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T. Rowe Price (TROW) Stock Sinks As Market Gains: What You Should Know
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In the latest trading session, T. Rowe Price (TROW - Free Report) closed at $116.82, marking a -0.22% move from the previous day. This move lagged the S&P 500's daily gain of 0.36%. Elsewhere, the Dow gained 0.23%, while the tech-heavy Nasdaq lost 0.1%.
Heading into today, shares of the financial services firm had lost 7.16% over the past month, outpacing the Finance sector's loss of 8.36% and lagging the S&P 500's loss of 6.59% in that time.
T. Rowe Price will be looking to display strength as it nears its next earnings release, which is expected to be July 28, 2022. The company is expected to report EPS of $2.51, down 24.17% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $1.79 billion, down 7.3% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $10.06 per share and revenue of $7.19 billion. These totals would mark changes of -21.1% and -6.3%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for T. Rowe Price. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 3.79% lower. T. Rowe Price currently has a Zacks Rank of #5 (Strong Sell).
Looking at its valuation, T. Rowe Price is holding a Forward P/E ratio of 11.64. This represents a premium compared to its industry's average Forward P/E of 9.14.
Also, we should mention that TROW has a PEG ratio of 1.97. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Financial - Investment Management stocks are, on average, holding a PEG ratio of 1.12 based on yesterday's closing prices.
The Financial - Investment Management industry is part of the Finance sector. This group has a Zacks Industry Rank of 203, putting it in the bottom 20% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow TROW in the coming trading sessions, be sure to utilize Zacks.com.
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T. Rowe Price (TROW) Stock Sinks As Market Gains: What You Should Know
In the latest trading session, T. Rowe Price (TROW - Free Report) closed at $116.82, marking a -0.22% move from the previous day. This move lagged the S&P 500's daily gain of 0.36%. Elsewhere, the Dow gained 0.23%, while the tech-heavy Nasdaq lost 0.1%.
Heading into today, shares of the financial services firm had lost 7.16% over the past month, outpacing the Finance sector's loss of 8.36% and lagging the S&P 500's loss of 6.59% in that time.
T. Rowe Price will be looking to display strength as it nears its next earnings release, which is expected to be July 28, 2022. The company is expected to report EPS of $2.51, down 24.17% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $1.79 billion, down 7.3% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $10.06 per share and revenue of $7.19 billion. These totals would mark changes of -21.1% and -6.3%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for T. Rowe Price. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 3.79% lower. T. Rowe Price currently has a Zacks Rank of #5 (Strong Sell).
Looking at its valuation, T. Rowe Price is holding a Forward P/E ratio of 11.64. This represents a premium compared to its industry's average Forward P/E of 9.14.
Also, we should mention that TROW has a PEG ratio of 1.97. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Financial - Investment Management stocks are, on average, holding a PEG ratio of 1.12 based on yesterday's closing prices.
The Financial - Investment Management industry is part of the Finance sector. This group has a Zacks Industry Rank of 203, putting it in the bottom 20% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow TROW in the coming trading sessions, be sure to utilize Zacks.com.