GCM Grosvenor Inc. (NASDAQ:GCMG) Receives Average Rating of "Moderate Buy" from Analysts

Key Points

• Analysts maintain a “Moderate Buy” consensus: Four of five analysts rate GCM Grosvenor a buy, while one recommends holding the stock. The average 12-month price target is $15.00, above its recent trading level near $14.10.
• Second-quarter results exceeded expectations: GCM Grosvenor reported EPS of $0.19 versus the $0.18 consensus and revenue of $134.34 million versus $131.21 million expected. Fee-related earnings rose 21% year over year, while adjusted net income increased 22%.
• The company declared a quarterly dividend of $0.12 per share: The payment equates to an annualized $0.48 dividend and an indicated yield of roughly 3.4%–3.5%. Institutional investors own 99.95% of the company’s shares.

GCM Grosvenor Inc. (NASDAQ:GCMG - Get Free Report) has earned a consensus recommendation of "Moderate Buy" from the five ratings firms that are presently covering the stock, Marketbeat Ratings reports. One equities research analyst has rated the stock with a hold rating and four have issued a buy rating on the company. The average 1-year target price among analysts that have issued ratings on the stock in the last year is $15.00.

Several research firms recently commented on GCMG. JPMorgan Chase & Co. increased their target price on GCM Grosvenor from $12.00 to $13.00 and gave the company a "neutral" rating in a report on Tuesday. Weiss Ratings raised shares of GCM Grosvenor from a "hold (c+)" rating to a "buy (b-)" rating in a report on Tuesday, July 21st. TD Cowen boosted their price objective on shares of GCM Grosvenor from $13.50 to $14.00 and gave the company a "buy" rating in a research note on Tuesday, May 26th. Oppenheimer decreased their price target on GCM Grosvenor from $18.00 to $17.00 and set an "outperform" rating on the stock in a research note on Friday, July 17th. Finally, Wall Street Zen lowered shares of GCM Grosvenor from a "buy" rating to a "hold" rating in a research report on Saturday, May 2nd.

Key GCM Grosvenor News

Here are the key news stories impacting GCM Grosvenor this week:

• Positive Sentiment: Better-than-expected quarterly results: GCM Grosvenor reported second-quarter EPS of $0.19, compared with the $0.18 analyst consensus, while revenue of $134.34 million exceeded estimates of $131.21 million. GAAP net income reached $9.6 million, fee-related earnings increased 21% year over year, and adjusted net income rose 22%. GCM Grosvenor second-quarter earnings results
• Positive Sentiment: Strong asset base and income return: The earnings call highlighted assets under management of $97 billion, supporting the company’s ability to generate recurring management fees. The company also declared a quarterly dividend of $0.12 per share, equivalent to an indicated 3.5% yield, with payment scheduled for September 15 to shareholders of record on September 1.
• Neutral Sentiment: Operational updates drew investor attention: Management’s earnings presentation and call included discussion of the firm’s investment platform and exposure to opportunities such as SpaceX, though the available reports did not provide enough detail to quantify the near-term financial impact. GCM Grosvenor Q2 earnings call highlights
• Negative Sentiment: JPMorgan remains cautious: JPMorgan raised its price target from $12 to $13 but maintained a “neutral” rating. The new target remains below the stock’s recent $14.13 level, signaling that the analyst sees limited near-term upside despite the earnings beat. JPMorgan price-target update

Institutional Investors Weigh In On GCM Grosvenor

A number of institutional investors have recently added to or reduced their stakes in the company. Renaissance Technologies LLC increased its stake in GCM Grosvenor by 0.5% during the 1st quarter. Renaissance Technologies LLC now owns 243,700 shares of the company's stock worth $2,388,000 after buying an additional 1,200 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its position in GCM Grosvenor by 5.8% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 25,654 shares of the company's stock valued at $339,000 after acquiring an additional 1,412 shares during the period. CANADA LIFE ASSURANCE Co grew its position in GCM Grosvenor by 44.9% in the 4th quarter. CANADA LIFE ASSURANCE Co now owns 4,570 shares of the company's stock valued at $52,000 after buying an additional 1,417 shares in the last quarter. Taylor Frigon Capital Management LLC lifted its position in GCM Grosvenor by 1.0% in the fourth quarter. Taylor Frigon Capital Management LLC now owns 154,837 shares of the company's stock worth $1,753,000 after purchasing an additional 1,573 shares during the period. Finally, National Bank of Canada FI lifted its holdings in GCM Grosvenor by 65.5% in the 3rd quarter. National Bank of Canada FI now owns 4,405 shares of the company's stock valued at $53,000 after acquiring an additional 1,743 shares during the last quarter. Hedge funds and other institutional investors own 99.95% of the company's stock.

GCM Grosvenor Trading Up 2.0%

GCMG stock traded up $0.28 during trading on Tuesday, reaching $14.10. 257,537 shares of the stock were exchanged, compared to its average volume of 557,565. The firm has a market capitalization of $2.85 billion, a price-to-earnings ratio of 31.33 and a beta of 0.84. GCM Grosvenor has a 1 year low of $9.30 and a 1 year high of $14.87. The company has a current ratio of 4.05, a quick ratio of 4.05 and a debt-to-equity ratio of 2.97. The business has a 50 day moving average price of $12.42 and a 200-day moving average price of $11.38.

GCM Grosvenor (NASDAQ:GCMG - Get Free Report) last announced its quarterly earnings results on Monday, August 10th. The company reported $0.19 earnings per share for the quarter, beating analysts' consensus estimates of $0.18 by $0.01. GCM Grosvenor had a net margin of 9.05% and a return on equity of 222.78%. The business had revenue of $134.34 million during the quarter, compared to analysts' expectations of $131.21 million. On average, research analysts predict that GCM Grosvenor will post 0.66 earnings per share for the current year.

GCM Grosvenor Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, September 15th. Stockholders of record on Tuesday, September 1st will be issued a dividend of $0.12 per share. The ex-dividend date is Tuesday, September 1st. This represents a $0.48 dividend on an annualized basis and a dividend yield of 3.4%. GCM Grosvenor's payout ratio is 106.67%.

About GCM Grosvenor

GCM Grosvenor is a global alternative asset management firm that specializes in customized investment solutions across a range of private markets and hedge fund strategies. The firm partners with institutional clients—including pension funds, endowments, insurers and sovereign wealth funds—to design and implement portfolios that span private equity, infrastructure, real estate, credit and multi‐strategy hedge fund products. Through its multi‐manager platforms and direct co‐investment vehicles, GCM Grosvenor provides diversified access to opportunities that can enhance returns and manage risk in client portfolios.

Founded in 1971 as Grosvenor Capital Management, the firm has built a track record of sourcing, structuring and monitoring alternative investments on behalf of its clients.

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