Zacks Research Issues Optimistic Outlook for TROW Earnings

Key Points

• Analysts at Zacks Research have raised their Q1 2026 earnings estimate for T. Rowe Price Group to $2.08 per share, up from a previous estimate of $2.07.
• T. Rowe Price Group reported Q1 earnings of $2.23 per share, exceeding the consensus estimate of $2.13, despite revenues slightly below expectations at $1.76 billion.
• Several analysts have recently downgraded their price targets for T. Rowe Price Group, with a consensus rating of "Hold" and a price target of $96.64.

T. Rowe Price Group, Inc. (NASDAQ:TROW - Free Report) - Equities researchers at Zacks Research increased their Q1 2026 earnings per share (EPS) estimates for T. Rowe Price Group in a research report issued on Wednesday, July 23rd. Zacks Research analyst R. Department now expects that the asset manager will post earnings per share of $2.08 for the quarter, up from their prior forecast of $2.07. The consensus estimate for T. Rowe Price Group's current full-year earnings is $9.29 per share. Zacks Research also issued estimates for T. Rowe Price Group's Q2 2026 earnings at $2.08 EPS, Q4 2026 earnings at $2.21 EPS, FY2026 earnings at $8.50 EPS, Q1 2027 earnings at $2.24 EPS, Q2 2027 earnings at $2.23 EPS and FY2027 earnings at $8.91 EPS.

Several other research analysts have also recently weighed in on the company. Bank of America decreased their target price on T. Rowe Price Group from $90.00 to $85.00 and set an "underperform" rating for the company in a research note on Thursday, April 3rd. Barclays raised their target price on T. Rowe Price Group from $90.00 to $91.00 and gave the company an "underweight" rating in a research note on Wednesday, July 16th. Wells Fargo & Company upped their target price on T. Rowe Price Group from $98.00 to $108.00 and gave the company an "equal weight" rating in a report on Friday, July 11th. Morgan Stanley upped their target price on T. Rowe Price Group from $95.00 to $104.00 and gave the company an "equal weight" rating in a report on Wednesday, July 2nd. Finally, TD Cowen reduced their target price on T. Rowe Price Group from $112.00 to $89.00 and set a "hold" rating for the company in a report on Wednesday, April 9th. Four investment analysts have rated the stock with a sell rating and nine have given a hold rating to the stock. According to data from MarketBeat, the stock currently has an average rating of "Hold" and a consensus price target of $96.64.

T. Rowe Price Group Trading Down 0.6%

Shares of NASDAQ:TROW traded down $0.63 during midday trading on Friday, hitting $106.93. 1,380,272 shares of the stock were exchanged, compared to its average volume of 1,641,296. The company has a 50 day moving average price of $97.54 and a 200-day moving average price of $98.58. T. Rowe Price Group has a twelve month low of $77.85 and a twelve month high of $125.81. The stock has a market cap of $23.56 billion, a P/E ratio of 12.12, a PEG ratio of 3.18 and a beta of 1.49.

T. Rowe Price Group (NASDAQ:TROW - Get Free Report) last announced its earnings results on Friday, May 2nd. The asset manager reported $2.23 EPS for the quarter, beating analysts' consensus estimates of $2.13 by $0.10. The business had revenue of $1.76 billion during the quarter, compared to analysts' expectations of $1.80 billion. T. Rowe Price Group had a net margin of 28.38% and a return on equity of 20.17%. The firm's revenue was up .8% on a year-over-year basis. During the same period in the prior year, the company earned $2.38 earnings per share.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of TROW. Zions Bancorporation National Association UT bought a new position in shares of T. Rowe Price Group in the 1st quarter worth about $27,000. Hexagon Capital Partners LLC raised its holdings in shares of T. Rowe Price Group by 44.8% in the 1st quarter. Hexagon Capital Partners LLC now owns 365 shares of the asset manager's stock worth $34,000 after purchasing an additional 113 shares during the period. Smallwood Wealth Investment Management LLC bought a new stake in T. Rowe Price Group during the 1st quarter valued at $39,000. Chilton Capital Management LLC purchased a new position in shares of T. Rowe Price Group during the 1st quarter valued at $41,000. Finally, Cromwell Holdings LLC boosted its position in T. Rowe Price Group by 3,483.3% during the second quarter. Cromwell Holdings LLC now owns 430 shares of the asset manager's stock valued at $41,000 after buying an additional 418 shares during the period. 73.39% of the stock is currently owned by institutional investors.

Insider Activity at T. Rowe Price Group

In other T. Rowe Price Group news, insider Jessica M. Hiebler sold 968 shares of the firm's stock in a transaction on Monday, May 12th. The stock was sold at an average price of $96.98, for a total value of $93,876.64. Following the sale, the insider owned 13,611 shares of the company's stock, valued at approximately $1,319,994.78. This trade represents a 6.64% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, VP Dorothy C. Sawyer sold 2,000 shares of the firm's stock in a transaction on Wednesday, June 11th. The shares were sold at an average price of $95.43, for a total value of $190,860.00. Following the completion of the sale, the vice president directly owned 44,789 shares in the company, valued at approximately $4,274,214.27. This represents a 4.27% decrease in their position. The disclosure for this sale can be found here. 2.00% of the stock is currently owned by corporate insiders.

T. Rowe Price Group Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, June 27th. Stockholders of record on Friday, June 13th were given a $1.27 dividend. This represents a $5.08 annualized dividend and a dividend yield of 4.75%. The ex-dividend date of this dividend was Friday, June 13th. T. Rowe Price Group's payout ratio is 57.60%.

About T. Rowe Price Group

T. Rowe Price Group, Inc is a publicly owned investment manager. The firm provides its services to individuals, institutional investors, retirement plans, financial intermediaries, and institutions. It launches and manages equity and fixed income mutual funds. The firm invests in the public equity and fixed income markets across the globe.