T. Rowe Price Group, Inc. (TROW) Financial Ratios
30 years of historical data (1996–2025) · Financial Services · Asset Management
EV/EBITDA
↓
7.85
↓-10% vs avg
5yr avg: 8.77
30Y Low3.5·High17.2
P/FCF
↑
15.61
↓-11% vs avg
5yr avg: 17.55
30Y Low11.7·High34.8
P/B Ratio
↓
1.97
↓-26% vs avg
5yr avg: 2.68
30Y Low1.9·High7.5
ROE
↓
17.8%
-13% vs avg
5yr avg: 20.4%
30Y Low16%·High32%
Debt/EBITDA
↑
0.33
↑+127% vs avg
5yr avg: 0.14
30Y Low0.0·High0.7
Percentile shows where the current value sits in 30-year historical distribution. Sparklines show 5-year trend.
TROW Valuation Multiples
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
T. Rowe Price Group, Inc. trades at 11.5x earnings, 16% below its 5-year average of 13.7x, sitting at the 3rd percentile of its historical range. Compared to the Financial Services sector median P/E of 13.4x, the stock trades at a discount of 14%. On a free-cash-flow basis, the stock trades at 15.6x P/FCF, 11% below the 5-year average of 17.5x.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $23.1B | $22.9B | $25.3B | $24.2B | $24.8B | $45.0B | $35.0B | $29.1B | $22.8B | $25.7B | $18.8B |
| Enterprise Value | $20.6B | $20.4B | $22.9B | $22.5B | $23.3B | $43.7B | $33.0B | $27.4B | $21.4B | $23.8B | $17.6B |
| P/E Ratio → | 11.47 | 11.07 | 12.36 | 13.88 | 16.28 | 14.99 | 15.17 | 14.00 | 12.70 | 17.58 | 15.84 |
| P/S Ratio | 3.16 | 3.13 | 3.56 | 3.75 | 3.82 | 5.86 | 5.64 | 5.17 | 4.24 | 5.30 | 4.40 |
| P/B Ratio | 1.97 | 1.90 | 2.21 | 2.35 | 2.56 | 4.39 | 3.78 | 3.54 | 3.32 | 3.77 | 3.31 |
| P/FCF | 15.61 | 15.49 | 20.01 | 26.57 | 11.67 | 14.00 | 20.54 | 22.06 | 15.70 | 592.59 | 848.54 |
| P/OCF | 13.17 | 13.07 | 14.98 | 19.86 | 10.50 | 13.03 | 18.24 | 19.09 | 14.07 | 112.06 | 110.48 |
P/E links to full P/E history page with 30-year chart
TROW EV Ratios
Enterprise-value multiples — capital-structure-neutral measures of total business value
T. Rowe Price Group, Inc.'s enterprise value stands at 7.9x EBITDA, 10% below its 5-year average of 8.8x. The Financial Services sector median is 11.4x, placing the stock at a 31% discount on an enterprise-value basis.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 2.79 | 3.23 | 3.48 | 3.60 | 5.70 | 5.32 | 4.88 | 3.98 | 4.91 | 4.12 |
| EV / EBITDA | 7.85 | 7.78 | 8.06 | 9.10 | 7.73 | 11.17 | 11.24 | 10.64 | 8.48 | 10.57 | 9.45 |
| EV / EBIT | 9.40 | 8.34 | 9.24 | 11.02 | 9.35 | 11.78 | 12.02 | 11.49 | 9.11 | 11.57 | 9.80 |
| EV / FCF | — | 13.79 | 18.13 | 24.64 | 11.00 | 13.61 | 19.36 | 20.81 | 14.72 | 548.75 | 794.26 |
TROW Profitability
Margins and return-on-capital ratios measuring operating efficiency
T. Rowe Price Group, Inc. earns an operating margin of 29.9%, above the Financial Services sector average of 21.2%. ROE of 17.8% indicates solid capital efficiency, compared to the sector median of 9.4%. ROIC of 13.3% represents solid returns on invested capital versus a sector median of 5.7%.
Margins
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 62.7% | 62.7% | 51.9% | 49.6% | 55.0% | 61.0% | 57.8% | 57.5% | 58.2% | 57.3% | 56.4% |
| Operating Margin | 29.9% | 29.9% | 32.9% | 30.7% | 36.6% | 48.4% | 44.2% | 42.5% | 44.0% | 43.4% | 40.5% |
| Net Profit Margin | 28.5% | 28.5% | 29.6% | 27.7% | 24.0% | 40.2% | 38.2% | 37.9% | 34.2% | 30.9% | 28.4% |
Return on Capital
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 17.8% | 17.8% | 19.3% | 17.9% | 15.6% | 31.6% | 27.1% | 28.3% | 26.9% | 23.9% | 23.2% |
| ROA | 14.9% | 14.9% | 16.3% | 15.0% | 12.9% | 26.6% | 23.7% | 25.0% | 24.1% | 21.8% | 21.4% |
| ROIC | 13.3% | 13.3% | 15.7% | 14.5% | 17.4% | 27.9% | 23.1% | 23.5% | 25.3% | 24.0% | 24.0% |
| ROCE | 15.9% | 15.9% | 18.8% | 17.3% | 20.5% | 33.1% | 28.2% | 28.9% | 32.2% | 31.8% | 31.7% |
TROW Leverage & Debt
Solvency and debt-coverage ratios — lower is generally safer
T. Rowe Price Group, Inc. carries a Debt/EBITDA ratio of 0.3x, which is very conservative (92% below the sector average of 4.1x). The company holds a net cash position — cash of $3.4B exceeds total debt of $860M, providing substantial financial flexibility for buybacks, acquisitions, or weathering downturns.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.07 | 0.07 | 0.02 | 0.03 | 0.03 | 0.02 | 0.02 | 0.02 | — | 0.04 | 0.06 |
| Debt / EBITDA | 0.33 | 0.33 | 0.10 | 0.13 | 0.11 | 0.06 | 0.05 | 0.06 | — | 0.13 | 0.19 |
| Net Debt / Equity | — | -0.21 | -0.21 | -0.17 | -0.15 | -0.12 | -0.22 | -0.20 | -0.21 | -0.28 | -0.21 |
| Net Debt / EBITDA | -0.96 | -0.96 | -0.84 | -0.71 | -0.47 | -0.33 | -0.68 | -0.63 | -0.57 | -0.84 | -0.65 |
| Debt / FCF | — | -1.70 | -1.88 | -1.93 | -0.67 | -0.40 | -1.17 | -1.24 | -0.98 | -43.84 | -54.27 |
| Interest Coverage | — | — | — | — | — | — | — | — | — | — | — |
Net cash position: cash ($3.4B) exceeds total debt ($860M)
TROW Liquidity & Efficiency
Short-term solvency ratios and asset-utilisation metrics
T. Rowe Price Group, Inc.'s current ratio of 73.08x is well above the 1.0 safety threshold, indicating strong short-term liquidity with ample room to cover current liabilities. The current ratio has improved from 5.88x to 73.08x over the past 3 years.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 73.08 | 73.08 | 8.01 | 5.88 | 5.53 | 5.07 | 11.06 | 9.86 | 6.99 | 8.67 | 7.54 |
| Quick Ratio | 73.08 | 73.08 | 8.01 | 5.88 | 5.53 | 5.07 | 11.06 | 9.86 | 6.99 | 8.67 | 7.54 |
| Cash Ratio | 60.33 | 60.33 | 6.01 | 4.23 | 3.88 | 2.99 | 7.89 | 7.23 | 5.04 | 6.69 | 5.47 |
| Asset Turnover | — | 0.50 | 0.53 | 0.53 | 0.56 | 0.61 | 0.58 | 0.60 | 0.70 | 0.64 | 0.69 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
TROW Shareholder Yields
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
T. Rowe Price Group, Inc. returns 7.5% to shareholders annually — split between a 4.8% dividend yield and 2.7% buyback yield. A payout ratio of 54.8% is moderate and appears sustainable, balancing shareholder returns with reinvestment capacity. The earnings yield of 8.7% (inverse of P/E) provides a useful comparison to bond yields when assessing the stock's relative attractiveness to fixed income.
Dividends
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 4.8% | 5.0% | 4.5% | 4.6% | 4.5% | 3.8% | 2.4% | 2.5% | 3.0% | 2.2% | 2.9% |
| Payout Ratio | 54.8% | 54.8% | 54.1% | 62.7% | 71.1% | 55.2% | 35.6% | 34.4% | 37.8% | 37.6% | 44.5% |
Total Shareholder Return Metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 8.7% | 9.0% | 8.1% | 7.2% | 6.1% | 6.7% | 6.6% | 7.1% | 7.9% | 5.7% | 6.3% |
| FCF Yield | 6.4% | 6.5% | 5.0% | 3.8% | 8.6% | 7.1% | 4.9% | 4.5% | 6.4% | 0.2% | 0.1% |
| Buyback Yield | 2.7% | 2.7% | 1.5% | 1.1% | 3.4% | 2.5% | 3.4% | 2.4% | 4.8% | 1.8% | 3.6% |
| Total Shareholder Yield | 7.5% | 7.7% | 6.0% | 5.8% | 7.9% | 6.3% | 5.9% | 5.0% | 7.8% | 4.0% | 6.5% |
| Shares Outstanding | — | $224M | $223M | $225M | $227M | $229M | $231M | $239M | $247M | $245M | $250M |
Peer Comparison
Compare TROW with 10 similar companies in its peer group
| Company | Market Cap | P/E | EV/EBITDA | P/FCF | Gross Margin | Op Margin | ROE | ROIC | Debt/EBITDA |
|---|---|---|---|---|---|---|---|---|---|
 TROWYou | $23B | 11.5 | 7.9 | 15.6 | 62.7% | 29.9% | 17.8% | 13.3% | 0.3 |
 BEN | $16B | 34.2 | 22.8 | 17.8 | 80.3% | 6.9% | 3.7% | 1.6% | 11.7 |
 IVZ | $12B | -17.1 | 16.5 | 8.4 | 43.2% | -10.9% | -2.0% | -2.3% | 8.2 |
 AMG | $8B | 13.5 | 10.8 | 8.1 | 86.0% | 31.8% | 15.8% | 8.1% | 2.8 |
 VRTS | $960M | 7.2 | 16.3 | — | 74.9% | 17.4% | 13.5% | 3.0% | 13.9 |
 BLK | $167B | 25.6 | 20.7 | 35.4 | 49.4% | 37.1% | 14.1% | 9.9% | 1.8 |
 STT | $43B | 18.4 | -9.2 | — | 58.5% | 15.5% | 10.9% | 4.6% | 9.2 |
 APAM | $3B | 9.3 | 6.9 | 15.6 | 45.7% | 33.4% | 37.9% | 26.7% | 1.0 |
 VCTR | $5B | 20.2 | 9.7 | 22.3 | 71.1% | 42.5% | 18.6% | 15.2% | 1.5 |
 MORN | $6B | 18.9 | 10.2 | 14.4 | 61.0% | 21.5% | 26.3% | 15.3% | 2.0 |
 SCHW | $164B | 30.8 | 18.3 | 79.9 | 75.4% | 29.6% | 13.3% | 6.0% | 4.9 |
| Financial Services Median | — | 13.4 | 11.4 | 10.6 | 63.4% | 21.2% | 9.4% | 5.7% | 4.1 |
Peer selection based on competitive and market overlap. Compare multiple stocks →
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Full TROW Stock Analysis
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Start ComparisonTROW — Frequently Asked Questions
Quick answers to the most common questions about buying TROW stock.
What is T. Rowe Price Group, Inc.'s P/E ratio?
T. Rowe Price Group, Inc.'s current P/E ratio is 11.5x. The historical average is 20.0x. This places it at the 3th percentile of its historical range.
What is T. Rowe Price Group, Inc.'s EV/EBITDA?
T. Rowe Price Group, Inc.'s current EV/EBITDA is 7.9x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 10.8x.
What is T. Rowe Price Group, Inc.'s ROE?
T. Rowe Price Group, Inc.'s return on equity (ROE) is 17.8%. The historical average is 23.6%.
Is TROW stock overvalued?
Based on historical data, T. Rowe Price Group, Inc. is trading at a P/E of 11.5x. This is at the 3th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
What is T. Rowe Price Group, Inc.'s dividend yield?
T. Rowe Price Group, Inc.'s current dividend yield is 4.81% with a payout ratio of 54.8%.
What are T. Rowe Price Group, Inc.'s profit margins?
T. Rowe Price Group, Inc. has 62.7% gross margin and 29.9% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
How much debt does T. Rowe Price Group, Inc. have?
T. Rowe Price Group, Inc.'s Debt/EBITDA ratio is 0.3x, indicating low leverage. A ratio below 2x is generally considered financially healthy.