GCM Grosvenor (NASDAQ:GCMG) Stock Price Up 5.3% on Strong Earnings

GCM Grosvenor Inc. (NASDAQ:GCMG) was up 5.3% on Tuesday after the company announced better than expected quarterly earnings. The stock traded as high as $14.33 and last traded at $14.1610. 253,650 shares traded hands during trading, a decline of 52% from the average daily volume of 525,358 shares. The stock had previously closed at $13.45.

The company reported $0.22 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.21 by $0.01. GCM Grosvenor had a net margin of 7.79% and a return on equity of 142.74%. The firm had revenue of $145.55 million for the quarter, compared to the consensus estimate of $141.60 million.

GCM Grosvenor Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Tuesday, December 15th. Shareholders of record on Tuesday, December 1st will be issued a dividend of $0.12 per share. This represents a $0.48 annualized dividend and a yield of 3.4%. The ex-dividend date of this dividend is Tuesday, December 1st. GCM Grosvenor’s payout ratio is currently 92.31%.

GCM Grosvenor News Roundup

Here are the key news stories impacting GCM Grosvenor this week:

• Positive Sentiment: Q3 beat and earnings growth: GCM Grosvenor reported adjusted earnings of $0.22 per share, above the $0.21 consensus and up from $0.19 a year earlier. Revenue of $145.6 million also exceeded the $141.6 million estimate. GAAP net income rose 17% year over year, fee-related earnings increased 15%, and adjusted net income grew 20%. Third-quarter results
• Positive Sentiment: Constructive outlook: The company anticipates 7%–9% growth in private-markets management fees in Q4 and expects 2026 fundraising to rival 2025, supporting expectations for continued business momentum. Management fee growth outlook
• Positive Sentiment: Analyst target increase: Piper Sandler raised its price target from $14.50 to $15.00 and reiterated its “overweight” rating, signaling a more favorable view of the shares. Piper Sandler recommendations
• Neutral Sentiment: Dividend declared: GCM Grosvenor announced a quarterly dividend of $0.12 per share, equivalent to $0.48 annualized. The payment is scheduled for December 15 to shareholders of record December 1.

Analyst Upgrades and Downgrades

A number of equities research analysts have issued reports on GCMG shares. Piper Sandler increased their price target on GCM Grosvenor from $14.50 to $15.00 and gave the stock an “overweight” rating in a research note on Tuesday. Wall Street Zen downgraded GCM Grosvenor from a “buy” rating to a “hold” rating in a research report on Saturday, October 10th. Weiss Ratings raised GCM Grosvenor from a “buy (b-)” rating to a “buy (b)” rating in a research note on Thursday, August 13th. Oppenheimer cut their target price on GCM Grosvenor from $18.00 to $17.00 and set an “outperform” rating for the company in a research report on Friday, July 17th. Finally, JPMorgan Chase & Co. increased their target price on GCM Grosvenor from $12.00 to $13.00 and gave the stock a “neutral” rating in a research report on Tuesday, August 11th. Four analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $14.75.

Insider Activity

In other news, insider Kathleen Sullivan sold 15,037 shares of the firm’s stock in a transaction that occurred on Thursday, September 3rd. The stock was sold at an average price of $13.16, for a total value of $197,886.92. Following the completion of the sale, the insider directly owned 44,795 shares of the company’s stock, valued at $589,502.20. This trade represents a 25.13% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, CFO Pamela Bentley sold 10,000 shares of GCM Grosvenor stock in a transaction on Wednesday, September 16th. The stock was sold at an average price of $12.68, for a total transaction of $126,800.00. Following the transaction, the chief financial officer directly owned 14,397 shares of the company’s stock, valued at $182,553.96. The trade was a 40.99% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 90,000 shares of company stock worth $1,155,350 over the last 90 days. Corporate insiders own 70.70% of the company’s stock.

Institutional Trading of GCM Grosvenor

Several institutional investors and hedge funds have recently modified their holdings of GCMG. Bank of New York Mellon Corp purchased a new stake in GCM Grosvenor during the second quarter worth $4,226,000. Dimensional Fund Advisors LP grew its position in GCM Grosvenor by 17.4% during the first quarter. Dimensional Fund Advisors LP now owns 823,520 shares of the company’s stock valued at $8,070,000 after buying an additional 122,110 shares during the period. Globeflex Capital L P purchased a new position in GCM Grosvenor in the second quarter valued at $1,390,000. Jennison Associates LLC increased its holdings in GCM Grosvenor by 49.7% in the first quarter. Jennison Associates LLC now owns 127,482 shares of the company’s stock valued at $1,249,000 after buying an additional 42,323 shares in the last quarter. Finally, The Manufacturers Life Insurance Company increased its holdings in GCM Grosvenor by 18.8% in the first quarter. The Manufacturers Life Insurance Company now owns 280,406 shares of the company’s stock valued at $2,748,000 after buying an additional 44,316 shares in the last quarter. Institutional investors own 99.95% of the company’s stock.

GCM Grosvenor Stock Performance

The business’s 50-day simple moving average is $12.87 and its two-hundred day simple moving average is $11.91. The firm has a market cap of $2.87 billion, a price-to-earnings ratio of 27.25 and a beta of 0.91. The company has a quick ratio of 1.89, a current ratio of 1.89 and a debt-to-equity ratio of 2.96.

GCM Grosvenor Company Profile

GCM Grosvenor is an alternative asset management firm that provides investment solutions across private markets and hedge fund strategies. Its offerings include private equity, infrastructure, real estate and credit investments, as well as customized portfolios and multi-manager strategies.

The firm invests on behalf of institutional investors and other clients through primary investments, co-investments and secondary-market transactions. Its activities span global markets, with offices in North America, Europe and Asia.

Founded in 1971, the firm traces its roots to Grosvenor Capital Management.