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T. Rowe Price Group Financial Strength

: 8 (As of Jun. 2022)
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T. Rowe Price Group has the Financial Strength Rank of 8. It shows strong financial strength and is unlikely to fall into distressed situations.

Good Sign:

T. Rowe Price Group Inc shows strong financial strength.

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors:

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.

GuruFocus does not calculate T. Rowe Price Group's interest coverage with the available data. T. Rowe Price Group's debt to revenue ratio for the quarter that ended in Jun. 2022 was 0.03. As of today, T. Rowe Price Group's Altman Z-Score is 11.48.


Competitive Comparison

For the Asset Management subindustry, T. Rowe Price Group's Financial Strength, along with its competitors' market caps and Financial Strength data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

T. Rowe Price Group Financial Strength Distribution

For the Asset Management industry and Financial Services sector, T. Rowe Price Group's Financial Strength distribution charts can be found below:

* The bar in red indicates where T. Rowe Price Group's Financial Strength falls into.



T. Rowe Price Group Financial Strength Calculation

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

T. Rowe Price Group's Interest Expense for the months ended in Jun. 2022 was $0 Mil. Its Operating Income for the months ended in Jun. 2022 was $669 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2022 was $205 Mil.

T. Rowe Price Group's Interest Coverage for the quarter that ended in Jun. 2022 is

GuruFocus does not calculate T. Rowe Price Group's interest coverage with the available data.

The higher the ratio, the stronger the company's financial strength is.

Good Sign:

Ben Graham prefers companies' interest coverage to be at least 5. T. Rowe Price Group Inc has enough cash to cover all of its debt. Its financial situation is stable.

2. Debt to revenue ratio. The lower, the better.

T. Rowe Price Group's Debt to Revenue Ratio for the quarter that ended in Jun. 2022 is

Debt to Revenue Ratio=Total Debt (Q: Jun. 2022 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(0 + 204.7) / 6052
=0.03

3. Altman Z-Score.

Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.

The zones of discrimination were as such:

When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.

T. Rowe Price Group has a Z-score of 11.48, indicating it is in Safe Zones. This implies the Z-Score is strong.

Good Sign:

Altman Z-score of 11.48 is strong.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


T. Rowe Price Group  (NAS:TROW) Financial Strength Explanation

The maximum rank is 10. Companies with rank 7 or higher will be unlikely to fall into distressed situations. Companies with rank of 3 or less are likely in financial distress.

T. Rowe Price Group has the Financial Strength Rank of 8. It shows strong financial strength and is unlikely to fall into distressed situations.


T. Rowe Price Group Financial Strength Related Terms

Thank you for viewing the detailed overview of T. Rowe Price Group's Financial Strength provided by GuruFocus.com. Please click on the following links to see related term pages.


T. Rowe Price Group Business Description

T. Rowe Price Group logo
Address
100 East Pratt Street, Baltimore, MD, USA, 21202
T. Rowe Price provides asset-management services for individual and institutional investors. It offers a broad range of no-load U.S. and international stock, hybrid, bond, and money market funds. At the end of 2021, the firm had $1.688 trillion in managed assets, composed of equity (61%), balanced (29%), and fixed-income (10%) offerings. Approximately two thirds of the company's managed assets are held in retirement-based accounts, which provides T. Rowe Price with a somewhat stickier client base than most of its peers. The firm also manages private accounts, provides retirement planning advice, and offers discount brokerage and trust services. The company is primarily a U.S.-based asset manager, deriving just under 10% of its AUM from overseas.
Executives
Johnson Kimberly H officer: COO and VP C/O FANNIE MAE 1100 15TH STREET, NW WASHINGTON DC 20005
Nelson Joshua B officer: Vice President 100 E. PRATT STREET BALTIMORE MD 21202
August Glenn R director, officer: Vice President C/O OHA - 1114 AVENUE OF THE AMERICAS 27TH FLOOR NEW YORK NY 10036
Rominger Eileen P director 100 E. PRATT STREET BALTIMORE MD 21202
Dardis Jennifer B other: CFO and VP 100 E. PRATT STREET BALTIMORE MD 21202
Jackson Stephon A. officer: Vice President 100 E. PRATT STREET BALTIMORE MD 21202
Thomson Andrew Justin Mackenzie officer: Vice President 100 E. PRATT STREET BALTIMORE MD 21202
Dublon Dina director J.P. MORGAN CHASE & CO. 270 PARK AVENUE NEW YORK NY 10017
Stevens Robert J director C/O MONSANTO COMPANY 800 N. LINDBERGH BLVD. ST. LOUIS MO 63167
Higginbotham Robert C.t. officer: Vice President 100 E. PRATT STREET BALTIMORE MD 21202
Mccormick Andrew C. officer: Vice President 100 E. PRATT STREET BALTIMORE MD 21202
Page Sebastien officer: Vice President 100 E. PRATT STREET BALTIMORE MD 21202
David Scott B officer: Vice President 100 E. PRATT STREET BALTIMORE MD 21202
Verma Richard R. director 100 E. PRATT STREET BALTIMORE MD 21202
Dufetel Celine S officer: CFO & Vice President 100 E. PRATT STREET BALTIMORE MD 21202

T. Rowe Price Group Headlines

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