Zacks Investment Research downgraded shares of SEI Investments Co. (NASDAQ:SEIC) from a hold rating to a sell rating in a report published on Wednesday.
According to Zacks, “SEI Investments has a negative record of earnings surprises in the recent quarters. Further, expenses are expected to remain elevated over the next couple of years due to additional investment spending around services. In addition, increasing dependence on fee-based revenues can adversely affect the company’s financials in the near term. Moreover, a continuing low interest-rate environment and persistent regulatory constraints remain matters of concern. Nonetheless, the company is well positioned for organic growth in the forthcoming quarters based on its innovative and diverse global investment products and services. Further, robust asset inflows will continue to support revenues.”
A number of other brokerages have also recently weighed in on SEIC. Keefe, Bruyette & Woods dropped their price objective on shares of SEI Investments from $51.00 to $47.00 and set a market perform rating for the company in a research note on Thursday, July 28th. Oppenheimer Holdings Inc. dropped their price objective on shares of SEI Investments from $56.00 to $53.00 and set an outperform rating for the company in a research note on Thursday, July 28th.
SEI Investments (NASDAQ:SEIC) opened at 44.81 on Wednesday. SEI Investments has a 1-year low of $32.01 and a 1-year high of $55.11. The firm has a market capitalization of $7.23 billion, a PE ratio of 23.34 and a beta of 1.26. The firm’s 50-day moving average price is $45.61 and its 200-day moving average price is $47.15.
SEI Investments (NASDAQ:SEIC) last issued its quarterly earnings data on Wednesday, July 27th. The company reported $0.49 earnings per share for the quarter, missing the Zacks’ consensus estimate of $0.50 by $0.01. SEI Investments had a return on equity of 24.48% and a net margin of 23.67%. The business had revenue of $343.83 million for the quarter, compared to analysts’ expectations of $346.92 million. During the same period last year, the business earned $0.51 earnings per share. The company’s revenue for the quarter was up 1.8% on a year-over-year basis. On average, equities research analysts predict that SEI Investments will post $1.92 EPS for the current fiscal year.
In other SEI Investments news, major shareholder Alfred P. West, Jr. sold 90,000 shares of SEI Investments stock in a transaction that occurred on Monday, August 8th. The shares were sold at an average price of $44.98, for a total value of $4,048,200.00. Following the completion of the sale, the insider now directly owns 11,641,864 shares of the company’s stock, valued at approximately $523,651,042.72. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. 17.10% of the stock is currently owned by company insiders.
Hedge funds have recently added to or reduced their stakes in the company. Northwestern Mutual Wealth Management Co. boosted its stake in SEI Investments by 193.4% in the second quarter. Northwestern Mutual Wealth Management Co. now owns 2,127 shares of the company’s stock valued at $102,000 after buying an additional 1,402 shares during the last quarter. Pacer Advisors Inc. raised its position in shares of SEI Investments by 7.6% in the second quarter. Pacer Advisors Inc. now owns 2,423 shares of the company’s stock worth $117,000 after buying an additional 172 shares during the period. Zacks Investment Management bought a new position in shares of SEI Investments during the second quarter worth $207,000. Cubist Systematic Strategies LLC bought a new position in shares of SEI Investments during the second quarter worth $214,000. Finally, Gateway Investment Advisers LLC raised its position in shares of SEI Investments by 1.1% in the second quarter. Gateway Investment Advisers LLC now owns 4,820 shares of the company’s stock worth $232,000 after buying an additional 53 shares during the period. 70.29% of the stock is owned by hedge funds and other institutional investors.
SEI Investments Company Profile
SEI Investments Company (SEI) is a provider of investment processing, investment management and investment operations solutions. The Company enables corporations, financial institutions, financial advisors and ultra-high-net-worth families to create and manage wealth by providing investment and investment-business solutions.