We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Cohen & Steers' (CNS) Q3 Earnings Beat on Higher Revenues
Read MoreHide Full Article
Cohen & Steers’ (CNS - Free Report) third-quarter 2019 adjusted earnings of 65 cents per share beat the Zacks Consensus Estimate of 63 cents. Also, the bottom line was 1.6% higher than the year-ago quarter figure.
Results benefited from improvement in assets under management (AUM) and higher revenues. However, rise in expenses was a headwind.
Net income available to common stockholders (GAAP basis) was $34 million or 70 cents per share, up from $30.8 million or 65 cents per share in the prior-year quarter.
Revenues Increase, Expenses Rise
Revenues (GAAP basis) were $105 million in the quarter, up 6.7% from the year-ago quarter. An increase in investment advisory and administration fees, and distribution and service fees supported this upside.
Total expenses (GAAP basis) amounted to $64.8 million, up 9.7% year over year. This increase was largely due to rise in employee compensation and benefits expenses, and distribution and service fees.
Operating income (GAAP basis) was $40.1 million, up 2.3% year over year.
Total non-operating income was $6.6 million, up substantially from $1 million.
AUM Improves
As of Sep 30, 2019, AUM was $70.8 billion, up 11.8% from the year-earlier quarter. The company witnessed net inflows of $1.1 billion in the quarter against outflows of $76 million a year ago.
Also, average AUM totaled $68.6 billion, up nearly 7.7%.
Our Take
The company’s diverse investment products are expected to continue supporting revenue growth. While increasing expenses, as witnessed in the third-quarter, are likely to hurt profitability to some extent, continuous rise in AUM is expected to support growth.
Cohen & Steers Inc Price, Consensus and EPS Surprise
Performance & Release Dates of Other Asset Managers
BlackRock, Inc.’s (BLK - Free Report) third-quarter 2019 adjusted earnings of $7.15 per share surpassed the Zacks Consensus Estimate of $6.95. However, the figure was 4.9% lower than the year-ago quarter’s number.
Ameriprise Financial (AMP - Free Report) and Invesco (IVZ - Free Report) are slated to report quarterly results on Oct 23.
7 Best Stocks for the Next 30 Days
Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers “Most Likely for Early Price Pops.”
Since 1988, the full list has beaten the market more than 2X over with an average gain of +24.50% per year. So be sure to give these hand-picked 7 your immediate attention.
Image: Bigstock
Cohen & Steers' (CNS) Q3 Earnings Beat on Higher Revenues
Cohen & Steers’ (CNS - Free Report) third-quarter 2019 adjusted earnings of 65 cents per share beat the Zacks Consensus Estimate of 63 cents. Also, the bottom line was 1.6% higher than the year-ago quarter figure.
Results benefited from improvement in assets under management (AUM) and higher revenues. However, rise in expenses was a headwind.
Net income available to common stockholders (GAAP basis) was $34 million or 70 cents per share, up from $30.8 million or 65 cents per share in the prior-year quarter.
Revenues Increase, Expenses Rise
Revenues (GAAP basis) were $105 million in the quarter, up 6.7% from the year-ago quarter. An increase in investment advisory and administration fees, and distribution and service fees supported this upside.
Total expenses (GAAP basis) amounted to $64.8 million, up 9.7% year over year. This increase was largely due to rise in employee compensation and benefits expenses, and distribution and service fees.
Operating income (GAAP basis) was $40.1 million, up 2.3% year over year.
Total non-operating income was $6.6 million, up substantially from $1 million.
AUM Improves
As of Sep 30, 2019, AUM was $70.8 billion, up 11.8% from the year-earlier quarter. The company witnessed net inflows of $1.1 billion in the quarter against outflows of $76 million a year ago.
Also, average AUM totaled $68.6 billion, up nearly 7.7%.
Our Take
The company’s diverse investment products are expected to continue supporting revenue growth. While increasing expenses, as witnessed in the third-quarter, are likely to hurt profitability to some extent, continuous rise in AUM is expected to support growth.
Cohen & Steers Inc Price, Consensus and EPS Surprise
Cohen & Steers Inc price-consensus-eps-surprise-chart | Cohen & Steers Inc Quote
Currently, Cohen & Steers sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Performance & Release Dates of Other Asset Managers
BlackRock, Inc.’s (BLK - Free Report) third-quarter 2019 adjusted earnings of $7.15 per share surpassed the Zacks Consensus Estimate of $6.95. However, the figure was 4.9% lower than the year-ago quarter’s number.
Ameriprise Financial (AMP - Free Report) and Invesco (IVZ - Free Report) are slated to report quarterly results on Oct 23.
7 Best Stocks for the Next 30 Days
Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers “Most Likely for Early Price Pops.”
Since 1988, the full list has beaten the market more than 2X over with an average gain of +24.50% per year. So be sure to give these hand-picked 7 your immediate attention.
See them now >>