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Friday 6 November 2026 Export TROW’s income statement to Excel — free account

T. Rowe Price Group, Inc.

TROW Financial Asset Management

T. Rowe Price Group, Inc.’s revenue for fiscal 2025 (year ended December 2025) was $7.3 billion, up 3.12% from fiscal 2024.

Revenue
+5.88%
EPS
−3.12%
Free cash flow
−13.8%

Quarter to September 2026, against a year earlier

109.01 0.30 +0.28%
Market cap
$23.2B
P/E
11.0×
Fwd P/E
9.8×
Dividend yield
4.75%
F-score
5/9
Altman Z
n/a
Beneish M
n/a
Dividend safety
n/a
Overview Business Profile Earnings & Analysis
Financials
Income Statement Balance Sheet Cash Flow Metrics & Ratios
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T. Rowe Price Group, Inc. (TROW) valuation and DCF model

What the price implies · reverse DCF

At $109.01 the price implies 6.1% a year of dividend growth, at a 9.0% cost of equity.

The dividend a share grew 2.5% a year over the last ten years, 7.2% over the last five. The price asks for about twice its ten-year rate. Return on equity averaged 25.4% over ten years; the price implies 15.6% for good.

In December 2018 the price assumed 12.8% a year; T. Rowe Price Group, Inc. went on to grow the dividend a share 0.1% a year to FY2025.

Price implies
6.1%
Last 5 years, reported
7.2%
Last 10 years, reported
2.5%

The headline discounts the last twelve months’ the dividend a share at 9.0% for ten years and grows it 2.5% a year after that, the same for every company, so the figure compares across the market (how a reverse DCF works).

The other way round · DCF
The price needs
6.1% a year for ten years
$109.01
today’s price
Its base case
2.5% a year for five years, then 1.5%
$80.46
26.2% below today’s price

Both are growth in the dividend a share, discounted at 9.0%, with 2.5% a year after year ten.

Base case on its own ten-year record T. Rowe Price Group, Inc.’s own growth, carried forward

Its assumptions

Powerpack lets you start from a scenario and type over any of them.

The base case’s inputs, which Powerpack lets you change
1 · Dividends
the four quarters to September 2026, from the 10-Q and 10-K filings

Yearly growth in the dividend. It usually slows as the company matures.

Today’s price implies the dividend a share growing 6.1% a year for ten years.

2 · Rates

Cost of equity is the yearly return shareholders require, typically 8–11%. Terminal growth is growth forever after year 10, usually near long-run inflation, 2–3%.

3 · Per share

The model is a share’s own: no debt to take off and no shares to divide among.

Advanced inputs

Against T. Rowe Price Group, Inc.’s own cost of capital: risk-free 4.3% + beta 1.45 × equity premium 4.5% = 10.8% cost of equity; weighted, 10.8%.

Use 10.8%
Base case value per share $80.46 ten years discounted, and what follows
Current price $109.01 market price per share
Below today’s price 26.2% downside at the base case’s assumptions

How we got there$37.71 10 years of dividends+$42.75 terminal value=$80.46 per share

Valuation against its own history

Today’s multiple against its 5- and 10-year averages and the industry median (Asset Management).

Multiple Current 5Y avg 10Y avg vs 10Y avg Industry median vs industry 10Y range
P/E 11.01× 12.89× 13.75× 20% below 13.38× 18% below
P/FCF 14.53× 17.58× 73.21× 80% below 7.79× 86% above
P/B 2.01× 2.34× 3.29× 39% below 0.91× 121% above
EV/EBITDA — 8.47× 9.17× — 3.38× —
EV/Sales — 3.67× 4.11× — 3.90× —
P/E P/FCF P/B EV/EBITDA EV/Sales
0.01×171.87×343.73×515.59×10Y avg 73.21×2017201820192020202120222023202420252026

TROW trades at 14.53× P/FCF, against a 10-year average of 73.21× (range 11.63×–572.88×). That is cheaper than 78% of the last 9 year-end readings; re-rating to the average implies $549.33 per share.

Every growth rate on this page is the business’s — its cash flow, FFO or dividend — never its share price’s. A discounted-cash-flow model is only as good as its assumptions. Figures from the 10-K and 10-Q filings. Not investment advice.