StepStone Co-COO Sold $9.6M Near Peak as Shares Slide
StepStone Group posted a 4.0% EPS miss on August 6, its first in four quarters, as SPW funding risk clouds the fee-growth narrative behind a 14x forward P/E. Co-COO Fernandez sold $9.61 million near a
StepStone Stock Drops as SPW Risk Clouds Fee Growth
NEW YORK, August 8 —
StepStone Group Inc. (STEP) shares are falling on SPW funding risk, two days after the firm's August 6 earnings filing disclosed its first miss in four quarters. The drop sharpens a split two senior insiders telegraphed in June: one cashed out $9.61 million near the highs; the other bought $5.02 million near the lows ten days later.
- Most recent quarter: $0.48 EPS vs. consensus, 4.0% miss, first in four quarters.
- Co-COO Fernandez sold 202,290 shares at up to $50.59, generating $9.61 million through June 3.
- Head of Strategy McCabe bought ~120,000 shares at $41.71 to $42.44 for $5.02 million on June 11.
The Selling Pattern
Jose Fernandez, Co-Chief Operating Officer, sold 202,290 shares over June 1 through 3, generating $9.61 million at prices ranging from $42.64 to $50.59. The highest per-share prices, $49.78 and $50.59, came on the first day of his cluster, the same date StepStone filed an 8-K disclosing unregistered equity sales. Fernandez's final sale on June 3, at $42.64, was the window's lowest price; he was selling into a declining tape the entire time.
McCabe Bought the Drop
StepStone is a global alternative asset manager with $1.99 billion in trailing revenue, up 55.8% year-over-year, running private equity, venture capital, real estate, infrastructure, and credit strategies worldwide. Michael McCabe, Head of Strategy, made his move on June 11, buying approximately 120,000 shares in two open-market tranches at $41.71 and $42.44, committing $5.02 million of personal capital. He paid those prices against the peak Fernandez had captured ten days earlier; as shares slide further on SPW risk headlines, Fernandez's timing looks the more prescient of the two.
| Ticker | Mkt cap | Fwd P/E | 52-wk |
|---|---|---|---|
| STEP | $6.0B | 14.0x | -20.7% |
| HLNE | $6.8B | 13.7x | -33.8% |
| VCTR | $6.7B | 12.6x | +52.4% |
| TPG | $18.8B | 13.5x | -20.3% |
| PIPR | $5.3B | 13.5x | -8.0% |
| GCMG | $820M | 12.9x | +5.2% |
Fee Growth Needs to Prove It
The $0.48 EPS snapped a streak in which StepStone had beaten consensus by 8.4% to 13.9% three times running. SPW funding risk now clouds the fee-growth narrative behind a 14x forward P/E, assumptions worth pressure-testing in the DCF calculator. McCabe's thesis holds only if the next quarter shows the miss was isolated and SPW exposure contained; a trailing GAAP loss of $6.22 per share and net insider selling of $4.59 million argue for patience. Run the free StepStone Group Inc. deep-dive →
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Frequently Asked Questions
Why is StepStone Group stock falling today?
Shares are falling on SPW funding risk, two days after the firm's August 6 earnings filing disclosed its first EPS miss in four quarters. The $0.48 result came in 4.0% below the $0.4986 consensus. SPW funding risk clouds the fee-growth narrative that underpins the stock's 14x forward P/E.
Did StepStone insiders buy or sell recently?
Both. Co-COO Jose Fernandez sold 202,290 shares between June 1 and 3, generating $9.61 million at prices up to $50.59. Head of Strategy Michael McCabe bought approximately 120,000 shares on June 11 at $41.71 to $42.44, committing $5.02 million, leaving net insider selling of $4.59 million across the window.
What was StepStone's recent earnings track record?
Before the August 6 filing, StepStone had beaten consensus by 8.4% to 13.9% in each of the prior three quarters. The most recent quarter ended that streak with a $0.48 EPS result that missed the $0.4986 consensus by 4.0%.
What does StepStone Group do?
StepStone Group is a global alternative asset manager running private equity, venture capital, real estate, infrastructure, and credit strategies worldwide. The firm reported $1.99 billion in trailing revenue, up 55.8% year-over-year.
What was the timing on Fernandez's insider sale?
a declining tape throughout the window.
StepStone Group shares are falling as SPW funding risk clouds the firm's fee growth outlook, just two days after its August 6 earnings filing. The drop arrives on the heels of the company's first earnings miss in four quarters — and a striking split between two senior insiders who took opposite sides of the trade within ten days of each other.