Deutsche Bank Downgrades Affiliated Managers Group (AMG) to Hold
- Donald Trump Sworn in as 45th U.S. President
- Wall Street ends higher as Trump becomes president
- Walgreens Boots Alliance (WBA) Said to Face Antitrust Concern for Rite Aid (RAD) Fix - Bloomberg
- Bristol-Myers Squibb (BMY) Says It Won't Pursue Accelerated U.S. Regulatory Pathway for Opdivo Plus Yervoy in Lung Cancer
- Apple (AAPL) Sues Qualcomm (QCOM) Over Patent Royalties in Antitrust Case - Bloomberg
News and research before you hear about it on CNBC and others. Claim your 2-week free trial to StreetInsider Premium here.
Deutsche Bank downgraded Affiliated Managers Group (NYSE: AMG) from Buy to Hold with a price target of $132.00 (from $159.00).
Analyst Brian Bedell said, "We regard AMG as one of the most differentiated stories in asset mgmt given its affiliate investment business model that enables the following competitive advantages: 1) ability to select strong managers with saleable product & more quickly augment its business mix, 2) investment model provides strong incentives for affiliates to grow, & structure mitigates negative operating leverage for AMG in downturns, 3) plenty of capacity for future accretive investments given rising need for succession planning in fragmented industry, 4) compounding benefits of scale as AMG adds affiliates & gains distribution clout, & 5) solid growth position given high mix of alternatives, non-US distribution & equities. This said, organic growth has come under more pressure in recent quarters vs. past few years (though still reasonably good vs. the industry) and a more cautious organic growth outlook near-term (at least next 1-2 quarters) has emerged and is likely to restrain AMG’s valuation for some time."
Shares of Affiliated Managers Group closed at $132.86 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- M&T Bank (MTB) PT Raised to $165 at FBR Capital Following 4Q Beat
- Deutsche Bank Sees 'Encouraging' Short-Term Set-Up in Valeant (VRX)
- UPDATE: SunTrust Robinson Humphrey Downgrades Pennsylvania Real Estate Investment Trust (PEI) to Hold
Create E-mail Alert Related CategoriesAnalyst Comments, Analyst EPS View, Downgrades
Related EntitiesDeutsche Bank
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!