VCTR

Victory Capital HoldingsNasdaqGS:VCTR Stock Report

Market Cap

US$2.4b

7D

5.6%

1Y

110.6%

Updated

19 Sep, 2021

Data

Company Financials +
VCTR fundamental analysis
Snowflake Score
Valuation6/6
Future Growth4/6
Past Performance4/6
Financial Health3/6
Dividends3/6

VCTR Overview

Victory Capital Holdings, Inc., together with its subsidiaries, operates as an asset management company worldwide.

Victory Capital Holdings Competitors

Blackstone

NYSE:BX

US$152.9b

BlackRock

NYSE:BLK

US$133.4b

KKR

NYSE:KKR

US$56.8b

T. Rowe Price Group

NasdaqGS:TROW

US$48.5b

Price History & Performance

Summary of all time highs, changes and price drops for Victory Capital Holdings
Historical stock prices
Current Share PriceUS$35.09
52 Week HighUS$15.69
52 Week LowUS$36.11
Beta1.09
1 Month Change0.98%
3 Month Change13.97%
1 Year Change110.62%
3 Year Change286.03%
5 Year Changen/a
Change since IPO202.50%

Recent News & Updates

Aug 10
Victory Capital Holdings' (NASDAQ:VCTR) Dividend Will Be Increased To US$0.15

Victory Capital Holdings' (NASDAQ:VCTR) Dividend Will Be Increased To US$0.15

The board of Victory Capital Holdings, Inc. ( NASDAQ:VCTR ) has announced that it will be increasing its dividend on...

Jul 20
Does Victory Capital Holdings (NASDAQ:VCTR) Deserve A Spot On Your Watchlist?

Does Victory Capital Holdings (NASDAQ:VCTR) Deserve A Spot On Your Watchlist?

It's only natural that many investors, especially those who are new to the game, prefer to buy shares in 'sexy' stocks...

Shareholder Returns

VCTRUS Capital MarketsUS Market
7D5.6%-0.9%-0.6%
1Y110.6%61.9%33.8%

Return vs Industry: VCTR exceeded the US Capital Markets industry which returned 61.9% over the past year.

Return vs Market: VCTR exceeded the US Market which returned 33.8% over the past year.

Price Volatility

Is VCTR's price volatile compared to industry and market?
VCTR volatility
VCTR Beta1.09
Industry Beta1.19
Market Beta1

Stable Share Price: VCTR is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: VCTR's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2013429David Brownhttps://www.vcm.com

Victory Capital Holdings, Inc., together with its subsidiaries, operates as an asset management company worldwide. It offers investment management, fund administration, fund compliance, fund transfer agent, and fund distribution services. The company provides specialized investment strategies to institutions, intermediaries, retirement platforms, and individual investors.

Victory Capital Holdings Fundamentals Summary

How do Victory Capital Holdings's earnings and revenue compare to its market cap?
VCTR fundamental statistics
Market CapUS$2.39b
Earnings (TTM)US$245.11m
Revenue (TTM)US$823.90m

9.7x

P/E Ratio

2.9x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
VCTR income statement (TTM)
RevenueUS$823.90m
Cost of RevenueUS$382.47m
Gross ProfitUS$441.42m
ExpensesUS$196.32m
EarningsUS$245.11m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)3.62
Gross Margin53.58%
Net Profit Margin29.75%
Debt/Equity Ratio81.8%

How did VCTR perform over the long term?

See historical performance and comparison

Dividends

1.7%

Current Dividend Yield

9%

Payout Ratio

Valuation

Is Victory Capital Holdings undervalued compared to its fair value and its price relative to the market?

34.6%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: VCTR ($35.09) is trading below our estimate of fair value ($53.67)

Significantly Below Fair Value: VCTR is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: VCTR is good value based on its PE Ratio (9.7x) compared to the US Capital Markets industry average (15.2x).

PE vs Market: VCTR is good value based on its PE Ratio (9.7x) compared to the US market (17.8x).


Price to Earnings Growth Ratio

PEG Ratio: VCTR is good value based on its PEG Ratio (0.3x)


Price to Book Ratio

PB vs Industry: VCTR is good value based on its PB Ratio (2.9x) compared to the US Capital Markets industry average (61x).


Future Growth

How is Victory Capital Holdings forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

28.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: VCTR's forecast earnings growth (28.3% per year) is above the savings rate (2%).

Earnings vs Market: VCTR's earnings (28.3% per year) are forecast to grow faster than the US market (14.8% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: VCTR's revenue (5.4% per year) is forecast to grow slower than the US market (9.8% per year).

High Growth Revenue: VCTR's revenue (5.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: VCTR's Return on Equity is forecast to be high in 3 years time (35.1%)


Past Performance

How has Victory Capital Holdings performed over the past 5 years?

58.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: VCTR has high quality earnings.

Growing Profit Margin: VCTR's current net profit margins (29.7%) are higher than last year (20.2%).


Past Earnings Growth Analysis

Earnings Trend: VCTR has become profitable over the past 5 years, growing earnings by 58.5% per year.

Accelerating Growth: VCTR's earnings growth over the past year (48.1%) is below its 5-year average (58.5% per year).

Earnings vs Industry: VCTR earnings growth over the past year (48.1%) underperformed the Capital Markets industry 77.4%.


Return on Equity

High ROE: VCTR's Return on Equity (30%) is considered high.


Financial Health

How is Victory Capital Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: VCTR's short term assets ($136.8M) do not cover its short term liabilities ($190.7M).

Long Term Liabilities: VCTR's short term assets ($136.8M) do not cover its long term liabilities ($749.2M).


Debt to Equity History and Analysis

Debt Level: VCTR's debt to equity ratio (81.8%) is considered high.

Reducing Debt: VCTR's debt to equity ratio has reduced from 126.7% to 81.8% over the past 5 years.

Debt Coverage: VCTR's debt is well covered by operating cash flow (44%).

Interest Coverage: VCTR's interest payments on its debt are well covered by EBIT (18.7x coverage).


Balance Sheet


Dividend

What is Victory Capital Holdings's current dividend yield, its reliability and sustainability?

1.71%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: VCTR's dividend (1.71%) is higher than the bottom 25% of dividend payers in the US market (1.33%).

High Dividend: VCTR's dividend (1.71%) is low compared to the top 25% of dividend payers in the US market (3.6%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, VCTR has been paying a dividend for less than 10 years.

Growing Dividend: VCTR's dividend payments have increased, but the company has only paid a dividend for 2 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (9.4%), VCTR's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: VCTR's dividends in 3 years are forecast to be well covered by earnings (15.4% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.7yrs

Average management tenure


CEO

David Brown (48 yo)

8.08yrs

Tenure

US$9,950,394

Compensation

Mr. David Craig Brown has been Chief Executive Officer of Victory Capital Holdings, Inc. since August 2013 and Chairman of Board since April 2014. Mr. Brown serves as Chairman and Chief Executive Officer o...


CEO Compensation Analysis

Compensation vs Market: David's total compensation ($USD9.95M) is above average for companies of similar size in the US market ($USD3.69M).

Compensation vs Earnings: David's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: VCTR's management team is considered experienced (2.7 years average tenure).


Board Members

Experienced Board: VCTR's board of directors are considered experienced (8.1 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Victory Capital Holdings, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Victory Capital Holdings, Inc.
  • Ticker: VCTR
  • Exchange: NasdaqGS
  • Founded: 2013
  • Industry: Asset Management and Custody Banks
  • Sector: Diversified Financials
  • Market Cap: US$2.388b
  • Shares outstanding: 68.04m
  • Website: https://www.vcm.com

Number of Employees


Location

  • Victory Capital Holdings, Inc.
  • 15935 La Cantera Parkway
  • San Antonio
  • Texas
  • 78256
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/19 22:12
End of Day Share Price2021/09/17 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.