3Q26 Net Bookings and EPS Beat; Expenses Tracking Higher as MSCI Reinvests Behind Recent Momentum

MSCI reported 3Q26 adjusted EPS of $5.11, exceeding our $4.93 JPMe on stronger-than-expected revenues and margins. Firm-wide quarterly revenues rose 12.3% on an organic, constant currency basis, ahead of our 10.8% JPMe, primarily due to strong results in the Index segment (60% of 3Q26 revenues); consolidated adjusted EBITDA margin was 62.2%, reflecting the revenue beat on expenses that broadly matched our model. Net new subscription sales totaled $55mm, well above our $43mm JPMe, and subscription run rate growth accelerated to +8.7% y/y o/cc, the fastest such increase since early 2024. Management highlighted a 50%+ increase in bookings from newer solutions versus a year ago, with Custom Indexes run rate up 27% y/y and Private Capital Solutions up 19% y/y. MSCI held its FY26 adjusted EBITDA expense guidance at $1.34-1.37bln but now expects to land at the top end of the range, which includes ~$20mm from recent acquisitions, ~$15-20mm of incremental performance stock option accruals and ~