Abstract
Artisan Partners Asset Management will release its quarterly results on February 03, 2026 Post Market; investors should watch revenue, margins, and EPS versus guidance, with current estimates pointing to year-over-year growth supported by higher management fees and stable operating leverage.
Market Forecast
Consensus forecasts for the current quarter indicate that Artisan Partners Asset Management’s revenue is estimated at $322.13 million, up 10.05% year over year, with EBIT of $116.84 million, up 10.54% year over year, and EPS of $1.08, up 13.09% year over year. The company’s previous report implies a gross profit margin framework near the mid-40% range, a net profit margin above 20.00%, and adjusted EPS growth consistent with higher average assets under management and controlled expenses. The main business is expected to be driven by management fees tied to market appreciation and net inflows; performance fees remain a smaller swing factor with episodic recognition. The most promising segment is the management fee line, which delivered $301.27 million last quarter and continues to benefit from higher average assets under management, implying a durable YoY expansion.
Last Quarter Review
In the last reported quarter, Artisan Partners Asset Management posted revenue of $301.30 million, a gross profit margin of 45.82%, GAAP net profit attributable to the parent company of $66.83 million, a net profit margin of 22.18%, and adjusted EPS of $1.02, up 10.87% year over year. One key highlight was operating execution that delivered EBIT of $109.20 million, modestly above the $107.00 million estimate, reflecting discipline on compensation and G&A while scaling with higher management fees. The company’s main business—management fees—contributed $301.27 million, while performance fees were negligible at $0.02 million; management-fee growth and favorable mix supported profitability momentum.
Current Quarter Outlook (with major analytical insights)
Main Business: Recurring Management Fees Anchored by AUM Levels
Management fees remain the economic engine for Artisan Partners Asset Management, and they scale with average assets under management and fee rates. With market indices broadly supportive through the quarter and the firm’s strategies positioned across U.S., global, and non-U.S. equities, fee-bearing AUM likely tracked higher on a blended basis, sustaining revenue expansion. The forecast revenue of $322.13 million implies continued growth in management fees, with the EBIT estimate of $116.84 million suggesting incremental operating leverage from a largely fixed-cost platform. Expense discipline matters: compensation and benefits typically flex with revenues, but the company’s historical approach has held non-compensation costs relatively stable, helping preserve mid-40% gross margins and a net margin above 20.00%. The embedded sensitivity to equity markets remains the key variable; however, the revenue mix skews to recurring fees rather than episodic performance fees, improving visibility quarter to quarter.
Most Promising Business: Management Fees as Durable Growth Driver
The management fee line is positioned as the principal growth engine this quarter, building on last quarter’s $301.27 million contribution and benefiting from higher average assets under management and stable fee rates. The year-over-year forecast revenue increase of 10.05% aligns with a scenario where net inflows and market appreciation lift the base, while investment performance helps stabilize client retention. Operating leverage appears intact, with estimates calling for EPS growth of 13.09%, ahead of revenue growth, consistent with a scalable cost structure and controlled variable compensation accruals. While performance fees can enhance upside in select strategies, they were negligible last quarter, and the current setup implies the growth profile relies primarily on recurring fees, which tends to be more sustainable and less volatile.
Factors Likely to Move the Stock Price This Quarter
Earnings sensitivity to market performance and flows will drive the stock’s post-print reaction, particularly updates on assets under management, net inflows, and any changes to fee rates. Margin commentary will matter: investors will parse compensation accruals, distribution expenses, and any changes in incentive compensation tied to performance results to gauge the durability of EBIT expansion. Commentary on performance-fee visibility could add optionality; however, the base case embeds little contribution from that line, so any positive surprise would likely support upside to the EBIT and EPS trajectory. Finally, qualitative updates on client demand across institutional channels and intermediary platforms will shape expectations for calendar 2026 net flows and revenue durability.
Analyst Opinions
Bullish views dominate recent commentary. A notable example is a Buy rating with a $51.00 price target reaffirmed in late January by a well-followed brokerage, citing improving revenue visibility from higher average assets under management and stable fee capture. The majority view emphasizes the positive setup into the print: consensus looks for revenue of $322.13 million and EPS of $1.08, with EBIT growth outpacing operating expense increases, suggesting healthy operating leverage. Supporters also point to manageable variability in performance fees and a mix that is skewed toward recurring management fees, which should help limit earnings volatility. On balance, the bullish camp expects execution on margins and a constructive update on flows, which would underpin the case for continued EPS expansion through calendar 2026.Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
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