Janus Henderson Group: Rising Markets Have Contributed to a 16% Increase in Our Fair Value Estimate

We've increased our fair value estimate for narrow-moat Janus Henderson to $29 per share from $25 to account for revised near-term expectations for assets under management, revenue, and profitability since our last update. With the U.S. equity markets rising 12% in the fourth quarter of 2023, and the credit markets also rising 7%, Janus Henderson saw a 9% increase in its AUM during the period. This left the firm in a better position than we had been expecting coming into 2024, allowing us to raise our fair value estimate by 16%.