T. Rowe Price Group (NASDAQ:TROW) Issues Quarterly Earnings Results

T. Rowe Price Group (NASDAQ:TROW) released its quarterly earnings results on Thursday. The asset manager reported $2.52 earnings per share for the quarter, topping the consensus estimate of $2.44 by $0.08, FiscalAI reports. T. Rowe Price Group had a net margin of 28.53% and a return on equity of 20.29%. The business had revenue of $1.86 billion for the quarter, compared to the consensus estimate of $1.88 billion. During the same period last year, the firm earned $2.23 earnings per share. The company’s quarterly revenue was up 5.3% on a year-over-year basis.

Here are the key takeaways from T. Rowe Price Group’s conference call:

• Adjusted EPS of $2.52 rose 13% year-over-year, the company repurchased $340M of stock in Q1 and raised the quarterly dividend to $1.30, supported by a strong balance sheet with ~$4.1B of cash and discretionary investments.
• The firm reported $13.7B of net outflows in Q1, driven largely by equities and mutual fund redemptions (notably U.S. growth strategies), and one-year performance remains challenged across several products.
• Distribution and product initiatives gained traction—ETFs surpassed $25B AUM with $2.8B net inflows (32 ETFs), SMAs reached ~$17B with ~$962M net inflows, and launches/expansions (Europe, interval funds, CLO) are underway.
• Long-term investment performance is largely strong on an asset-weighted basis (notably 3-, 5-, and 10‑year periods), but short‑term (1‑year) performance lags, especially for certain equity strategies.
• Alternatives arm OHA is scaling—$112B AUM, ~ $30B dry powder, record fundraising momentum and institutional demand—and management views current spread widening as an opportunity to deploy capital across private credit and structured credit products.

T. Rowe Price Group Trading Up 2.4%

TROW traded up $2.41 during trading on Thursday, hitting $102.88. 4,390,267 shares of the company traded hands, compared to its average volume of 1,924,674. The company has a market cap of $22.39 billion, a PE ratio of 11.12, a P/E/G ratio of 4.40 and a beta of 1.50. The stock’s 50-day simple moving average is $92.87 and its two-hundred day simple moving average is $99.28. T. Rowe Price Group has a 1 year low of $85.22 and a 1 year high of $118.22.

T. Rowe Price Group Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Monday, March 30th. Investors of record on Monday, March 16th were paid a dividend of $1.30 per share. The ex-dividend date of this dividend was Monday, March 16th. This is a positive change from T. Rowe Price Group’s previous quarterly dividend of $1.27. This represents a $5.20 annualized dividend and a yield of 5.1%. T. Rowe Price Group’s dividend payout ratio is 56.22%.

Wall Street Analysts Forecast Growth

Several research analysts have weighed in on TROW shares. Jefferies Financial Group decreased their price target on shares of T. Rowe Price Group from $107.00 to $91.00 and set a “hold” rating on the stock in a research report on Wednesday, April 8th. The Goldman Sachs Group increased their price target on shares of T. Rowe Price Group from $80.00 to $85.00 and gave the stock a “sell” rating in a research report on Tuesday, April 14th. Barclays decreased their price target on shares of T. Rowe Price Group from $94.00 to $87.00 and set an “underweight” rating on the stock in a research report on Friday, April 17th. Bank of America increased their price objective on shares of T. Rowe Price Group from $85.00 to $86.00 in a research note on Wednesday, January 14th. Finally, Zacks Research cut shares of T. Rowe Price Group from a “hold” rating to a “strong sell” rating in a research note on Tuesday, April 14th. Ten analysts have rated the stock with a Hold rating and five have given a Sell rating to the company’s stock. Based on data from MarketBeat.com, T. Rowe Price Group presently has an average rating of “Reduce” and a consensus price target of $96.46.

Hedge Funds Weigh In On T. Rowe Price Group

Institutional investors have recently bought and sold shares of the stock. DV Equities LLC purchased a new position in shares of T. Rowe Price Group in the 4th quarter worth $32,000. Quarry LP purchased a new position in shares of T. Rowe Price Group during the 3rd quarter worth about $61,000. MUFG Securities EMEA plc purchased a new position in shares of T. Rowe Price Group during the 2nd quarter worth about $63,000. Quadrant Capital Group LLC purchased a new position in shares of T. Rowe Price Group during the 3rd quarter worth about $96,000. Finally, Geneos Wealth Management Inc. boosted its stake in shares of T. Rowe Price Group by 22.5% during the 2nd quarter. Geneos Wealth Management Inc. now owns 1,181 shares of the asset manager’s stock worth $114,000 after purchasing an additional 217 shares during the period. 73.39% of the stock is owned by hedge funds and other institutional investors.

About T. Rowe Price Group

T. Rowe Price Group, Inc is a global investment management firm headquartered in Baltimore, Maryland, founded by Thomas Rowe Price Jr. in 1937. The company provides a broad range of investment products and services for individual investors, financial intermediaries, retirement plan sponsors and institutional clients. Its offerings are built around active investment management and in-house research across equity, fixed income and multi-asset strategies, reflecting a long history as a research-driven asset manager.

The firm’s product lineup includes mutual funds, separate accounts, collective investment trusts, target-date and target-risk funds, and managed account solutions, as well as services for defined contribution and defined benefit retirement plans.