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

CI&T (NYSE:CINT) announced its quarterly earnings results on Tuesday. The company reported $0.07 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.09 by ($0.02), FiscalAI reports. CI&T had a return on equity of 11.82% and a net margin of 6.79%.The firm had revenue of $142.82 million for the quarter, compared to analysts’ expectations 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 Price Performance

CINT stock traded down $0.03 during trading on Thursday, hitting $3.59. The stock had a trading volume of 24,341 shares, compared to its average volume of 142,723. CI&T has a twelve month low of $3.03 and a twelve month high of $5.88. The company’s 50-day moving average price is $3.53 and its two-hundred day moving average price is $4.23. The company has a debt-to-equity ratio of 0.18, a current ratio of 1.37 and a quick ratio of 1.37. The stock has a market capitalization of $482.74 million, a P/E ratio of 12.57 and a beta of 0.81.

Hedge Funds Weigh In On CI&T

Hedge funds and other institutional investors have recently made changes to their positions in the company. Squarepoint Ops LLC raised its stake in CI&T by 60.7% in the 4th quarter. Squarepoint Ops LLC now owns 34,724 shares of the company’s stock valued at $141,000 after purchasing an additional 13,115 shares during the last quarter. Jane Street Group LLC boosted its stake in 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 during the last quarter. Campbell & CO Investment Adviser LLC acquired a new stake in CI&T during the 4th quarter worth $172,000. Ameriprise Financial Inc. purchased a new stake in shares of CI&T during the third quarter worth $113,000. Finally, Jump Financial LLC purchased a new stake in shares of CI&T during the second quarter worth $185,000. Hedge funds and other institutional investors own 92.45% of the company’s stock.

Analyst Upgrades and Downgrades

A number of equities research analysts have recently commented on the company. TD Cowen dropped their target price on CI&T from $6.00 to $5.00 and set a “buy” rating on the stock in a research report on Wednesday. Wedbush cut CI&T from an “outperform” rating to a “neutral” rating and reduced their price target for the stock from $7.00 to $4.00 in a report on Tuesday, July 21st. Weiss Ratings downgraded CI&T from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Monday, June 29th. 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 report on Wednesday. Finally, Zacks Research cut CI&T from a “hold” rating to a “strong sell” rating in a research report on Tuesday, July 28th. Seven equities research analysts have rated the stock with a Buy rating, two have issued a Hold rating and two have given a Sell rating to the company. Based on data from MarketBeat.com, CI&T currently has an average rating of “Hold” and an average 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.