Investing.com -- Barclays initiated coverage of TPG with an Overweight rating and a $78 price target, saying the alternative asset manager is well positioned for steady growth in fee-related earnings as capital markets recover.
The bank said TPG’s current flagship fundraising cycle, combined with natural margin expansion, supports a strong medium-term outlook for fee-related earnings.
It added that TPG offers one of the cleaner ways to gain exposure to a broader rebound in capital markets within the alternatives sector, particularly in fiscal 2026.
Barclays said TPG has evolved in recent years from a largely private equity-focused firm into a more diversified private markets manager, with scale across several major addressable markets. That expansion has been supported in part by acquisitions, helping broaden the firm’s product set beyond its traditional core.
The bank also highlighted TPG’s recently announced transaction with Jackson Financial, which it said should help scale the firm’s insurance and investment-grade credit business without adding meaningful balance sheet risk. Barclays added that the deal strengthens TPG’s position in a growing segment of private markets.
While TPG’s wealth management business remains smaller than those of many peers, Barclays said the firm should still benefit from rising demand in the channel, while limiting exposure to the sharper sentiment swings that can affect larger wealth platforms.
Barclays said these factors underpin a solid outlook for fee-related earnings growth over the next several years, supporting its Overweight rating and $78 price target.
