Huron Consulting Group Inc. (HURN) | Investment Case

1. Company Snapshot

1.a. Company Description

Huron Consulting Group Inc., a professional services firm, provides consultancy services in the United States and internationally.It operates through three segments: Healthcare, Business Advisory, and Education.The Healthcare segment provides advisory services in the areas of financial and operational improvement, care transformation, and revenue cycle managed services; organizational transformation; and digital, technology and analytic solutions to national and regional hospitals, integrated health systems, academic medical centers, community hospitals, medical groups, and health plans.

The Business Advisory segment offers cloud-based technology, analytics, restructuring, and capital advisory solutions to life science, financial, healthcare, education, energy and utilities, and industrials and manufacturing industries, as well as to public sectors.The Education segment provides research enterprise and student lifecycle; digital, technology and analytic solutions; and organizational transformation services to public and private colleges and universities, academic medical centers, research institutes, and other not-for-profit organizations.Huron Consulting Group Inc.

was incorporated in 2002 and is headquartered in Chicago, Illinois.

Show Full description

1.b. Last Insights on HURN

Huron Consulting Group's recent performance was driven by record Q4 2024 financial results, with revenues before reimbursable expenses (RBR) reaching new heights. The company's growth rate accelerated across all three operating segments, with strong performance in each area. Additionally, Huron expanded its margins over the prior year period, indicating a successful execution of its business strategy.

1.c. Company Highlights

Last Price	170.84
Change Percentage	0.18%
Open	170.05
Previous Close	170.52
Market Cap ( Millions)	2945
Volume	96490
Year High	174.26
Year Low	118.25
M A 50	157.42
M A 200	144.2

FCF Yield	6.50%
Dividend Yield	0.00%
ROE	21.35%
Debt / Equity	130.24%
Net Debt / EBIDTA	298.44%
Price To Book	5.93
Price Earnings Ratio	27.33
Price To FCF	15.38
Price To sales	1.81
EV / EBITDA	17.0

2. Huron Consulting Group's Q3 2025 Earnings: A Strong Performance Across Segments

Huron Consulting Group reported a robust financial performance in Q3 2025, with company-wide revenues before reimbursable expenses (RBR) growing 17% year-over-year, including 10% organic growth. The company's RBR reached a record $432.4 million, driven by strong demand for services across all three operating segments. Adjusted EBITDA was $67.4 million, or 15.6% of RBR, and adjusted net income was $37.4 million, or $2.10 per diluted share, beating analyst estimates of $1.88. The actual EPS came out at $2.1, indicating a strong profitability. The effective income tax rate was 28.7%, and net income was $30.4 million, or $1.71 per diluted share.

Publication Date: Nov -30

                                    📋 Highlights
                                    Overall Revenue Growth::
                                                Record RBR of $432.4M (+16.8% YoY) with 10.2% organic growth, driven by Healthcare's 18.6% organic growth.
Healthcare Segment Performance::
                                                20% YoY RBR growth (+19% organic), led by demand in performance improvement and digital transformation services.
Commercial Segment Growth::
                                                27% YoY RBR growth via acquisitions and organic digital business, despite declining demand in strategy/financial advisory services.
Free Cash Flow & Guidance::
                                                Q3 free cash flow of $85.3M, with full-year guidance of $165–$185M and updated RBR guidance of $1.65B–$1.67B.
AI & Automation Integration::
                                                15–20% of digital revenue tied to AI/automation projects, enhancing service delivery and performance improvement offerings.

                                

Segment Performance

The Healthcare segment achieved record RBR growth of 20% year-over-year, driven by broad-based demand across the segment, including performance improvement, financial advisory, and revenue cycle managed services offerings. The Education segment also achieved record RBR growth of 7% year-over-year, driven by strong demand for strategy, operations, research, and digital offerings. The Commercial segment posted record RBR growth of 27% year-over-year, driven by acquisitions and continued organic growth from the commercial digital business.

Cash Flow and Leverage

Cash flow from operations was $93.8 million, and free cash flow was $85.3 million, with an expected range of $165 million to $185 million for the full year 2025. Total debt as of September 30, 2025, was $611 million, with a leverage ratio of 2.3x adjusted EBITDA. The company's strong cash flow generation is expected to support its growth initiatives.

Valuation and Growth Prospects

Analysts estimate next year's revenue growth at 9.5%. With a P/E Ratio of 26.34 and an EV/EBITDA of 16.49, the market is pricing in a certain level of growth. The company's ROE is 21.35%, indicating a strong return on equity. The Net Debt / EBITDA ratio is 2.98, which is manageable. As Mark Hussey stated, "the company is well-positioned to achieve its full-year 2025 RBR and earnings guidance, while establishing a solid base for continued growth in 2026."

Outlook and Guidance

The company updated its annual guidance, narrowing its RBR guidance to $1.65 billion to $1.67 billion, affirming its adjusted EBITDA guidance range of 14% to 14.5% of RBR, and increasing its adjusted non-GAAP EPS to a range of $7.50 to $7.70. The company's expanding use of AI and automation across its offerings is expected to drive value creation for clients and increase efficiency in service delivery.

3. NewsRoom

Huron Consulting Group Inc. $HURN Shares Purchased by Edgestream Partners L.P.

Dec -03

Source: defenseworld.net

Is Huron Consulting Group (HURN) Outperforming Other Business Services Stocks This Year?

Nov -17

Source: zacks.com

Huron Acquires the Payor Consulting Services Division of AXIOM Systems to Strengthen Digital-focused Payor Capabilities

Nov -04

Source: businesswire.com

State of New Jersey Common Pension Fund D Reduces Position in Huron Consulting Group Inc. $HURN

Nov -03

Source: defenseworld.net

Y Intercept Hong Kong Ltd Takes $1.48 Million Position in Huron Consulting Group Inc. $HURN

Nov -03

Source: defenseworld.net

Huron Consulting Group's Chief Operating Officer Sells 7,991 Shares for $1.4M

Nov -01

Source: fool.com

Reviewing ATIF (NASDAQ:ZBAI) & Huron Consulting Group (NASDAQ:HURN)

Nov -01

Source: defenseworld.net

Has Huron Consulting Group (HURN) Outpaced Other Business Services Stocks This Year?

Oct -30

Source: zacks.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (7.73%)

6. Segments

Healthcare

Expected Growth: 9%

Huron Consulting Group's 9% growth in Healthcare is driven by increasing demand for digital transformation, value-based care, and regulatory compliance. The need for healthcare providers to optimize operations, improve patient outcomes, and reduce costs fuels demand for Huron's consulting services. Additionally, the shift towards personalized medicine and precision health creates opportunities for Huron's expertise in data analytics and IT advisory services.

Education

Expected Growth: 7%

Huron Consulting Group's 7% growth in Education segment is driven by increasing demand for digital transformation in higher education, rising adoption of online learning platforms, and growing need for institutions to optimize operational efficiency. Additionally, the company's expertise in strategic planning, IT consulting, and change management supports its growth in this segment.

Commercial

Expected Growth: 6%

Huron Consulting Group's 6% commercial segment growth is driven by increasing demand for operational consulting services, expansion into new markets, and strategic acquisitions. Additionally, the company's focus on digital transformation, cloud-based solutions, and cybersecurity services has contributed to its growth. Furthermore, Huron's expertise in industries such as healthcare, education, and financial services has enabled it to capitalize on growing trends in these sectors.

Reconciling Items

Expected Growth: 5%

Huron Consulting Group Inc.'s 5% growth is driven by increasing demand for digital transformation services, expansion into new markets, and strategic acquisitions. Additionally, the company's focus on operational efficiency and cost savings initiatives have contributed to its growth. Furthermore, Huron's expertise in industries such as healthcare and education has enabled it to capitalize on growing trends in these sectors.

7. Detailed Products

Strategy and Operations Consulting

Huron Consulting Group's strategy and operations consulting services help organizations improve performance, reduce costs, and enhance operational efficiency.

Technology Consulting

Huron's technology consulting services help organizations select, implement, and optimize technology solutions to drive business value.

Data and Analytics

Huron's data and analytics services help organizations make data-driven decisions, improve operational efficiency, and drive business growth.

Digital Transformation

Huron's digital transformation services help organizations develop and implement digital strategies to drive business growth and improve customer experience.

Organizational Change Management

Huron's organizational change management services help organizations manage change, build capabilities, and drive adoption of new processes and technologies.

ERP and CRM Implementation

Huron's ERP and CRM implementation services help organizations select, implement, and optimize enterprise resource planning and customer relationship management systems.

8. Huron Consulting Group Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

Huron Consulting Group Inc. operates in a niche market, providing consulting services to healthcare and financial services industries. While there are substitutes available, the company's expertise and reputation in these industries mitigate the threat of substitutes.

Bargaining Power Of Customers

Huron Consulting Group Inc. has a diverse client base, which reduces the bargaining power of individual customers. Additionally, the company's expertise and customized solutions make it difficult for customers to negotiate prices.

Bargaining Power Of Suppliers

Huron Consulting Group Inc. is not heavily dependent on a few suppliers, and the company's consulting services are not heavily reliant on external suppliers. This reduces the bargaining power of suppliers.

Threat Of New Entrants

The consulting industry has high barriers to entry, including the need for specialized expertise and a strong reputation. This makes it difficult for new entrants to compete with established players like Huron Consulting Group Inc.

Intensity Of Rivalry

The consulting industry is highly competitive, with many established players competing for market share. Huron Consulting Group Inc. faces intense competition from other consulting firms, which can lead to pricing pressure and reduced market share.

9. SWOT Analysis

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

	Value
Debt Weight	41.23%
Debt Cost	3.95%
Equity Weight	58.77%
Equity Cost	6.90%
WACC	5.68%
Leverage	70.16%

11. Quality Control: Huron Consulting Group Inc. passed 4 out of 9 key points

Strong Liquidity

Low Deb

Strong Interest Coverage

Healthy Cash Flow

Operating Efficiency

Strong Return On Equity

Consistent Revenue Growth

Consistent Operating Cash Flow Growth

Margin Improvement

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Huron Consulting Group

A-Score: 5.7/10

Value: 3.9

Growth: 7.7

Quality: 7.4

Yield: 0.0

Momentum: 9.5

Volatility: 6.0

1-Year Total Return ->

CRAI

A-Score: 5.0/10

Value: 3.0

Growth: 6.8

Quality: 5.4

Yield: 2.0

Momentum: 6.0

Volatility: 7.0

1-Year Total Return ->

Resources Connection

A-Score: 4.5/10

Value: 8.5

Growth: 0.9

Quality: 3.8

Yield: 9.0

Momentum: 0.5

Volatility: 4.7

1-Year Total Return ->

Franklin Covey

A-Score: 4.1/10

Value: 6.3

Growth: 6.9

Quality: 6.9

Yield: 0.0

Momentum: 0.0

Volatility: 4.7

1-Year Total Return ->

Gencor

A-Score: 3.9/10

Value: 5.3

Growth: 7.4

Quality: 6.0

Yield: 0.0

Momentum: 0.5

Volatility: 4.3

1-Year Total Return ->

Forrester Research

A-Score: 3.3/10

Value: 8.9

Growth: 1.8

Quality: 4.2

Yield: 0.0

Momentum: 1.0

Volatility: 4.0

1-Year Total Return ->

Peers Metrics

12.e Scoring ^Insights

12.f DCF ^BETA

Parameters

Short Term Growth

-3.15%

Short term Time

10.0

Long-Term Growth

2.00%

WACC

5.68%

Huron Consulting Group Inc. - US4474621020

1. Company Snapshot

1.a. Company Description

1.b. Last Insights on HURN

1.c. Company Highlights

Average Growth

Average Yield

Medium Volatility

Earnings Beats

Revenues Beats

Fairly Valued

Revenues Miss

Stable Momentum

Better Quality

Strong Momentum

Higher Growth

2. Huron Consulting Group's Q3 2025 Earnings: A Strong Performance Across Segments

Segment Performance

Cash Flow and Leverage

Valuation and Growth Prospects

Outlook and Guidance

3. NewsRoom

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (7.73%)

6. Segments

Healthcare

Expected Growth: 9%

Education

Expected Growth: 7%

Commercial

Expected Growth: 6%

Reconciling Items

Expected Growth: 5%

7. Detailed Products

Strategy and Operations Consulting

Technology Consulting

Data and Analytics

Digital Transformation

Organizational Change Management

ERP and CRM Implementation

8. Huron Consulting Group Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

Bargaining Power Of Customers

Bargaining Power Of Suppliers

Threat Of New Entrants

Intensity Of Rivalry

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

11. Quality Control: Huron Consulting Group Inc. passed 4 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

170.83$

Current Price

170.84$

Potential

-0.00%

Expected Cash-Flows

12.e Scoring ^Insights

12.f DCF ^BETA