ValueAct's Mason Morfit Invests in BlackRock, Sees Potential in Investment Management Software
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 15 hours ago
0mins
Should l Buy TROW?
Source: CNBC
- Investment Management Software Potential: Mason Morfit of ValueAct disclosed his stake in BlackRock, highlighting the Aladdin platform's ability to automate investment decisions, which could significantly enhance portfolio management efficiency, reduce costs, and accelerate processes, showcasing its technological edge in investment management.
- Market Competitive Advantage: Morfit noted that BlackRock can reshape its image as merely an ETF manager through the Aladdin platform, leveraging technology integration to improve management efficiency and strengthen its competitive position against Vanguard, thereby solidifying its market presence.
- Industry Efficiency Issues: While Morfit acknowledged that his investment thesis might seem 'strange,' he emphasized the significant inefficiencies within the sector, creating a pressing need for a company to organize and streamline technology, with BlackRock's strengths in data and software positioning it well to address this need.
- Analyst Optimism: Despite BlackRock's shares dropping over 3% in February, most analysts maintain buy ratings, with expectations for the stock to rise over 23% in the next year, reflecting confidence in its long-term growth potential.
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Analyst Views on TROW
Wall Street analysts forecast TROW stock price to rise
7 Analyst Rating
0 Buy
4 Hold
3 Sell
Moderate Sell
Current: 93.760
Low
94.00
Averages
104.67
High
115.00
Current: 93.760
Low
94.00
Averages
104.67
High
115.00
About TROW
T. Rowe Price Group, Inc. is a financial services holding company that provides global investment advisory services to investors. It provides a range of investment solutions across equity, fixed income, multi-asset, and alternative capabilities for clients from individuals to advisors to institutions to retirement plan sponsors. It also provides certain investment advisory clients with related administrative services, including distribution, mutual fund transfer agent, accounting, and shareholder services; participant recordkeeping and transfer agent services for defined contribution retirement plans; brokerage; trust services, and non-discretionary advisory services through model delivery. It distributes its array of active investment solutions through a diverse set of distribution channels and vehicles. These vehicles include an array of U.S. mutual funds, collective investment trusts, exchange-traded funds, subadvised funds, separately managed accounts, and other sponsored products.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Nuveen's £9.9 Billion Acquisition of Schroders Sparks Attention
- Significant Acquisition Value: Nuveen's £9.9 billion acquisition of Schroders is set to create a global fund management giant with nearly $2.5 trillion in assets under management, marking a major consolidation trend in the asset management industry.
- Strong Market Reaction: The acquisition has sparked widespread discussion in the financial community, with many industry insiders expressing regret over Schroders' historical significance, reflecting deep concerns about the traditional asset management model.
- Accelerating Industry Consolidation: As profit margins for asset managers continue to contract due to a shift from active to passive management, the industry is witnessing an acceleration in merger activities aimed at achieving economies of scale and enhancing competitiveness.
- Uncertain Future Outlook: While the acquisition brings scale advantages, there is optimism about the rise of small boutique asset managers, which may offer more flexible services in long-term investments, potentially reshaping the industry landscape.
See More
ValueAct's Mason Morfit Invests in BlackRock, Sees Potential in Investment Management Software
- Investment Management Software Potential: Mason Morfit of ValueAct disclosed his stake in BlackRock, highlighting the Aladdin platform's ability to automate investment decisions, which could significantly enhance portfolio management efficiency, reduce costs, and accelerate processes, showcasing its technological edge in investment management.
- Market Competitive Advantage: Morfit noted that BlackRock can reshape its image as merely an ETF manager through the Aladdin platform, leveraging technology integration to improve management efficiency and strengthen its competitive position against Vanguard, thereby solidifying its market presence.
- Industry Efficiency Issues: While Morfit acknowledged that his investment thesis might seem 'strange,' he emphasized the significant inefficiencies within the sector, creating a pressing need for a company to organize and streamline technology, with BlackRock's strengths in data and software positioning it well to address this need.
- Analyst Optimism: Despite BlackRock's shares dropping over 3% in February, most analysts maintain buy ratings, with expectations for the stock to rise over 23% in the next year, reflecting confidence in its long-term growth potential.
See More
Stable Dividend Growth Investment Opportunities
- American States Water Overview: American States Water (AWR) has paid dividends since 1931 and has raised them annually for 70 years, making it a Dividend King with a current yield of 2.7%, reflecting its strong financial health.
- T. Rowe Price Growth Potential: T. Rowe Price (TROW) manages $1.78 trillion in assets, offering a dividend yield of 5.3%, and has reduced its payout ratio from 71.6% to 55%, enhancing its appeal as a steady growth stock.
- PepsiCo's Risk and Reward: PepsiCo (PEP) paid $7.92 billion in dividends in 2025, with a payout ratio of 105%, yet its revenue grew by 5.6% in Q4, indicating future growth potential despite cash flow pressures from acquisitions.
- Diversifying Dividend Portfolio: By combining the stability of American States Water, the high yield of T. Rowe Price, and the growth potential of PepsiCo, investors can create a diversified dividend portfolio to mitigate risk and enhance returns.
See More
T. Rowe Price Releases Annual 401(k) Benchmarking Report
- Increased Savings Rate: T. Rowe Price's report reveals that participants engaging with financial advice and tools through their workplace retirement site save at a rate 29% higher than non-users, indicating that effective financial guidance can significantly enhance retirement readiness.
- Account Balance Comparison: The report highlights that the average account balance of participants is twice that of non-users, underscoring the importance of financial education and tools in boosting retirement savings, despite only 13.8% of participants currently utilizing these resources.
- Broad Data Foundation: The findings are based on T. Rowe Price's full-service recordkeeping client data, representing over 2 million plan participants, ensuring the reliability and representativeness of the results to aid plan sponsors and consultants in making informed decisions.
- Industry Trend Insights: The head of Retirement Plan Services at T. Rowe Price emphasizes that personalized guidance and innovative design are crucial for retirement preparedness, highlighting the increasing necessity of providing financial tools and support amid changing economic conditions.
See More
T. Rowe Price Releases Annual 401(k) Benchmarking Report Highlighting Key Trends
- Increased Savings Rates: The report reveals that participants engaging with financial advice save at a rate 29% higher than non-users, with their average account balance being twice as much, highlighting the critical role of financial education in retirement readiness.
- Roth Contributions on the Rise: Plans offering Roth employer contributions see participation rates 30% higher and Roth balances 29% higher, indicating a growing preference among younger participants for Roth options.
- Changing Savings Behavior Pre-Retirement: Participants in their 50s and 60s increase their savings rates by an average of 1.4 percentage points annually, demonstrating a proactive approach to investment changes that surpasses typical automatic increases.
- Accelerated Adoption of SECURE 2.0: With 78% of plans adopting at least one SECURE 2.0 provision, the industry shows a strong commitment to enhancing retirement savings, particularly through higher catch-up limits and automatic distributions for small balances.
See More
T. Rowe Price Reports $1.80 Trillion AUM as of January 2026
- AUM Growth: As of January 31, 2026, T. Rowe Price's assets under management reached $1.80 trillion, an increase of $22 billion from $1.78 trillion at the end of December 2025, indicating robust growth in the asset management sector.
- Asset Class Distribution: By asset class, equity accounted for $879 billion in AUM, fixed income (including money market) had $213 billion, multi-asset totaled $646 billion, and alternatives stood at $59 billion, showcasing the company's success in diversified investment strategies.
- Dividend Increase: T. Rowe Price raised its quarterly dividend by 2.4% to $1.30 per share, reflecting ongoing improvements in profitability and cash flow management, which enhances shareholder return confidence.
- Future Outlook: The company targets an expense growth of 3% to 6% for 2026 while advancing its ETF and global partnership strategy, aiming to further enhance market competitiveness and business expansion capabilities.
See More
Nuveen's £9.9 Billion Acquisition of Schroders Sparks Attention
- Significant Acquisition Value: Nuveen's £9.9 billion acquisition of Schroders is set to create a global fund management giant with nearly $2.5 trillion in assets under management, marking a major consolidation trend in the asset management industry.
- Strong Market Reaction: The acquisition has sparked widespread discussion in the financial community, with many industry insiders expressing regret over Schroders' historical significance, reflecting deep concerns about the traditional asset management model.
- Accelerating Industry Consolidation: As profit margins for asset managers continue to contract due to a shift from active to passive management, the industry is witnessing an acceleration in merger activities aimed at achieving economies of scale and enhancing competitiveness.
- Uncertain Future Outlook: While the acquisition brings scale advantages, there is optimism about the rise of small boutique asset managers, which may offer more flexible services in long-term investments, potentially reshaping the industry landscape.
See More
ValueAct's Mason Morfit Invests in BlackRock, Sees Potential in Investment Management Software
- Investment Management Software Potential: Mason Morfit of ValueAct disclosed his stake in BlackRock, highlighting the Aladdin platform's ability to automate investment decisions, which could significantly enhance portfolio management efficiency, reduce costs, and accelerate processes, showcasing its technological edge in investment management.
- Market Competitive Advantage: Morfit noted that BlackRock can reshape its image as merely an ETF manager through the Aladdin platform, leveraging technology integration to improve management efficiency and strengthen its competitive position against Vanguard, thereby solidifying its market presence.
- Industry Efficiency Issues: While Morfit acknowledged that his investment thesis might seem 'strange,' he emphasized the significant inefficiencies within the sector, creating a pressing need for a company to organize and streamline technology, with BlackRock's strengths in data and software positioning it well to address this need.
- Analyst Optimism: Despite BlackRock's shares dropping over 3% in February, most analysts maintain buy ratings, with expectations for the stock to rise over 23% in the next year, reflecting confidence in its long-term growth potential.
See More
Stable Dividend Growth Investment Opportunities
- American States Water Overview: American States Water (AWR) has paid dividends since 1931 and has raised them annually for 70 years, making it a Dividend King with a current yield of 2.7%, reflecting its strong financial health.
- T. Rowe Price Growth Potential: T. Rowe Price (TROW) manages $1.78 trillion in assets, offering a dividend yield of 5.3%, and has reduced its payout ratio from 71.6% to 55%, enhancing its appeal as a steady growth stock.
- PepsiCo's Risk and Reward: PepsiCo (PEP) paid $7.92 billion in dividends in 2025, with a payout ratio of 105%, yet its revenue grew by 5.6% in Q4, indicating future growth potential despite cash flow pressures from acquisitions.
- Diversifying Dividend Portfolio: By combining the stability of American States Water, the high yield of T. Rowe Price, and the growth potential of PepsiCo, investors can create a diversified dividend portfolio to mitigate risk and enhance returns.
See More
T. Rowe Price Releases Annual 401(k) Benchmarking Report
- Increased Savings Rate: T. Rowe Price's report reveals that participants engaging with financial advice and tools through their workplace retirement site save at a rate 29% higher than non-users, indicating that effective financial guidance can significantly enhance retirement readiness.
- Account Balance Comparison: The report highlights that the average account balance of participants is twice that of non-users, underscoring the importance of financial education and tools in boosting retirement savings, despite only 13.8% of participants currently utilizing these resources.
- Broad Data Foundation: The findings are based on T. Rowe Price's full-service recordkeeping client data, representing over 2 million plan participants, ensuring the reliability and representativeness of the results to aid plan sponsors and consultants in making informed decisions.
- Industry Trend Insights: The head of Retirement Plan Services at T. Rowe Price emphasizes that personalized guidance and innovative design are crucial for retirement preparedness, highlighting the increasing necessity of providing financial tools and support amid changing economic conditions.
See More
T. Rowe Price Releases Annual 401(k) Benchmarking Report Highlighting Key Trends
- Increased Savings Rates: The report reveals that participants engaging with financial advice save at a rate 29% higher than non-users, with their average account balance being twice as much, highlighting the critical role of financial education in retirement readiness.
- Roth Contributions on the Rise: Plans offering Roth employer contributions see participation rates 30% higher and Roth balances 29% higher, indicating a growing preference among younger participants for Roth options.
- Changing Savings Behavior Pre-Retirement: Participants in their 50s and 60s increase their savings rates by an average of 1.4 percentage points annually, demonstrating a proactive approach to investment changes that surpasses typical automatic increases.
- Accelerated Adoption of SECURE 2.0: With 78% of plans adopting at least one SECURE 2.0 provision, the industry shows a strong commitment to enhancing retirement savings, particularly through higher catch-up limits and automatic distributions for small balances.
See More
T. Rowe Price Reports $1.80 Trillion AUM as of January 2026
- AUM Growth: As of January 31, 2026, T. Rowe Price's assets under management reached $1.80 trillion, an increase of $22 billion from $1.78 trillion at the end of December 2025, indicating robust growth in the asset management sector.
- Asset Class Distribution: By asset class, equity accounted for $879 billion in AUM, fixed income (including money market) had $213 billion, multi-asset totaled $646 billion, and alternatives stood at $59 billion, showcasing the company's success in diversified investment strategies.
- Dividend Increase: T. Rowe Price raised its quarterly dividend by 2.4% to $1.30 per share, reflecting ongoing improvements in profitability and cash flow management, which enhances shareholder return confidence.
- Future Outlook: The company targets an expense growth of 3% to 6% for 2026 while advancing its ETF and global partnership strategy, aiming to further enhance market competitiveness and business expansion capabilities.
See More
