0.02%
1.10%
10.43%
26.32%
96.21%
102.57%
217.26%

Company Description

Victory Capital Holdings, Inc., together with its subsidiaries, operates as an asset management company worldwide.It offers investment advisory, fund administration, fund compliance, fund transfer agent, and fund distribution services.The company provides specialized investment strategies to institutions, intermediaries, retirement platforms, and individual investors.


As of December 31, 2021, its franchises and solutions platform managed a set of 130 investment strategies for a range of institutional and retail clients, and direct investors.The company has strategic alliance with Xavier University of Louisiana.Victory Capital Holdings, Inc.


was incorporated in 2013 and is headquartered in San Antonio, Texas.

Market Data

Last Price 66.18
Change Percentage 0.02%
Open 66.12
Previous Close 66.17
Market Cap ( Millions) 4304
Volume 205144
Year High 73.42
Year Low 33.87
M A 50 65.84
M A 200 56.09

Financial Ratios

FCF Yield 7.98%
Dividend Yield 2.35%
ROE 24.13%
Debt / Equity 83.65%
Net Debt / EBIDTA 171.92%
Price To Book 3.66
Price Earnings Ratio 16.07
Price To FCF 12.54
Price To sales 4.9
EV / EBITDA 11.03

Business Breakdown

Expected Mid-Term Growth

Segment n°1 -> Investment Management Fees - Mutual Funds (Victory Funds)

Expected Growth : 5.0 %

What the company do ?

Victory Capital Holdings, Inc.'s Investment Management Fees for Mutual Funds (Victory Funds) are fees charged to investors for managing their investments, covering operating costs and generating revenue.

Why we expect these perspectives ?

Victory Funds' 5.0% growth in investment management fees is driven by increasing assets under management (AUM) from successful fund launches, strong investment performance, and strategic acquisitions. Additionally, the company's diversified product offerings, expanding distribution channels, and growing demand for actively managed funds also contribute to the growth.

Segment n°2 -> Investment Management Fees - Separate Accounts and Other Vehicles

Expected Growth : 5.0 %

What the company do ?

Victory Capital Holdings, Inc.'s Investment Management Fees for Separate Accounts and Other Vehicles refer to the costs associated with managing investment portfolios for individual and institutional clients.

Why we expect these perspectives ?

Victory Capital Holdings, Inc.'s 5.0% growth in Investment Management Fees - Separate Accounts and Other Vehicles is driven by increasing assets under management, expansion of distribution channels, and a growing demand for customized investment solutions. Additionally, the company's strategic acquisitions and partnerships have enhanced its product offerings, contributing to the growth.

Segment n°3 -> Fund Administration and Distribution Fees - Administration Fees - Mutual Funds (Victory Funds)

Expected Growth : 5.0 %

What the company do ?

Fund Administration and Distribution Fees for Victory Funds, managed by Victory Capital Holdings, Inc., cover costs of operating and distributing mutual funds to investors.

Why we expect these perspectives ?

Victory Funds' 5.0% growth in administration fees is driven by increasing assets under management (AUM), fueled by strong investment performance, successful product launches, and strategic acquisitions. Additionally, the company's focus on operational efficiency and cost savings initiatives have contributed to the growth.

Segment n°4 -> Fund Administration and Distribution Fees - Transfer Agent Fees - Mutual Funds (Victory Funds III)

Expected Growth : 5.0 %

What the company do ?

Fund Administration and Distribution Fees - Transfer Agent Fees for Victory Funds III, managed by Victory Capital Holdings, Inc., cover costs of mutual fund operations and distribution.

Why we expect these perspectives ?

Victory Funds III's 5.0% growth in Fund Administration and Distribution Fees, driven by increased assets under management, is attributed to strong investment performance, effective distribution channels, and a growing retail investor base. Additionally, the transfer agent fees benefit from the fund's expanding presence in the market, resulting in higher transaction volumes.

Segment n°5 -> Fund Administration and Distribution Fees - Distribution Fees - Mutual Funds (Victory Funds)

Expected Growth : 5.0 %

What the company do ?

Fund Administration and Distribution Fees for Victory Funds, managed by Victory Capital Holdings, Inc., cover costs of mutual fund operations, marketing, and distribution.

Why we expect these perspectives ?

Victory Funds' 5.0% growth in Distribution Fees is driven by increasing assets under management (AUM) from successful fund launches, strategic partnerships, and expanding distribution channels. Additionally, the company's focus on investment performance, risk management, and customer service has led to increased investor confidence, resulting in higher sales and revenue growth.

Segment n°6 -> Investment Management Fees - Exchange Traded Funds (Victory Shares)

Expected Growth : 5.0 %

What the company do ?

Victory Shares' Investment Management Fees for Exchange Traded Funds (ETFs) are competitive, transparent, and aligned with investor interests, ranging from 0.35% to 0.85% annually.

Why we expect these perspectives ?

Victory Shares' 5.0% growth in Investment Management Fees is driven by increasing adoption of ETFs, expansion into new markets, and strategic partnerships. Strong investment performance, competitive pricing, and a diverse product suite also contribute to growth. Additionally, Victory Capital's robust distribution network and advisor engagement efforts support the segment's expansion.

Segment n°7 -> Investment Management Fees - Performance-based Fees - Mutual Funds (Victory Funds III)

Expected Growth : 5.0 %

What the company do ?

Victory Funds III's performance-based fees are a type of investment management fee where the fund manager's compensation is tied to the fund's performance, incentivizing them to generate strong returns.

Why we expect these perspectives ?

Victory Funds III's 5.0% growth in performance-based fees is driven by strong investment performance, increasing assets under management, and a competitive fee structure. The fund's ability to attract and retain investors, coupled with its successful investment strategies, has led to an increase in revenue from performance-based fees.

Segment n°8 -> Fund Administration and Distribution Fees - Administration Fees - Exchange Traded Funds (Victory Shares)

Expected Growth : 5.0 %

What the company do ?

Fund Administration and Distribution Fees for Victory Shares, a type of Exchange Traded Funds (ETFs) managed by Victory Capital Holdings, Inc., covering operational costs and services.

Why we expect these perspectives ?

Victory Shares' 5.0% growth in administration fees is driven by increasing demand for ETFs, expansion of distribution channels, and strategic partnerships. The rise of passive investing and growing adoption of ETFs among institutional and retail investors also contribute to this growth. Additionally, Victory Capital's strong brand reputation and competitive pricing strategy support the segment's growth.

Segment n°9 -> Investment Management Fees - Performance-based Fees - Separate Accounts and Other Vehicles

Expected Growth : 5.0 %

What the company do ?

Victory Capital Holdings, Inc.'s Investment Management Fees include Performance-based Fees for Separate Accounts and Other Vehicles, incentivizing outperformance with a percentage of excess returns.

Why we expect these perspectives ?

Victory Capital Holdings, Inc.'s 5.0% growth in Investment Management Fees, driven by Performance-based Fees and Separate Accounts and Other Vehicles, is attributed to strong investment performance, increased assets under management, and strategic acquisitions. Additionally, the company's diversified product offerings, robust distribution network, and cost discipline have contributed to its growth momentum.

Victory Capital Holdings, Inc. Products

Product Range What is it ?
Institutional Asset Management Victory Capital Holdings, Inc. offers institutional asset management services to institutional clients, including pension funds, endowments, and foundations.
Retail Asset Management The company provides retail asset management services to individual investors, financial advisors, and broker-dealers.
US Equity Victory Capital Holdings, Inc. offers a range of US equity investment strategies, including large-cap, mid-cap, and small-cap equities.
Fixed Income The company provides fixed income investment strategies, including high-yield bonds, investment-grade bonds, and municipal bonds.
Solutions Platform Victory Capital Holdings, Inc. offers a solutions platform that provides investors with access to a range of investment strategies and products.
Exchange-Traded Funds (ETFs) The company offers a range of ETFs that track various market indices, sectors, and asset classes.

Victory Capital Holdings, Inc.'s Porter Forces

The threat of substitutes for Victory Capital Holdings, Inc. is medium due to the presence of alternative investment products and services offered by competitors.

The bargaining power of customers for Victory Capital Holdings, Inc. is low due to the company's diversified client base and lack of concentration of clients.

The bargaining power of suppliers for Victory Capital Holdings, Inc. is medium due to the company's dependence on a few key suppliers for certain services.

The threat of new entrants for Victory Capital Holdings, Inc. is high due to the relatively low barriers to entry in the investment management industry.

The intensity of rivalry for Victory Capital Holdings, Inc. is high due to the highly competitive nature of the investment management industry.

Capital Structure

Value
Debt Weight 48.56%
Debt Cost 8.57%
Equity Weight 51.44%
Equity Cost 8.57%
WACC 8.57%
Leverage 94.39%

Historical Valuation

Price/Earnings Ratio

Margin Valuation

Peers Valuation

Competitors

Company Rational
GBDC Golub Capital BDC, Inc. (GBDC) is a business development company and operates as an externally managed closed-end non-diversified management investment company. It invests in debt and minority equity investments in …
HTGC Hercules Capital, Inc. is a business development company. The firm specializing in providing venture debt, debt, senior secured loans, and growth capital to privately held venture capital-backed companies at all …
FHI Federated Hermes, Inc. is a publicly owned asset management holding company. Through its subsidiaries, the firm provides its services to individuals, including high net worth individuals, banking or thrift institutions, …
ARCC Ares Capital Corporation is a business development company specializing in acquisition, recapitalization, mezzanine debt, restructurings, rescue financing, and leveraged buyout transactions of middle market companies. It also makes growth capital …
FSK FS KKR Capital Corp. is a business development company specializing in investments in debt securities. It provides customized credit solutions to private middle market U.S. companies. It invest primarily in …

Peers Metrics

DCF BETA

Parameters

Short Term Growth
Short term Time
Long-Term Growth
WACC
Target Price
66.18$
Current Price
66.18$
Potential
-0.00%

Expected Cash-Flows

Scoring Insights

Peers Group Analysis

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