Victory Capital: Multiple Avenues Of Growth

Victory Capital Holdings is rated 'Buy', driven by strong earnings, robust AUM growth, and successful integration of acquisitions like Pioneer. VCTR's strategy leverages M&A and ETF product expansion, supporting revenue, EBITDA, and EPS growth above sector and historical averages. 1Q26 results exceeded expectations: revenue +77% yoy, adjusted EBITDA +75% yoy, and stable fee rates amid industry-wide compression. Healthy leverage, consistent dividends, and active share repurchases provide downside support while valuation remains below recent peaks.

Victory Capital Holdings' ( VCTR ) stock is +37% YTD, driven by stronger-than-expected earnings from a growing ETF segment in addition to higher AUM and earnings from recent acquisitions such as Pioneer. VCTR has a clear strategy to