Why IVZ Stock Is Rallying Today

Investment manager Invesco (IVZ) is surging 9% after delivering better-than-expected fourth-quarter results today.

A Look at IVZ’s Q4 Earnings

The firm generated Q4 earnings per share, excluding certain items, of 52 cents, versus analysts’ average estimate of 47 cents. In Q4 of 2023, it reported adjusted EPS of 44 cents.

A financial planner carefully scrutinizing company’s investment portfolio.

On the top line, Invesco reported Q4 revenue of $1.16 billion, slightly above the mean estimate. The company’s revenue climbed 10.5% year-over-year.

IVZ reported total net flows of $60.9 billion in Q4, way up from $12.7 billion in Q4 of 2023. The firm attributed the increase primarily to the strength of its ETF and Asian Pacific businesses.

Finally, in Q4, the company spent $25 million on buying back 1.4 million common shares of IVZ stock.

“During the fourth quarter and throughout 2024, we continued to make meaningful progress in executing our strategic priorities and leveraging our competitive advantages to drive improved business performance.” CEO Andrew Schlossberg said in a statement.

“While client demand and net flows remained more narrowly focused, in the aggregate, we continued to gain market share and revenue growth in key high demand strategic capabilities,” the CEO added on the firm’s Q4 earnings call which was held today.

The Price Action of IVZ Stock

In the last month, the shares have risen 10.5%, while they are up 8% in the last three months.

While we acknowledge the potential of IVZ, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than IVZ but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey