Janus Henderson beats Q4 revenue and EPS estimates on strong investment performance

Overview

• Global asset manager's Q4 revenue beat analyst expectations

• Adjusted EPS for Q4 beat analyst expectations

• Company suspends regular quarterly dividend due to proposed merger

Outlook

• Janus Henderson plans to invest more in brand, technology, and talent

• Company suspends regular dividend payment due to pending merger

• Janus Henderson aims to strengthen distribution capabilities with RBA acquisition

Result Drivers

• INVESTMENT PERFORMANCE - Strong investment performance with 65% of AUM outperforming benchmarks contributed to revenue growth

• PERFORMANCE FEES - Extraordinary annual performance fee revenue significantly impacted Q4 EPS and revenue

• AUM GROWTH - AUM increased 30% year-over-year to US$493 bln, driven by net inflows and market gains

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 2 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the investment management & fund operators peer group is "buy."

• Wall Street's median 12-month price target for Janus Henderson Group PLC is $49.00, about 2.2% above its January 29 closing price of $47.93

• The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 11 three months ago

Press Release: ID:nBwchkMcta

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