StepStone Group Inc. shares plummeted 8.10% during intraday trading on Thursday, as the market reacted to the company's latest quarterly financial results.
The sharp decline followed the release of StepStone's third quarter fiscal year 2026 earnings, which revealed a net loss of $162.4 million for the quarter ended December 31, 2025. The company reported a net loss per share of $1.55, continuing a pattern of losses that has concerned investors.
While the company saw growth in some areas, including total performance fees which increased to $346.6 million, the significant net losses and substantial equity-based compensation expenses of $468.8 million appear to have driven negative investor sentiment, leading to the substantial intraday sell-off.