Should Cohen & Steers' (CNS) Rising Q2 Earnings Prompt Investors to Reassess Its Growth Trajectory?

• Cohen & Steers, Inc. reported its second quarter 2025 earnings, posting revenue of US$136.13 million and net income of US$36.85 million, both increasing from the same period last year.
• This performance highlights momentum in the company's operational results, with growth in both revenue and net income over the first half of 2025 compared to the prior year.
• We'll examine how Cohen & Steers' robust revenue and earnings growth shapes its investment narrative and long-term outlook.

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Cohen & Steers Investment Narrative Recap

To be a shareholder in Cohen & Steers, you need conviction in the company’s ability to drive sustained growth through its expertise in listed real assets and innovative product offerings, particularly as the industry faces structural shifts toward passive investing and fee pressures. The strong Q2 earnings report, featuring rising revenue and net income, underscores short-term operational strength; however, this positive momentum does not materially change the biggest near-term catalyst: ongoing global real estate allocation recovery. The key risk remains: persistent client net outflows and fee compression driven by changing asset allocation trends and industry pricing.

Among recent announcements, the launch of new active ETFs in February stands out as directly relevant to the current earnings momentum. This initiative targets the evolving demand for broader, more flexible investment products, potentially helping offset structural shifts in client preferences that are putting downward pressure on active management fees. These active ETFs reflect an ongoing effort to diversify offerings and expand market reach.

On the other hand, investors should be aware that ongoing net outflows, especially those not tied to performance, could still ...

Read the full narrative on Cohen & Steers (it's free!)

Cohen & Steers is projected to achieve $667.7 million in revenue and $288.7 million in earnings by 2028. This outlook is based on an annual revenue growth rate of 7.1% and implies an increase in earnings of about $126.6 million from the current $162.1 million level.

Uncover how Cohen & Steers' forecasts yield a $75.00 fair value, in line with its current price.

Exploring Other Perspectives

Only one fair value estimate from the Simply Wall St Community, standing firm at US$75, highlights limited retail consensus on Cohen & Steers. With ongoing client outflows presenting a core uncertainty, it’s worth exploring several alternative viewpoints before forming your own outlook.

Explore another fair value estimate on Cohen & Steers - why the stock might be worth just $75.00!

Build Your Own Cohen & Steers Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Cohen & Steers research is our analysis highlighting 3 key rewards and 2 important warning signs that could impact your investment decision.
• Our free Cohen & Steers research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Cohen & Steers' overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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