The modest EPS beat and record AUM are positive, but persistent net outflows and fee-rate compression remain headwinds. Monitor the Q3 flows update and any further restructuring announcements for signs of organic stabilization.
Price Chart
Executive Summary
T. Rowe Price reported Q2 2026 adjusted EPS of $2.57, a 2.0% beat vs. consensus of $2.52, and net revenues of $1.907B (+10.7% YoY). AUM hit a record $1.9 trillion, driven by strong market appreciation ($190.2B), though net client outflows continued at $6.5B. The beat was modest and driven by market tailwinds, not organic growth, making this a neutral-to-slightly-positive read-through for the stock.
Key Financial Metrics
Key Facts
- Record AUM of $1.9 trillion, up 12.9% YoY
- Net client outflows of $6.5B in Q2, improving from $13.7B in Q1
- Adjusted diluted EPS of $2.57 vs consensus $2.52 (2.0% beat)
- Net revenues of $1.907B, +10.7% YoY
- Returned $441M to stockholders via dividends and buybacks
- Effective fee rate continued to compress to 38.1 bps from 39.6 bps YoY
- Restructuring charge of $6.7M in Q2, ongoing expense management program
Financial Impact
Adjusted EPS beat consensus by $0.05 (2.0%), revenue slightly below $1.92B consensus
Risk Factors
- Continued net client outflows, especially in equity strategies
- Persistent fee-rate compression from mix shift to lower-fee products
- Market-dependent revenue; a downturn would pressure AUM and fees
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 6 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001628280-26-051211 |
| Document: trow-20260731.htm | 0001628280-26-051211 |
| Document: 0001628280-26-051211-index-headers.html | 0001628280-26-051211 |
| Document: 0001628280-26-051211-index.html | 0001628280-26-051211 |
| Document: 0001628280-26-051211.txt | 0001628280-26-051211 |
| 8-K Data (Synthetic) | 0001628280-26-051211 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Jul 31, 2026 9w ago | 8-K | $111.75 $111.24 | ▼ −0.46% | ▼ −3.44% | $105.78 (−5.35%) |
May 18, 2026 19w ago | 8-K | $101.67 $108.94 | ▲ +7.15% | ▲ +4.89% | $105.78 (+4.04%) |
Apr 22, 2026 23w ago | 8-K | $100.19 $101.72 | ▲ +1.53% | ▼ −1.63% | $105.78 (+5.58%) |
Mar 17, 2026 28w ago | DEFA14A | $88.39 $96.06 | ▲ +8.68% | ▲ +4.38% | $105.78 (+19.67%) |
US Market Status
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