Bank of America Corp DE Makes New $170.57 Million Investment in T. Rowe Price Group, Inc. $TROW

Key Points

• Bank of America acquired a new $170.6 million stake in T. Rowe Price Group during the second quarter, purchasing 1.5 million shares and gaining approximately 0.70% ownership. Institutional investors collectively own 73.39% of the company.
• Analysts remain cautious on TROW, with a consensus “Reduce” rating and an average price target of $106.15. The stock recently traded at $102.84, below its 50-day moving average of $112.65.
• T. Rowe Price exceeded quarterly earnings and revenue expectations, reporting $2.57 in EPS and $1.91 billion in revenue, while declaring a quarterly dividend of $1.30 per share, equivalent to a 5.1% annualized yield.

Bank of America Corp DE bought a new stake in shares of T. Rowe Price Group, Inc. (NASDAQ:TROW - Free Report) during the 2nd quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The institutional investor bought 1,500,329 shares of the asset manager's stock, valued at approximately $170,572,000. Bank of America Corp DE owned 0.70% of T. Rowe Price Group as of its most recent filing with the Securities and Exchange Commission.

Other institutional investors have also recently made changes to their positions in the company. TD Private Client Wealth LLC lifted its holdings in shares of T. Rowe Price Group by 91.8% during the 4th quarter. TD Private Client Wealth LLC now owns 257 shares of the asset manager's stock valued at $26,000 after buying an additional 123 shares during the period. Bank & Trust Co lifted its position in T. Rowe Price Group by 52.4% during the second quarter. Bank & Trust Co now owns 314 shares of the asset manager's stock valued at $36,000 after purchasing an additional 108 shares in the last quarter. Motiv8 Investments LLC purchased a new position in T. Rowe Price Group during the fourth quarter valued at $35,000. Keating Financial Advisory Services Inc. bought a new stake in T. Rowe Price Group during the second quarter valued at about $39,000. Finally, Clearstead Trust LLC bought a new stake in T. Rowe Price Group during the second quarter valued at about $41,000. Hedge funds and other institutional investors own 73.39% of the company's stock.

Analysts Set New Price Targets

TROW has been the subject of a number of analyst reports. Morgan Stanley set a $116.00 price target on T. Rowe Price Group in a research report on Wednesday, July 29th. Deutsche Bank Aktiengesellschaft reiterated a "hold" rating and set a $109.00 price objective on shares of T. Rowe Price Group in a research note on Monday, August 3rd. The Goldman Sachs Group increased their target price on shares of T. Rowe Price Group from $90.00 to $92.00 and gave the stock a "sell" rating in a report on Tuesday, June 30th. TD Cowen raised their target price on shares of T. Rowe Price Group from $108.00 to $110.00 and gave the stock a "hold" rating in a research note on Monday, August 31st. Finally, Zacks Research downgraded shares of T. Rowe Price Group from a "strong-buy" rating to a "hold" rating in a report on Thursday, August 13th. One equities research analyst has rated the stock with a Buy rating, nine have assigned a Hold rating and four have given a Sell rating to the stock. According to data from MarketBeat.com, the company currently has a consensus rating of "Reduce" and an average target price of $106.15.

T. Rowe Price Group Trading Up 0.4%

Shares of TROW opened at $102.84 on Friday. The business's 50 day moving average is $112.65 and its 200 day moving average is $104.68. The company has a market capitalization of $21.94 billion, a PE ratio of 10.31, a price-to-earnings-growth ratio of 3.39 and a beta of 1.46. T. Rowe Price Group, Inc. has a 12-month low of $85.22 and a 12-month high of $122.00.

T. Rowe Price Group (NASDAQ:TROW - Get Free Report) last posted its quarterly earnings results on Friday, July 31st. The asset manager reported $2.57 earnings per share for the quarter, topping the consensus estimate of $2.52 by $0.05. T. Rowe Price Group had a return on equity of 20.91% and a net margin of 29.26%.The business had revenue of $1.91 billion during the quarter, compared to the consensus estimate of $1.89 billion. During the same period in the prior year, the company posted $2.24 EPS. The firm's revenue for the quarter was up 10.7% compared to the same quarter last year. Equities research analysts predict that T. Rowe Price Group, Inc. will post 10.16 earnings per share for the current year.

T. Rowe Price Group Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Tuesday, September 29th. Shareholders of record on Tuesday, September 15th will be issued a $1.30 dividend. This represents a $5.20 dividend on an annualized basis and a yield of 5.1%. The ex-dividend date is Tuesday, September 15th. T. Rowe Price Group's payout ratio is currently 52.16%.

Insider Transactions at T. Rowe Price Group

In other T. Rowe Price Group news, VP Joshua Nelson sold 10,000 shares of the business's stock in a transaction on Tuesday, August 25th. The shares were sold at an average price of $111.82, for a total value of $1,118,200.00. Following the sale, the vice president owned 71,328 shares in the company, valued at $7,975,896.96. The trade was a 12.30% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Corporate insiders own 1.60% of the company's stock.

T. Rowe Price Group Profile

T. Rowe Price Group, Inc is a global investment management firm headquartered in Baltimore, Maryland. Founded in 1937 by Thomas Rowe Price Jr., the company provides investment management, advisory and related services to individual investors, retirement plans, institutions, financial intermediaries and other clients.

The company offers a broad range of investment products and strategies, including mutual funds, exchange-traded funds, separately managed accounts and institutional portfolios.

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