UBS Group AG Sells 241,171 Shares of StepStone Group Inc. $STEP

Key Points

• UBS Group AG cut its StepStone Group stake by 39.9% in the fourth quarter, selling 241,171 shares and ending with 363,347 shares valued at about $23.3 million.
• StepStone Group recently reported quarterly earnings of $0.65 per share, topping estimates, though revenue of $241.13 million came in below expectations despite strong year-over-year growth.
• The company’s board authorized a $100 million share buyback plan, signaling management may view the stock as undervalued; analysts currently rate the stock a Moderate Buy with an average price target of $71.75.

UBS Group AG lessened its position in StepStone Group Inc. (NASDAQ:STEP - Free Report) by 39.9% in the 4th quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The fund owned 363,347 shares of the company's stock after selling 241,171 shares during the quarter. UBS Group AG owned 0.31% of StepStone Group worth $23,316,000 at the end of the most recent reporting period.

Other institutional investors also recently added to or reduced their stakes in the company. Salomon & Ludwin LLC increased its position in StepStone Group by 105.0% during the 4th quarter. Salomon & Ludwin LLC now owns 414 shares of the company's stock valued at $28,000 after purchasing an additional 212 shares during the period. Aster Capital Management DIFC Ltd boosted its holdings in StepStone Group by 2,285.7% during the third quarter. Aster Capital Management DIFC Ltd now owns 501 shares of the company's stock worth $33,000 after buying an additional 480 shares in the last quarter. Quarry LP increased its stake in shares of StepStone Group by 155.7% in the 3rd quarter. Quarry LP now owns 514 shares of the company's stock valued at $34,000 after purchasing an additional 313 shares in the last quarter. Clearstead Advisors LLC increased its stake in shares of StepStone Group by 127.8% in the 3rd quarter. Clearstead Advisors LLC now owns 581 shares of the company's stock valued at $38,000 after purchasing an additional 326 shares in the last quarter. Finally, Darwin Wealth Management LLC purchased a new position in shares of StepStone Group in the 2nd quarter valued at about $46,000. Hedge funds and other institutional investors own 55.54% of the company's stock.

Wall Street Analyst Weigh In

STEP has been the subject of a number of research analyst reports. Evercore restated an "outperform" rating and set a $59.00 price objective on shares of StepStone Group in a research report on Tuesday, April 21st. Weiss Ratings lowered shares of StepStone Group from a "sell (d)" rating to a "sell (d-)" rating in a report on Wednesday, April 22nd. UBS Group started coverage on shares of StepStone Group in a report on Thursday, April 2nd. They issued a "buy" rating and a $60.00 price objective for the company. Barclays increased their target price on shares of StepStone Group from $55.00 to $61.00 and gave the stock an "overweight" rating in a research note on Wednesday, April 8th. Finally, JPMorgan Chase & Co. increased their target price on shares of StepStone Group from $84.00 to $91.00 and gave the stock an "overweight" rating in a research note on Friday, February 6th. Seven equities research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has given a Sell rating to the company's stock. According to data from MarketBeat, the stock has an average rating of "Moderate Buy" and an average price target of $71.75.

StepStone Group Stock Performance

Shares of STEP stock opened at $55.74 on Monday. The company has a 50 day moving average price of $48.74 and a 200 day moving average price of $58.74. The stock has a market capitalization of $6.64 billion, a P/E ratio of -8.03 and a beta of 1.34. StepStone Group Inc. has a fifty-two week low of $40.58 and a fifty-two week high of $77.79.

StepStone Group (NASDAQ:STEP - Get Free Report) last issued its earnings results on Thursday, February 5th. The company reported $0.65 earnings per share for the quarter, beating the consensus estimate of $0.60 by $0.05. The firm had revenue of $241.13 million for the quarter, compared to analysts' expectations of $363.92 million. StepStone Group had a negative net margin of 30.66% and a positive return on equity of 31.44%. The firm's revenue was up 102.7% compared to the same quarter last year. During the same quarter last year, the company earned $0.44 earnings per share. On average, research analysts forecast that StepStone Group Inc. will post 2.1 EPS for the current fiscal year.

StepStone Group announced that its Board of Directors has authorized a stock buyback plan on Monday, March 9th that permits the company to repurchase $100.00 million in outstanding shares. This repurchase authorization permits the company to reacquire up to 1.8% of its shares through open market purchases. Shares repurchase plans are typically an indication that the company's leadership believes its shares are undervalued.

StepStone Group Profile

StepStone Group is a global private markets investment firm that provides specialized investment solutions across private equity, private credit and real assets. The firm offers customized portfolios, secondary interests, direct co-investments and tailored advisory services to institutional investors worldwide. StepStone's integrated research and data analytics platform supports its investment teams in sourcing opportunities and monitoring portfolio companies.

Founded in 2007 as an independent private markets specialist, the company has grown its presence through both organic expansion and strategic partnerships.

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