Invesco (IVZ, Financial) announced its preliminary assets under management (AUM) at the end of the month, totaling $1,840.0 billion, reflecting a minor decline of 0.3% from the previous month's figures. The company recorded net long-term inflows amounting to $1.3 billion for the month. Additionally, non-management fee earning categories saw net outflows of $2.0 billion, while money market segments experienced net outflows of $12.1 billion.
The firm's AUM was negatively impacted by a $1 billion drop due to adverse market conditions, although foreign exchange fluctuations contributed positively, adding $9.2 billion to the total AUM. For the quarter ending April 30, Invesco's preliminary average total AUM stood at $1,817.3 billion, with active AUM averaging $1,027.3 billion for the same period.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 12 analysts, the average target price for Invesco Ltd (IVZ, Financial) is $15.06 with a high estimate of $21.00 and a low estimate of $14.00. The average target implies an upside of 1.57% from the current price of $14.83. More detailed estimate data can be found on the Invesco Ltd (IVZ) Forecast page.
Based on the consensus recommendation from 15 brokerage firms, Invesco Ltd's (IVZ, Financial) average brokerage recommendation is currently 2.9, indicating "Hold" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Invesco Ltd (IVZ, Financial) in one year is $12.32, suggesting a downside of 16.93% from the current price of $14.83. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Invesco Ltd (IVZ) Summary page.
IVZ Key Business Developments
Release Date: April 22, 2025
- Long-term Net Asset Inflows: $17.6 billion, representing a 5.3% annualized growth rate.
- Adjusted Operating Income: Increased by 18% year-over-year.
- Operating Margins: Expanded by over 330 basis points compared to the same quarter last year.
- Assets Under Management (AUM): Total AUM at the end of the quarter was $1.84 trillion.
- Net Long-term Inflows: $18 billion increase in AUM during the quarter.
- Adjusted Diluted Earnings Per Share (EPS): Increased by 33% to $0.44 from $0.33 in the prior year.
- Net Debt Position: Improved to $143 million from $362 million in the first quarter of 2024.
- Share Repurchases: $25 million in share buybacks during the quarter.
- Quarterly Common Stock Dividend: Increased from $0.205 to $0.21 per share.
- Net Revenue: $1.1 billion, a 5% increase from the first quarter of last year.
- Investment Management Fees: Increased by $59 million year-over-year.
- Effective Tax Rate: 24.4% for the first quarter.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- Invesco Ltd (IVZ, Financial) reported $17.6 billion in long-term net asset inflows, representing a 5.3% annualized growth rate.
- The company achieved an 18% increase in adjusted operating income and expanded operating margins by over 330 basis points compared to the same quarter last year.
- Invesco Ltd (IVZ) announced a strategic partnership with MassMutual and Barings, focusing on private market product development and distribution in the US wealth management market.
- The company successfully repurchased $1 billion of preferred stock from MassMutual, which is expected to be earnings accretive in the second half of the year.
- Invesco Ltd (IVZ) saw strong growth in its Global ETF and Index platform, with a 13% annualized organic growth rate in the first quarter.
Negative Points
- The company experienced net long-term outflows of $1.1 billion in its multi-asset related capabilities, driven by global risk parity strategies.
- Invesco Ltd (IVZ) faced continued outflows in its Fundamental Equities, particularly in global equities and developing market funds in the US region.
- The partnership with Barings and MassMutual is expected to take time to scale, with initial phases focusing on private credit opportunities.
- The company reported a decline in net revenue yield, which decreased to 23.5 basis points in the first quarter.
- Invesco Ltd (IVZ) noted that market volatility has made it challenging to provide specific guidance on operating expenses, indicating potential uncertainty in cost management.
