T. Rowe Price Group (NASDAQ:TROW) Hits New 1-Year High - Still a Buy?

Key Points

• T. Rowe Price Group shares hit a new 52-week high, trading as high as $121.17 amid strong recent momentum. The stock has climbed above both its 50-day and 200-day moving averages.
• Analyst sentiment remains cautious despite higher price targets. Recent updates lifted targets at several firms, but the overall consensus rating is still “Reduce,” with a consensus price target of about $100.54.
• The company posted solid quarterly results and continues paying a strong dividend. Last quarter EPS and revenue both beat expectations, while the latest dividend was $1.30 per share, implying a 4.3% annualized yield.

T. Rowe Price Group, Inc. (NASDAQ:TROW - Get Free Report) shares reached a new 52-week high during mid-day trading on Wednesday . The stock traded as high as $121.17 and last traded at $120.16, with a volume of 1698514 shares traded. The stock had previously closed at $119.12.

Analyst Ratings Changes

A number of research firms have recently weighed in on TROW. Evercore increased their price objective on T. Rowe Price Group from $106.00 to $111.00 in a research note on Monday, June 8th. TD Cowen lifted their price target on shares of T. Rowe Price Group from $93.00 to $94.00 and gave the company a "hold" rating in a report on Friday, May 1st. Keefe, Bruyette & Woods upped their target price on T. Rowe Price Group from $95.00 to $107.00 and gave the stock a "market perform" rating in a report on Friday, May 1st. Zacks Research raised shares of T. Rowe Price Group from a "strong sell" rating to a "hold" rating in a research report on Wednesday, May 13th. Finally, The Goldman Sachs Group increased their price target on shares of T. Rowe Price Group from $90.00 to $92.00 and gave the stock a "sell" rating in a research note on Tuesday, June 30th. Eleven equities research analysts have rated the stock with a Hold rating and four have assigned a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has a consensus rating of "Reduce" and a consensus price target of $100.54.

T. Rowe Price Group Stock Performance

The stock has a market capitalization of $25.75 billion, a P/E ratio of 12.88, a PEG ratio of 6.05 and a beta of 1.47. The firm has a fifty day moving average price of $106.58 and a two-hundred day moving average price of $100.56.

T. Rowe Price Group (NASDAQ:TROW - Get Free Report) last announced its earnings results on Thursday, April 30th. The asset manager reported $2.52 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.37 by $0.15. The company had revenue of $1.86 billion during the quarter, compared to analyst estimates of $1.85 billion. T. Rowe Price Group had a net margin of 28.28% and a return on equity of 20.60%. During the same period in the previous year, the business posted $2.23 earnings per share. The firm's quarterly revenue was up 5.3% compared to the same quarter last year. On average, research analysts anticipate that T. Rowe Price Group, Inc. will post 9.69 earnings per share for the current fiscal year.

T. Rowe Price Group Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Monday, June 29th. Investors of record on Monday, June 15th were issued a $1.30 dividend. The ex-dividend date of this dividend was Monday, June 15th. This represents a $5.20 annualized dividend and a yield of 4.3%. T. Rowe Price Group's dividend payout ratio is currently 55.73%.

Insider Buying and Selling at T. Rowe Price Group

In other T. Rowe Price Group news, VP Stephon A. Jackson sold 3,000 shares of the company's stock in a transaction that occurred on Wednesday, May 13th. The stock was sold at an average price of $102.56, for a total value of $307,680.00. Following the completion of the transaction, the vice president directly owned 83,883 shares in the company, valued at $8,603,040.48. This represents a 3.45% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. 1.60% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On T. Rowe Price Group

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. MassMutual Private Wealth & Trust FSB boosted its holdings in shares of T. Rowe Price Group by 9.4% during the 2nd quarter. MassMutual Private Wealth & Trust FSB now owns 1,150 shares of the asset manager's stock valued at $131,000 after purchasing an additional 99 shares during the last quarter. Oregon Public Employees Retirement Fund lifted its position in shares of T. Rowe Price Group by 0.4% in the first quarter. Oregon Public Employees Retirement Fund now owns 25,062 shares of the asset manager's stock worth $2,259,000 after buying an additional 100 shares in the last quarter. Concorde Asset Management LLC lifted its position in shares of T. Rowe Price Group by 3.9% in the first quarter. Concorde Asset Management LLC now owns 2,730 shares of the asset manager's stock worth $246,000 after buying an additional 102 shares in the last quarter. MTM Investment Management LLC boosted its stake in T. Rowe Price Group by 3.5% during the fourth quarter. MTM Investment Management LLC now owns 3,167 shares of the asset manager's stock valued at $324,000 after buying an additional 107 shares during the last quarter. Finally, GenTrust LLC boosted its stake in T. Rowe Price Group by 5.5% during the fourth quarter. GenTrust LLC now owns 2,114 shares of the asset manager's stock valued at $216,000 after buying an additional 110 shares during the last quarter. Institutional investors own 73.39% of the company's stock.

T. Rowe Price Group Company Profile

T. Rowe Price Group, Inc is a global investment management firm headquartered in Baltimore, Maryland, founded by Thomas Rowe Price Jr. in 1937. The company provides a broad range of investment products and services for individual investors, financial intermediaries, retirement plan sponsors and institutional clients. Its offerings are built around active investment management and in-house research across equity, fixed income and multi-asset strategies, reflecting a long history as a research-driven asset manager.

The firm's product lineup includes mutual funds, separate accounts, collective investment trusts, target-date and target-risk funds, and managed account solutions, as well as services for defined contribution and defined benefit retirement plans.

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