Cohen & Steers (NYSE:CNS) Cut to Strong Sell at Zacks Research

Key Points

• Zacks Research downgraded Cohen & Steers to “strong sell” from “hold,” contrasting with Weiss Ratings’ recent upgrade to “buy” and Evercore’s “outperform” rating. The broader analyst consensus remains “hold,” with an average price target of $88.
• Cohen & Steers reported quarterly EPS of $0.89, matching estimates, while revenue of $156.4 million exceeded forecasts and rose 11.1% year over year. Analysts expect full-year EPS of approximately $3.48.
• Shares traded at $69.39, below both their 50-day and 200-day moving averages and well under the $88 consensus target. Recent insider selling and lingering technical weakness may continue to weigh on the stock despite healthy profitability and institutional ownership.

Cohen & Steers (NYSE:CNS - Get Free Report) was downgraded by analysts at Zacks Research from a "hold" rating to a "strong sell" rating in a note issued to investors on Thursday, Zacks reports.

Several other equities analysts have also issued reports on the company. Weiss Ratings upgraded Cohen & Steers from a "hold (c+)" rating to a "buy (b-)" rating in a research report on Thursday, October 8th. Evercore reaffirmed an "outperform" rating and issued a $88.00 price target on shares of Cohen & Steers in a research note on Monday, August 10th. Two investment analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, the stock presently has an average rating of "Hold" and an average price target of $88.00.

Cohen & Steers Trading Up 0.6%

Shares of CNS traded up $0.41 during trading hours on Thursday, hitting $69.39. 676,767 shares of the stock traded hands, compared to its average volume of 323,800. The business has a fifty day moving average of $76.66 and a 200-day moving average of $74.62. The firm has a market capitalization of $3.57 billion, a PE ratio of 21.29, a price-to-earnings-growth ratio of 2.94 and a beta of 1.22. Cohen & Steers has a 1-year low of $58.39 and a 1-year high of $86.56.

Cohen & Steers (NYSE:CNS - Get Free Report) last announced its quarterly earnings data on Thursday, October 15th. The asset manager reported $0.89 EPS for the quarter, hitting analysts' consensus estimates of $0.89. The firm had revenue of $156.41 million during the quarter, compared to analyst estimates of $155.12 million. Cohen & Steers had a return on equity of 27.45% and a net margin of 28.16%. The company's revenue was up 11.1% on a year-over-year basis. During the same period last year, the company earned $0.81 earnings per share. As a group, equities research analysts expect that Cohen & Steers will post 3.48 earnings per share for the current fiscal year.

Insider Activity

In other news, CAO Elena Dulik sold 1,100 shares of the business's stock in a transaction on Monday, July 20th. The shares were sold at an average price of $83.16, for a total value of $91,476.00. Following the completion of the transaction, the chief accounting officer owned 22,146 shares of the company's stock, valued at $1,841,661.36. The trade was a 4.73% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. 45.40% of the stock is owned by company insiders.

Institutional Trading of Cohen & Steers

Several hedge funds have recently added to or reduced their stakes in the business. BlackRock Inc. bought a new stake in Cohen & Steers during the 2nd quarter worth approximately $426,000. The Manufacturers Life Insurance Company acquired a new stake in Cohen & Steers during the 2nd quarter worth approximately $1,137,000. Legal & General Group Plc bought a new position in Cohen & Steers in the second quarter valued at approximately $5,612,000. Corient Private Wealth LP bought a new position in Cohen & Steers in the second quarter valued at approximately $1,498,000. Finally, Gabelli Funds LLC lifted its stake in Cohen & Steers by 38.0% in the first quarter. Gabelli Funds LLC now owns 190,395 shares of the asset manager's stock valued at $11,909,000 after buying an additional 52,400 shares in the last quarter. Institutional investors and hedge funds own 51.47% of the company's stock.

Key Headlines Impacting Cohen & Steers

Here are the key news stories impacting Cohen & Steers this week:

• Positive Sentiment: Revenue exceeded estimates and increased year over year. Cohen & Steers reported third-quarter revenue of approximately $156.4 million to $157.4 million, ahead of the roughly $155.1 million consensus forecast. Revenue rose 11.1% from the prior-year quarter, supporting the view that the asset manager continues to benefit from business growth. Cohen & Steers Q3 revenue report
• Positive Sentiment: Strong inflows were a key catalyst. Reports characterized the quarter as benefiting from robust investment inflows, which can increase assets under management and support recurring fee revenue. Investors also received details during the company’s earnings call about operating trends and the outlook. Cohen & Steers strong inflows report
• Positive Sentiment: Profitability and cash generation remained healthy. The company reported $0.89 in adjusted earnings per share, matching consensus and rising from $0.81 a year earlier. Net margin was 28.82%, return on equity was 27.41%, and operating cash flow was reported at $67.4 million. Cohen & Steers earnings report
• Neutral Sentiment: The earnings result was a mixed beat. Revenue surpassed expectations, but EPS only met estimates, limiting the size of the fundamental upside. One third-party report cited diluted EPS of $0.81, conflicting with other coverage that reported $0.89; investors may await the company’s filings for clarification. Cohen & Steers mixed Q3 results report
• Negative Sentiment: Insider selling and valuation concerns could restrain gains. Recent disclosures showed several executives selling shares, while analysis argued CNS still had a potential fair-value gap despite the post-earnings advance. The stock also remains below its 50-day and 200-day moving averages, signaling lingering technical weakness. Cohen & Steers fair value analysis

Cohen & Steers Company Profile

Cohen & Steers, Inc is a global investment management company specializing in listed real assets and alternative income. The firm manages portfolios focused on areas such as real estate securities, infrastructure, natural resource equities, commodities, preferred securities and other income-oriented investments.

Its investment solutions are offered through mutual funds, exchange-traded funds, closed-end funds, institutional accounts and separately managed accounts. Cohen & Steers serves a range of clients, including institutional investors, financial advisers and individual investors, with strategies covering markets in the United States and internationally.

Founded in 1986 by Martin Cohen and Robert Steers, the company is headquartered in New York City and maintains an international presence to support its global investment activities.

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