Morgan Stanley Issues Pessimistic Forecast for Carlyle Group (NASDAQ:CG) Stock Price

Key Points

• Morgan Stanley cut its price target for Carlyle from $71.00 to $66.00 and kept an "equal weight" rating, a target the firm says implies about a 25.76% upside from the prior close.
• Analysts overall have a "Moderate Buy" consensus with an average price target of $65.64 (nine Buy ratings, seven Hold ratings), though several firms have recently trimmed targets (e.g., BMO to $58, Evercore to $56, RBC at $67).
• Carlyle shares traded at $52.48 after reporting Q results that showed an EPS miss ($1.01 vs. $1.04 consensus) but revenue of $1.90 billion (vs. $1.09 billion consensus), and Director David M. Rubenstein sold 500,000 shares for roughly $23.34 million.

Carlyle Group (NASDAQ:CG - Get Free Report) had its price target decreased by research analysts at Morgan Stanley from $71.00 to $66.00 in a research note issued to investors on Tuesday,Benzinga reports. The firm currently has an "equal weight" rating on the financial services provider's stock. Morgan Stanley's price target would indicate a potential upside of 25.76% from the company's previous close.

A number of other equities analysts have also commented on the company. BMO Capital Markets dropped their price target on Carlyle Group from $65.00 to $58.00 and set an "outperform" rating for the company in a research note on Tuesday, March 24th. Wolfe Research reissued an "outperform" rating on shares of Carlyle Group in a research note on Wednesday, January 7th. Royal Bank Of Canada started coverage on Carlyle Group in a research note on Monday, February 23rd. They set an "outperform" rating and a $67.00 price target for the company. Weiss Ratings reaffirmed a "hold (c)" rating on shares of Carlyle Group in a research note on Wednesday, January 21st. Finally, Evercore set a $56.00 price objective on Carlyle Group in a research note on Tuesday. Nine research analysts have rated the stock with a Buy rating and seven have given a Hold rating to the company's stock. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $65.64.

Carlyle Group Price Performance

Shares of NASDAQ:CG traded down $0.07 during trading on Tuesday, hitting $52.48. 669,739 shares of the company's stock were exchanged, compared to its average volume of 3,158,879. The business's 50-day simple moving average is $49.88 and its 200 day simple moving average is $55.34. Carlyle Group has a 52-week low of $35.24 and a 52-week high of $69.85. The company has a market cap of $18.95 billion, a price-to-earnings ratio of 24.06, a PEG ratio of 1.13 and a beta of 2.05. The company has a debt-to-equity ratio of 1.90, a current ratio of 2.33 and a quick ratio of 2.33.

Carlyle Group (NASDAQ:CG - Get Free Report) last announced its quarterly earnings results on Thursday, February 5th. The financial services provider reported $1.01 EPS for the quarter, missing analysts' consensus estimates of $1.04 by ($0.03). Carlyle Group had a net margin of 16.92% and a return on equity of 23.62%. The firm had revenue of $1.90 billion for the quarter, compared to the consensus estimate of $1.09 billion. During the same period in the previous year, the company posted $0.92 earnings per share. Carlyle Group's quarterly revenue was up 84.1% on a year-over-year basis. As a group, equities analysts predict that Carlyle Group will post 4.44 EPS for the current year.

Insider Buying and Selling at Carlyle Group

In other news, Director David M. Rubenstein sold 500,000 shares of the stock in a transaction that occurred on Thursday, March 19th. The stock was sold at an average price of $46.68, for a total value of $23,340,000.00. Following the sale, the director directly owned 27,399,644 shares in the company, valued at approximately $1,279,015,381.92. This represents a 1.79% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Insiders own 26.30% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of the company. DMC Group LLC increased its holdings in Carlyle Group by 2.5% during the 4th quarter. DMC Group LLC now owns 6,762 shares of the financial services provider's stock worth $400,000 after purchasing an additional 168 shares during the period. Allworth Financial LP increased its holdings in Carlyle Group by 32.3% during the 4th quarter. Allworth Financial LP now owns 721 shares of the financial services provider's stock worth $43,000 after purchasing an additional 176 shares during the period. Kestra Advisory Services LLC increased its holdings in Carlyle Group by 1.2% during the 4th quarter. Kestra Advisory Services LLC now owns 15,637 shares of the financial services provider's stock worth $924,000 after purchasing an additional 184 shares during the period. Larson Financial Group LLC increased its holdings in Carlyle Group by 6.0% during the 3rd quarter. Larson Financial Group LLC now owns 3,483 shares of the financial services provider's stock worth $218,000 after purchasing an additional 196 shares during the period. Finally, Robertson Stephens Wealth Management LLC increased its holdings in Carlyle Group by 3.1% during the 4th quarter. Robertson Stephens Wealth Management LLC now owns 6,595 shares of the financial services provider's stock worth $390,000 after purchasing an additional 199 shares during the period. 55.88% of the stock is currently owned by hedge funds and other institutional investors.

Carlyle Group Company Profile

The Carlyle Group NASDAQ: CG is a global alternative asset manager that invests across a range of strategies including private equity, real assets (such as real estate and infrastructure), global credit, and investment solutions. Founded in 1987 and headquartered in Washington, DC, Carlyle raises and manages investment funds that acquire, operate and exit companies and assets on behalf of institutional and private investors. The firm is publicly traded on the Nasdaq exchange and operates as an asset manager and investment advisor rather than as an operating company.

Carlyle's core activities include sourcing and executing private equity buyouts and growth investments, originating and managing credit and financing solutions, and acquiring and operating real asset portfolios.

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