T. Rowe Price (TROW) shares soared 12.3% in the last trading session to close at $90.16. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 16.7% loss over the past four weeks.T. Rowe Price Group witnessed a significant stock price increase following President Donald Trump's announcement of a 90-day suspension of reciprocal tariffs for most trading partners, excluding China. The tariff pause lessened investor concerns about mounting ...

Core Insights - T. Rowe Price Group, Inc. reported preliminary month-end assets under management of $1.57 trillion as of March 31, 2025, reflecting a decrease from the previous month [1][5] - The company experienced preliminary net outflows of $1.8 billion for March 2025 and $8.6 billion for the quarter ended March 2025 [1] - The quarterly net flows included $0.7 billion of Manager-driven distributions [1] Asset Management Breakdown - As of March 31, 2025, the asset management breakdown is as follows: - Equity: $773 billion, down from $827 billion in February 2025 and $830 billion in December 2024 [3] - Fixed income, including money market: $196 billion, up from $192 billion in February 2025 and $188 billion in December 2024 [3] - Multi-asset: $544 billion, down from $555 billion in February 2025 and up from $536 billion in December 2024 [3] - Alternatives: $53 billion, unchanged from February 2025 and December 2024 [3] - Total assets under management: $1,566 billion, down from $1,627 billion in February 2025 and $1,607 billion in December 2024 [3] - Target date retirement portfolios: $484 billion, down from $494 billion in February 2025 and up from $476 billion in December 2024 [3] Upcoming Earnings Release - T. Rowe Price is scheduled to release Q1 2025 earnings on May 2, 2025, at 7:00 AM ET, followed by an earnings call from 8:00 to 8:45 AM ET [4]

T. Rowe Price (TROW) closed the most recent trading day at $80.27, moving -1.7% from the previous trading session. This change lagged the S&P 500's 1.57% loss on the day. Elsewhere, the Dow saw a downswing of 0.84%, while the tech-heavy Nasdaq depreciated by 2.15%.The financial services firm's stock has dropped by 17.32% in the past month, falling short of the Finance sector's loss of 10.12% and the S&P 500's loss of 12.16%.The investment community will be paying close attention to the earnings performance ...

The launch of both SSAnalyzer and "The Power of Social Security" are the latest examples of how the firm continues to garner substantial value for clients through the acquisition of Retiree, Inc., alongside T. Rowe Price's decades of experience as a retirement leader. The launch of SSAnalyzer follows the 2024 launch of Social Security Optimizer, a tool specifically designed for T. Rowe Price individual investors and 401(k) plan participants. The Social Security Analyzer tool and "Power of Social Security" p ...

Capital Appreciation Premium Income ETF and Hedged Equity ETF began trading on NYSE today BALTIMORE, March 27, 2025 /PRNewswire/ -- T. Rowe Price (NASDAQ-GS: TROW), a global investment management firm, announced today the addition of two new active transparent equity exchange-traded funds (ETF): T. Rowe Price Capital Appreciation Premium Income ETF (Ticker: TCAL) and T. Rowe Price Hedged Equity ETF (Ticker: THEQ). These debuts expand the firm's roster to 19 total active ETFs. Both new funds began trading on ...

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Core Insights - T. Rowe Price Group, Inc. reported preliminary month-end assets under management of $1.63 trillion as of February 28, 2025, with net outflows of $4.7 billion for February 2025 [1][3]. Summary by Category Assets Under Management - As of February 28, 2025, total assets under management were $1,627 billion, a decrease from $1,650 billion as of January 31, 2025, and an increase from $1,607 billion as of December 31, 2024 [2]. - The breakdown of assets by class includes: - Equity: $827 billion (down from $854 billion in January 2025 and up from $830 billion in December 2024) [2]. - Fixed income, including money market: $192 billion (up from $190 billion in January 2025 and up from $188 billion in December 2024) [2]. - Multi-asset: $555 billion (up from $553 billion in January 2025 and up from $536 billion in December 2024) [2]. - Alternatives: $53 billion (unchanged from January 2025 and December 2024) [2]. - Target date retirement portfolios amounted to $494 billion, slightly up from $492 billion in January 2025 and significantly up from $476 billion in December 2024 [2]. Company Overview - T. Rowe Price, founded in 1937, is a global asset management company known for its investment excellence and retirement leadership, managing $1.63 trillion in assets as of February 28, 2025 [3]. - Approximately two-thirds of the assets under management are related to retirement [3].

Core Viewpoint - T. Rowe Price Group, Inc. (TROW) shares have reached a 52-week low, reflecting a decline of 10.6% over the past year, underperforming both the industry and the S&P 500 index [1][4] Price Performance - TROW's stock performance has been weaker compared to peers Artisan Partners Asset Management (APAM) and Affiliated Managers Group (AMG), which saw growth rates of 4% and 0.5%, respectively [1][4] Industry Context - The decline in TROW's share price aligns with broader industry trends, driven by investor concerns over shifting economic conditions, stringent regulations, and rising compliance costs affecting asset managers [4] Financial Challenges - TROW's expenses have increased, with a projected four-year CAGR of 8.3% through 2024, primarily due to costs associated with attracting investment advisory clients and upgrading technology [5] - The company relies heavily on investment advisory fees, which accounted for 90.2% of net revenues as of December 31, 2024, making it vulnerable to fluctuations in assets under management (AUM) and market conditions [9] Revenue Strength - Despite challenges, TROW has demonstrated organic revenue growth, with a four-year CAGR of 3.4% through 2024, supported by enhancements in investment capabilities and distribution reach [11] - TROW's AUM has also shown resilience, with a CAGR of 2.3% over the past four years, and a significant portion of its U.S. mutual funds outperforming industry medians [14] Liquidity and Capital Distribution - TROW maintains a strong liquidity position, with liquid assets of $5.65 billion against total liabilities of $2.02 billion as of December 31, 2024, facilitating robust capital distribution activities [15] - The company has consistently increased its quarterly dividends since its IPO in 1986, with a recent hike of 2.4% to $1.27 per share, resulting in a current dividend yield of 4.93% [16][17] Share Repurchase and Financial Stability - TROW has an active share repurchase plan, with 18.4 million shares remaining under authorization as of December 31, 2024, supported by a favorable debt-to-equity ratio of 0.00 compared to the industry average of 0.12 [19][20] Long-term Outlook - The company is expected to perform well in the long run due to strong fundamentals and plans for business expansion, including a partnership with Aspida to enhance its insurance business [21] - However, near-term concerns include market uncertainty and rising expenses, making TROW a cautious investment at present [22]

Core Viewpoint - The article posits that T. Rowe Price is expected to thrive in the next decade due to the current overvaluation of the broader market, presenting a significant investment opportunity for value dividend investors [1]. Group 1: Company Analysis - T. Rowe Price is identified as a heavily undervalued company with substantial upside potential, making it an attractive target for long-term growth dividend investors [1]. - The author emphasizes a strategy focused on long-term compounding through investments in dividend-paying companies, indicating a belief in the sustainability of T. Rowe Price's business model [1]. Group 2: Investment Strategy - The article reflects a value dividend investment approach, highlighting the importance of identifying undervalued companies to capitalize on future growth [1]. - The author expresses a commitment to investing in companies that can provide a reliable income stream through dividends, which aligns with the long-term investment philosophy [1].

Financial Performance - Net revenues for 2024 were $7,093.6 million, a 9.8% increase from $6,460.5 million in 2023[308]. - Net income attributable to T. Rowe Price Group, Inc. rose to $2,100.1 million in 2024, compared to $1,788.7 million in 2023, reflecting a growth of 17.4%[308]. - Earnings per share (EPS) on common stock increased to $9.18 in 2024, up from $7.78 in 2023, marking a 17.9% increase[308]. - Total comprehensive income attributable to T. Rowe Price Group, Inc. was $2,095.9 million in 2024, compared to $1,794.2 million in 2023, indicating a growth of 16.8%[310]. - Net income for 2024 increased to $2,135.8 million, up from $1,835.7 million in 2023, representing a growth of 16.4%[312]. - Total stockholders' equity increased to $9,505.1 million as of December 31, 2023, compared to $9,030.2 million at the end of 2022, indicating a rise of 5.2%[313]. - Dividends paid to common stock and equity-award holders amounted to $1,135.6 million in 2024, slightly up from $1,121.7 million in 2023[312]. - The company reported a net gain on investments of $363.2 million in 2024, slightly up from $355.2 million in 2023[308]. - The company experienced a net change in cash and cash equivalents of $569.1 million during the year, compared to $269.1 million in 2023, an increase of 111.2%[312]. Assets and Investments - Total assets increased to $13,472.0 million as of December 31, 2024, up from $12,278.8 million in 2023, representing an increase of 9.7%[306]. - Cash and cash equivalents increased to $2,649.8 million in 2024, compared to $2,066.6 million in 2023, a rise of 28.2%[306]. - The fair value of investments held at fair value totaled $3,770.9 million in 2024, compared to $2,937.8 million in 2023[393]. - The total assets of consolidated investment products increased from $1,959.3 million in 2023 to $2,044.0 million in 2024, with investments rising from $1,847.0 million to $1,936.2 million[400]. - Cash equivalent investments in T. Rowe Price money market mutual funds totaled $2,309.8 million as of December 31, 2024, up from $1,678.1 million in 2023, with dividends earned of $128.3 million in 2024[378]. Investment Advisory Fees - Total investment advisory fees increased to $6,399.7 million in 2024, up 12.1% from $5,709.5 million in 2023[380]. - Investment advisory fees are influenced by the total value and composition of assets under management, which are subject to market fluctuations[319]. - Performance-based investment advisory fees are recognized when returns exceed the stated hurdle, leading to potential variability in revenue recognition[39]. - The company plans to report performance-based advisory fees separately in the income statement starting in 2024 for increased transparency[320]. Employee and Operational Metrics - As of December 31, 2024, T. Rowe Price employed 8,158 associates, reflecting a 3.2% increase from 7,906 associates at the end of 2023[55]. - The company has closed certain strategies to new investors, which represent about 7% of total assets under management as of December 31, 2024[31]. - The company is subject to net capital requirements and has met or exceeded all minimum requirements as of December 31, 2024[50]. - The weighted-average remaining lease term for the company's leases is approximately 10.2 years, with a discount rate of 3.4%[409]. Regulatory and Compliance - The company is subject to extensive regulations that could impact its operations and compliance obligations, including cybersecurity and climate-related disclosures[44]. - T. Rowe Price's subsidiaries providing transfer agent services are registered under the Securities Exchange Act of 1934, ensuring compliance with regulatory standards[48]. Market Competition - The company faces significant competition from passive investment strategies, which have taken market share from active managers[52]. Capital Management - The company repurchased common stock worth $337.2 million in 2024, compared to $254.4 million in 2023, an increase of 32.5%[312]. - The Board of Directors authorized the repurchase of up to 18,377,353 common shares as of December 31, 2024[427]. Taxation - The provision for income taxes totaled $683.8 million in 2024, up from $654.6 million in 2023, with current U.S. federal taxes amounting to $634.7 million[417]. - The effective income tax rate for 2024 was 24.3%, a decrease from 26.3% in 2023[418]. Goodwill and Intangible Assets - Goodwill remained stable at $2,642.8 million for both 2024 and 2023, while total intangible assets decreased from $3,150.1 million in 2023 to $3,010.9 million in 2024[413]. - The company evaluates goodwill for possible impairment annually in the fourth quarter, with evaluations indicating no impairment exists[352].