T. Rowe Price Group, Inc. $TROW Stock: Sumitomo Mitsui Trust Group Inc. Cuts Holdings

Key Points

• Sumitomo Mitsui Trust Group cut its T. Rowe Price stake by 9.6% in the third quarter, selling 58,481 shares and retaining 548,282 shares valued at about $57 million.
• Analyst sentiment was cautious: the consensus rating was “Reduce”, with a $102.83 average price target; 10 analysts rated the stock Hold, three Sell, and one Buy.
• T. Rowe Price beat quarterly earnings estimates, reporting $2.86 per share and $2 billion in revenue, up 5.9% year over year. Its quarterly dividend was $1.30 per share, equivalent to a 4.9% annualized yield.

Sumitomo Mitsui Trust Group Inc. lessened its position in shares of T. Rowe Price Group, Inc. (NASDAQ:TROW - Free Report) by 9.6% during the 3rd quarter, according to the company in its most recent 13F filing with the SEC. The firm owned 548,282 shares of the asset manager's stock after selling 58,481 shares during the quarter. Sumitomo Mitsui Trust Group Inc. owned about 0.26% of T. Rowe Price Group worth $57,049,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. BlackRock Inc. purchased a new stake in T. Rowe Price Group in the 2nd quarter valued at about $2,728,119,000. State Street Corp lifted its position in T. Rowe Price Group by 2.7% in the second quarter. State Street Corp now owns 14,653,478 shares of the asset manager's stock valued at $1,665,954,000 after buying an additional 381,183 shares during the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC boosted its stake in T. Rowe Price Group by 20.0% during the second quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 3,150,561 shares of the asset manager's stock worth $358,187,000 after buying an additional 524,544 shares during the period. First Trust Advisors LP boosted its stake in T. Rowe Price Group by 12.6% during the first quarter. First Trust Advisors LP now owns 3,694,171 shares of the asset manager's stock worth $332,993,000 after buying an additional 413,317 shares during the period. Finally, Provident Trust Co. increased its position in shares of T. Rowe Price Group by 0.4% during the second quarter. Provident Trust Co. now owns 2,061,353 shares of the asset manager's stock valued at $234,355,000 after acquiring an additional 8,524 shares during the last quarter. Institutional investors and hedge funds own 73.39% of the company's stock.

Insider Transactions at T. Rowe Price Group

In related news, VP Joshua Nelson sold 10,000 shares of the company's stock in a transaction that occurred on Tuesday, August 25th. The stock was sold at an average price of $111.82, for a total value of $1,118,200.00. Following the completion of the transaction, the vice president directly owned 71,328 shares of the company's stock, valued at $7,975,896.96. This represents a 12.30% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. 1.60% of the stock is owned by company insiders.

Analysts Set New Price Targets

A number of research firms have recently issued reports on TROW. Morgan Stanley boosted their price target on shares of T. Rowe Price Group from $110.00 to $112.00 and gave the company an "equal weight" rating in a research note on Friday, October 23rd. UBS Group assumed coverage on shares of T. Rowe Price Group in a research report on Wednesday, October 7th. They set a "neutral" rating and a $107.00 price objective for the company. 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. Keefe, Bruyette & Woods reiterated a "market perform" rating and issued a $113.00 target price (up from $112.00) on shares of T. Rowe Price Group in a report on Friday, October 30th. Finally, TD Cowen cut their target price on T. Rowe Price Group from $109.00 to $96.00 and set a "hold" rating on the stock in a research report on Friday, October 30th. One analyst has rated the stock with a Buy rating, ten have issued a Hold rating and three have issued a Sell rating to the company. According to MarketBeat, the company has a consensus rating of "Reduce" and a consensus target price of $102.83.

T. Rowe Price Group Trading Up 0.4%

T. Rowe Price Group stock opened at $106.23 on Wednesday. T. Rowe Price Group, Inc. has a twelve month low of $85.22 and a twelve month high of $122.00. The stock's fifty day simple moving average is $105.42 and its 200-day simple moving average is $103.71. The firm has a market capitalization of $22.66 billion, a P/E ratio of 10.74, a P/E/G ratio of 3.39 and a beta of 1.43.

T. Rowe Price Group (NASDAQ:TROW - Get Free Report) last released its earnings results on Thursday, October 29th. The asset manager reported $2.86 earnings per share for the quarter, topping analysts' consensus estimates of $2.63 by $0.23. The firm had revenue of $2 billion for the quarter, compared to analyst estimates of $1.98 billion. T. Rowe Price Group had a net margin of 28.40% and a return on equity of 20.63%. The business's quarterly revenue was up 5.9% compared to the same quarter last year. During the same period in the prior year, the firm earned $2.81 earnings per share. Sell-side analysts predict that T. Rowe Price Group, Inc. will post 10.21 earnings per share for the current year.

T. Rowe Price Group Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Tuesday, September 29th. Shareholders of record on Tuesday, September 15th were issued a dividend of $1.30 per share. This represents a $5.20 dividend on an annualized basis and a yield of 4.9%. The ex-dividend date of this dividend was Tuesday, September 15th. T. Rowe Price Group's payout ratio is 52.58%.

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 strategies and advisory services to individual investors, retirement plans, financial intermediaries, institutions and other clients.

The company offers a range of actively managed and multi-asset investment products, including mutual funds, exchange-traded funds, separately managed accounts and other portfolio solutions.

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