T. Rowe Price Group (NASDAQ:TROW) Posts Quarterly Earnings Results, Beats Estimates By $0.23 EPS

Posted by Brian Himes on Oct 29th, 2026

T. Rowe Price Group (NASDAQ:TROW – Get Free Report) issued its quarterly earnings data on Thursday. The asset manager reported $2.86 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.63 by $0.23, FiscalAI reports. The company had revenue of $2 billion during the quarter, compared to the consensus estimate of $1.98 billion. T. Rowe Price Group had a net margin of 29.26% and a return on equity of 20.91%. The firm’s revenue was up 5.9% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $2.81 earnings per share.

Here are the key takeaways from T. Rowe Price Group’s conference call:

Net outflows remained elevated at $28.3 billion in Q3, driven by equity strategies, mutual funds, and a $7.6 billion multi-asset outflow that included a large target-date plan redemption. Management expects Q4 flows to improve sequentially, but still remain pressured by active equity and mutual fund trends.
Investment performance improved across several areas, with more than 50% of fund assets outperforming peers over one-, three-, and 10-year periods. Fixed income remained particularly strong, with 74% to 85% of assets outperforming over the reported time horizons.
The ETF franchise continued to gain momentum, generating $3.8 billion of Q3 inflows and reaching $33.8 billion in AUM, up from $6.9 billion two years ago. The planned acquisition of F/m Investments is expected to further strengthen T. Rowe Price’s fixed-income, ETF, and SMA capabilities.
Earnings benefited from higher average AUM, with adjusted diluted EPS increasing to $2.86 from $2.57 in Q2 and $2.81 a year earlier. Adjusted net revenue rose 5.3% year over year to $2.0 billion, while carried interest increased substantially to $63.1 million.
Management is investing in longer-term growth through SMAs, customized models, retirement solutions, strategic partnerships, and AI-enabled workflows. Executives expect AI to improve investment research and operational efficiency over the next 12–24 months, but acknowledged that measurable benefits will take time to emerge.

T. Rowe Price Group Stock Up 1.3%

Shares of NASDAQ:TROW traded up $1.39 during midday trading on Thursday, reaching $105.39. The company had a trading volume of 1,187,190 shares, compared to its average volume of 2,067,653. The business’s 50 day moving average price is $105.93 and its 200 day moving average price is $103.72. The stock has a market cap of $22.48 billion, a PE ratio of 10.56, a P/E/G ratio of 3.05 and a beta of 1.45. T. Rowe Price Group has a 1-year low of $85.22 and a 1-year high of $122.00.

T. Rowe Price Group Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Tuesday, September 29th. Investors of record on Tuesday, September 15th were given a $1.30 dividend. The ex-dividend date of this dividend was Tuesday, September 15th. This represents a $5.20 dividend on an annualized basis and a dividend yield of 4.9%. T. Rowe Price Group’s payout ratio is currently 52.16%.

Wall Street Analyst Weigh In

A number of equities analysts have issued reports on TROW shares. Keefe, Bruyette & Woods reiterated a “market perform” rating and set a $115.00 target price (down from $120.00) on shares of T. Rowe Price Group in a report on Monday, August 3rd. TD Cowen cut their price target on T. Rowe Price Group from $110.00 to $109.00 and set a “hold” rating on the stock in a report on Monday, October 12th. UBS Group assumed coverage on T. Rowe Price Group in a research report on Wednesday, October 7th. They set a “neutral” rating and a $107.00 price objective for the company. Weiss Ratings upgraded T. Rowe Price Group from a “hold (c+)” rating to a “buy (b-)” rating in a report on Friday, September 4th. Finally, Deutsche Bank Aktiengesellschaft reissued a “hold” rating and issued a $109.00 target price on shares of T. Rowe Price Group in a research report on Monday, August 3rd. One equities research analyst has rated the stock with a Buy rating, ten have given a Hold rating and three have given a Sell rating to the company’s stock. Based on data from MarketBeat, T. Rowe Price Group has a consensus rating of “Reduce” and a consensus price target of $104.23.

Check Out Our Latest Analysis on TROW

Insider Transactions at T. Rowe Price Group

In related news, VP Joshua Nelson sold 10,000 shares of the stock in a transaction that occurred on Tuesday, August 25th. The stock was sold at an average price of $111.82, for a total transaction of $1,118,200.00. Following the completion of the transaction, the vice president directly owned 71,328 shares of the company’s stock, valued at approximately $7,975,896.96. This represents a 12.30% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Insiders own 1.60% of the company’s stock.

T. Rowe Price Group News Summary

Here are the key news stories impacting T. Rowe Price Group this week:

Positive Sentiment: Earnings and revenue beat estimates: Q3 2026 adjusted earnings were $2.86 per share, above the $2.63 consensus estimate and up from $2.81 a year earlier. Revenue reached approximately $2.0 billion, exceeding the $1.98 billion forecast and rising 5.9% year over year. T. Rowe Price Group Reports Third Quarter 2026 Results
Positive Sentiment: Profitability remained strong: T. Rowe Price reported a 20.91% return on equity and a 29.26% net margin, supporting the investment case for the asset manager despite a challenging operating environment. T. Rowe Price Earnings Call
Positive Sentiment: Wealth-management expansion: The company is adding more than 50 wealth-management positions, signaling continued investment in a distribution channel that could broaden future growth and diversify its business. T. Rowe Price Group Adds Over 50 Wealth Management Roles
Neutral Sentiment: Valuation remains relatively low: TROW trades at approximately 10.6 times earnings, which may appeal to value-oriented investors, although the valuation reflects concerns about long-term asset-growth and flow trends.
Negative Sentiment: Assets under management declined: The quarterly revenue and earnings beats occurred even as AUM dipped, highlighting continued sensitivity to market performance and client flows. Net outflows and rising costs remain key risks to earnings growth. T. Rowe Price Q3 Earnings, Revenue Beat Even as AUM Dips

About T. Rowe Price Group

(Get Free Report)

T. Rowe Price Group, Inc is a global investment management firm headquartered in Baltimore, Maryland. Founded in 1937 by Thomas Rowe Price Jr., the company provides investment strategies and advisory services to individual investors, retirement plans, financial intermediaries, institutions and other clients.

The company offers a range of actively managed and multi-asset investment products, including mutual funds, exchange-traded funds, separately managed accounts and other portfolio solutions.