We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
T. Rowe Price Gears Up for Q1 Earnings: Here's What to Expect
Read MoreHide Full Article
Key Takeaways
TROW is set to report Q1 results with estimates pointing to y/y growth in EPS and revenues.
T. Rowe Price saw AUM drop to $1.71T amid market volatility and $3.2B in quarterly net outflows.
TROW faces pressure from higher expenses tied to tech, distribution and client acquisition efforts.
T. Rowe Price Group, Inc. (TROW - Free Report) is scheduled to report first-quarter 2026 results tomorrow, before the opening bell. The company’s quarterly earnings and revenues are expected to have increased from the year-ago reported levels.
In the last reported quarter, TROW’s earnings missed the Zacks Consensus Estimate. The results were affected by higher expenses. Nonetheless, an increase in investment advisory fees and capital allocation-based income supported the results. Also, higher assets under management were another positive.
T. Rowe Price’s earnings outpaced the Zacks Consensus Estimate in three of the trailing four quarters and missed once, the average surprise being 4.97%.
In the January-March quarter, the S&P 500 Index fell 4.9%, signaling a volatile market performance. Subdued performance was largely due to geopolitical tensions (mainly the Middle East conflict) and AI-driven disruption. The fixed-income market performance was mixed but more resilient than equities. As such, TROW’s asset under management (AUM) is likely to have witnessed decent growth, while the private credit market weakness is likely to have weighed on AUM expansion.
Amid the challenging operating environment, T. Rowe Price is likely to have continued to record net outflows in the first quarter. Per the company’s monthly metrics data, its net outflows were $3.2 billion for the quarter ended March 31, 2026.
The company’s preliminary AUM of $1.71 trillion as of March 31, 2026, fell from $1.80 trillion as of Dec. 31, 2025. The decline was due to lower performance in fixed income (including money market), multi-asset, equity and alternative products.
The Zacks Consensus Estimate for total AUM is pegged at $1.71 trillion, indicating a sequential decline of 3.7%.
The Zacks Consensus Estimate for investment advisory fees is pegged at $1.66 billion, suggesting a decline of 4.2% on a sequential basis.
The Zacks Consensus Estimate for administrative, distribution and servicing fees of $144.4 million implies an increase of 2% from the prior quarter’s actual.
Coming to expenses, T. Rowe Price continues to incur significant expenditure to attract investment advisory clients and additional investments from existing clients. The company is also investing heavily in technology, distribution and employee compensation to keep pace with evolving customer needs and strengthen its platform. This is expected to have increased its expenses in the quarter to be reported. However, the company's cost-management efforts are likely to have offset the rise to some extent.
What the Zacks Model Unveils for TROW
Our proven model does not conclusively predict an earnings beat for TROW this time around. This is because the company does not have the right combination of the two key elements, a positive Earnings ESP and Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold).
You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.
Earnings ESP: The company has an Earnings ESP of -1.82%.
Zacks Rank: T. Rowe Price currently carries a Zacks Rank #5 (Strong Sell).
The Zacks Consensus Estimate for first-quarter earnings has been revised downward to $2.37 per share over the past seven days, indicating a year-over-year increase of 6.3%.
The consensus estimate for revenues of $1.88 billion implies a 6.7% rise from the prior-year quarter’s actual.
Performance of Other Asset Managers
BlackRock’s (BLK - Free Report) first-quarter 2026 adjusted earnings of $12.53 per share handily surpassed the Zacks Consensus Estimate of $11.96. The figure reflects a 10.9% rise from the year-ago quarter.
Results benefited from a rise in revenues. The AUM balance witnessed robust year-over-year growth, driven by net inflows. However, higher expenses were a headwind for BLK.
Blackstone’s (BX - Free Report) first-quarter 2026 distributable earnings of $1.36 per share surpassed the Zacks Consensus Estimate of $1.33. The figure increased 25% from the prior-year quarter.
BX’s results benefited from a rise in the AUM balance and higher revenues. However, an increase in GAAP expenses was the undermining factor.
Zacks' 7 Best Strong Buy Stocks (New Research Report)
Valued at $99, click below to receive our just-released report
predicting the 7 stocks that will soar highest in the coming month.
View the Zacks #1 Rank List
Image: Bigstock
T. Rowe Price Gears Up for Q1 Earnings: Here's What to Expect
Key Takeaways
T. Rowe Price Group, Inc. (TROW - Free Report) is scheduled to report first-quarter 2026 results tomorrow, before the opening bell. The company’s quarterly earnings and revenues are expected to have increased from the year-ago reported levels.
In the last reported quarter, TROW’s earnings missed the Zacks Consensus Estimate. The results were affected by higher expenses. Nonetheless, an increase in investment advisory fees and capital allocation-based income supported the results. Also, higher assets under management were another positive.
T. Rowe Price’s earnings outpaced the Zacks Consensus Estimate in three of the trailing four quarters and missed once, the average surprise being 4.97%.
T. Rowe Price Group, Inc. Price and EPS Surprise
T. Rowe Price Group, Inc. price-eps-surprise | T. Rowe Price Group, Inc. Quote
Key Factors & Estimates for TROW in Q1
In the January-March quarter, the S&P 500 Index fell 4.9%, signaling a volatile market performance. Subdued performance was largely due to geopolitical tensions (mainly the Middle East conflict) and AI-driven disruption. The fixed-income market performance was mixed but more resilient than equities. As such, TROW’s asset under management (AUM) is likely to have witnessed decent growth, while the private credit market weakness is likely to have weighed on AUM expansion.
Amid the challenging operating environment, T. Rowe Price is likely to have continued to record net outflows in the first quarter. Per the company’s monthly metrics data, its net outflows were $3.2 billion for the quarter ended March 31, 2026.
The company’s preliminary AUM of $1.71 trillion as of March 31, 2026, fell from $1.80 trillion as of Dec. 31, 2025. The decline was due to lower performance in fixed income (including money market), multi-asset, equity and alternative products.
The Zacks Consensus Estimate for total AUM is pegged at $1.71 trillion, indicating a sequential decline of 3.7%.
The Zacks Consensus Estimate for investment advisory fees is pegged at $1.66 billion, suggesting a decline of 4.2% on a sequential basis.
The Zacks Consensus Estimate for administrative, distribution and servicing fees of $144.4 million implies an increase of 2% from the prior quarter’s actual.
Coming to expenses, T. Rowe Price continues to incur significant expenditure to attract investment advisory clients and additional investments from existing clients. The company is also investing heavily in technology, distribution and employee compensation to keep pace with evolving customer needs and strengthen its platform. This is expected to have increased its expenses in the quarter to be reported. However, the company's cost-management efforts are likely to have offset the rise to some extent.
What the Zacks Model Unveils for TROW
Our proven model does not conclusively predict an earnings beat for TROW this time around. This is because the company does not have the right combination of the two key elements, a positive Earnings ESP and Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold).
You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.
Earnings ESP: The company has an Earnings ESP of -1.82%.
Zacks Rank: T. Rowe Price currently carries a Zacks Rank #5 (Strong Sell).
You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for first-quarter earnings has been revised downward to $2.37 per share over the past seven days, indicating a year-over-year increase of 6.3%.
The consensus estimate for revenues of $1.88 billion implies a 6.7% rise from the prior-year quarter’s actual.
Performance of Other Asset Managers
BlackRock’s (BLK - Free Report) first-quarter 2026 adjusted earnings of $12.53 per share handily surpassed the Zacks Consensus Estimate of $11.96. The figure reflects a 10.9% rise from the year-ago quarter.
Results benefited from a rise in revenues. The AUM balance witnessed robust year-over-year growth, driven by net inflows. However, higher expenses were a headwind for BLK.
Blackstone’s (BX - Free Report) first-quarter 2026 distributable earnings of $1.36 per share surpassed the Zacks Consensus Estimate of $1.33. The figure increased 25% from the prior-year quarter.
BX’s results benefited from a rise in the AUM balance and higher revenues. However, an increase in GAAP expenses was the undermining factor.