TPG (NASDAQ:TPG) Shares Break Above 200 Day Moving Average - What's Next?

Key Points

• TPG shares rose above their 200-day moving average, reaching $48.16 and last trading near $47.94, signaling improved technical momentum.
• Third-quarter results exceeded expectations, with EPS of $0.65 versus $0.63 expected and revenue of $1.22 billion, up 25.3% year over year. TPG is also reportedly considering a roughly $5 billion acquisition of UK data-center operator Ark and launched a $10 billion climate fund.
• Analysts maintain a broadly positive view, with a “Moderate Buy” consensus and an average price target of $61.21. However, TPG cut its quarterly dividend to $0.55 from $0.59, a 6.8% reduction that could concern income-focused investors.

TPG Inc. (NASDAQ:TPG - Get Free Report)'s share price passed above its 200-day moving average during trading on Thursday. The stock has a 200-day moving average of $45.97 and traded as high as $48.16. TPG shares last traded at $47.94, with a volume of 5,750,108 shares changing hands.

Key TPG News

Here are the key news stories impacting TPG this week:

• Positive Sentiment: TPG reported third-quarter earnings of $0.65 per share, exceeding the $0.63 analyst consensus and rising from $0.53 a year earlier. Revenue reached $1.22 billion, well above the approximately $624.7 million estimate, while year-over-year revenue increased 25.3%. Fee-related earnings reportedly rose 43%, supporting expectations for continued operating momentum. TPG Surpasses Q3 Earnings and Revenue Estimates
• Positive Sentiment: TPG is reportedly in talks to acquire UK data-center operator Ark from Elliott Management for approximately $5 billion. Although no deal is confirmed, the potential transaction would increase TPG’s exposure to data-center infrastructure and the growing demand for facilities supporting artificial intelligence and cloud computing. TPG Pursues $5bn Acquisition of UK Data Centre Group Ark
• Positive Sentiment: The firm also rolled out a $10 billion climate fund, broadening its investment platform and potentially creating new fee-generating opportunities in climate and energy-transition assets. TPG Rolls Out $10 Billion Climate Fund
• Neutral Sentiment: TPG declared a quarterly dividend of $0.55 per share, payable November 23 to shareholders of record November 9. The annualized payout implies a yield of roughly 4.6%, but the announcement also sets the ex-dividend date for November 9. TPG Declares Quarterly Dividend
• Negative Sentiment: The new dividend is 6.8% below the previous $0.59 quarterly payment, which may concern income-focused investors and partially temper the positive reaction to earnings. TPG Dividend Announcement

Analyst Ratings Changes

A number of equities analysts have weighed in on TPG shares. Wells Fargo & Company started coverage on shares of TPG in a research report on Friday, October 2nd. They set an "equal weight" rating and a $47.00 target price for the company. Evercore set a $50.00 price target on shares of TPG in a research report on Wednesday, August 5th. Barclays dropped their price target on shares of TPG from $64.00 to $60.00 and set an "overweight" rating on the stock in a research note on Thursday, October 8th. Deutsche Bank Aktiengesellschaft reaffirmed a "buy" rating and issued a $62.00 price objective on shares of TPG in a report on Wednesday, August 5th. Finally, BMO Capital Markets reduced their price objective on shares of TPG from $56.00 to $52.00 and set an "outperform" rating for the company in a research note on Tuesday. Twelve equities research analysts have rated the stock with a Buy rating and four have given a Hold rating to the stock. According to MarketBeat, TPG presently has an average rating of "Moderate Buy" and a consensus target price of $61.21.

TPG Price Performance

The business has a fifty day moving average of $47.09 and a 200-day moving average of $45.97. The firm has a market cap of $18.42 billion, a PE ratio of 72.64, a PEG ratio of 0.84 and a beta of 1.49. The company has a current ratio of 0.31, a quick ratio of 0.31 and a debt-to-equity ratio of 0.63.

TPG (NASDAQ:TPG - Get Free Report) last issued its earnings results on Thursday, October 29th. The company reported $0.65 EPS for the quarter, topping the consensus estimate of $0.63 by $0.02. The business had revenue of $1.22 billion during the quarter, compared to the consensus estimate of $624.66 million. TPG had a return on equity of 28.10% and a net margin of 4.67%. The firm's revenue was up 25.3% compared to the same quarter last year. During the same quarter last year, the company earned $0.53 EPS. As a group, research analysts predict that TPG Inc. will post 2.78 earnings per share for the current year.

TPG Cuts Dividend

The company also recently declared a quarterly dividend, which will be paid on Monday, November 23rd. Stockholders of record on Monday, November 9th will be issued a $0.55 dividend. The ex-dividend date of this dividend is Monday, November 9th. This is a negative change from TPG's previous quarterly dividend of $0.59. This represents a $2.20 dividend on an annualized basis and a dividend yield of 4.6%. TPG's payout ratio is currently 357.58%.

Hedge Funds Weigh In On TPG

Several hedge funds have recently bought and sold shares of the company. Mirae Asset Global Investments Co. Ltd. purchased a new position in TPG during the third quarter worth about $134,000. Signaturefd LLC increased its stake in TPG by 10.5% in the 3rd quarter. Signaturefd LLC now owns 3,685 shares of the company's stock worth $163,000 after acquiring an additional 350 shares during the last quarter. Evergreen Capital Management LLC raised its holdings in shares of TPG by 0.3% in the 3rd quarter. Evergreen Capital Management LLC now owns 131,623 shares of the company's stock valued at $5,809,000 after acquiring an additional 351 shares in the last quarter. Private Wealth Partners LLC raised its holdings in shares of TPG by 2.5% in the 3rd quarter. Private Wealth Partners LLC now owns 159,532 shares of the company's stock valued at $7,040,000 after acquiring an additional 3,889 shares in the last quarter. Finally, Jackson Square Capital LLC purchased a new stake in shares of TPG in the 3rd quarter valued at about $487,000. Hedge funds and other institutional investors own 94.03% of the company's stock.

TPG Company Profile

TPG Inc is a global alternative asset management firm that invests across a range of strategies, including private equity, growth equity, impact investing, real estate, infrastructure, credit and secondaries. The company partners with businesses and management teams to provide capital, strategic guidance and operational support.

TPG manages investment funds for institutional investors and other clients, with a focus on sectors such as technology, healthcare, consumer products and services, financial services, and business services.

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