Earnings Review · 22 October 2026
The print
Revenue n/a. EPS $1.42 vs $1.41 expected.
How the market took it
On 2026-10-21 the shares closed at $100.51, -1.9% against the prior close of $102.45 (opening -1.1% from the prior close). Option volatility implied a normal one-day swing of about ±1.7%, so a -1.9% close was about what the market implied. Across the last 25 reports the shares have moved an average of +1.4% over the five sessions after the print, so the -1.9% on the day sits behind that average.
What changed versus going in
Earnings came in at $1.42 a share against $1.41 expected, a beat of 1% (+$0.01 a share).
Did the flow confirm the move?
Underlying money flow is neutral (21-day Chaikin Money Flow +0.02, five-day price change -0.2%, as of 2026-10-20, desk flow model): no strong accumulation or distribution signature.
Give the business its due
The business itself is genuinely strong: revenue growing about 13%, net margins near 12%, a moderate competitive moat, backed by a 11% return on equity.
Levels that matter
At $100.51 the shares sit 24% below the 52-week high of $132.03 and 23% above the low of $81.97 (37% of the way up the range). The 50-day average is $105.87, above the price. The 200-day average is $102.53, above the price.
The valuation lens
The shares trade about 21% below our fair-value estimate: a modest cushion. Fair value lands near $127 against a $100.51 share price, a margin of safety of about 21%. The trailing multiple sits around 34 times earnings, which only makes sense if the growth holds.
The ethical lens, our differentiator
Screens compliant (both standards agree). A name values-conscious investors can weigh on the merits.
The verdict for a values-conscious investor
It clears the screen; size it to your own risk and conviction. One quarter, strong or soft, does not decide whether a holding is suitable.
This is analysis, not financial advice. Always manage your risk.
