Analysts Set $41.50 Consensus Target for AllianceBernstein Shares

Shares of AllianceBernstein Holding L.P. (NYSE:AB) have been assigned a consensus target price of $41.50 by analysts covering the stock. According to Marketbeat Ratings, nine analysts have evaluated the company, resulting in a recommendation of “Hold.” Among these analysts, one has issued a sell rating, six have recommended holding the stock, while one has given it a buy rating, and another has rated it as a strong buy.

The recent analysis reflects various adjustments in target prices. For instance, Sanford C. Bernstein set a target of $43.00 on October 24, 2023. In contrast, Barclays reduced its price target from $42.00 to $40.00 with an “equal weight” rating. Similarly, TD Cowen raised its price objective from $36.50 to $40.00, maintaining a “hold” rating.

Recent Earnings and Dividend Increase

On October 23, 2023, AllianceBernstein reported its quarterly earnings, revealing earnings per share of $0.86. This figure exceeded analysts’ consensus estimates of $0.85 by $0.01. The asset manager achieved a return on equity of 20.56% and a net margin of 7.09%. Revenue for the quarter totaled $884.67 million, falling short of expectations of $900.69 million. This revenue represents a 1.3% increase compared to the same quarter in the previous year, when the company posted earnings of $0.77 per share.

In addition to its earnings report, AllianceBernstein has announced an increase in its quarterly dividend. Shareholders of record as of November 3, 2023, received a dividend of $0.86, up from the previous $0.76. The dividend yield now stands at 8.7%, with an annualized dividend of $3.44 and a payout ratio of 113.16%.

Investor Activity and Institutional Holdings

Institutional investors have shown significant activity regarding AllianceBernstein shares. NewEdge Advisors LLC increased its holdings by 221.0% during the third quarter, acquiring an additional 7,287 shares, now totaling 10,585 shares valued at $405,000. Virtus Advisers LLC entered a new position worth $915,000 in the same quarter, while Northwestern Mutual Wealth Management Co. raised its stake by 16.1%, now holding 20,495 shares valued at $783,000.

Other notable investment movements include Mariner LLC, which grew its stake by 8.4%, and Mercer Global Advisors Inc. ADV, which increased its holdings by 7.4%. Currently, institutional investors and hedge funds own 19.25% of AllianceBernstein’s stock.

AllianceBernstein Holding L.P. continues to navigate a dynamic financial landscape, balancing investor expectations with performance metrics. As analysts provide their insights, the firm remains a notable player in the investment management sector.