AllianceBernstein (NYSE:AB) Stock Price Target Cut by TD Cowen

Key Points

• TD Cowen lowered AllianceBernstein’s price target from $36 to $35 and maintained a “Hold” rating, implying just 0.37% upside from the previous close. Analysts broadly remain cautious, with an average rating of “Hold” and a $36.50 average target.
• AllianceBernstein’s shares fell 1.2% to $34.87, near the lower end of their 52-week range. The stock has a $3.25 billion market capitalization and trades at a P/E ratio of 10.32.
• The company beat quarterly EPS estimates, reporting $0.88 versus $0.86 expected, while revenue rose 7.8% year over year to $904.25 million but fell short of the $913.82 million consensus forecast.

AllianceBernstein (NYSE:AB - Get Free Report) had its price objective lowered by research analysts at TD Cowen from $36.00 to $35.00 in a note issued to investors on Wednesday, Benzinga reports. The brokerage presently has a "hold" rating on the asset manager's stock. TD Cowen's price objective would indicate a potential upside of 0.37% from the company's previous close.

AB has been the subject of several other reports. Barclays cut their price objective on shares of AllianceBernstein from $39.00 to $37.00 and set an "equal weight" rating for the company in a research report on Wednesday, October 14th. Sanford C. Bernstein reiterated a "hold" rating and issued a $35.00 target price on shares of AllianceBernstein in a report on Wednesday. Weiss Ratings cut shares of AllianceBernstein from a "hold (c+)" rating to a "hold (c)" rating in a research note on Monday, August 3rd. Finally, Evercore set a $39.00 price target on shares of AllianceBernstein in a research note on Friday, July 10th. One equities research analyst has rated the stock with a Buy rating and five have given a Hold rating to the company's stock. Based on data from MarketBeat.com, AllianceBernstein currently has an average rating of "Hold" and an average price target of $36.50.

AllianceBernstein Trading Down 1.2%

NYSE:AB traded down $0.42 during trading hours on Wednesday, hitting $34.87. The company had a trading volume of 275,003 shares, compared to its average volume of 335,677. AllianceBernstein has a 1 year low of $33.90 and a 1 year high of $44.11. The company has a market cap of $3.25 billion, a P/E ratio of 10.32, a P/E/G ratio of 1.17 and a beta of 0.79. The company has a 50-day moving average of $35.72 and a 200 day moving average of $37.57.

AllianceBernstein (NYSE:AB - Get Free Report) last posted its quarterly earnings results on Tuesday, October 27th. The asset manager reported $0.88 EPS for the quarter, topping the consensus estimate of $0.86 by $0.02. The business had revenue of $904.25 million for the quarter, compared to analyst estimates of $913.82 million. AllianceBernstein had a return on equity of 25.94% and a net margin of 6.60%. The company's quarterly revenue was up 7.8% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.86 EPS. On average, analysts forecast that AllianceBernstein will post 3.45 earnings per share for the current year.

Insider Buying and Selling at AllianceBernstein

In related news, Director Charles Stonehill sold 5,000 shares of the firm's stock in a transaction dated Tuesday, August 4th. The stock was sold at an average price of $37.17, for a total transaction of $185,850.00. Following the completion of the sale, the director directly owned 24,573 shares of the company's stock, valued at approximately $913,378.41. This trade represents a 16.91% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Corporate insiders own 1.80% of the company's stock.

Institutional Trading of AllianceBernstein

Several institutional investors and hedge funds have recently bought and sold shares of the stock. Almitas Capital LLC purchased a new position in AllianceBernstein during the second quarter worth about $1,381,000. The Manufacturers Life Insurance Company purchased a new position in shares of AllianceBernstein during the second quarter worth $1,908,000. Bank of America Corp DE acquired a new stake in shares of AllianceBernstein in the second quarter valued at $522,000. Kestra Advisory Services LLC grew its stake in shares of AllianceBernstein by 114.6% in the first quarter. Kestra Advisory Services LLC now owns 74,211 shares of the asset manager's stock valued at $2,778,000 after buying an additional 39,636 shares in the last quarter. Finally, SMH Capital Advisors Inc. acquired a new stake in shares of AllianceBernstein in the second quarter valued at $395,000. 19.25% of the stock is currently owned by hedge funds and other institutional investors.

Key Stories Impacting AllianceBernstein

Here are the key news stories impacting AllianceBernstein this week:

• Positive Sentiment: Strong quarterly earnings: AllianceBernstein reported third-quarter adjusted EPS of $0.88, topping the $0.86 consensus estimate and rising from $0.86 a year earlier. Revenue increased 7.8% year over year to $904.25 million. AllianceBernstein Announces Third Quarter Results
• Positive Sentiment: Higher cash distribution: The company declared a quarterly distribution of $0.88 per unit, payable November 19 to holders of record November 6. The payment is 7.3% above the prior $0.82 distribution and represents an annualized $3.52 per unit, supporting AB’s appeal to income-focused investors. AllianceBernstein Announces Cash Distribution
• Positive Sentiment: Record inflows bolster the investment case: Coverage following the earnings release focuses on strong asset flows and the possibility that recent operating momentum improves AllianceBernstein’s long-term growth outlook and valuation. Is AllianceBernstein Holding Priced Right After Record Inflows?
• Neutral Sentiment: Management discussion provides context: The Q3 earnings call and related analysis examine the firm’s flows, investment performance and outlook, helping investors assess whether the earnings improvement can continue. How Strong Q3 Results Have Changed Its Investment Story
• Negative Sentiment: Revenue missed expectations: Quarterly revenue of $904.25 million was below the $913.82 million consensus forecast. The shortfall, combined with AB’s position near its 1-year low, may be limiting the market’s reaction to the EPS beat despite positive profit and distribution news. AllianceBernstein Q3 Adjusted Earnings and Revenue Rise

AllianceBernstein Company Profile

AllianceBernstein Holding L.P. NYSE: AB is a global investment management and research firm serving institutional investors, retail clients and private-wealth customers. The company provides investment strategies and advisory services across equities, fixed income, multi-asset portfolios and alternative investments.

AllianceBernstein offers actively managed and customized portfolios, along with mutual funds, separately managed accounts, institutional mandates and other investment vehicles.

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