How Leadership Changes and Tech Overhaul May Shape T. Rowe Price (TROW) Growth Prospects

T. Rowe Price Group reported third quarter earnings showing increased revenue and net income, while also announcing the upcoming year-end departure of Chief Operating Officer Kimberly Johnson and the creation of a new Technology, Data, and Operations function led by Ramon Richards. This combination of improved financial performance and a refocused executive team highlights the firm's ongoing modernization efforts and commitment to integrating technology and operational excellence. We'll now explore how the leadership change and technology reorganization may influence T. Rowe Price Group's investment narrative and growth outlook.

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T. Rowe Price Group Investment Narrative Recap

To be a shareholder in T. Rowe Price Group, you need to believe in the company’s ability to successfully modernize its actively managed investment model and leverage technology for operational efficiency, while managing industrywide fee pressures and outflows driven by the shift to passive strategies. The recent executive transition and creation of a new Technology, Data, and Operations function appear aligned with the biggest short-term catalyst of improved tech-driven competitiveness, but do not materially change the risk of declining assets in higher-fee products.

Among the recent announcements, the continued launch of active ETFs stands out in relevance to the ongoing restructuring. These product introductions could help counterbalance net outflows from traditional mutual funds and position T. Rowe Price to address fee compression and evolving investor preferences, a critical theme as the firm navigates its leadership evolution.

On the other hand, investors should be aware of the growing risk brought by persistent net outflows from legacy actively managed funds, especially if...

Read the full narrative on T. Rowe Price Group (it's free!)

T. Rowe Price Group's outlook anticipates $7.6 billion in revenue and $2.3 billion in earnings by 2028. This is based on a 2.3% annual revenue growth rate and a $0.3 billion increase in earnings from the current $2.0 billion.

Uncover how T. Rowe Price Group's forecasts yield a $108.85 fair value, a 6% upside to its current price.

Exploring Other PerspectivesTROW Community Fair Values as at Nov 2025

Seven individual fair value assessments from the Simply Wall St Community place T. Rowe Price’s worth between US$91.26 and US$154.24 per share. With ongoing industry shifts toward passive investment and competitive fee pressures, your outlook on the firm’s ability to sustain organic growth is likely to inform your view, explore these diverse perspectives to see how community sentiment stacks up.

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Explore 7 other fair value estimates on T. Rowe Price Group - why the stock might be worth as much as 50% more than the current price!

Build Your Own T. Rowe Price Group 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 T. Rowe Price Group research is our analysis highlighting 3 key rewards and 1 important warning sign that could impact your investment decision. Our free T. Rowe Price Group research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate T. Rowe Price Group's 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.

Companies discussed in this article include TROW.

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