Victory Capital (NASDAQ:VCTR) Announces Quarterly Earnings Results, Beats Estimates By $0.19 EPS

Victory Capital (NASDAQ:VCTR - Get Free Report) issued its quarterly earnings results on Wednesday. The company reported $1.82 EPS for the quarter, topping analysts' consensus estimates of $1.63 by $0.19, FiscalAI reports. Victory Capital had a return on equity of 22.15% and a net margin of 25.79%.The business had revenue of $387.99 million during the quarter, compared to analysts' expectations of $364.97 million. During the same quarter in the prior year, the business posted $1.36 earnings per share. The business's quarterly revenue was up 76.7% on a year-over-year basis.

Here are the key takeaways from Victory Capital's conference call:

• Victory Capital reported a landmark 2025 with record results, having surpassed $1 billion in annual revenue to reach $1.3 billion, delivered record earnings, and ended the year with $317 billion in total client assets.
• The company closed and integrated its strategic partnership with Amundi, bringing Pioneer Investments onto its platform and expanding its client reach to more than 60 countries, which management described as transformational for global growth.
• Shareholder engagement and governance actions were strong: a quorum of 78.2% was present, three Class 2 directors were elected (each receiving 83.8% of votes present), and the Audit Committee’s selection of Deloitte & Touche was ratified with 99.9% of votes present.
• The non-binding advisory "say-on-pay" vote was approved but with only 63.3% of total shares outstanding (95.1% of shares present), signaling noticeable shareholder dissent on executive compensation.

Victory Capital Stock Performance

Shares of Victory Capital stock opened at $85.33 on Monday. Victory Capital has a twelve month low of $57.03 and a twelve month high of $88.42. The company has a quick ratio of 1.13, a current ratio of 1.13 and a debt-to-equity ratio of 0.41. The business has a 50-day moving average price of $70.35 and a 200-day moving average price of $67.65. The firm has a market cap of $5.47 billion, a price-to-earnings ratio of 19.22, a PEG ratio of 1.24 and a beta of 1.09.

Victory Capital Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, June 25th. Stockholders of record on Wednesday, June 10th will be given a dividend of $0.50 per share. The ex-dividend date is Wednesday, June 10th. This is a positive change from Victory Capital's previous quarterly dividend of $0.49. This represents a $2.00 dividend on an annualized basis and a dividend yield of 2.3%. Victory Capital's dividend payout ratio (DPR) is 44.14%.

Wall Street Analyst Weigh In

Several research firms recently issued reports on VCTR. Royal Bank Of Canada increased their target price on shares of Victory Capital from $78.00 to $84.00 and gave the stock an "outperform" rating in a report on Tuesday, February 10th. Weiss Ratings restated a "buy (b)" rating on shares of Victory Capital in a research report on Monday, April 20th. JPMorgan Chase & Co. increased their price target on Victory Capital from $72.00 to $81.00 and gave the stock a "neutral" rating in a research note on Friday. Morgan Stanley set a $76.00 price objective on Victory Capital in a research report on Friday, May 1st. Finally, Wall Street Zen downgraded Victory Capital from a "buy" rating to a "hold" rating in a research note on Monday, April 6th. Five analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the stock. According to data from MarketBeat.com, the company has an average rating of "Moderate Buy" and an average price target of $81.14.

Hedge Funds Weigh In On Victory Capital

Institutional investors have recently added to or reduced their stakes in the company. PNC Financial Services Group Inc. raised its holdings in shares of Victory Capital by 48.5% during the 4th quarter. PNC Financial Services Group Inc. now owns 753 shares of the company's stock worth $48,000 after acquiring an additional 246 shares in the last quarter. Mcguire Capital Advisors Inc. bought a new stake in Victory Capital in the fourth quarter worth $62,000. Quantbot Technologies LP increased its position in Victory Capital by 206.0% in the second quarter. Quantbot Technologies LP now owns 1,224 shares of the company's stock worth $78,000 after purchasing an additional 824 shares during the last quarter. Advisory Services Network LLC purchased a new stake in Victory Capital during the third quarter valued at $123,000. Finally, Harvest Fund Management Co. Ltd raised its stake in Victory Capital by 2,341.8% during the third quarter. Harvest Fund Management Co. Ltd now owns 2,979 shares of the company's stock valued at $193,000 after purchasing an additional 2,857 shares in the last quarter. Hedge funds and other institutional investors own 87.71% of the company's stock.

About Victory Capital

Victory Capital NASDAQ: VCTR is a global investment management firm that provides a broad range of strategies across equities, fixed income, multi-asset and alternative investments. Serving institutional, intermediary and retail clients, the company delivers tailored solutions through active, research-driven portfolio management. Its product lineup includes traditional mutual funds, separately managed accounts, sub-advisory services and specialized strategies such as ESG-focused and municipal bond portfolios.

Founded in 1988, Victory Capital has expanded its capabilities via both organic growth and strategic acquisitions, integrating experienced investment teams to enhance its offerings in areas like smart beta, global equity and fixed income.