ACADIAN ASSET MANAGEMENT INC (AAMI) Stock Fundamental Analysis
NYSE:AAMI - New York Stock Exchange, Inc. - US10948W1036 - Common Stock - Currency: USD
Taking everything into account, AAMI scores 5 out of 10 in our fundamental rating. AAMI was compared to 225 industry peers in the Capital Markets industry. Both the profitability and the financial health of AAMI get a neutral evaluation. Nothing too spectacular is happening here. AAMI is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
AAMI had positive earnings in the past year.
AAMI had a positive operating cash flow in the past year.
Each year in the past 5 years AAMI has been profitable.
AAMI had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
The Return On Assets of AAMI (12.09%) is better than 90.67% of its industry peers.
AAMI has a Return On Equity of 424.21%. This is amongst the best in the industry. AAMI outperforms 100.00% of its industry peers.
AAMI has a Return On Invested Capital of 19.78%. This is amongst the best in the industry. AAMI outperforms 96.89% of its industry peers.
The Average Return On Invested Capital over the past 3 years for AAMI is significantly above the industry average of 6.83%.
The last Return On Invested Capital (19.78%) for AAMI is well below the 3 year average (25.11%), which needs to be investigated, but indicates that AAMI had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.09% | ||
| ROE | 424.21% | ||
| ROIC | 19.78% |
ROA(3y)14.08%
ROA(5y)35.78%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)25.11%
ROIC(5y)21.1%
1.3 Margins
The Profit Margin of AAMI (16.81%) is comparable to the rest of the industry.
In the last couple of years the Profit Margin of AAMI has declined.
AAMI has a Operating Margin (26.80%) which is comparable to the rest of the industry.
AAMI's Operating Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.8% | ||
| PM (TTM) | 16.81% | ||
| GM | N/A |
OM growth 3Y-1.26%
OM growth 5Y-6.43%
PM growth 3Y-52.63%
PM growth 5Y-14.89%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
AAMI has less shares outstanding than it did 1 year ago.
The number of shares outstanding for AAMI has been reduced compared to 5 years ago.
The debt/assets ratio for AAMI has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.22 indicates that AAMI is not a great score, but indicates only limited risk for bankruptcy at the moment.
AAMI's Altman-Z score of 2.22 is fine compared to the rest of the industry. AAMI outperforms 73.33% of its industry peers.
The Debt to FCF ratio of AAMI is 6.42, which is on the high side as it means it would take AAMI, 6.42 years of fcf income to pay off all of its debts.
AAMI has a Debt to FCF ratio of 6.42. This is in the better half of the industry: AAMI outperforms 60.89% of its industry peers.
A Debt/Equity ratio of 14.71 is on the high side and indicates that AAMI has dependencies on debt financing.
With a Debt to Equity ratio value of 14.71, AAMI is not doing good in the industry: 90.67% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 14.71 | ||
| Debt/FCF | 6.42 | ||
| Altman-Z | 2.22 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 1.05 indicates that AAMI should not have too much problems paying its short term obligations.
With a Current ratio value of 1.05, AAMI perfoms like the industry average, outperforming 45.33% of the companies in the same industry.
AAMI has a Quick Ratio of 1.05. This is a normal value and indicates that AAMI is financially healthy and should not expect problems in meeting its short term obligations.
AAMI's Quick ratio of 1.05 is in line compared to the rest of the industry. AAMI outperforms 49.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.05 | ||
| Quick Ratio | 1.05 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 56.18% over the past year.
AAMI shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 9.45% yearly.
AAMI shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 18.52%.
AAMI shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -3.19% yearly.
EPS 1Y (TTM)56.18%
EPS 3Y21.5%
EPS 5Y9.45%
EPS Q2Q%68.83%
Revenue 1Y (TTM)18.52%
Revenue growth 3Y-1.17%
Revenue growth 5Y-3.19%
Sales Q2Q%27.9%
3.2 Future
AAMI is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.59% yearly.
Based on estimates for the next years, AAMI will show a small growth in Revenue. The Revenue will grow by 6.37% on average per year.
EPS Next Y2.61%
EPS Next 2Y8.19%
EPS Next 3Y8.59%
EPS Next 5YN/A
Revenue Next Year6.98%
Revenue Next 2Y7.4%
Revenue Next 3Y6.37%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 8.72, the valuation of AAMI can be described as very reasonable.
Based on the Price/Earnings ratio, AAMI is valued a bit cheaper than 79.11% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 29.35. AAMI is valued rather cheaply when compared to this.
Based on the Price/Forward Earnings ratio of 8.50, the valuation of AAMI can be described as reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of AAMI indicates a rather cheap valuation: AAMI is cheaper than 80.89% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.10, AAMI is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.72 | ||
| Fwd PE | 8.5 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, AAMI is valued cheaper than 91.56% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of AAMI is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.8 | ||
| EV/EBITDA | 7.07 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of AAMI may justify a higher PE ratio.
PEG (NY)3.34
PEG (5Y)0.92
EPS Next 2Y8.19%
EPS Next 3Y8.59%
5. Dividend
5.1 Amount
AAMI has a yearly dividend return of 0.17%, which is pretty low.
Compared to an average industry Dividend Yield of 8.64, AAMI is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.33, AAMI's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.17% |
5.2 History
The dividend of AAMI decreases each year by -36.80%.
AAMI has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)-36.8%
Div Incr YearsN/A
Div Non Decr YearsN/A
5.3 Sustainability
1.76% of the earnings are spent on dividend by AAMI. This is a low number and sustainable payout ratio.
DP1.76%
EPS Next 2Y8.19%
EPS Next 3Y8.59%
24.24
+0.08 (+0.33%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners78.86%
Inst Owner ChangeN/A
Ins Owners0.73%
Ins Owner Change7.48%
Market Cap908.76M
Analysts45
Price Target27.2 (12.21%)
Short Float %4.85%
Short Ratio9.78
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.17% |
Yearly Dividend0.04
Dividend Growth(5Y)-36.8%
DP1.76%
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)28.95%
Min EPS beat(2)21.35%
Max EPS beat(2)36.56%
EPS beat(4)4
Avg EPS beat(4)17.14%
Min EPS beat(4)4.37%
Max EPS beat(4)36.56%
EPS beat(8)7
Avg EPS beat(8)18.3%
EPS beat(12)10
Avg EPS beat(12)20.22%
EPS beat(16)12
Avg EPS beat(16)17.31%
Revenue beat(2)2
Avg Revenue beat(2)10.34%
Min Revenue beat(2)8.14%
Max Revenue beat(2)12.53%
Revenue beat(4)4
Avg Revenue beat(4)6.96%
Min Revenue beat(4)1.87%
Max Revenue beat(4)12.53%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-9.09%
PT rev (3m)N/A
EPS NQ rev (1m)-3.23%
EPS NQ rev (3m)N/A
EPS NY rev (1m)-0.47%
EPS NY rev (3m)N/A
Revenue NQ rev (1m)-5.56%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.27%
Revenue NY rev (3m)N/A
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.72 | ||
| Fwd PE | 8.5 | ||
| P/S | 1.8 | ||
| P/FCF | 19.8 | ||
| P/OCF | 16.29 | ||
| P/B | 45.35 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.07 |
EPS(TTM)2.78
EY11.47%
EPS(NY)2.85
Fwd EY11.77%
FCF(TTM)1.22
FCFY5.05%
OCF(TTM)1.49
OCFY6.14%
SpS13.49
BVpS0.53
TBVpS-0.01
PEG (NY)3.34
PEG (5Y)0.92
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.09% | ||
| ROE | 424.21% | ||
| ROCE | 29.83% | ||
| ROIC | 19.78% | ||
| ROICexc | 24.72% | ||
| ROICexgc | 28.35% | ||
| OM | 26.8% | ||
| PM (TTM) | 16.81% | ||
| GM | N/A | ||
| FCFM | 9.08% |
ROA(3y)14.08%
ROA(5y)35.78%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)25.11%
ROIC(5y)21.1%
ROICexc(3y)36.89%
ROICexc(5y)33.77%
ROICexgc(3y)46.54%
ROICexgc(5y)43.9%
ROCE(3y)36.76%
ROCE(5y)30.76%
ROICexcg growth 3Y-19.94%
ROICexcg growth 5Y4.08%
ROICexc growth 3Y-17.27%
ROICexc growth 5Y12%
OM growth 3Y-1.26%
OM growth 5Y-6.43%
PM growth 3Y-52.63%
PM growth 5Y-14.89%
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.72
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 14.71 | ||
| Debt/FCF | 6.42 | ||
| Debt/EBITDA | 1.91 | ||
| Cap/Depr | 53.51% | ||
| Cap/Sales | 1.96% | ||
| Interest Coverage | 9.03 | ||
| Cash Conversion | 36.23% | ||
| Profit Quality | 54% | ||
| Current Ratio | 1.05 | ||
| Quick Ratio | 1.05 | ||
| Altman-Z | 2.22 |
F-Score7
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)73.28%
Cap/Depr(5y)77.21%
Cap/Sales(3y)3.02%
Cap/Sales(5y)3.48%
Profit Quality(3y)78.98%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)56.18%
EPS 3Y21.5%
EPS 5Y9.45%
EPS Q2Q%68.83%
EPS Next Y2.61%
EPS Next 2Y8.19%
EPS Next 3Y8.59%
EPS Next 5YN/A
Revenue 1Y (TTM)18.52%
Revenue growth 3Y-1.17%
Revenue growth 5Y-3.19%
Sales Q2Q%27.9%
Revenue Next Year6.98%
Revenue Next 2Y7.4%
Revenue Next 3Y6.37%
Revenue Next 5YN/A
EBIT growth 1Y27.83%
EBIT growth 3Y-2.41%
EBIT growth 5Y-9.42%
EBIT Next Year17.13%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-15.78%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-18.3%
OCF growth 3YN/A
OCF growth 5YN/A