StepStone Group (NASDAQ:STEP) Shares Down 7.7% – Here’s What Happened

StepStone Group Inc. (NASDAQ:STEP)’s stock price dropped 7.7% on Thursday . The stock traded as low as $52.75 and last traded at $52.4740. Approximately 273,399 shares changed hands during mid-day trading, a decline of 71% from the average daily volume of 942,050 shares. The stock had previously closed at $56.86.

Wall Street Analysts Forecast Growth

A number of equities research analysts have recently weighed in on STEP shares. Morgan Stanley set a $72.00 price objective on StepStone Group in a research note on Tuesday, January 27th. Wall Street Zen upgraded StepStone Group from a “sell” rating to a “hold” rating in a research report on Saturday, January 10th. Zacks Research cut shares of StepStone Group from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, February 10th. JPMorgan Chase & Co. upped their target price on StepStone Group from $84.00 to $91.00 and gave the company an “overweight” rating in a research note on Friday, February 6th. Finally, Barclays set a $67.00 price objective on StepStone Group in a research report on Friday, February 6th. One research analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating, three have assigned a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average target price of $80.57.

StepStone Group Stock Down 8.1%

The firm has a market cap of $6.23 billion, a price-to-earnings ratio of -7.53 and a beta of 1.32. The business has a 50 day moving average price of $66.91 and a 200-day moving average price of $63.95.

StepStone Group (NASDAQ:STEP) last released its quarterly earnings results on Thursday, February 5th. The company reported $0.65 EPS for the quarter, topping the consensus estimate of $0.60 by $0.05. The business had revenue of $241.13 million for the quarter, compared to analysts’ expectations of $363.92 million. StepStone Group had a positive return on equity of 31.44% and a negative net margin of 30.66%.The company’s revenue was up 102.7% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $0.44 earnings per share. Research analysts anticipate that StepStone Group Inc. will post 1.82 earnings per share for the current fiscal year.

StepStone Group Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, March 13th. Stockholders of record on Friday, February 27th will be given a $0.28 dividend. This represents a $1.12 dividend on an annualized basis and a dividend yield of 2.1%. The ex-dividend date is Friday, February 27th. StepStone Group’s dividend payout ratio (DPR) is presently -16.14%.

Insider Activity

In other StepStone Group news, insider Michael I. Mccabe sold 74,214 shares of the business’s stock in a transaction dated Wednesday, December 10th. The shares were sold at an average price of $66.14, for a total transaction of $4,908,513.96. Following the sale, the insider directly owned 122,209 shares in the company, valued at approximately $8,082,903.26. The trade was a 37.78% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, CEO Scott W. Hart sold 10,000 shares of the firm’s stock in a transaction dated Monday, January 26th. The shares were sold at an average price of $72.52, for a total value of $725,200.00. The SEC filing for this sale provides additional information. In the last quarter, insiders have sold 222,052 shares of company stock worth $14,713,290. 16.47% of the stock is owned by company insiders.

Institutional Trading of StepStone Group

Several large investors have recently added to or reduced their stakes in the company. Salomon & Ludwin LLC raised its position in shares of StepStone Group by 105.0% in the fourth quarter. Salomon & Ludwin LLC now owns 414 shares of the company’s stock valued at $28,000 after purchasing an additional 212 shares during the period. Aster Capital Management DIFC Ltd raised its holdings in StepStone Group by 2,285.7% in the 3rd quarter. Aster Capital Management DIFC Ltd now owns 501 shares of the company’s stock worth $33,000 after acquiring an additional 480 shares during the period. Quarry LP lifted its position in StepStone Group by 155.7% during the 3rd quarter. Quarry LP now owns 514 shares of the company’s stock worth $34,000 after acquiring an additional 313 shares during the last quarter. Fifth Third Bancorp boosted its holdings in StepStone Group by 58.6% during the fourth quarter. Fifth Third Bancorp now owns 544 shares of the company’s stock valued at $35,000 after acquiring an additional 201 shares during the period. Finally, Clearstead Advisors LLC grew its position in shares of StepStone Group by 127.8% in the third quarter. Clearstead Advisors LLC now owns 581 shares of the company’s stock valued at $38,000 after purchasing an additional 326 shares during the last quarter. 55.54% of the stock is owned by institutional investors and hedge funds.

StepStone Group Company Profile

StepStone Group is a global private markets investment firm that provides specialized investment solutions across private equity, private credit and real assets. The firm offers customized portfolios, secondary interests, direct co-investments and tailored advisory services to institutional investors worldwide. StepStone’s integrated research and data analytics platform supports its investment teams in sourcing opportunities and monitoring portfolio companies.

Founded in 2007 as an independent private markets specialist, the company has grown its presence through both organic expansion and strategic partnerships.