Stock Markets September 15, 2026 06:58 AM

Forgent Power Solutions Rises Sharply in Pre-Market After Fiscal 2026 Results

Raised guidance, near-$2 billion backlog and analyst support underpin a 10.9% pre-open jump despite recent selling pressure

By Derek Hwang
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Forgent Power Solutions jumped 10.9% in pre-open trading after releasing fiscal fourth-quarter and full-year 2026 results ahead of the market. The results, covering the period ended June 30, 2026, come alongside a scheduled 11:00 a.m. ET conference call and follow strong prior-quarter momentum, a record bookings print and an updated full-year revenue outlook.

Forgent Power Solutions Rises Sharply in Pre-Market After Fiscal 2026 Results
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Key Points

  • Forgent reported fiscal results covering the period ended June 30, 2026, and scheduled a conference call for 11:00 a.m. ET.
  • Prior-quarter momentum included $379 million in revenues and record bookings of $867 million, lifting backlog to nearly $2 billion, and management raised full-year 2026 revenue guidance to $1.35–$1.39 billion.
  • Analyst support from Jefferies and TD Cowen, compressed share price due to recent lockup expirations and secondary offerings, and options-market expectations combined to drive a 10.9% pre-open increase.

Summary: Forgent Power Solutions stock climbed 10.9% in pre-market trading after the company issued its fiscal fourth-quarter and full-year 2026 financial results before the opening bell. The report, which covers the period ended June 30, 2026, was followed by a management conference call set for 11:00 a.m. ET.

Investors and options traders had been watching this earnings event closely after a fourth-quarter print was flagged as likely to move the shares. The backdrop included sizable momentum from the prior quarter, an already-raised revenue outlook for fiscal 2026 and a substantial backlog that management says provides revenue visibility going forward.

In the prior quarter, fiscal Q3, Forgent recorded revenues of $379 million - more than double the year-ago level - and reported record bookings of $867 million, a 308% increase that pushed the company’s backlog to nearly $2 billion. Management had earlier increased full-year 2026 revenue guidance to a range of $1.35 billion to $1.39 billion, which implies roughly 82% year-over-year growth at the midpoint.

Leading into the announcement, Wall Street consensus for the fourth quarter centered on revenue of about $425 million to $430 million and adjusted earnings per share near $0.23. Analysts at Jefferies and TD Cowen had maintained Buy ratings on the company, with price targets noted to be well above recent trading levels, indicating continued confidence in Forgent’s growth across data center and power grid opportunities.

That analyst support, combined with a compressed share price entering the print, likely amplified the market reaction. The stock had fallen sharply over the prior three months as post-IPO lockup expirations and secondary offerings weighed on investor sentiment - a dynamic that may have increased the upside response once results met or exceeded expectations.

Options markets had pointed to a heightened likelihood of a sizeable move, given the company’s history of surpassing implied volatility around earnings releases. Taken together - an eagerly anticipated results release, a near-$2 billion backlog, restored guidance and analyst backing - these factors produced the outsized pre-market rise observed today.


Conference call: Management will discuss results in greater detail at 11:00 a.m. ET.

Risks

  • Recent share weakness tied to post-IPO lockup expirations and secondary offerings has weighed on sentiment and could continue to affect share liquidity and price action - impacting equity market participants and investors in the stock.
  • The market reaction depends on results relative to analyst expectations (consensus around $425–$430 million in Q4 revenue and ~$0.23 in adjusted EPS); divergence from these expectations could increase volatility for options traders and equity investors.
  • Forgent’s revenue visibility is supported by a near-$2 billion backlog, but reliance on backlog conversion introduces execution risk for the data center and power grid sectors if orders do not translate to realized revenue as anticipated.

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