AFFILIATED MANAGERS GROUP (AMG) Stock Fundamental Analysis
USA - NYSE:AMG - US0082521081 - Common Stock
242.87 USD
-1.47 (-0.6%)
242.87 USD
0 (0%)
AMG gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 237 industry peers in the Capital Markets industry. AMG has only an average score on both its financial health and profitability. AMG may be a bit undervalued, certainly considering the very reasonable score on growth These ratings would make AMG suitable for value investing!
1. Profitability
1.1 Basic Checks
AMG had positive earnings in the past year.
In the past year AMG had a positive cash flow from operations.
Each year in the past 5 years AMG has been profitable.
AMG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of 5.02%, AMG is doing good in the industry, outperforming 69.20% of the companies in the same industry.
Looking at the Return On Equity, with a value of 13.66%, AMG is in the better half of the industry, outperforming 72.57% of the companies in the same industry.
AMG's Return On Invested Capital of 5.35% is fine compared to the rest of the industry. AMG outperforms 66.67% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for AMG is in line with the industry average of 7.61%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.02% | ||
| ROE | 13.66% | ||
| ROIC | 5.35% |
ROA(3y)8.71%
ROA(5y)7.01%
ROE(3y)23.17%
ROE(5y)19.42%
ROIC(3y)7.38%
ROIC(5y)7.61%
1.3 Margins
The Profit Margin of AMG (21.79%) is comparable to the rest of the industry.
AMG's Profit Margin has improved in the last couple of years.
The Operating Margin of AMG (26.22%) is comparable to the rest of the industry.
In the last couple of years the Operating Margin of AMG has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.22% | ||
| PM (TTM) | 21.79% | ||
| GM | N/A |
OM growth 3Y-4.07%
OM growth 5Y0.96%
PM growth 3Y2.25%
PM growth 5Y104.49%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
AMG has less shares outstanding than it did 1 year ago.
The number of shares outstanding for AMG has been reduced compared to 5 years ago.
Compared to 1 year ago, AMG has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.33 indicates that AMG is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of AMG (2.33) is better than 71.31% of its industry peers.
The Debt to FCF ratio of AMG is 2.84, which is a good value as it means it would take AMG, 2.84 years of fcf income to pay off all of its debts.
AMG's Debt to FCF ratio of 2.84 is amongst the best of the industry. AMG outperforms 81.43% of its industry peers.
AMG has a Debt/Equity ratio of 0.81. This is a neutral value indicating AMG is somewhat dependend on debt financing.
AMG has a Debt to Equity ratio (0.81) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.81 | ||
| Debt/FCF | 2.84 | ||
| Altman-Z | 2.33 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 1.35 indicates that AMG should not have too much problems paying its short term obligations.
AMG has a Current ratio (1.35) which is in line with its industry peers.
A Quick Ratio of 1.35 indicates that AMG should not have too much problems paying its short term obligations.
AMG's Quick ratio of 1.35 is in line compared to the rest of the industry. AMG outperforms 59.49% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.35 | ||
| Quick Ratio | 1.35 |
3. Growth
3.1 Past
AMG shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 0.70%.
AMG shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 7.59% yearly.
AMG shows a small growth in Revenue. In the last year, the Revenue has grown by 0.12%.
AMG shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -1.84% yearly.
EPS 1Y (TTM)0.7%
EPS 3Y3.78%
EPS 5Y7.59%
EPS Q2Q%15.42%
Revenue 1Y (TTM)0.12%
Revenue growth 3Y-5.42%
Revenue growth 5Y-1.84%
Sales Q2Q%-1.42%
3.2 Future
The Earnings Per Share is expected to grow by 11.96% on average over the next years. This is quite good.
Based on estimates for the next years, AMG will show a small growth in Revenue. The Revenue will grow by 1.93% on average per year.
EPS Next Y18%
EPS Next 2Y17.42%
EPS Next 3Y18.93%
EPS Next 5Y11.96%
Revenue Next Year1.64%
Revenue Next 2Y5.07%
Revenue Next 3Y4.1%
Revenue Next 5Y1.93%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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 11.49, the valuation of AMG can be described as very reasonable.
67.09% of the companies in the same industry are more expensive than AMG, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 27.41. AMG is valued rather cheaply when compared to this.
Based on the Price/Forward Earnings ratio of 8.56, the valuation of AMG can be described as reasonable.
82.70% of the companies in the same industry are more expensive than AMG, based on the Price/Forward Earnings ratio.
AMG is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.88, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.49 | ||
| Fwd PE | 8.56 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of AMG indicates a rather cheap valuation: AMG is cheaper than 82.70% of the companies listed in the same industry.
78.06% of the companies in the same industry are more expensive than AMG, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.47 | ||
| EV/EBITDA | 14.18 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as AMG's earnings are expected to grow with 18.93% in the coming years.
PEG (NY)0.64
PEG (5Y)1.51
EPS Next 2Y17.42%
EPS Next 3Y18.93%
5. Dividend
5.1 Amount
AMG has a Yearly Dividend Yield of 6.47%, which is a nice return.
AMG's Dividend Yield is a higher than the industry average which is at 7.96.
AMG's Dividend Yield is rather good when compared to the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.47% |
5.2 History
The dividend of AMG decreases each year by -47.48%.
AMG has been paying a dividend for over 5 years, so it has already some track record.
AMG has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-47.48%
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
0.27% of the earnings are spent on dividend by AMG. This is a low number and sustainable payout ratio.
DP0.27%
EPS Next 2Y17.42%
EPS Next 3Y18.93%
242.87
-1.47 (-0.6%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners100.57%
Inst Owner Change-4.2%
Ins Owners3.12%
Ins Owner Change9.5%
Market Cap6.90B
Analysts82
Price Target268.94 (10.73%)
Short Float %2.5%
Short Ratio3.72
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.47% |
Yearly Dividend0.04
Dividend Growth(5Y)-47.48%
DP0.27%
Div Incr Years0
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)0.93%
Min EPS beat(2)0.92%
Max EPS beat(2)0.95%
EPS beat(4)2
Avg EPS beat(4)-1.39%
Min EPS beat(4)-6.04%
Max EPS beat(4)0.95%
EPS beat(8)6
Avg EPS beat(8)2.11%
EPS beat(12)9
Avg EPS beat(12)2.39%
EPS beat(16)13
Avg EPS beat(16)2.56%
Revenue beat(2)0
Avg Revenue beat(2)-3.24%
Min Revenue beat(2)-4.06%
Max Revenue beat(2)-2.43%
Revenue beat(4)0
Avg Revenue beat(4)-2.67%
Min Revenue beat(4)-4.06%
Max Revenue beat(4)-2.03%
Revenue beat(8)1
Avg Revenue beat(8)-3.02%
Revenue beat(12)2
Avg Revenue beat(12)-3.46%
Revenue beat(16)4
Avg Revenue beat(16)-2.53%
PT rev (1m)9.48%
PT rev (3m)31.29%
EPS NQ rev (1m)2.21%
EPS NQ rev (3m)6.36%
EPS NY rev (1m)2.69%
EPS NY rev (3m)5.31%
Revenue NQ rev (1m)0.87%
Revenue NQ rev (3m)4.97%
Revenue NY rev (1m)0.14%
Revenue NY rev (3m)0.81%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.49 | ||
| Fwd PE | 8.56 | ||
| P/S | 3.4 | ||
| P/FCF | 7.47 | ||
| P/OCF | 7.43 | ||
| P/B | 2.13 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.18 |
EPS(TTM)21.13
EY8.7%
EPS(NY)28.37
Fwd EY11.68%
FCF(TTM)32.51
FCFY13.39%
OCF(TTM)32.68
OCFY13.46%
SpS71.47
BVpS114
TBVpS-35.73
PEG (NY)0.64
PEG (5Y)1.51
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.02% | ||
| ROE | 13.66% | ||
| ROCE | 6.56% | ||
| ROIC | 5.35% | ||
| ROICexc | 5.6% | ||
| ROICexgc | 13.59% | ||
| OM | 26.22% | ||
| PM (TTM) | 21.79% | ||
| GM | N/A | ||
| FCFM | 45.49% |
ROA(3y)8.71%
ROA(5y)7.01%
ROE(3y)23.17%
ROE(5y)19.42%
ROIC(3y)7.38%
ROIC(5y)7.61%
ROICexc(3y)8.14%
ROICexc(5y)8.54%
ROICexgc(3y)23.93%
ROICexgc(5y)25.25%
ROCE(3y)9.04%
ROCE(5y)9.33%
ROICexcg growth 3Y-5.55%
ROICexcg growth 5Y1.96%
ROICexc growth 3Y-6.71%
ROICexc growth 5Y-1.27%
OM growth 3Y-4.07%
OM growth 5Y0.96%
PM growth 3Y2.25%
PM growth 5Y104.49%
GM growth 3YN/A
GM growth 5YN/A
F-Score5
Asset Turnover0.23
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.81 | ||
| Debt/FCF | 2.84 | ||
| Debt/EBITDA | 4.04 | ||
| Cap/Depr | 4.11% | ||
| Cap/Sales | 0.24% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 143.05% | ||
| Profit Quality | 208.77% | ||
| Current Ratio | 1.35 | ||
| Quick Ratio | 1.35 | ||
| Altman-Z | 2.33 |
F-Score5
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)15.05%
Cap/Depr(5y)13.31%
Cap/Sales(3y)0.42%
Cap/Sales(5y)0.41%
Profit Quality(3y)133.79%
Profit Quality(5y)223%
High Growth Momentum
Growth
EPS 1Y (TTM)0.7%
EPS 3Y3.78%
EPS 5Y7.59%
EPS Q2Q%15.42%
EPS Next Y18%
EPS Next 2Y17.42%
EPS Next 3Y18.93%
EPS Next 5Y11.96%
Revenue 1Y (TTM)0.12%
Revenue growth 3Y-5.42%
Revenue growth 5Y-1.84%
Sales Q2Q%-1.42%
Revenue Next Year1.64%
Revenue Next 2Y5.07%
Revenue Next 3Y4.1%
Revenue Next 5Y1.93%
EBIT growth 1Y-20.75%
EBIT growth 3Y-9.28%
EBIT growth 5Y-0.89%
EBIT Next Year41.66%
EBIT Next 3Y15.39%
EBIT Next 5Y7.15%
FCF growth 1Y6.82%
FCF growth 3Y-9.09%
FCF growth 5Y0.41%
OCF growth 1Y6.24%
OCF growth 3Y-9.19%
OCF growth 5Y0.28%