CI&T (NYSE:CINT) Issues Quarterly Earnings Results, Misses Estimates By $0.02 EPS

CI&T (NYSE:CINT) released its earnings results on Tuesday. The company reported $0.07 earnings per share for the quarter, missing analysts’ consensus estimates of $0.09 by ($0.02), FiscalAI reports. CI&T had a net margin of 7.90% and a return on equity of 13.19%. The business had revenue of $142.82 million during the quarter, compared to the consensus estimate of $140.05 million.

Here are the key takeaways from CI&T’s conference call:

• Q2 revenue reached a record $142.8 million, up 21.9% organically and above guidance, marking the company’s seventh consecutive quarter of double-digit organic growth. Management raised full-year revenue guidance to $566 million–$578 million, or 15.5%–18% organic growth.
• AI deployment demand is broadening, with the commercial pipeline up 40% year over year and approximately 35%–40% of demand tied to agentic software development initiatives. The Anthropic Claude Partner Network and Mistral AI partnerships are intended to support new enterprise wins and vertical solutions.
• New value-based pricing models are improving monetization, with 30% of first-half new engagements using these structures and adjusted gross margin expanding sequentially from 30.6% to 32.4%. Management said these models can generate margins 3–15 percentage points above traditional time-and-materials work as adoption increases.
• Adjusted EBITDA margin fell to 13.3% as CI&T increased commercial spending to capture AI demand, while Brazilian real appreciation created an additional headwind; adjusted EPS declined to $0.07 from $0.09 year over year. Management expects sequential margin improvement and guided to a full-year adjusted EBITDA margin of 15%–17%, but acknowledged that a portion of the higher sales investment will remain structural.
• Growth was broad-based, led by Latin America, financial services, and technology and telecommunications, while consumer goods declined 9% and North American growth slowed to 10.2% amid what management characterized as temporary seasonality and contract-renewal timing.

CI&T Stock Performance

Shares of NYSE CINT traded down $0.09 during mid-day trading on Wednesday, reaching $3.55. 124,074 shares of the company were exchanged, compared to its average volume of 143,269. The stock has a market capitalization of $477.76 million, a P/E ratio of 11.45 and a beta of 0.81. The company has a quick ratio of 1.37, a current ratio of 1.37 and a debt-to-equity ratio of 0.18. The company’s 50-day simple moving average is $3.53 and its 200-day simple moving average is $4.24. CI&T has a twelve month low of $3.03 and a twelve month high of $5.88.

CI&T News Roundup

Here are the key news stories impacting CI&T this week:

• Positive Sentiment: CI&T reported 21.9% organic revenue growth in the second quarter, driven by momentum across geographies, industries and its client base. Revenue totaled $142.8 million, exceeding analysts’ $140.1 million estimate. CI&T second-quarter results
• Positive Sentiment: Full-year revenue guidance of $565.5 million to $577.8 million is broadly in line with the $570.0 million consensus estimate, suggesting management continues to expect solid growth. CI&T earnings and guidance
• Neutral Sentiment: TD Cowen, JPMorgan and UBS each maintained a bullish stance—Buy, Overweight and Buy, respectively—but lowered their price targets. The firms’ revised targets still indicate substantial potential upside from recent trading levels. Analyst rating and price-target updates
• Negative Sentiment: Adjusted earnings were $0.07 per share, below estimates ranging from $0.09 to $0.10 and flat with the year-earlier result. The miss raises concerns about profitability despite the revenue beat. CI&T earnings miss
• Negative Sentiment: TD Cowen cut its target to $5.00 from $6.00, JPMorgan reduced its target to $5.00 from $6.00, and UBS lowered its target to $6.20 from $7.20. Although the ratings remain positive, the coordinated reductions signal more cautious expectations following the quarterly results. CI&T analyst target revisions

Institutional Investors Weigh In On CI&T

A number of institutional investors have recently made changes to their positions in CINT. State Street Corp grew its position in shares of CI&T by 6.4% during the 4th quarter. State Street Corp now owns 62,242 shares of the company’s stock worth $253,000 after purchasing an additional 3,719 shares in the last quarter. Franklin Resources Inc. raised its holdings in CI&T by 45.7% in the 4th quarter. Franklin Resources Inc. now owns 15,892 shares of the company’s stock valued at $65,000 after acquiring an additional 4,983 shares in the last quarter. Wedbush Securities Inc. lifted its position in shares of CI&T by 50.6% during the 4th quarter. Wedbush Securities Inc. now owns 16,975 shares of the company’s stock valued at $69,000 after acquiring an additional 5,700 shares during the period. Russell Investments Group Ltd. lifted its position in shares of CI&T by 176.3% during the 2nd quarter. Russell Investments Group Ltd. now owns 11,684 shares of the company’s stock valued at $67,000 after acquiring an additional 7,456 shares during the period. Finally, Jane Street Group LLC grew its holdings in shares of CI&T by 41.3% during the 4th quarter. Jane Street Group LLC now owns 38,497 shares of the company’s stock worth $157,000 after purchasing an additional 11,248 shares in the last quarter. Institutional investors own 92.45% of the company’s stock.

Analyst Upgrades and Downgrades

A number of analysts recently issued reports on the company. Wall Street Zen downgraded CI&T from a “buy” rating to a “hold” rating in a research report on Saturday, June 13th. Wedbush lowered CI&T from an “outperform” rating to a “neutral” rating and lowered their price target for the stock from $7.00 to $4.00 in a research report on Tuesday, July 21st. UBS Group dropped their price objective on CI&T from $7.20 to $6.20 and set a “buy” rating on the stock in a research note on Wednesday. JPMorgan Chase & Co. decreased their target price on shares of CI&T from $6.00 to $5.00 and set an “overweight” rating for the company in a research note on Wednesday. Finally, Weiss Ratings downgraded shares of CI&T from a “hold (c-)” rating to a “sell (d+)” rating in a report on Monday, June 29th. Seven equities research analysts have rated the stock with a Buy rating, two have issued a Hold rating and two have assigned a Sell rating to the company’s stock. According to data from MarketBeat, CI&T has a consensus rating of “Hold” and a consensus price target of $6.08.

About CI&T

CI&T Inc (NYSE:CINT) is a global digital solutions and technology services provider specializing in end-to-end digital transformation. The company partners with clients across industries such as financial services, retail, healthcare and technology to deliver tailored software products, agile development practices and customer-centric design. Its core offerings include digital strategy consulting, user experience and interface design, cloud-native application development, data engineering and full-cycle product lifecycle management.

Leveraging a proprietary agile framework, CI&T helps organizations accelerate time-to-market and improve operational efficiency through continuous delivery and DevOps automation.