Victory Capital (VCTR) Q4 Earnings: Taking a Look at Key Metrics Versus Estimates

Zacks
07 Feb

For the quarter ended December 2024, Victory Capital Holdings (VCTR) reported revenue of $232.37 million, up 12.9% over the same period last year. EPS came in at $1.45, compared to $1.15 in the year-ago quarter.

The reported revenue represents a surprise of +0.70% over the Zacks Consensus Estimate of $230.75 million. With the consensus EPS estimate being $1.37, the EPS surprise was +5.84%.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.

Here is how Victory Capital performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Ending Assets Under Management: $171.93 billion versus $173.46 billion estimated by four analysts on average.
  • Total Net client cash flows: -$1.87 billion versus -$1.60 billion estimated by four analysts on average.
  • Ending assets under management - Solutions: $62.59 billion compared to the $62.59 billion average estimate based on three analysts.
  • Ending assets under management - U.S. Large Cap Equity: $14.15 billion versus $14.15 billion estimated by three analysts on average.
  • Ending assets under management - U.S. Mid Cap Equity: $30.58 billion versus $30.58 billion estimated by three analysts on average.
  • Ending assets under management - U.S. Small Cap Equity: $14.79 billion versus the three-analyst average estimate of $14.79 billion.
  • Ending assets under management - Alternative Investments: $2.98 billion versus the three-analyst average estimate of $2.98 billion.
  • Ending assets under management - Money Market/ Short-term: $3.34 billion compared to the $3.34 billion average estimate based on three analysts.
  • Net client cash flows - U.S. Mid Cap Equity: -$718 million compared to the -$1.08 billion average estimate based on three analysts.
  • Net client cash flows - U.S. Small Cap Equity: -$822 million versus the three-analyst average estimate of -$768.08 million.
  • Revenue- Investment management fees: $183.83 million versus $181.05 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +14.4% change.
  • Revenue- Fund administration and distribution fees: $48.55 million compared to the $49.69 million average estimate based on four analysts. The reported number represents a change of +7.6% year over year.
View all Key Company Metrics for Victory Capital here>>>

Shares of Victory Capital have returned +3.7% over the past month versus the Zacks S&P 500 composite's +2.1% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.

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