AllianceBernstein (NYSE:AB) Releases Earnings Results, Misses Expectations By $0.04 EPS

AllianceBernstein (NYSE:AB - Get Free Report) issued its quarterly earnings data on Tuesday, April 28th. The asset manager reported $0.83 earnings per share for the quarter, missing the consensus estimate of $0.87 by ($0.04), Zacks reports. The firm had revenue of $871.13 million during the quarter, compared to the consensus estimate of $894.70 million. AllianceBernstein had a net margin of 6.69% and a return on equity of 23.11%. The company's revenue for the quarter was up 3.9% compared to the same quarter last year. During the same quarter in the prior year, the business earned $0.80 earnings per share.

Here are the key takeaways from AllianceBernstein's conference call:

• Proposed Equitable Corebridge merger$100 billion of general and separate account assets over time, joining a combined general account base of more than $350 billion and creating meaningful insurance-channel distribution opportunities.
• Firm-wide net outflows were roughly $6 billion in Q1, including about $11 billion of active equity redemptions and nearly $2 billion from taxable fixed income, driven by performance challenges and regional retail redemptions (Asia Pacific), which pressures AUM and fee rate.
• Private markets momentum remains strong with fee-paying AUM at $85 billion (up 13% YoY), a record institutional pipeline of $27.5 billion (including $9 billion of new commitments), and a stated target of $90–$100 billion private markets AUM by 2027.
• Adjusted results show modest growth — adjusted EPS of $0.83 (+4% YoY) and net revenues of $871 million (+4% YoY) — and the firm distributed 100% of adjusted earnings to unit holders, supporting near-term shareholder return visibility.
• Management raised its full‑year performance fee outlook to $95–$115 million (up from $80–$100M), driven by stronger public-market realizations (notably an International SMID strategy), while keeping private-markets performance fee guidance at $70–$80M.

AllianceBernstein Price Performance

AB opened at $38.40 on Tuesday. The business has a 50 day moving average price of $38.36 and a two-hundred day moving average price of $39.45. The company has a market capitalization of $3.59 billion, a price-to-earnings ratio of 11.81, a price-to-earnings-growth ratio of 1.84 and a beta of 0.83. AllianceBernstein has a 1-year low of $35.59 and a 1-year high of $44.11.

AllianceBernstein Cuts Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, May 21st. Shareholders of record on Friday, May 8th will be given a $0.83 dividend. This represents a $3.32 dividend on an annualized basis and a yield of 8.6%. The ex-dividend date is Friday, May 8th. AllianceBernstein's dividend payout ratio is 102.15%.

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the company. Morgan Stanley raised its position in AllianceBernstein by 79.2% in the fourth quarter. Morgan Stanley now owns 1,412,548 shares of the asset manager's stock worth $54,355,000 after acquiring an additional 624,270 shares in the last quarter. Goldman Sachs Group Inc. boosted its position in shares of AllianceBernstein by 51.8% during the 1st quarter. Goldman Sachs Group Inc. now owns 916,574 shares of the asset manager's stock valued at $35,114,000 after purchasing an additional 312,878 shares in the last quarter. Focus Partners Wealth boosted its position in shares of AllianceBernstein by 1,154.2% during the 3rd quarter. Focus Partners Wealth now owns 336,502 shares of the asset manager's stock valued at $12,861,000 after purchasing an additional 309,673 shares in the last quarter. HRT Financial LP boosted its position in shares of AllianceBernstein by 438.1% during the 2nd quarter. HRT Financial LP now owns 108,143 shares of the asset manager's stock valued at $4,415,000 after purchasing an additional 88,045 shares in the last quarter. Finally, Lavaca Capital LLC acquired a new position in shares of AllianceBernstein in the 3rd quarter worth approximately $1,531,000. Institutional investors own 19.25% of the company's stock.

Analyst Ratings Changes

A number of research firms have recently weighed in on AB. Evercore reaffirmed an "outperform" rating and set a $42.00 price target on shares of AllianceBernstein in a report on Wednesday, April 29th. Weiss Ratings upgraded AllianceBernstein from a "buy (b-)" rating to a "buy (b)" rating in a research report on Monday, May 4th. TD Cowen cut their target price on AllianceBernstein from $39.50 to $39.00 and set a "hold" rating on the stock in a research note on Wednesday, April 29th. Barclays cut their target price on AllianceBernstein from $40.00 to $39.00 and set an "equal weight" rating on the stock in a research note on Wednesday, April 29th. Finally, Zacks Research cut AllianceBernstein from a "hold" rating to a "strong sell" rating in a research note on Tuesday, April 21st. Three investment analysts have rated the stock with a Buy rating, four have given a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of "Hold" and an average price target of $40.25.

AllianceBernstein Company Profile

AllianceBernstein is a global investment management firm that offers a broad range of research-driven strategies across equities, fixed income, multi-asset solutions and alternative investments. The firm provides active and quantitative portfolio management, drawing on in-house research capabilities to serve the needs of institutional clients, private wealth investors and intermediaries. Its product lineup encompasses mutual funds, separately managed accounts and customized investment vehicles designed to meet diverse risk-return objectives.

The firm's roots date back to 1967 with the founding of Sanford C.