T. Rowe Price(US:TROW) ZACKSยท2025-07-25 15:06Core Viewpoint - T. Rowe Price (TROW) is anticipated to report a year-over-year decline in earnings due to lower revenues, with the consensus estimate indicating a potential impact on its near-term stock price [1][3]. Earnings Expectations - The upcoming earnings report is expected to show quarterly earnings of $2.10 per share, reflecting a year-over-year decrease of 7.1%, and revenues are projected to be $1.71 billion, down 1.4% from the previous year [3]. - A positive movement in stock price may occur if the actual earnings exceed expectations, while a miss could lead to a decline [2]. Estimate Revisions - The consensus EPS estimate has been revised 9.62% higher in the last 30 days, indicating a collective reassessment by analysts [4]. - The Most Accurate Estimate for T. Rowe is higher than the Zacks Consensus Estimate, resulting in an Earnings ESP of +0.99%, suggesting a bullish outlook from analysts [12]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that a positive Earnings ESP reading is a strong predictor of an earnings beat, especially when combined with a Zacks Rank of 1 (Strong Buy) [10]. - T. Rowe currently holds a Zacks Rank of 1, enhancing the likelihood of beating the consensus EPS estimate [12]. Historical Performance - In the last reported quarter, T. Rowe exceeded the expected earnings of $2.09 per share by delivering $2.23, resulting in a surprise of +6.70% [13]. - Over the past four quarters, T. Rowe has beaten consensus EPS estimates three times [14]. Industry Context - In the broader financial services sector, Blue Owl Capital Inc. is expected to report earnings of $0.21 per share, reflecting a year-over-year increase of 10.5%, with revenues projected to rise by 22.5% [18][19]. - Blue Owl Capital's Earnings ESP is -0.82%, combined with a Zacks Rank of 3 (Hold), making it challenging to predict an earnings beat [20].