Critical Survey: Acadian Asset Management (AAMI) and Its Competitors

Risk and Volatility

Acadian Asset Management has a beta of 1.46, indicating that its stock price is 46% more volatile than the S&P 500. Comparatively, Acadian Asset Management’s competitors have a beta of 1.03, indicating that their average stock price is 3% more volatile than the S&P 500.

Valuation & Earnings

This table compares Acadian Asset Management and its competitors revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Acadian Asset Management	$505.60 million	$65.80 million	11.27
Acadian Asset Management Competitors	$2.33 billion	$310.68 million	17.61

Acadian Asset Management’s competitors have higher revenue and earnings than Acadian Asset Management. Acadian Asset Management is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Dividends

Acadian Asset Management pays an annual dividend of $0.04 per share and has a dividend yield of 0.2%. Acadian Asset Management pays out 1.8% of its earnings in the form of a dividend. As a group, “Investment advice” companies pay a dividend yield of 2.2% and pay out 47.6% of their earnings in the form of a dividend.

Profitability

This table compares Acadian Asset Management and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Acadian Asset Management	16.81%	1,000.27%	18.11%
Acadian Asset Management Competitors	9.90%	125.48%	6.94%

Institutional and Insider Ownership

98.7% of Acadian Asset Management shares are owned by institutional investors. Comparatively, 56.3% of shares of all “Investment advice” companies are owned by institutional investors. 27.7% of Acadian Asset Management shares are owned by company insiders. Comparatively, 20.9% of shares of all “Investment advice” companies are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Summary

Acadian Asset Management beats its competitors on 7 of the 11 factors compared.

Acadian Asset Management Company Profile

Acadian Asset Management Inc. is a publically owned asset management holding company. The firm provides its services to individuals and institutions. It manages separate client focused portfolios through its subsidiaries. The firm also launches equity mutual funds for its clients. It invests in public equity, fixed income, and alternative investment markets through its subsidiaries. The firm was founded in 1980 is based Boston, Massachusetts. It was formally known as BrightSphere Investment Group plc. BrightSphere Investment Group Inc. was formed in 1980 and is based in Boston, Massachusetts.