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T. Rowe Price Group Inc
🇺🇸 TROW · NYSE/NASDAQ · US74144T1088
Bank
USD 110.51 price at analysis
Scores
Key Metrics
Powered by EODHDP/E (TTM)
11.0
P/E (Price-to-Earnings)Shows how much investors pay for each $1 of profit. We display the TTM P/E (Trailing Twelve Months) which uses actual earnings from the last 4 quarters. This is more reliable than Forward P/E which uses analyst estimates.
Calculation: 110.51 ÷ 10.11 = 11.0
TTM period through: 2026-06-30
Forward P/E (estimated): 11.2
Based on analyst estimates
Reference: Provider P/E (Trailing): 11.2
Net Debt/EBITDA (TTM)
-1.0x
Latest quarter: -4.3x
Net Debt / EBITDAA leverage ratio showing how many years of EBITDA (earnings before interest, taxes, depreciation, and amortization) it would take to repay net debt. EBITDA approximates operating cash generation. Lower ratios (e.g., <3x) are generally safer; higher (e.g., >5x) may indicate more financial risk.
TTM through: 2026-06-30
Latest quarter (2026-06-30): -4.3x
The quarterly value can spike when quarterly EBITDA is very low (e.g., one-time charges).
Quick guide: <2x manageable, >4x can be risky (sector-dependent).
ROE
19.4%
ROE (Return on Equity)A profitability measure: how much profit is generated from shareholders’ equity. Higher isn’t always better if it comes from high debt.
EV/EBITDA
6.8x
EV/EBITDAA valuation ratio that compares total business value (including debt) to EBITDA. Lower can mean cheaper, but context matters.
Dividend Summary
Powered by EODHDDividend Yield (Fwd)
4.77%
TTM: 4.62%
Dividend YieldThe Forward yield (Fwd) shows the next announced annual dividend / current price — what you'd earn going forward. The Trailing yield (TTM) in the tooltip shows dividends actually paid in the last 12 months. Forward is shown as primary because it reflects the company's current commitment to shareholders.
Forward Yield (estimated): 4.77%
Trailing Yield (TTM, last 12 months): 4.62%
Payout Ratio (Fwd)
51.4%
TTM: 51.6%
Payout RatioDividends as a percentage of earnings. The Forward payout (Fwd) uses the announced dividend divided by actual past earnings (TTM) — it tells you if the company can afford what it promised. Very high payouts can be risky, especially if profits fall.
Announced dividend / actual earnings (TTM)
Payout (Fwd): 51.4%
Payout (TTM): 51.6%
Growth Streak
8 yrs
Consec. increases
Div. Growth (5Y)
7.1%
Dividend History
EODHD Dividends API| Status | Type | Decl. Date | Ex-Div Date | Pay Date | Currency | Amount |
|---|---|---|---|---|---|---|
| Forecast* | Quarterly | — | 15 Jun 2027 | — | USD | 1.3 |
| Forecast* | Quarterly | — | 16 Mar 2027 | — | USD | 1.3 |
| Forecast* | Quarterly | — | 15 Dec 2026 | — | USD | 1.27 |
| Declared | Quarterly | 06 Aug 2026 | 15 Sep 2026 | 29 Sep 2026 | USD | 1.3 |
| Paid | Quarterly | 07 May 2026 | 15 Jun 2026 | 29 Jun 2026 | USD | 1.3 |
| Paid | Quarterly | 09 Feb 2026 | 16 Mar 2026 | 30 Mar 2026 | USD | 1.3 |
| Paid | Quarterly | 28 Oct 2025 | 15 Dec 2025 | 30 Dec 2025 | USD | 1.27 |
| Paid | Quarterly | 11 Aug 2025 | 15 Sep 2025 | 29 Sep 2025 | USD | 1.27 |
* Extrapolated from past dividend history. Not an official announcement — treat as an estimate, not a confirmed date or amount.
Summary
T. Rowe Price is a premier asset manager featuring a pristine, debt-free balance sheet and a highly secure 4.69% forward dividend yield at a low P/E of 10.97. However, the business faces permanent structural headwinds from the shift toward passive indexing, reflected in its negative 5-year EPS growth. Not recommended for new core DGI positions due to the lack of essential-service stability, though existing investors may choose to hold for the attractive yield.
Sector Context
T. Rowe Price operates in the asset management industry, which is highly cyclical and dependent on broader financial market performance. From a DGI perspective, while the firm boasts an elite balance sheet and dividend history, it lacks the stable, recession-resistant demand profile typical of core essential-service holdings.
📊 Strategy Analysis
- • Pristine balance sheet with negative net debt (Net Debt/EBITDA of -0.99x) and a strong ROE of 19.4%.
- • Attractive valuation at a TTM P/E of 10.97, offering a compelling 4.69% forward dividend yield.
- • Total shareholder yield of 5.85%, reflecting highly sustainable dividends (TTM payout ratio of 49.7%) alongside a 1.23% net buyback yield.
- • Decades of dividend consistency, recently announcing its 40th consecutive annual dividend increase.
⚠ What to Watch
- • Significant structural headwinds from the secular shift to passive indexing and permanent ETF tax advantages over traditional active mutual funds.
- • Long-term fundamentals show a negative 5-year EPS CAGR of -7.1%, indicating persistent industry-wide fee compression.
- • Earnings are highly cyclical and directly tied to global equity market performance rather than essential-service demand.
📊 Historical Trends (10 Years)
Powered by EODHDThese charts show how key metrics have evolved over the past decade, helping you identify if the company is improving or deteriorating.
Debt Evolution (Net Debt / EBITDA)
Lower values are better. A declining trend indicates the company is reducing its debt (deleveraging).
Revenue & Earnings Growth
Consistent growth in revenueRevenue
The money a company brings in from selling its products or services. It’s the top line before costs. (blue) and earningsEarnings (Profit)
What’s left after expenses. Positive earnings mean the business made a profit; negative means a loss. (green) indicates a healthy business. Look for upward trends and recoveries after temporary dips.
Analysis date: 2026-08-15
Disclaimer: This information is for educational purposes only. Not financial advice.