According to Zacks, “We believe that T. Rowe Price’s bottom-line growth may suffer as operating expenses continue to climb up. Notably, due to several strategic initiatives, management expects the company’s operating expenses growth rate in 2017 to be higher than 2016 level. Further, amid the low rate environment, the company continues to waive fees in its money market mutual funds, thereby impacting top-line growth. Also, stringent regulatory norms remain near-term headwind. However, organic growth, steady capital deployment activities and diverse business model remain key strengths for the company.”
A number of other research firms have also recently issued reports on TROW. Deutsche Bank AG cut T. Rowe Price Group from a buy rating to a hold rating and decreased their target price for the company from $79.00 to $75.00 in a research report on Wednesday, July 20th. TheStreet cut T. Rowe Price Group from a buy rating to a hold rating in a research report on Tuesday, July 26th. Barclays PLC decreased their target price on T. Rowe Price Group from $78.00 to $76.00 and set an equal weight rating on the stock in a research report on Tuesday, August 9th. Keefe, Bruyette & Woods decreased their target price on T. Rowe Price Group from $81.00 to $75.00 and set a market perform rating on the stock in a research report on Wednesday, July 27th. Finally, Citigroup Inc. decreased their target price on T. Rowe Price Group from $78.00 to $72.00 and set a neutral rating on the stock in a research report on Wednesday, July 27th. Three equities research analysts have rated the stock with a sell rating, eight have given a hold rating and four have issued a buy rating to the company’s stock. T. Rowe Price Group has a consensus rating of Hold and an average price target of $75.27.
Shares of T. Rowe Price Group (NASDAQ:TROW) opened at 65.54 on Tuesday. T. Rowe Price Group has a 1-year low of $63.57 and a 1-year high of $79.00. The firm has a 50-day moving average of $68.05 and a 200-day moving average of $72.18. The firm has a market capitalization of $16.29 billion, a PE ratio of 15.79 and a beta of 1.18.
T. Rowe Price Group (NASDAQ:TROW) last released its earnings results on Tuesday, July 26th. The company reported $0.76 earnings per share (EPS) for the quarter, beating the Zacks’ consensus estimate of $0.72 by $0.04. T. Rowe Price Group had a return on equity of 22.25% and a net margin of 25.77%. The firm had revenue of $1,000 million for the quarter, compared to analysts’ expectations of $1.03 billion. During the same quarter in the previous year, the business posted $1.24 earnings per share. The business’s revenue for the quarter was down 2.6% on a year-over-year basis. On average, equities research analysts anticipate that T. Rowe Price Group will post $4.23 EPS for the current fiscal year.
The firm also recently declared a quarterly dividend, which was paid on Thursday, September 29th. Shareholders of record on Thursday, September 15th were paid a $0.54 dividend. This represents a $2.16 annualized dividend and a yield of 3.30%. The ex-dividend date was Tuesday, September 13th. T. Rowe Price Group’s dividend payout ratio (DPR) is presently 52.17%.
Institutional investors have recently modified their holdings of the stock. Quadrant Capital Group LLC raised its position in shares of T. Rowe Price Group by 2.5% in the second quarter. Quadrant Capital Group LLC now owns 1,711 shares of the company’s stock valued at $119,000 after buying an additional 42 shares during the period. Euclid Advisors LLC purchased a new position in shares of T. Rowe Price Group during the second quarter worth $123,000. Societe Generale purchased a new position in shares of T. Rowe Price Group during the second quarter worth $126,000. Dubuque Bank & Trust Co. raised its position in shares of T. Rowe Price Group by 1,479.6% in the first quarter. Dubuque Bank & Trust Co. now owns 1,785 shares of the company’s stock worth $131,000 after buying an additional 1,672 shares during the last quarter. Finally, WFG Advisors LP raised its position in shares of T. Rowe Price Group by 22.2% in the second quarter. WFG Advisors LP now owns 1,870 shares of the company’s stock worth $136,000 after buying an additional 340 shares during the last quarter. 69.64% of the stock is currently owned by hedge funds and other institutional investors.
About T. Rowe Price Group
T. Rowe Price Group, Inc is a financial services holding company. The Company provides global investment management services to individual and institutional investors in the sponsored T. Rowe Price mutual funds distributed in the United States and other investment portfolios. It operates through investment advisory business segment.
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