WisdomTree (NYSE:WT) Issues Earnings Results, Beats Estimates By $0.02 EPS

Key Points

• WisdomTree beat Q1 estimates with $0.27 EPS vs. $0.25 expected and $159.5M revenue (up 47.5% YoY), alongside significant margin expansion and raised gross margin guidance.
• The firm reported a record AUM run-rate (~$152.6B; ~$164.3B including Atlantic House) and $5.9B of net inflows in Q1, and closed the $200M Atlantic House acquisition adding ~ $4B AUM and expanding its active ETF/defined‑outcome capabilities.
• WisdomTree's tokenized money‑market fund WTGXX won SEC relief for 24/7 intraday trading, helping drive record digital AUM (~$867M) and $98M of digital inflows in the quarter while enabling new on‑chain payments use cases.

WisdomTree (NYSE:WT - Get Free Report) issued its earnings results on Friday. The company reported $0.27 EPS for the quarter, topping analysts' consensus estimates of $0.25 by $0.02, Briefing.com reports. The company had revenue of $159.50 million for the quarter, compared to analysts' expectations of $156.96 million. WisdomTree had a net margin of 22.10% and a return on equity of 30.24%. The firm's revenue was up 47.5% compared to the same quarter last year. During the same quarter last year, the company earned $0.16 EPS.

Here are the key takeaways from WisdomTree's conference call:

• Record AUM and strong inflows: WisdomTree reported a record AUM run-rate (~$152.6B at quarter end, ~$164.3B including Atlantic House) and $5.9B of net inflows in Q1, implying a 17% annualized organic growth rate and broad-based flow strength across regions and products.
• Atlantic House acquisition: Closed the $200M purchase adding ~ $4B AUM with ~95 bps revenue yield, financed by new convertibles, which management says is modestly accretive and should lift firm revenue yield by ~2 bps and expand European/defined‑outcome capabilities.
• Revenue and margin expansion: Q1 revenue was $159.5M (+48% YoY) with adjusted net income $40.6M ($0.27), adjusted operating margin widened ~770 bps YoY, and guidance raised (gross margin +1 ppt to 83–84%) reflecting operating leverage and the Atlantic House inclusion.
• Digital asset innovation (WTGXX): The tokenized, '40 Act money market fund (WTGXX) gained SEC exemptive relief for 24/7 intraday trading, drove record digital AUM (~$867M) and $98M inflows in Q1, and management highlighted partnerships (e.g., StableC) targeting new on‑chain and payments use cases.
• Capital structure and share impact: WisdomTree refinanced and repurchased portions of 2026/2029 convertibles (new notes at 4.5% coupon, $21.58 conversion), expects Q2 weighted diluted shares of ~155–158M before declining to ~154M later in the year, and guided interest expense (~$53M annually), creating mixed effects on dilution and financing cost.

WisdomTree Stock Down 2.5%

NYSE:WT traded down $0.43 during mid-day trading on Friday, hitting $16.57. 3,810,282 shares of the company's stock were exchanged, compared to its average volume of 3,780,497. The business has a fifty day moving average price of $15.91 and a 200 day moving average price of $14.12. The company has a market cap of $2.35 billion, a PE ratio of 22.10 and a beta of 1.11. WisdomTree has a one year low of $8.45 and a one year high of $18.78. The company has a debt-to-equity ratio of 1.94, a current ratio of 1.75 and a quick ratio of 1.37.

WisdomTree Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, May 27th. Investors of record on Wednesday, May 13th will be paid a dividend of $0.03 per share. The ex-dividend date of this dividend is Wednesday, May 13th. This represents a $0.12 annualized dividend and a yield of 0.7%. WisdomTree's payout ratio is presently 16.00%.

Insider Activity

In other news, COO R Jarrett Lilien sold 30,000 shares of the company's stock in a transaction that occurred on Wednesday, February 25th. The shares were sold at an average price of $16.84, for a total value of $505,200.00. Following the transaction, the chief operating officer owned 1,140,245 shares in the company, valued at approximately $19,201,725.80. This represents a 2.56% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through this link. Corporate insiders own 9.30% of the company's stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the company. Quarry LP lifted its stake in shares of WisdomTree by 1,679.0% in the third quarter. Quarry LP now owns 2,206 shares of the company's stock worth $31,000 after buying an additional 2,082 shares in the last quarter. Caitong International Asset Management Co. Ltd lifted its stake in shares of WisdomTree by 163.0% in the fourth quarter. Caitong International Asset Management Co. Ltd now owns 2,454 shares of the company's stock worth $30,000 after buying an additional 1,521 shares in the last quarter. Quattro Advisors LLC bought a new position in shares of WisdomTree in the fourth quarter worth approximately $31,000. Northwestern Mutual Wealth Management Co. lifted its stake in shares of WisdomTree by 32,311.1% in the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 8,751 shares of the company's stock worth $107,000 after buying an additional 8,724 shares in the last quarter. Finally, Xponance LLC purchased a new position in shares of WisdomTree during the fourth quarter valued at approximately $122,000. Institutional investors own 78.64% of the company's stock.

Trending Headlines about WisdomTree

Here are the key news stories impacting WisdomTree this week:

• Positive Sentiment: Q1 results beat expectations: EPS $0.27 vs. $0.25 estimate; revenue $159.5M vs. ~$156.96M estimate; revenue +47.5% YoY with healthy net margin and ROE. This confirms stronger top‑line growth and profitability expansion. Press Release
• Positive Sentiment: Completed acquisition of Atlantic House — expands WisdomTree’s active ETF and defined‑outcome capabilities, supporting product diversification and potential AUM/fee growth over time. BusinessWire
• Neutral Sentiment: Quarterly dividend declared of $0.03 per share (annualized yield ~0.7%); ex‑dividend date May 13, payable May 27 — shows cash return but yield is modest.
• Neutral Sentiment: Full earnings call transcript and analyses available — useful for detail on guidance, AUM trends and product-level flows that will drive future quarters. Earnings Call Transcript
• Neutral Sentiment: Additional coverage and metric breakdowns from Zacks and other outlets provide context on estimates vs. results and key drivers to watch (AUM, fee margins, product mix). Zacks Key Metrics

Analyst Ratings Changes

A number of equities research analysts have issued reports on the stock. Zacks Research lowered shares of WisdomTree from a "strong-buy" rating to a "hold" rating in a report on Tuesday, March 31st. Morgan Stanley set a $18.00 price target on shares of WisdomTree in a report on Thursday. Wall Street Zen lowered shares of WisdomTree from a "buy" rating to a "hold" rating in a report on Saturday, April 25th. Oppenheimer raised their price target on shares of WisdomTree from $20.00 to $21.00 and gave the stock an "outperform" rating in a report on Wednesday. Finally, Weiss Ratings reissued a "buy (b-)" rating on shares of WisdomTree in a report on Wednesday, January 21st. Five analysts have rated the stock with a Buy rating and three have given a Hold rating to the stock. According to MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average price target of $18.25.

About WisdomTree

WisdomTree Investments, Inc NYSE: WT is a U.S.-based asset management firm specializing in exchange-traded funds (ETFs) and exchange-traded products (ETPs). Founded in 2006 by Jonathan Steinberg and headquartered in New York City, WisdomTree has developed a reputation for pioneering smart-beta and fundamentally weighted indexing approaches. The company designs strategies that seek to enhance returns and reduce volatility by weighting constituents based on dividends, earnings or other financial metrics rather than relying solely on market capitalization.

WisdomTree offers a broad suite of investment products covering equities, fixed income, currencies, commodities and digital assets.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.