Invesco (NYSE:IVZ) Shares Gap Down Following Weak Earnings

Invesco Ltd. (NYSE:IVZ)’s share price gapped down before the market opened on Tuesday following a weaker than expected earnings announcement. The stock had previously closed at $15.58, but opened at $14.64. Invesco shares last traded at $14.89, with a volume of 1,783,750 shares changing hands.

The asset manager reported $0.33 earnings per share for the quarter, missing the consensus estimate of $0.40 by ($0.07). Invesco had a negative net margin of 1.70% and a positive return on equity of 7.93%. The business had revenue of $1.48 billion for the quarter, compared to analyst estimates of $1.08 billion. During the same quarter last year, the firm posted $0.38 earnings per share. Invesco’s revenue was up 4.0% on a year-over-year basis.

Invesco Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, June 4th. Investors of record on Tuesday, May 14th will be issued a dividend of $0.205 per share. This is an increase from Invesco’s previous quarterly dividend of $0.20. This represents a $0.82 annualized dividend and a yield of 5.65%. The ex-dividend date is Monday, May 13th. Invesco’s dividend payout ratio (DPR) is currently -108.11%.

Wall Street Analyst Weigh In

IVZ has been the subject of several analyst reports. StockNews.com raised shares of Invesco from a “sell” rating to a “hold” rating in a report on Friday, February 23rd. BMO Capital Markets reissued a “market perform” rating and set a $17.00 price target (down from $18.00) on shares of Invesco in a report on Wednesday. Morgan Stanley lifted their price target on shares of Invesco from $16.00 to $17.00 and gave the company an “equal weight” rating in a report on Wednesday, April 17th. UBS Group cut their price target on shares of Invesco from $18.00 to $17.00 and set a “neutral” rating for the company in a report on Monday, January 29th. Finally, The Goldman Sachs Group dropped their target price on shares of Invesco from $17.75 to $16.75 and set a “neutral” rating for the company in a research note on Wednesday. Ten analysts have rated the stock with a hold rating and two have issued a buy rating to the stock. Based on data from MarketBeat, Invesco currently has an average rating of “Hold” and an average target price of $16.79.

Institutional Investors Weigh In On Invesco

A number of institutional investors and hedge funds have recently modified their holdings of the business. IRON Financial LLC raised its stake in shares of Invesco by 9.1% during the first quarter. IRON Financial LLC now owns 12,116 shares of the asset manager’s stock worth $201,000 after buying an additional 1,013 shares during the last quarter. Live Oak Private Wealth LLC raised its stake in shares of Invesco by 4.3% during the first quarter. Live Oak Private Wealth LLC now owns 319,199 shares of the asset manager’s stock worth $5,296,000 after buying an additional 13,016 shares during the last quarter. Amalgamated Bank raised its stake in shares of Invesco by 5.7% during the first quarter. Amalgamated Bank now owns 131,032 shares of the asset manager’s stock worth $2,174,000 after buying an additional 7,056 shares during the last quarter. Insight Folios Inc raised its stake in shares of Invesco by 2.0% during the first quarter. Insight Folios Inc now owns 390,278 shares of the asset manager’s stock worth $6,475,000 after buying an additional 7,777 shares during the last quarter. Finally, Norden Group LLC bought a new stake in shares of Invesco during the first quarter worth approximately $450,000. 66.09% of the stock is owned by institutional investors.

Invesco Stock Performance

The company has a debt-to-equity ratio of 0.77, a current ratio of 5.01 and a quick ratio of 5.01. The firm has a market capitalization of $6.52 billion, a P/E ratio of -19.62, a P/E/G ratio of 1.03 and a beta of 1.44. The stock’s 50 day moving average is $15.73 and its two-hundred day moving average is $15.44.

About Invesco

Invesco Ltd. is a publicly owned investment manager. The firm provides its services to retail clients, institutional clients, high-net worth clients, public entities, corporations, unions, non-profit organizations, endowments, foundations, pension funds, financial institutions, and sovereign wealth funds.