BOSTON — Shares of Denver asset manager Janus Capital Group fell 4 percent to close at $8.85 in trading Thursday after an analyst downgrade.
In a research note to investors, Jefferies & Co. analyst Daniel Fannon wrote that he cut his rating on the stock to “hold” from “buy,” citing its recent run-up and its continued pressures on earnings.
For 2012 through Wednesday, Janus shares had gained 48 percent, among the most of all publicly traded fund companies, on hopes for improved flows and performance as equity markets rose.
In his research note, Fannon said Janus has been moving aggressively to assign performance fees to its funds. While, in theory, that should please the company’s retail investors and fund performance has improved of late, the new fee structure is apt to hold back Janus profits, at least in the near term, he wrote. Another challenge, he said, is continued outflows from its well-known equity funds.
