T. Rowe Price Group (NASDAQ:TROW) Releases Quarterly Earnings Results, Beats Expectations By $0.09 EPS

Key Points

• T. Rowe Price Group reported quarterly earnings of $2.24 per share, exceeding the consensus estimate of $2.15 by $0.09, with revenues of $1.72 billion matching expectations.
• The company's dividend was declared at $1.27 per share, resulting in an annualized dividend yield of 4.9%, with a payout ratio of 57.60%.
• Despite a 0.6% decline in year-over-year revenue, T. Rowe Price's stock rose 1.2% in response to the earnings report, reaching $102.63.

T. Rowe Price Group (NASDAQ:TROW - Get Free Report) released its earnings results on Friday. The asset manager reported $2.24 earnings per share for the quarter, topping the consensus estimate of $2.15 by $0.09, RTT News reports. T. Rowe Price Group had a net margin of 28.38% and a return on equity of 20.17%. The company had revenue of $1.72 billion during the quarter, compared to the consensus estimate of $1.72 billion. During the same quarter in the previous year, the firm earned $2.26 EPS. The company's revenue was down .6% on a year-over-year basis.

T. Rowe Price Group Stock Up 1.2%

Shares of TROW stock traded up $1.18 during trading hours on Friday, reaching $102.63. 2,025,331 shares of the stock traded hands, compared to its average volume of 1,840,268. T. Rowe Price Group has a 1-year low of $77.85 and a 1-year high of $125.81. The business has a fifty day moving average price of $98.18 and a 200 day moving average price of $98.48. The firm has a market capitalization of $22.61 billion, a PE ratio of 11.63, a PEG ratio of 3.06 and a beta of 1.49.

T. Rowe Price Group Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, June 27th. Stockholders of record on Friday, June 13th were issued a dividend of $1.27 per share. The ex-dividend date was Friday, June 13th. This represents a $5.08 dividend on an annualized basis and a dividend yield of 4.9%. T. Rowe Price Group's payout ratio is currently 57.60%.

Insider Activity at T. Rowe Price Group

In other T. Rowe Price Group news, insider Jessica M. Hiebler sold 968 shares of the company's stock in a transaction that occurred on Monday, May 12th. The shares were sold at an average price of $96.98, for a total value of $93,876.64. Following the transaction, the insider owned 13,611 shares in the company, valued at approximately $1,319,994.78. This represents a 6.64% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, VP Dorothy C. Sawyer sold 2,000 shares of the company's stock in a transaction that occurred on Wednesday, June 11th. The shares were sold at an average price of $95.43, for a total transaction of $190,860.00. Following the completion of the transaction, the vice president 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.

Institutional Trading of T. Rowe Price Group

A hedge fund recently raised its stake in T. Rowe Price Group stock. Woodline Partners LP grew its holdings in T. Rowe Price Group, Inc. (NASDAQ:TROW - Free Report) by 41.0% in the 1st quarter, according to its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 18,809 shares of the asset manager's stock after acquiring an additional 5,467 shares during the period. Woodline Partners LP's holdings in T. Rowe Price Group were worth $1,728,000 as of its most recent SEC filing. Hedge funds and other institutional investors own 73.39% of the company's stock.

Analysts Set New Price Targets

TROW has been the subject of a number of recent research reports. Evercore ISI lowered their price objective on shares of T. Rowe Price Group from $104.00 to $80.00 and set an "in-line" rating for the company in a research report on Friday, April 11th. The Goldman Sachs Group lowered their price objective on shares of T. Rowe Price Group from $89.00 to $80.00 and set a "sell" rating for the company in a research report on Monday, April 14th. TD Cowen lowered their price objective on shares of T. Rowe Price Group from $112.00 to $89.00 and set a "hold" rating for the company in a research report on Wednesday, April 9th. Cowen reaffirmed a "hold" rating on shares of T. Rowe Price Group in a research report on Monday, May 5th. Finally, Barclays boosted their price objective on shares of T. Rowe Price Group from $90.00 to $91.00 and gave the company an "underweight" rating in a research report on Wednesday, July 16th. Four investment analysts have rated the stock with a sell rating and nine have assigned a hold rating to the company. According to MarketBeat.com, the stock currently has a consensus rating of "Hold" and an average target price of $96.64.

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.

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