What Cohen & Steers (CNS)'s Strong Q3 Earnings Growth Signals for Active ETF Expansion

• Cohen & Steers reported third quarter 2025 earnings in the past week, revealing year-over-year increases in both revenue (US$141.72 million) and net income (US$41.71 million).
• This consistent upward trajectory in both top- and bottom-line results highlights the company's continued operational performance and business momentum compared to the prior year.
• We'll now examine how this earnings growth supports the company’s ongoing focus on expanding active ETFs and global distribution.

Find companies with promising cash flow potential yet trading below their fair value.

Cohen & Steers Investment Narrative Recap

To be a shareholder in Cohen & Steers, you need to believe in the company’s ability to consistently grow its revenue and earnings through expanding its active ETF offerings and global distribution. The latest quarterly earnings report, which showed continued year-over-year gains in both revenue and net income, supports the business’s short-term momentum but does not materially alter the most important near-term catalyst, sustained inflows from new product launches. However, the biggest risk remains around higher expenses outpacing revenue, especially as the company continues to invest in distribution and product innovation.

Among recent announcements, the May 2025 launch of a new real estate strategy combining listed and private assets stands out as closely linked to current earnings growth. This initiative underscores Cohen & Steers’ ongoing focus on product diversification and adapts its offering to meet evolving client demands, which is central to driving future asset growth as highlighted in recent results.

By contrast, investors should not overlook how rising expenses related to global growth efforts could pressure margins if revenue momentum fades...

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

Cohen & Steers' outlook targets $704.3 million in revenue and $318.2 million in earnings by 2028. This scenario assumes 9.0% annual revenue growth and a $156.1 million increase in earnings from the current $162.1 million.

Uncover how Cohen & Steers' forecasts yield a $72.33 fair value, in line with its current price.

Exploring Other Perspectives

One opinion from the Simply Wall St Community places fair value for Cohen & Steers at US$72.33. While views may vary, ongoing expense growth tied to global expansion remains a vital consideration for future profitability and risk. Explore the range of community insights for additional viewpoints.

Explore another fair value estimate on Cohen & Steers - why the stock might be worth as much as $72.33!

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 1 important warning sign 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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