1. Victory Capital Holdings, Inc. (NASDAQ:VCTR)
Number of Hedge Fund Holdings: 22
Victory Capital Holdings, Inc. (NASDAQ:VCTR) is an American asset management company. The firm was in the news yesterday after it made a fully financed offer to acquire Janus Henderson for $30/share in cash and the remainder in stock. On the 26th, Victory Capital Holdings, Inc. (NASDAQ:VCTR) announced that it had sent another letter to Janus for “a fully financed, actionable proposal to acquire” the financial company. The firm explained that the deal could generate as much as $500 million in synergies primarily through efficiencies in the back and middle offices. According to Victory Capital Holdings, Inc. (NASDAQ:VCTR), following the deal, Janus shareholders would own 38% of the new entity. Cramer commented that he thought the deal was a good bargain:
“Well I’ve got to tell you, I felt that the, when I first heard it, I said that jeez, that’s a great bargain. That’s a terrific, because I think it’s a great, I’m a big believer in that the individual is coming back, and they’re trying to figure out where to go back. And they’ve got some well managed funds and I think people are going to want to be a little more aggressive than the S&P. And it’s a great asset, great asset.”
Merion Road Capital Management discussed Victory Capital Holdings, Inc. (NASDAQ:VCTR) in its third quarter 2025 investor letter:
“During the quarter I re-established a position in Victory Capital Holdings, Inc. (NASDAQ:VCTR). VCTR has closed their acquisition of the Amundi US business and now boasts over $300bn in assets under management. Net flows for the acquired business were positive in 2024 and for 2025 YTD. On a consolidated basis, there is upside to flows should VCTR be able to realize the immense cross-selling opportunity at hand. As a reminder Amundi globally manages over $2 trillion in assets, has a 15-year distribution agreement with VCTR, and economic exposure to VCTR with ownership of 23mm equivalent shares (worth about $1.5bn). Management increased their cost synergy target to $110mm and have historically exceeded their guidance. I believe that the company can achieve at least $7.00 / share next year in free cash flow, putting them at about 9x. This level is at a discount to comparable asset managers and does not give the company credit for operational upside and strong capital allocation.”
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