AllianceBernstein falls after BofA downgrades to "neutral"

Alliancebernstein Holding LP

03/04/2025 13:18

** Shares of investment management firm AllianceBernstein AB.N fall 3.5% to $37.63 premarket

** BofA Global Research downgrades to "neutral" from "buy", cuts PO to $38 from $42, implying ~2.6% downside to stock's last close

** Flags soft investment performance and active approach to management by strategic investor Equitable Holdings EQH.N

** "The softer bond performance is critical as we expect significant bond reallocations over the next three years as investors move out of cash alternatives and extend durations," says brokerage

** Adds that a more active approach to management from EQH could negatively impact AB’s culture and ability to attract talent

** As of last close, AB stock up ~5.2% YTD compared to a 3.6% decline in the S&P 500  .SPX

(Reporting by Ateev Bhandari in Bengaluru)

((Ateev.Bhandari@thomsonreuters.com; ))