T ROWE PRICE GROUP INC (TROW) Fundamental Analysis & Valuation

NASDAQ:TROW • US74144T1088

Current stock price

89.45 USD
+1 (+1.13%)
Last:

This TROW fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

6

1. TROW Profitability Analysis

1.1 Basic Checks

  • TROW had positive earnings in the past year.
  • TROW had a positive operating cash flow in the past year.
  • Each year in the past 5 years TROW has been profitable.
  • TROW had a positive operating cash flow in each of the past 5 years.
TROW Yearly Net Income VS EBIT VS OCF VS FCFTROW Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B

1.2 Ratios

  • Looking at the Return On Assets, with a value of 14.20%, TROW belongs to the top of the industry, outperforming 93.33% of the companies in the same industry.
  • TROW has a Return On Equity of 18.75%. This is in the better half of the industry: TROW outperforms 79.58% of its industry peers.
  • With an excellent Return On Invested Capital value of 13.92%, TROW belongs to the best of the industry, outperforming 87.50% of the companies in the same industry.
  • The Average Return On Invested Capital over the past 3 years for TROW is significantly above the industry average of 7.23%.
Industry RankSector Rank
ROA 14.2%
ROE 18.75%
ROIC 13.92%
ROA(3y)14.53%
ROA(5y)16.13%
ROE(3y)18.95%
ROE(5y)21.47%
ROIC(3y)14.02%
ROIC(5y)17.01%
TROW Yearly ROA, ROE, ROICTROW Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30

1.3 Margins

  • The Profit Margin of TROW (27.84%) is better than 71.67% of its industry peers.
  • TROW's Profit Margin has declined in the last couple of years.
  • TROW has a better Operating Margin (33.12%) than 62.92% of its industry peers.
  • TROW's Operating Margin has declined in the last couple of years.
Industry RankSector Rank
OM 33.12%
PM (TTM) 27.84%
GM N/A
OM growth 3Y-6.39%
OM growth 5Y-5.62%
PM growth 3Y5.88%
PM growth 5Y-5.62%
GM growth 3YN/A
GM growth 5YN/A
TROW Yearly Profit, Operating, Gross MarginsTROW Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30 40

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9

2. TROW Health Analysis

2.1 Basic Checks

  • Compared to 1 year ago, TROW has less shares outstanding
  • The number of shares outstanding for TROW has been reduced compared to 5 years ago.
  • TROW has a better debt/assets ratio than last year.
TROW Yearly Shares OutstandingTROW Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 50M 100M 150M 200M
TROW Yearly Total Debt VS Total AssetsTROW Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B

2.2 Solvency

  • An Altman-Z score of 5.72 indicates that TROW is not in any danger for bankruptcy at the moment.
  • The Altman-Z score of TROW (5.72) is better than 87.08% of its industry peers.
  • TROW has a debt to FCF ratio of 0.01. This is a very positive value and a sign of high solvency as it would only need 0.01 years to pay back of all of its debts.
  • With an excellent Debt to FCF ratio value of 0.01, TROW belongs to the best of the industry, outperforming 93.75% of the companies in the same industry.
  • TROW has a Debt/Equity ratio of 0.00. This is a healthy value indicating a solid balance between debt and equity.
  • Looking at the Debt to Equity ratio, with a value of 0.00, TROW belongs to the top of the industry, outperforming 86.25% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0.01
Altman-Z 5.72
ROIC/WACCN/A
WACCN/A
TROW Yearly LT Debt VS Equity VS FCFTROW Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B 10B

2.3 Liquidity

  • A Current Ratio of 3.95 indicates that TROW has no problem at all paying its short term obligations.
  • TROW's Current ratio of 3.95 is amongst the best of the industry. TROW outperforms 84.17% of its industry peers.
  • TROW has a Quick Ratio of 3.95. This indicates that TROW is financially healthy and has no problem in meeting its short term obligations.
  • Looking at the Quick ratio, with a value of 3.95, TROW belongs to the top of the industry, outperforming 84.17% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 3.95
Quick Ratio 3.95
TROW Yearly Current Assets VS Current LiabilitesTROW Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B 4B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

4

3. TROW Growth Analysis

3.1 Past

  • TROW shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 4.18%.
  • Measured over the past 5 years, TROW shows a small growth in Earnings Per Share. The EPS has been growing by 0.25% on average per year.
  • Looking at the last year, TROW shows a small growth in Revenue. The Revenue has grown by 3.12% in the last year.
  • TROW shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.34% yearly.
EPS 1Y (TTM)4.18%
EPS 3Y6.66%
EPS 5Y0.25%
EPS Q2Q%15.09%
Revenue 1Y (TTM)3.12%
Revenue growth 3Y4.08%
Revenue growth 5Y3.34%
Sales Q2Q%6.01%

3.2 Future

  • The Earnings Per Share is expected to grow by 5.48% on average over the next years.
  • The Revenue is expected to grow by 2.06% on average over the next years.
EPS Next Y5.87%
EPS Next 2Y3.51%
EPS Next 3Y2.25%
EPS Next 5Y5.48%
Revenue Next Year4.58%
Revenue Next 2Y3.42%
Revenue Next 3Y2.93%
Revenue Next 5Y2.06%

3.3 Evolution

  • The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
TROW Yearly Revenue VS EstimatesTROW Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2B 4B 6B 8B
TROW Yearly EPS VS EstimatesTROW Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 5 10

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6

4. TROW Valuation Analysis

4.1 Price/Earnings Ratio

  • The Price/Earnings ratio is 9.20, which indicates a very decent valuation of TROW.
  • Based on the Price/Earnings ratio, TROW is valued a bit cheaper than the industry average as 68.33% of the companies are valued more expensively.
  • Compared to an average S&P500 Price/Earnings ratio of 24.89, TROW is valued rather cheaply.
  • Based on the Price/Forward Earnings ratio of 8.69, the valuation of TROW can be described as reasonable.
  • Based on the Price/Forward Earnings ratio, TROW is valued a bit cheaper than 73.33% of the companies in the same industry.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 22.19, TROW is valued rather cheaply.
Industry RankSector Rank
PE 9.2
Fwd PE 8.69
TROW Price Earnings VS Forward Price EarningsTROW Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, TROW is valued cheaper than 92.08% of the companies in the same industry.
  • TROW's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. TROW is cheaper than 69.17% of the companies in the same industry.
Industry RankSector Rank
P/FCF 13.19
EV/EBITDA 5.62
TROW Per share dataTROW EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30 40

4.3 Compensation for Growth

  • The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
  • TROW has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.57
PEG (5Y)36.99
EPS Next 2Y3.51%
EPS Next 3Y2.25%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

6

5. TROW Dividend Analysis

5.1 Amount

  • With a Yearly Dividend Yield of 5.76%, TROW is a good candidate for dividend investing.
  • Compared to an average industry Dividend Yield of 6.85, TROW has a dividend in line with its industry peers.
  • Compared to an average S&P500 Dividend Yield of 1.89, TROW pays a better dividend.
Industry RankSector Rank
Dividend Yield 5.76%

5.2 History

  • On average, the dividend of TROW grows each year by 7.22%, which is quite nice.
  • TROW has paid a dividend for at least 10 years, which is a reliable track record.
  • TROW has decreased its dividend in the last 3 years.
Dividend Growth(5Y)7.22%
Div Incr Years2
Div Non Decr Years2
TROW Yearly Dividends per shareTROW Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2 4 6

5.3 Sustainability

  • 56.13% of the earnings are spent on dividend by TROW. This is a bit on the high side, but may be sustainable.
  • The dividend of TROW is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP56.13%
EPS Next 2Y3.51%
EPS Next 3Y2.25%
TROW Yearly Income VS Free CF VS DividendTROW Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B
TROW Dividend Payout.TROW Dividend Payout, showing the Payout Ratio.TROW Dividend Payout.PayoutRetained Earnings

More info and screens

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TROW Fundamentals: All Metrics, Ratios and Statistics

T ROWE PRICE GROUP INC

NASDAQ:TROW (3/30/2026, 9:55:05 AM)

89.45

+1 (+1.13%)

Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)02-04
Earnings (Next)04-23
Inst Owners86.17%
Inst Owner Change4.92%
Ins Owners1.71%
Ins Owner Change1.31%
Market Cap19.51B
Revenue(TTM)7.31B
Net Income(TTM)2.04B
Analysts49.47
Price Target101.59 (13.57%)
Short Float %10.53%
Short Ratio10.54
Dividend
Industry RankSector Rank
Dividend Yield 5.76%
Yearly Dividend5.18
Dividend Growth(5Y)7.22%
DP56.13%
Div Incr Years2
Div Non Decr Years2
Ex-Date03-16
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)3.29%
Min EPS beat(2)-3.09%
Max EPS beat(2)9.67%
EPS beat(4)3
Avg EPS beat(4)3.03%
Min EPS beat(4)-3.09%
Max EPS beat(4)9.67%
EPS beat(8)5
Avg EPS beat(8)3.34%
EPS beat(12)9
Avg EPS beat(12)5.61%
EPS beat(16)11
Avg EPS beat(16)2.69%
Revenue beat(2)0
Avg Revenue beat(2)-1.4%
Min Revenue beat(2)-1.67%
Max Revenue beat(2)-1.12%
Revenue beat(4)0
Avg Revenue beat(4)-1.99%
Min Revenue beat(4)-2.98%
Max Revenue beat(4)-1.12%
Revenue beat(8)1
Avg Revenue beat(8)-2.77%
Revenue beat(12)2
Avg Revenue beat(12)-2.09%
Revenue beat(16)3
Avg Revenue beat(16)-2.77%
PT rev (1m)-6.74%
PT rev (3m)-6.7%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-2.87%
EPS NY rev (1m)-1.64%
EPS NY rev (3m)-1.53%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.16%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.91%
Valuation
Industry RankSector Rank
PE 9.2
Fwd PE 8.69
P/S 2.67
P/FCF 13.19
P/OCF 11.12
P/B 1.8
P/tB 2.46
EV/EBITDA 5.62
EPS(TTM)9.72
EY10.87%
EPS(NY)10.29
Fwd EY11.5%
FCF(TTM)6.78
FCFY7.58%
OCF(TTM)8.04
OCFY8.99%
SpS33.54
BVpS49.8
TBVpS36.42
PEG (NY)1.57
PEG (5Y)36.99
Graham Number104.36
Profitability
Industry RankSector Rank
ROA 14.2%
ROE 18.75%
ROCE 18.28%
ROIC 13.92%
ROICexc 18.68%
ROICexgc 29.02%
OM 33.12%
PM (TTM) 27.84%
GM N/A
FCFM 20.22%
ROA(3y)14.53%
ROA(5y)16.13%
ROE(3y)18.95%
ROE(5y)21.47%
ROIC(3y)14.02%
ROIC(5y)17.01%
ROICexc(3y)17.9%
ROICexc(5y)20.8%
ROICexgc(3y)27.61%
ROICexgc(5y)33.47%
ROCE(3y)18.47%
ROCE(5y)22.46%
ROICexgc growth 3Y-9.44%
ROICexgc growth 5Y-0.92%
ROICexc growth 3Y-5.68%
ROICexc growth 5Y-6.66%
OM growth 3Y-6.39%
OM growth 5Y-5.62%
PM growth 3Y5.88%
PM growth 5Y-5.62%
GM growth 3YN/A
GM growth 5YN/A
F-Score5
Asset Turnover0.51
Health
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0.01
Debt/EBITDA 0.01
Cap/Depr 67.57%
Cap/Sales 3.75%
Interest Coverage 250
Cash Conversion 61.99%
Profit Quality 72.63%
Current Ratio 3.95
Quick Ratio 3.95
Altman-Z 5.72
F-Score5
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)118.35%
Cap/Depr(5y)115.41%
Cap/Sales(3y)4.83%
Cap/Sales(5y)4.25%
Profit Quality(3y)62.21%
Profit Quality(5y)86.61%
High Growth Momentum
Growth
EPS 1Y (TTM)4.18%
EPS 3Y6.66%
EPS 5Y0.25%
EPS Q2Q%15.09%
EPS Next Y5.87%
EPS Next 2Y3.51%
EPS Next 3Y2.25%
EPS Next 5Y5.48%
Revenue 1Y (TTM)3.12%
Revenue growth 3Y4.08%
Revenue growth 5Y3.34%
Sales Q2Q%6.01%
Revenue Next Year4.58%
Revenue Next 2Y3.42%
Revenue Next 3Y2.93%
Revenue Next 5Y2.06%
EBIT growth 1Y1.88%
EBIT growth 3Y-2.57%
EBIT growth 5Y-2.47%
EBIT Next Year29.84%
EBIT Next 3Y12.02%
EBIT Next 5Y2.93%
FCF growth 1Y17.19%
FCF growth 3Y-11.33%
FCF growth 5Y-2.79%
OCF growth 1Y4.02%
OCF growth 3Y-9.42%
OCF growth 5Y-1.79%

T ROWE PRICE GROUP INC / TROW Fundamental Analysis FAQ

What is the fundamental rating for TROW stock?

ChartMill assigns a fundamental rating of 6 / 10 to TROW.


What is the valuation status of T ROWE PRICE GROUP INC (TROW) stock?

ChartMill assigns a valuation rating of 6 / 10 to T ROWE PRICE GROUP INC (TROW). This can be considered as Fairly Valued.


How profitable is T ROWE PRICE GROUP INC (TROW) stock?

T ROWE PRICE GROUP INC (TROW) has a profitability rating of 6 / 10.


What are the PE and PB ratios of T ROWE PRICE GROUP INC (TROW) stock?

The Price/Earnings (PE) ratio for T ROWE PRICE GROUP INC (TROW) is 9.2 and the Price/Book (PB) ratio is 1.8.


What is the expected EPS growth for T ROWE PRICE GROUP INC (TROW) stock?

The Earnings per Share (EPS) of T ROWE PRICE GROUP INC (TROW) is expected to grow by 5.87% in the next year.