SEI Investments Company (NASDAQ:SEIC) stock achieved a new 52-week high this week, reaching a price level of $73.82. The milestone underscores a period of robust performance for the asset management firm, which has seen its stock value soar by nearly 30% over the past year. Investors have been buoyed by the company's strong financial results and strategic initiatives that have resonated well within the investment community. The 29.96% increase in the stock's value over the past year reflects growing confidence in SEIC's market position and its ability to sustain growth amidst a dynamic economic landscape.
In other recent news, SEI Investments has been the subject of significant focus following robust third-quarter financial performance. The company reported earnings per share (EPS) of $1.19, surpassing analyst expectations and consensus estimates. This was primarily attributed to higher-than-expected revenue in the Private Banking & Trust and Investment Advisors segments. The company's assets under management, administration, and advisement achieved new highs, with net sales events totaling $46 million.
Piper Sandler and Oppenheimer, two notable analyst firms, have increased their price targets for SEI Investments, reflecting confidence in the company's potential for continued financial growth. Piper Sandler raised its price target to $77 from the previous $74, while Oppenheimer increased its target to $85 from the prior $81.
The company's revenue from the Federal Deposit Insurance Corporation (FDIC) cash program is projected to double quarter over quarter in the fourth quarter, following enhancements that increased the cash sweep. These recent developments underscore SEI Investments' strong financial performance and potential for sustained growth.
InvestingPro Insights
SEI Investments Company's recent stock performance aligns with several positive indicators highlighted by InvestingPro. The company's strong financial health is evident in its ability to cover interest payments with cash flows and maintain liquid assets exceeding short-term obligations. These factors contribute to SEIC's financial stability, which is crucial for investor confidence.
InvestingPro data shows that SEIC has a P/E ratio of 18.35, which is considered low relative to its near-term earnings growth potential. This suggests that the stock may still be undervalued despite reaching a new 52-week high. Additionally, the company's revenue growth of 5.62% over the last twelve months and a robust EBITDA growth of 28.46% in the same period underscore its operational efficiency and market strength.
InvestingPro Tips reveal that SEIC has raised its dividend for 10 consecutive years and has maintained dividend payments for an impressive 37 consecutive years. This consistent dividend policy, coupled with a current dividend yield of 1.3%, makes SEIC an attractive option for income-focused investors. The company's profitability over the last twelve months and analysts' predictions of continued profitability this year further support the positive outlook reflected in the stock's performance.
For investors seeking more comprehensive analysis, InvestingPro offers additional tips and insights, with 8 more tips available for SEIC on the platform.
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