T. Rowe Price trading at solid entry point-Barron's
NEW YORK, July 20 (Reuters) - After years of steady growth, the stock of Baltimore asset manager T.Rowe Price Group (TROW.O: Quote, Profile, Research, Stock Buzz) is showing signs of credit crunch-induced pressure, possibly marking a buying opportunity, Barron's said on Sunday.
The Nasdaq-listed stock closed on Friday at $54.74, down 16 percent from its 52-week high of $65.46. The sell-off creates an appealing entry point to own shares of a company that has disciplined management, among the industry's best operating margins, a growing presence overseas and in the 401(k) market, and no debt, according to the weekly financial newspaper.
T. Rowe is down just 10 percent this year while Legg Mason (LM.N: Quote, Profile, Research, Stock Buzz) has dropped 50 percent.
Analysts and money managers believe T. Rowe's stock could rise 10 percent or more above recent levels.
"They are not interested in the latest product or fad in investing," said David Honold, a financial services analyst and portfolio manager at Turner Investment Partners, which holds about 4 million shares. "They are focused on consistent, fundamentally driven investing." (Reporting by Helen Chernikoff; Editing by Jan Paschal)
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