What Happened?
Shares of professional consulting firm ICF International (NASDAQ:ICFI) jumped 9.1% in the afternoon session after it reported second-quarter results that showed stronger-than-expected profits, fueled by significant growth in its commercial energy business. Investors looked past a slight revenue miss, focusing instead on earnings per share of $1.66, which beat analyst forecasts. The company's commercial energy division delivered a remarkable 27% year-over-year revenue increase, offsetting challenges in the federal government sector. A strong book-to-bill ratio of 1.30 pointed to a healthy pipeline of future work. Management also reaffirmed its full-year guidance and signaled a return to growth in 2026, which further boosted investor sentiment.
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What Is The Market Telling Us
ICF International’s shares are not very volatile and have only had 7 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful, although it might not be something that would fundamentally change its perception of the business.
ICF International is down 22.1% since the beginning of the year, and at $91.88 per share, it is trading 47.8% below its 52-week high of $176.06 from October 2024. Investors who bought $1,000 worth of ICF International’s shares 5 years ago would now be looking at an investment worth $1,349.
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