118  $77,089 

NEW YORK, May 01, 2026 (GLOBE NEWSWIRE) -- Leading securities law firm Bleichmar Fonti & Auld LLP notifies stockholders of Mister Car Wash, Inc. (NASDAQ: MCW) that new details have emerged related to BFA Law’s ongoing investigation into the company’s board of directors and its controlling stockholder, LGP, for potential breaches of their fiduciary duties to shareholders in connection with the pending take-private sale of Mister Car Wash that is slated to cash out every public stockholder for $7 per share.

If you are a current shareholder of Mister Car Wash, you are encouraged to obtain additional information by visiting: https://www.bfalaw.com/cases/mister-car-wash-investigation.

Why is Mister Car Wash being Investigated?

On February 18, 2026, Mister Car Wash announced that it had agreed to be acquired by Leonard Green & Partners, L.P. (“LGP”) for $7.00 per share. This price may represent an unfairly low price being paid to Mister Car Wash’s stockholders and may be the result of conflicts of interest between Mister Car Wash’s board of directors and LGP.

LGP is the largest owner of Mister Car Wash stock, owning over 66% of the company’s common stock. As Mister Car Wash noted in its most recent annual report (SEC form 10-k) “[f]or as long as LGP owns more than 50% of [Mister Car Wash’s] common stock it will be able to exert a controlling influence over all matters requiring stockholder approval, including the nomination and election of directors and approval of significant corporate transactions, such as a merger or other sale of our Company or its assets.” As the controlling stockholder of Mister Car Wash, LGP owes fiduciary duties to the public stockholders of Mister Car Wash.

LGP has already used its shares to give stockholder approval to the take-private sale, and the company does not plan to solicit any further votes from public stockholders. With the ability to approve the sale of Mister Car Wash to itself, needing only its own votes, LGP is incentivized to execute the deal as cheaply as possible.

BFA Law is conducting an ongoing investigation into Mister Car Wash’s board of directors and LGP to ascertain whether they have breached fiduciary duties to Mister Car Wash’s stockholders in connection with the contemplated transaction.

On April 3, 2026, Mister Car Wash filed new disclosures with the SEC on Schedule 13E-3. In that form, the company revealed the members of the special committee that negotiated the terms of the transaction on behalf of the company. BFA Law’s investigation has identified potential deficiencies in the independence of those special committee members. Mister Car Wash also revealed new details about the background of how the transaction was negotiated. BFA Law is continuing to investigate whether Mister Car Wash’s management conducted a sufficient sales process in light of this new information—including into whether the company ever genuinely considered alternative purchasers aside from LGP.

Click here for more information: https://www.bfalaw.com/cases/mister-car-wash-investigation

What Can You Do?

If you are a current holder of Mister Car Wash stock you may have legal options and are encouraged to submit your information to the firm.

All representation is on a contingency fee basis, there is no cost to you. Shareholders are not responsible for any court costs or expenses of litigation. The firm will seek court approval for any potential fees and expenses.

Submit your information by visiting:

https://www.bfalaw.com/cases/mister-car-wash-investigation

Or contact:
Adam McCall
[email protected]
212.789.3619

Why Bleichmar Fonti & Auld LLP?

BFA is a leading international law firm representing plaintiffs in securities class actions and shareholder litigation. It has been named a top plaintiff law firm by Chambers USA, The Legal 500, and ISS SCAS, and its attorneys have been named “Elite Trial Lawyers” by the National Law Journal, “Litigation Stars” by Benchmark Litigation, among the top “500 Leading Plaintiff Financial Lawyers” by Lawdragon, “Titans of the Plaintiffs’ Bar” by Law360 and “SuperLawyers” by Thomson Reuters. Among its recent notable successes, BFA recovered over $900 million in value from Tesla, Inc.’s Board of Directors, as well as $420 million from Teva Pharmaceutical Ind. Ltd.

For more information about BFA and its attorneys, please visit https://www.bfalaw.com.

https://www.bfalaw.com/cases/mister-car-wash-investigation

Attorney advertising. Past results do not guarantee future outcomes.

Mister Car Wash Announces Completion of Take-Private by Leonard Green & Partners PR Newswire

TUCSON, Ariz., May 19, 2026

, /PRNewswire/ -- Mister Car Wash, Inc. (the "Company" or "Mister Car Wash") (Nasdaq: MCW), the nation's leading car wash brand, today announced the successful completion of its acquisition by investment funds managed by Leonard Green & Partners, L.P. ("LGP") in an all-cash transaction which implies a total enterprise value of the Company of $3.1 billion.

"We are excited for the next phase of growth and going private gives us greater flexibility to continue investing behind providing a superior customer experience," said John Lai, Chairman and CEO of Mister Car Wash. "We couldn't be more excited about the opportunity to partner with Leonard Green during this next phase. They have been a great partner since 2014 and understand the business and industry deeply."

As a result of the transaction, members of management rolled over some of their ownership of the Company and LGP acquired all of the other outstanding shares of the Company's common stock that were not already owned by LGP's affiliates for $7.00 per share in cash.

Mister Car Wash's common stock has ceased trading and will be delisted from Nasdaq.

Advisors

BofA Securities Inc. and Centerview Partners LLC acted as financial advisors and Morris, Nichols, Arsht & Tunnell LLP acted as legal counsel to the Special Committee of the Mister Car Wash Board of Directors. Latham & Watkins LLP acted as legal counsel to Mister Car Wash while Jefferies LLC acted as financial advisor and Simpson Thacher & Bartlett LLP acted as legal counsel to LGP.

About Mister Car Wash

Headquartered in Tucson, Arizona, Mister Car Wash operates approximately 550 locations and has the largest car wash subscription program in North America. With a passionate team of professionals, advanced technology, and a commitment to exceptional customer experiences, Mister Car Wash is dedicated to providing a clean, shiny, and dry vehicle every time. The Mister brand is deeply rooted in delivering quality service, fostering friendliness, and demonstrating a genuine commitment to the communities it serves while prioritizing responsible environmental practices and resource management. To learn more, visit www.mistercarwash.com.

About Leonard Green & Partners

LGP is a leading private equity investment firm founded in 1989 and based in Los Angeles with over $85 billion of assets under management. The firm partners with experienced management teams and often with founders to invest in market-leading companies. The firm primarily focuses on services, including consumer, healthcare, and business services, as well as distribution and industrials. For more information, please visit www.leonardgreen.com.

Contacts

Investor Relations

[email protected]

Media

[email protected]

View original content to download multimedia:https://www.prnewswire.com/news-releases/mister-car-wash-announces-completion-of-take-private-by-leonard-green--partners-302776284.html

SOURCE Mister Car Wash

MSCI (MSCI - Free Report) came out with quarterly earnings of $4.55 per share, beating the Zacks Consensus Estimate of $4.4 per share. This compares to earnings of $4 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of +3.50%. A quarter ago, it was expected that this maker of software tools to help portfolio managers make investment decisions would post earnings of $4.62 per share when it actually produced earnings of $4.66, delivering a surprise of +0.87%.

Over the last four quarters, the company has surpassed consensus EPS estimates four times.

MSCI, which belongs to the Zacks Financial - Investment Management industry, posted revenues of $850.8 million for the quarter ended March 2026, surpassing the Zacks Consensus Estimate by 1.98%. This compares to year-ago revenues of $745.83 million. The company has topped consensus revenue estimates just once over the last four quarters.

The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.

MSCI shares have lost about 1.2% since the beginning of the year versus the S&P 500's gain of 3.9%.

What's Next for MSCI?While MSCI has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?

There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.

Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.

Ahead of this earnings release, the estimate revisions trend for MSCI was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $4.81 on $853.01 million in revenues for the coming quarter and $19.39 on $3.46 billion in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Financial - Investment Management is currently in the bottom 19% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

Another stock from the same industry, Blue Owl Capital Inc. (OWL - Free Report) , has yet to report results for the quarter ended March 2026. The results are expected to be released on April 30.

This company is expected to post quarterly earnings of $0.19 per share in its upcoming report, which represents a year-over-year change of +11.8%. The consensus EPS estimate for the quarter has been revised 2.6% lower over the last 30 days to the current level.

Blue Owl Capital Inc.'s revenues are expected to be $698.56 million, up 12.6% from the year-ago quarter.

Key Takeaways MSCI Q1 non-GAAP EPS of $4.55 and revenues of $850.8M beat estimates. Index-led segment revenue to $496.3M with asset-based fees of $224.5M, up 26.6%. MSCI repurchased $464M stock, paid ~$150M dividends. MSCI Inc. (MSCI - Free Report) delivered first-quarter 2026 adjusted earnings of $4.55 per share, up 13.8% year over year and beat the Zacks Consensus Estimate by 3.41%. The reported quarter’s operating revenues came in at $850.8 million, up 14.1% year over year and beat the consensus mark by 2.01%.

Strength in asset-based fees, along with steady growth in recurring subscription revenues, powered the top line. Profitability also improved, with operating margin expanding to 53.7% and adjusted EBITDA margin rising to 59.3% in the quarter.

MSCI shares were up 3.75% at the time of writing the article. MSCI shares have dropped 1.1% year to date compared with the broader Zacks Finance sector’s return of 0.8%.

MSCI Shows Broad-Based Growth Across SegmentsMSCI’s business momentum was also reflected in its recurring revenue indicators. Total Run Rate at March 31, 2026, was $3.36 billion, up 12.7% year over year, and the total retention rate for the first quarter was 95.4%, essentially steady with the prior-year period. Management pointed to strong sales execution and product momentum across client segments and product lines during the reported quarter. The company emphasized record asset-based-fee Run Rate and strong recurring sales activity, particularly within Index and Analytics.

Index remained the primary growth engine in the first quarter, with segment operating revenues of $496.3 million, up 17.7% year over year. Within the segment, asset-based fees totaled $224.5 million (up 26.6% year over year) while recurring subscription revenues were $254.2 million (up 9% year over year), highlighting a solid mix of usage-linked and subscription-driven revenue streams.

Analytics also posted a healthy quarter, with operating revenues increasing 10.3% to $190.0 million. Growth was supported by recurring subscription revenues of $183.2 million (up 7.9% year over year), while non-recurring revenues rose to $6.8 million (up 183.3% year over year), reflecting a stronger contribution from one-time sales versus the year-ago period.

Sustainability and Climate generated operating revenues of $91.9 million, up 8.6%, supported by recurring subscription revenues of $90.9 million (up 9.9% year over year). All Other – Private Assets contributed operating revenues of $72.6 million, up 7.9% year over year, with recurring subscription revenues of $71.9 million (up 7.6% year over year).

MSCI Expands Margins in Q1Adjusted EBITDA rose 18.6% year over year to $504.7 million. The adjusted EBITDA margin improved to 59.3% from 57.1% a year ago.

Adjusted EBITDA expenses were $346.1 million, up 8.1% year over year, reflecting higher compensation and benefits costs due to higher headcount, as well as elevated severance costs. Total operating expenses increased 6.8% on a year-over-year basis to $393.9 million due to higher compensation costs from a 2.2% increase in headcount.

Operating income increased 21.2% year over year to $456.9 million, with operating margin improving to 53.7% from 50.6% in the year-ago quarter.

MSCI Highlights Cash Flow and Capital ReturnsAs of March 31, 2026, MSCI had $385.3 million in cash and cash equivalents compared with $515.3 million as of Dec. 31, 2025.

Total principal debt outstanding stood at $6.5 billion at March 31, 2026, with management noting a total debt-to-adjusted EBITDA ratio of 3.2x on a trailing 12-month basis, within its target range of 3.0x to 3.5x.

Cash generation remained solid. Net cash provided by operating activities was $306.8 million in the reported quarter, while free cash flow increased 3.4% year over year to $278.0 million, reflecting higher cash collections partly offset by higher cash expenses and interest expense.

Shareholder returns were a notable highlight. MSCI repurchased $464 million of stock in the first quarter and through April 20, 2026, totaling 835,591 shares at an average repurchase price of $555.61. The company also paid approximately $150 million in dividends during the quarter and declared a cash dividend of $2.05 per share for the second quarter of 2026, payable May 29, 2026.

MSCI Maintains 2026 OutlookFor 2026, MSCI maintained its guidance framework. The company continues to expect operating expenses of $1.490-$1.530 billion and adjusted EBITDA expenses of $1.305-$1.335 billion.

Interest expense is projected at $274-$280 million, while capital expenditures are expected to be $160-$170 million.

Net cash provided by operating activities is guided to $1.640-$1.690 billion, with free cash flow projected at $1.470-$1.530 billion.

Zacks Rank & Stocks to ConsiderMSCI currently carries a Zacks Rank #3 (Hold).

Some better-ranked stocks in the broader Zacks Financial sector are Crown Castle (CCI - Free Report) , Equinix (EQIX - Free Report) , and Jones Lang LaSalle (JLL - Free Report) . Each stock currently has a Zack Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Crown Castle, Equinix and Jones Lang LaSalle are set to report their first-quarter 2026 results on April 22, 29 and 30, respectively.

In terms of share price movement, Equinix shares have jumped 44.1% year to date, while Jones Lang LaSalle climbed 5.1%. Crown Castle’s shares have dropped 1.5% over the same timeframe.

Here at Zacks, we offer our members many different opportunities to take full advantage of the stock market, as well as how to invest in ways that lead to long-term success.

The Zacks Premium service makes this easier. It features daily updates of the Zacks Rank and Zacks Industry Rank; full access to the Zacks #1 Rank List; Equity Research reports; and Premium stock screens like the Earnings ESP filter. All of these can help you quickly identify what stocks to buy, what to sell, and what are today's hottest industries.

Also included in Zacks Premium is the Focus List. This is a long-term portfolio of top stocks that have all the traits to beat the market.

Breaking Down the Zacks Focus ListIf you could get access to a curated list of stocks to kickstart your investment portfolio, wouldn't you jump at the chance to take a peek?

Enter the Zacks Focus List. It's a portfolio made up of 50 stocks that are set to beat the market over the next 12 months; each company selected serves as a foundation for long-term investors looking to create an individual portfolio.

One thing that makes the Focus List even more advantageous is that each pick comes with a full Zacks Analyst Report. This helps explain why each stock was selected and why we believe it's a good pick for the long-term.

The portfolio's past performance only solidifies why investors should consider it as a starting point. For 2020, the Focus List gained 13.85% on an annualized basis compared to the S&P 500's return of 9.38%. Cumulatively, the portfolio has returned 2,519.23% while the S&P returned 854.95%. Returns are for the period of February 1, 1996 to March 31, 2021.

Focus List MethodologyWhen stocks are picked for the Focus List, it reflects our enduring reliance on the power of earnings estimate revisions.

Brokerage analysts are in charge of determining a company's growth and profitability expectations, or earnings estimates. These analysts work together with company management to evaluate all factors that may affect future earnings, like interest rates, the economy, and sector and industry optimism.

What a company will earn down the road also needs to be taken into consideration, and this is why earnings estimate revisions are so important.

When a stock receives upward earnings estimate revisions, it will likely get even more positive changes in the future. For instance, if an analyst raised their earnings outlook last month, they'll probably do so again this month, and other analysts will follow.

Harnessing the power of earnings estimate revisions is where the Zacks Rank comes in. The Zacks Rank, which is a unique, proprietary stock-rating model, employs earnings estimate revisions to make it easier to build a winning portfolio.

There are four main factors behind the Zacks Rank: Agreement, Magnitude, Upside, and Surprise. Each one of these features is then given a raw score that's recalculated every night and compiled into the Rank. Using this data, stocks are classified into five groups, ranging from "Strong Buy" to "Strong Sell."

The Focus List is comprised of stocks hand-picked from a long list of #1 (Strong Buy) or #2 (Buy) ranked companies, meaning that each new addition boasts a bullish earnings consensus among analysts.

Since stock prices respond to revisions, it can be very profitable to buy stocks with rising earnings estimates. By buying Focus List stocks, then, you're likely getting into companies whose future earnings estimates will be raised, potentially leading to price momentum.

Focus List Spotlight: MSCI (MSCI - Free Report) MSCI Inc. provides investment decision support tools, including indexes; portfolio construction and risk management products and services; Environmental, Social and Governance (ESG) research and ratings; and real estate research, reporting and benchmarking offerings.

MSCI, a #3 (Hold) stock, was added to the Focus List on October 10, 2018 at $166.96 per share. Since then, shares have increased 258.18% to $598.01.

For fiscal 2026, four analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.11 to $19.55. MSCI boasts an average earnings surprise of 1.7%.

Additionally, MSCI's earnings are expected to grow 13.1% for the current fiscal year.

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Morningstar’s Investing Insights podcast recently spotlighted four S&P 500 stocks that have already declared dividend increases of 10% or more, effectively locking in their place on next year’s Dividend Growers screen, which requires companies to grow dividends at least 10% annually.

The host’s framing was simple: “Dividends are paid out from earnings. So companies that are able to increase their dividends at a high ongoing rate are quality companies with growing earnings.” Defensive investors also like the category because dividend growers tend to strike a balance between the dividend income high-yielders offer and the earnings growth driven by earnings reinvestment that lower-yielding companies tend to provide.

Here are four Dividend Growers that have already declared 10% dividend increases for next year:

NextEra Energy NextEra Energy (NYSE:NEE | NEE Price Prediction) is the largest U.S. utility by market cap at ~$202.4 billion, operating Florida Power & Light and a renewables development arm with a ~33 GW backlog. Management guides to roughly 10% annual dividend growth through 2026, with the Q1 2026 quarterly payout stepping up to $0.6232 from $0.5665. Shares are up 50.7% over the past year. Q1 adjusted EPS rose 10% YoY to $1.09.

Snap-on Snap-on (NYSE:SNA), the Kenosha-based professional tools maker, raised its quarterly dividend to $2.44 from $2.14, clearing the 10% bar. Q1 2026 revenue of $1.207 billion beat consensus by 2.48%, and the board authorized a $500 million repurchase. CEO Nick Pinchuk cited “robust sales growth with customers in critical industries” despite tariff and FX turbulence.

MSCI MSCI (NYSE:MSCI) lifted its quarterly dividend to $2.05 from $1.80, a 13.9% step-up. The index provider posted Q1 2026 revenue of $850.8 million, up 14.1% YoY, with ETF AUM linked to MSCI indexes at $2.4 trillion and operating margin expanding to 53.7%.

Motorola Solutions Motorola Solutions (NYSE:MSI) bumped its quarterly dividend to $1.21 from $1.09, extending a streak of double-digit raises. The mission-critical communications leader closed 2025 with a record $15.7 billion backlog and guides to ~$12.7 billion in 2026 revenue with non-GAAP EPS of $16.70 to $16.85.

Two Exit Stories Worth Watching Zoetis (NYSE:ZTS) announced only a 6% dividend increase, raising its quarterly payout to $0.53 from $0.50. Unless the animal-health company announces a second increase this year, which is unlikely based on historical patterns, it will likely drop off the screen.

NextEra qualifies this cycle, but management’s 6% annual dividend growth guidance from year-end 2026 through 2028 signals a probable exit the following year. Investors monitoring dividend growth as a quality proxy should keep an eye on that step-down, since the screen rewards consistency above the 10% line.

LONDON--(BUSINESS WIRE)--MSCI Inc. (NYSE:MSCI), a leading provider of critical decision support tools and services for the global investment community, announced the results of the May 2026 Index Review for the MSCI Equity Indexes. All changes will be implemented as of the close of May 29, 2026. Highlights include: MSCI Global Standard Indexes: Forty-nine securities will be added to and 101 securities will be deleted from the MSCI ACWI Index. The three largest additions to the MSCI World Index.

NEW YORK--(BUSINESS WIRE)--MSCI Inc. (NYSE: MSCI), a leading provider of critical decision support tools and services for the global investment community, announced today that it will release the results of the MSCI 2026 Global Market Accessibility Review on June 18, 2026, and the results of the MSCI 2026 Annual Market Classification Review on June 23, 2026. Both announcements will be made available shortly after 10:30 p.m. Central European Summer Time (CEST) on www.msci.com/market-classificati.

MSCI Inc. (MSCI) Presents at Bernstein 42nd Annual Strategic Decisions Conference Transcript