Legg Mason (NYSE:LM) Announces Earnings Results

Legg Mason (NYSE:LM) posted its earnings results on Thursday. The asset manager reported $0.75 EPS for the quarter, topping the Zacks’ consensus estimate of $0.72 by $0.03, Bloomberg Earnings reports. Legg Mason had a positive return on equity of 7.23% and a negative net margin of 1.72%. The business had revenue of $705.36 million for the quarter, compared to analysts’ expectations of $708.70 million. During the same quarter in the previous year, the firm earned $0.75 earnings per share. The business’s revenue was down 5.7% compared to the same quarter last year.

Shares of NYSE LM traded up $0.90 during midday trading on Friday, reaching $37.98. 1,330,481 shares of the company were exchanged, compared to its average volume of 606,827. The company has a current ratio of 1.82, a quick ratio of 1.36 and a debt-to-equity ratio of 0.53. Legg Mason has a 1 year low of $23.25 and a 1 year high of $38.94. The company’s fifty day moving average is $37.74. The company has a market capitalization of $3.21 billion, a PE ratio of 12.49, a P/E/G ratio of 0.59 and a beta of 1.49.

The company also recently announced a quarterly dividend, which will be paid on Monday, October 28th. Stockholders of record on Thursday, October 10th will be given a dividend of $0.40 per share. This represents a $1.60 dividend on an annualized basis and a dividend yield of 4.21%. Legg Mason’s dividend payout ratio (DPR) is currently 52.63%.

A number of analysts have recently commented on the company. ValuEngine cut Legg Mason from a “hold” rating to a “sell” rating in a research report on Thursday. Gabelli reiterated a “buy” rating on shares of Legg Mason in a research report on Wednesday, April 10th. Morgan Stanley set a $27.00 target price on Legg Mason and gave the stock a “sell” rating in a research report on Thursday, May 16th. Zacks Investment Research upgraded Legg Mason from a “hold” rating to a “buy” rating and set a $40.00 target price on the stock in a research report on Monday, May 20th. Finally, Royal Bank of Canada lifted their target price on Legg Mason to $39.00 and gave the stock an “in-line” rating in a research report on Tuesday, May 14th. Three equities research analysts have rated the stock with a sell rating, three have given a hold rating and five have assigned a buy rating to the company’s stock. Legg Mason presently has a consensus rating of “Hold” and a consensus target price of $33.22.

In related news, CFO Peter Nachtwey sold 9,193 shares of the firm’s stock in a transaction dated Thursday, May 16th. The stock was sold at an average price of $36.13, for a total transaction of $332,143.09. Following the transaction, the chief financial officer now owns 167,691 shares of the company’s stock, valued at $6,058,675.83. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Also, CAO Ursula Schliessler sold 3,608 shares of the firm’s stock in a transaction dated Thursday, May 16th. The stock was sold at an average price of $36.03, for a total value of $129,996.24. Following the transaction, the chief accounting officer now directly owns 27,495 shares in the company, valued at approximately $990,644.85. The disclosure for this sale can be found here. In the last three months, insiders have sold 63,378 shares of company stock worth $2,292,180. Corporate insiders own 8.08% of the company’s stock.

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Clarkston Capital Partners LLC boosted its holdings in Legg Mason by 3.5% in the 1st quarter. Clarkston Capital Partners LLC now owns 4,824,985 shares of the asset manager’s stock valued at $132,060,000 after purchasing an additional 164,850 shares in the last quarter. Dimensional Fund Advisors LP boosted its holdings in Legg Mason by 0.5% in the 4th quarter. Dimensional Fund Advisors LP now owns 4,075,993 shares of the asset manager’s stock valued at $103,979,000 after purchasing an additional 18,559 shares in the last quarter. FMR LLC boosted its holdings in Legg Mason by 5.6% in the 4th quarter. FMR LLC now owns 1,295,605 shares of the asset manager’s stock valued at $33,051,000 after purchasing an additional 68,895 shares in the last quarter. Robeco Institutional Asset Management B.V. boosted its holdings in Legg Mason by 18.7% in the 1st quarter. Robeco Institutional Asset Management B.V. now owns 1,137,694 shares of the asset manager’s stock valued at $31,141,000 after purchasing an additional 179,268 shares in the last quarter. Finally, Fiera Capital Corp boosted its holdings in Legg Mason by 0.6% in the 1st quarter. Fiera Capital Corp now owns 1,052,995 shares of the asset manager’s stock valued at $28,820,000 after purchasing an additional 5,872 shares in the last quarter. 84.05% of the stock is currently owned by hedge funds and other institutional investors.

Legg Mason Company Profile

Legg Mason, Inc is a publicly owned asset management holding company. Through its subsidiaries, the firm provides investment management and related services to company-sponsored mutual funds and other investment vehicles including pension funds, foundations, endowments, sovereign wealth funds, insurance companies, private banks, family offices, individuals, as well as to global, institutional, and retail clients.

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Earnings History for Legg Mason (NYSE:LM)

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