Hackett Group Downgraded To Sell Amid Revenue Struggles And AI Uncertainty
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Donovan JonesInvesting Group LeaderFollow5ShareSavePlay(10min)CommentsSummaryI've downgraded The Hackett Group, Inc. to a Sell due to persistent revenue challenges and lackluster (if any) growth catalysts.HCKT's Q3 2025 results showed earnings in line but revenue below expectations, with ongoing headcount reductions signaling management recognizing weaker demand.Generative AI consulting momentum is emerging, yet client adoption remains in early stages and insufficient to drive near-term growth.Capital allocation is shareholder-friendly via buybacks, but high stock-based compensation and muted revenue growth undermine HCKT stock valuation. Urupong/iStock via Getty Images Investment Outlook The Hackett Group, Inc. (HCKT) matched earnings estimates but missed revenue expectations in its Q3 2025 financial results. I previously analyzed HCKT in December 2024 with a Hold outlook due to stalled financialThis article was written byDonovan Jones21.46K FollowersFollowDonovan Jones is an IPO research specialist with 15 years of experience identifying opportunities for high quality IPOs.He also leads the investing group IPO Edge, which offers actionable information on growth stocks through first-look IPO filings, previews on upcoming IPOs, an IPO calendar for tracking what’s on the horizon, a database of U.S. IPOs, and a guide to IPO investing to walk you through the entire IPO lifecycle - from filing to listing to quiet period and lockup expiration dates. Learn moreAnalyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.