Invesco Plc

Invesco reported second-quarter revenues of $1.33 billion, up 20.3% year on year and in line with analysts' expectations, as the 16 custody bank stocks tracked by the roundup collectively beat consensus revenue estimates by 3.2%. Invesco beat analysts' EBITDA estimates while assets under management came in line, and its stock is up 1% since reporting, trading at $30.43. Hamilton Lane posted the group's biggest estimate beat, with revenues of $275.3 million, up 56.5% year on year and 21% above expectations, though its shares are down 6.6% at $88.65. StepStone Group delivered the weakest performance against estimates, with revenues of $300.6 million, up 26.6% year on year but 3.9% below expectations, and its stock is down 11.1% at $44.72. SEI Investments reported revenues of $641.6 million, up 14.7% and 0.7% above expectations, with its stock up 5.7% at $104.35, while Ridgepost Capital posted revenues of $81.28 million, up 11.5% and 3.6% above expectations, though its shares are down 16.9% at $7.51. On average, custody bank share prices are down 3.8% since the latest earnings results.

Invesco Ltd. expanded its QQQ Innovation Suite in September 2026 with the launch of the Invesco Nasdaq International Innovators 100 ETF, ticker QQI, a rules-based fund tracking the Nasdaq International Innovators 100 Index that targets 100 innovation-focused companies outside the United States with a total expense ratio of 0.29%. The new fund gives investors a way to access non-US innovative businesses within the QQQ-branded framework, potentially broadening Invesco's global ETF footprint. QQI joins the Invesco QQQ Equal Weight ETF, or QEW, introduced in March 2026 to address concentration risk within the Nasdaq 100, as part of Invesco's broader push into lower-fee, scalable ETFs built on the QQQ franchise. Invesco's narrative projects $8.3 billion in revenue and $1.4 billion in earnings by 2029, requiring 6.4% yearly revenue growth and a $1.7 billion earnings increase from -$309.2 million today, while the most optimistic analysts see revenue reaching about US$5.2 billion and earnings about US$1.6 billion by 2029. The company remains unprofitable, and the near-term catalyst is still whether it can stabilize margins as pricing pressure, competition and digital disruption weigh on its core business.

Invesco's fair value estimate has been revised upward from US$32.79 to US$33.96 following a round of analyst price-target increases after the company's Q2 results. Several firms, including TD Cowen, BofA, Barclays, RBC Capital and Morgan Stanley, have raised their price targets on Invesco into a band running from about US$29 to US$39, signaling more confidence in the company's execution. TD Cowen and Keefe Bruyette describe Invesco's platform as increasingly durable, citing net new assets, margins and balance sheet strength, while RBC Capital and Barclays point to Q2 earnings and flow trends as supporting higher valuation multiples. BofA cited an improved view of organic growth when revising its target, though it joined JPMorgan, Barclays, Evercore ISI and Morgan Stanley in keeping Neutral, Equal Weight or In Line ratings. Alongside the fair value change, revenue growth shifted from an 11.74% decline to a projected 6.36% increase, net profit margin was revised from 31.58% to 17.05%, and the future P/E moved from 11.82x to 13.01x, while the discount rate remained at 8.06%.

GMH Communities and Invesco Real Estate have acquired the two-property student housing portfolio of Grant Street Station and South Street Station in West Lafayette, Indiana, adding 364 beds to GMH's national student housing portfolio. The portfolio comprises 176 units and 364 beds serving Purdue University, with Grant Street Station about 0.1 miles from campus and South Street Station about 0.2 miles away; both were built in 2014. Randall Calvert of TSB Realty served as exclusive sales broker for the transaction. GMH Communities CEO and President Gary Holloway Jr. said the communities' location, quality and competitive positioning made them an exciting opportunity, while GMH Vice President of Acquisitions Scott Hirshman said rents remain meaningfully below newer pedestrian properties, supporting durable occupancy and rental growth. Jay Hurley, Managing Director of Acquisitions at Invesco Real Estate, said the firm was pleased to partner with GMH in a market with compelling long-term fundamentals, calling student housing a high-conviction sector. Invesco Real Estate is the $86 billion global real estate investment platform of Invesco Ltd.

Aggregate assets under management at ten major U.S. asset managers rose 2.5% from the prior month to $8,458.3B in August, and were up 14.1% year over year. New York-based WisdomTree posted the biggest month-over-month increase among the ten, with its assets under management rising to roughly $173.7B at the end of August from $163B at the start of the month on $2.1B of net inflows. Atlanta, Georgia-based Invesco increased its August AUM to $2,562.1B, delivering net long-term inflows of $27.6B and money market net inflows of $35.8B, helped by favorable market returns and foreign exchange. Victory Capital saw its August-end AUM rise to $356.5B from $345.1B, with client assets increasing to $360.2B from $348.8B. The benchmark S&P 500 Index was up 2.6% to 7,686.4 points in August, while its accompanying State Street SPDR S&P 500 ETF Trust saw net outflows of $4.6B during the month.

Invesco Ltd. reported preliminary assets under management of $2.56 trillion as of Aug. 31, 2026, up 4.7% from July. The increase was driven by $49 billion of favorable market returns, $27.6 billion of net long-term inflows and $2.7 billion of favorable foreign-exchange movements, while money-market products attracted $35.8 billion of net inflows. The August rebound follows a 0.9% decline in July from June 30, 2026, and builds on a first half in which Invesco ended June with AUM of $2.47 trillion, up 23.4% year over year from $2.001 trillion, generating $66.9 billion of net long-term inflows, total net flows of $96 billion and $214.3 billion in market gains. Within the August total, ETFs & Index Strategies AUM rose 4.4% month over month to $783.4 billion, QQQ AUM increased 8% to $489 billion, Global Liquidity AUM climbed 15.6% to $269.3 billion, Fundamental Equities AUM rose 1.7% to $317.7 billion, Private Markets AUM rose 0.6% to $136.6 billion, and China JV and Multi-Asset/Other AUM reached $166.7 billion and $84.5 billion respectively, while Fundamental Fixed Income AUM edged down to $314.9 billion from $315.7 billion. Preliminary average total AUM for the quarter through Aug. 31 was $2.49 trillion and preliminary average active AUM was $1.24 trillion. Among peers, Franklin Resources reported preliminary AUM of $1.83 trillion as of Aug. 31, 2026, up 1.9% from $1.79 trillion at the end of July, and Lazard reported preliminary AUM of $290.3 billion, up 1.2% from $286.9 billion.

CME Group announced plans to launch E-mini Equity Factor futures on September 21, pending regulatory review, expanding its equity product suite with six new contracts tied to S&P 500 and Dow Jones indexes. The new futures include E-mini S&P 500 Growth, Value, Quality, Momentum, and Low Volatility, as well as E-mini Dow Jones U.S. Dividend 100, providing tailored exposure to specific equity factors. These contracts will complement single- and multi-factor strategies, offering capital efficiencies for risk management and relative value trading, and will be eligible for margin offsets with other cleared equity products. The launch is supported by S&P Dow Jones Indices, Invesco, and Schwab Asset Management, with trading available on CME Globex and through block trades and BTIC transactions.

Chinese government bonds are likely to keep behaving differently from other countries' debt, strategists say, as China's yields have edged down in recent months even as benchmarks in the U.S., Japan and the U.K. surged to multi-decade highs. Invesco's Norbert Ling said China bonds have room to outperform developed-market peers on a risk-adjusted basis, with supportive macro policies and strong export growth helping demand for central government bonds. UBS's Chun Lai Wu noted July macro data came in weaker than expected, suggesting domestic demand may take longer to recover, and expects the People's Bank of China to remain supportive through liquidity operations and targeted credit measures. Saxo's Charu Chanana said China's rate cycle is increasingly distinct from the U.S., Europe and Japan, so Chinese government bonds can still play a diversification role for global portfolios.

Invesco Real Estate more than doubled its loan originations year over year in the first half of 2026, reaching $3.20 billion in commitments focused largely on multifamily and industrial properties across North America and Europe. Alternative lenders drove most nonagency loan closings, underscoring how Invesco is aligning its real estate debt business with renewed strength in global debt markets. The surge highlights progress in private markets, though the most important short-term catalyst for Invesco still lies in sustaining ETF inflows, while the biggest risk remains ongoing margin compression from lower-cost products. Invesco's narrative projects $4.7 billion revenue and $1.5 billion earnings by 2029, with a fair value estimate of $32.79 per share.

Invesco shares touched a new 52-week high of $32.55 during Friday's trading session before closing at $31.69. The stock has rallied 17.2% over the past six months, outperforming the industry's 0.4% decline, while peers Franklin Resources and BlackRock gained 20.1% and 4% respectively. The company reported net long-term inflows of nearly $67 billion in the first half of 2026, with ending assets under management reaching $2.47 trillion as of June 30, up 23.4% year over year. Analysts have raised the Zacks Consensus Estimate for 2026 earnings to $2.80 per share, implying 37.9% growth, and the stock trades at a forward price-to-earnings multiple of 10.33, below the industry average of 13.83. Invesco also completed the sale of its Canadian fund management business and shifted its India partnership to a minority stake as part of restructuring efforts, while maintaining a dividend yield of 2.72%.

Invesco has been named a Zacks Rank 1 Strong Buy following a second-quarter report that showed record net long-term inflows of $45.1 billion and total assets under management reaching a record $2.5 trillion. Adjusted earnings per share of $0.71 beat consensus estimates by 4 cents and nearly doubled from a year ago, while revenue rose 20% to roughly $1.33 billion. Analysts have raised third-quarter EPS estimates by 8.82% to $0.74 and full-year fiscal 2026 projections by nearly 9% to $2.81. The stock trades at 10 times forward earnings with a 2.91% dividend yield, and its flagship QQQ ETF continues to benefit from strong investor demand for AI-related exposure.

Zacks Investment Research added five stocks to its Zacks Rank Number 1 Strong Buy list on July 31st. ASML Holding saw its current-year earnings consensus estimate rise 17.5% over the last 60 days. Invesco's estimate increased 8.5%, Citigroup's rose 5.1%, KLA's climbed 4.6%, and The Cheesecake Factory's estimate went up 2.5%.

Invesco Ltd. reported second-quarter 2026 diluted earnings per share of $0.76 and adjusted diluted EPS of $0.71, driven by record net long-term inflows of $45.1 billion. The inflows, which compare to $21.8 billion in the first quarter, were led by ETFs and Index at $30.1 billion, QQQ at $13.8 billion, the China joint venture at $6.9 billion, and Private Markets at $1.9 billion. Ending assets under management rose 14.4% from the prior quarter to $2.5 trillion, while adjusted operating margin expanded to 37.5% from 34.5%. The company reduced net debt by more than $450 million during the quarter and repurchased $50 million in common shares.

Krungsri Asset Management is confident that assets under management, or AUM, in 2026 will reach the target of 720 billion baht, after the first half saw AUM at 691 billion baht and a mutual fund market share of 8.10 percent, ranking fifth in the industry. The firm is moving ahead with launching new funds in partnership with global partner Invesco. In the first half, it launched three new funds: KF-GEI with a size of 1.398 billion baht, KF-SP500M, and KF-SP500MFX with a combined size of 1.352 billion baht. For the second half, the company recommends a portfolio diversification strategy of 50 percent in equities and 50 percent in fixed income. Within equities, it favors global stocks, technology stocks, dividend stocks, and healthcare stocks. For fixed income, it allocates 20 to 25 percent to Thai bonds, 15 percent to foreign bonds, and 10 percent to liquidity. On market views, KSAM assesses that the global economy will continue to expand, supported by AI and US consumption, while the Thai stock market still has a positive trend from economic stimulus measures and foreign capital inflows. It sets the SET Index target for this year at 1,650 to 1,700 points and estimates earnings per share, or EPS, at 96.87 baht per share.

Simply Wall St's discounted cash flow model estimates Invesco's fair value at $47.62, significantly above the most-followed analyst narrative that places it at $29.96. The analyst narrative, which considers the stock slightly overvalued relative to its last close of $30.50, hinges on a sharp earnings recovery and rising margins but faces pressure from fee compression and ETF competition. Invesco's stock has gained 20.22% over the past 90 days and delivered a 47.24% one-year total shareholder return. The company is expanding in private markets and alternative assets through partnerships with Barings and MassMutual, aiming to boost higher-fee revenue streams.

Krungsri Asset Management has launched three new funds in partnership with Invesco: KF-GEI with a size of 1.398 billion baht, and the KF-SP500M and KF-SP500MFX funds, which together total 1.352 billion baht. The firm's assets under management at the end of the first half of 2026 stood at 691 billion baht, and it remains a leader in foreign-currency funds with a combined size of over 1.39 billion baht. For the second-half investment outlook, Krungsri Asset Management recommends increasing weight in defensive equities, such as global dividend and healthcare sectors, to reduce volatility, while maintaining a positive view on Thai stocks driven by economic stimulus measures and foreign capital inflows. The SET earnings per share estimate for 2026 has been revised up to 96.87 baht per share. The global economy continues to expand, supported by AI investment and US consumption, but risks remain from inflation and Middle East tensions, which could pressure the Fed to raise rates by another 0.25 percent by year-end. For portfolio allocation, the firm suggests a 50 percent equity and 50 percent fixed-income split, diversified across global stocks, technology stocks, Chinese stocks, dividend stocks, and healthcare, alongside domestic and international bonds, as well as RMF and Thai ESG funds for tax benefits.

Invesco Ltd. reported preliminary month-end assets under management of US$2,470.30 billion, a 0.7% increase from the prior month, supported by US$8.0 billion in net long-term inflows and US$14.30 billion in money market net inflows. The AUM growth was aided by favorable market returns despite some foreign exchange headwinds, highlighting ongoing investor demand across both long-term and liquidity products. The company continues to lean into ETFs, alternatives, and digital solutions while working to restore profitability, though fee compression remains a central risk. Invesco recently launched additional BulletShares Treasury Bond ETFs, adding low-cost, scalable fixed income products that can attract sticky assets but at lower fees. Analyst estimates project revenue of about US$4.6 billion to US$4.8 billion and earnings of US$1.2 billion by 2029, with a fair value estimate of US$29.96 per share, implying a 3% upside from the current price.

Invesco QQQ Trust and its sibling Invesco NASDAQ 100 ETF together control 27% of all assets under management in the US large-cap growth ETF category, according to Invesco's Paul Schroeder. This concentration means daily 401(k) auto-contributions flow into the Nasdaq 100 regardless of valuation, reinforcing its dominance. Since the March 2020 market bottom, QQQ has returned 324% versus 143% for the SPDR S&P 500 ETF, while the Vanguard Growth ETF has returned 293% over the same period, often overlapping with the same mega-cap holdings. Schroeder noted the Nasdaq 100 has outperformed the pure tech sector while carrying roughly 40% less tech exposure, driven by consumer, healthcare, and industrial names listed on the exchange. The index is increasingly viewed as a broad large-cap benchmark rather than a niche growth sleeve, a shift that has already occurred in practice.

Retail investor anticipation of a SpaceX initial public offering has driven the busiest sustained month of interest in the Invesco QQQ Trust in six years, according to Invesco’s Paul Schroeder. QQQ and its sibling fund QQQM together control 27% of all U.S. large-cap growth ETF assets, making them the most logical vehicle for SpaceX exposure. A NASDAQ rule change in May eliminated the one-year seasoning requirement, allowing a company valued between $1.5 trillion and $2 trillion to enter the Nasdaq 100 shortly after listing. Schroeder noted that the steady inbound curiosity over the past month contrasts with a 2023 busy period that lasted only about a week and a half. The frenzy reflects retail investors reverse-engineering index mechanics to gain pre-IPO exposure, though float-adjusted weighting means the effective index-weight market cap at listing will be a fraction of SpaceX’s headline valuation.

Invesco reported first-quarter revenue of $1.26 billion, a 14% increase year on year, with assets under management and earnings per share in line with expectations. The stock rose 6.1% to around $27.04 following the results. Based on a narrative fair value of $29.32 versus a last close of $27.83, Invesco is framed as modestly undervalued, with the gap tied to a mix of earnings recovery and capital return. A proposed modernization of the QQQ fund structure from a unit investment trust to an open-end ETF is expected to improve net revenue and earnings by approximately 4 basis points. The stock has returned 72.28% over the past year, though it faces pressure from weaker net revenue yield and rising competition in ETFs and active equity.

Northern Trust has been appointed by Invesco to provide administration, custody and depositary services for its new Irish-domiciled index tracking mutual fund range, Invesco Markets V ICAV. The new fund range is designed to make Invesco's swap-based synthetic approach to index replication available to mutual fund investors in Europe via investment platforms and other institutional channels, a replication model previously offered only through Invesco's exchange-traded funds. The mandate extends Northern Trust's existing relationship with Invesco, building on its support of the firm's synthetic ETF platform and administration services for its digital assets platform. Invesco, headquartered in Atlanta, Georgia, had US$2.45 trillion in assets under management as of 31 May 2026. Northern Trust had US$18.6 trillion in assets under custody or administration and US$1.8 trillion in assets under management as of 31 March 2026.

The Invesco S&P 500 High Dividend Low Volatility ETF, trading under the ticker SPHD, has delivered a 4.57% dividend yield and a 10.45% year-to-date return, surpassing the State Street SPDR S&P 500 ETF Trust’s 0.98% yield and 7.47% gain by completely excluding the Magnificent 7 technology stocks. SPHD screens the S&P 500’s 75 highest-yielding stocks and then selects the 50 with the lowest volatility, resulting in heavy weightings in utilities, real estate, financials, and consumer staples. Over the long term, SPY outperforms SPHD due to the dominance of the Magnificent 7, and a Federal Reserve interest rate cut would likely widen that performance gap further. SPHD has maintained uninterrupted monthly dividends since its inception in 2012 and currently holds net assets of $3.23 billion with an expense ratio of 0.30%.