Zacks cut shares of T. Rowe Price Group (NASDAQ:TROW) from an outperform rating to a neutral rating in a research note issued to investors on Friday, American Banking & Market News reports. The firm currently has $83.00 price target on the stock.
Zacks’ analyst wrote, “We have downgraded our long-term recommendation on T. Rowe Price to Neutral from Outperform based on increasing expenses, which depict undisciplined expense management. However, the company’s third-quarter 2013 earnings beat the Zacks Consensus Estimate and were significantly higher than the prior-year quarter earnings. Top-line growth and improved assets under management (AUM) were the tailwinds for the quarter. We believe that the company’s financial stability has the potential to benefit from the growth opportunities in the domestic and global AUM. With a debt-free position, higher return on earnings, and improving investor sentiment witnessed as a whole, we believe fundamentals will continue to remain strong. However, higher operating expenses and stringent regulatory norms remain concerns. “
Several other analysts have also recently commented on the stock. Analysts at UBS AG upgraded shares of T. Rowe Price Group from a neutral rating to a buy rating in a research note to investors on Monday, October 28th. They now have a $90.00 price target on the stock, up previously from $77.00. Separately, analysts at RBC Capital downgraded shares of T. Rowe Price Group from a sector outperform rating to a sector perform rating in a research note to investors on Friday, October 25th. They now have a $81.00 price target on the stock, up previously from $80.00. Finally, analysts at Rowe reiterated a sector perform rating on shares of T. Rowe Price Group in a research note to investors on Friday, October 25th. Eleven equities research analysts have rated the stock with a hold rating and nine have issued a buy rating to the stock. The company currently has an average rating of Hold and a consensus price target of $80.94.
Shares of T. Rowe Price Group (NASDAQ:TROW) traded up 0.01% during mid-day trading on Friday, hitting $80.00. The stock had a trading volume of 1,129,069 shares. T. Rowe Price Group has a 52-week low of $63.38 and a 52-week high of $80.26. The stock has a 50-day moving average of $75.78 and a 200-day moving average of $74.76. The company has a market cap of $20.873 billion and a P/E ratio of 21.55.
T. Rowe Price Group (NASDAQ:TROW) last announced its earnings results on Thursday, October 24th. The company reported $1.00 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.97 by $0.03. The company had revenue of $884.40 million for the quarter, compared to the consensus estimate of $870.26 million. During the same quarter in the previous year, the company posted $0.94 earnings per share. The company’s revenue for the quarter was up 14.9% on a year-over-year basis. On average, analysts predict that T. Rowe Price Group will post $3.84 earnings per share for the current fiscal year.
The company also recently announced a quarterly dividend, which is scheduled for Friday, December 27th. Investors of record on Monday, December 16th will be paid a dividend of $0.38 per share. This represents a $1.52 annualized dividend and a dividend yield of 1.90%. The ex-dividend date is Thursday, December 12th.
T. Rowe Price Group, Inc is a financial services holding company, which provides global investment management services through its subsidiaries to individual and institutional investors in the sponsored T.
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