AFFILIATED MANAGERS GROUP (AMG)
US0082521081 - Common Stock
We assign a fundamental rating of 5 out of 10 to AMG. AMG was compared to 220 industry peers in the Capital Markets industry. While AMG has a great health rating, its profitability is only average at the moment. AMG has a bad growth rate and is valued cheaply. These ratings could make AMG a good candidate 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.
In the past 5 years AMG has always been profitable.
Each year in the past 5 years AMG had a positive operating cash flow.
1.2 Ratios
AMG has a Return On Assets of 7.22%. This is in the better half of the industry: AMG outperforms 75.46% of its industry peers.
The Return On Equity of AMG (19.18%) is better than 86.57% of its industry peers.
The Return On Invested Capital of AMG (6.65%) is better than 73.61% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for AMG is significantly below the industry average of 17.69%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.22% | ||
| ROE | 19.18% | ||
| ROIC | 6.65% |
ROA(3y)8.9%
ROA(5y)5.89%
ROE(3y)24.84%
ROE(5y)16.47%
ROIC(3y)7.94%
ROIC(5y)7.76%
1.3 Margins
With a decent Profit Margin value of 31.50%, AMG is doing good in the industry, outperforming 69.91% of the companies in the same industry.
AMG's Profit Margin has improved in the last couple of years.
The Operating Margin of AMG (33.12%) 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 | 33.12% | ||
| PM (TTM) | 31.5% | ||
| GM | N/A |
OM growth 3Y3.43%
OM growth 5Y0.64%
PM growth 3Y48.56%
PM growth 5Y26.13%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
Compared to 1 year ago, AMG has less shares outstanding
The number of shares outstanding for AMG has been reduced compared to 5 years ago.
The debt/assets ratio for AMG has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.25 indicates that AMG is not a great score, but indicates only limited risk for bankruptcy at the moment.
With a decent Altman-Z score value of 2.25, AMG is doing good in the industry, outperforming 73.15% of the companies in the same industry.
The Debt to FCF ratio of AMG is 2.55, which is a good value as it means it would take AMG, 2.55 years of fcf income to pay off all of its debts.
AMG has a better Debt to FCF ratio (2.55) than 76.39% of its industry peers.
A Debt/Equity ratio of 0.76 indicates that AMG is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.76, AMG is in the better half of the industry, outperforming 61.11% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.76 | ||
| Debt/FCF | 2.55 | ||
| Altman-Z | 2.25 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
AMG has a Current Ratio of 2.08. This indicates that AMG is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 2.08, AMG is in the better half of the industry, outperforming 69.44% of the companies in the same industry.
AMG has a Quick Ratio of 2.08. This indicates that AMG is financially healthy and has no problem in meeting its short term obligations.
AMG's Quick ratio of 2.08 is fine compared to the rest of the industry. AMG outperforms 69.44% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.08 | ||
| Quick Ratio | 2.08 |
3. Growth
3.1 Past
AMG shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 4.27%.
The Earnings Per Share has been growing slightly by 6.17% on average over the past years.
AMG shows a decrease in Revenue. In the last year, the revenue decreased by -5.60%.
AMG shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -2.85% yearly.
EPS 1Y (TTM)4.27%
EPS 3Y13.48%
EPS 5Y6.17%
EPS Q2Q%4.94%
Revenue 1Y (TTM)-5.6%
Revenue growth 3Y0.5%
Revenue growth 5Y-2.85%
Sales Q2Q%-2.38%
3.2 Future
The Earnings Per Share is expected to grow by 6.20% on average over the next years.
Based on estimates for the next years, AMG will show a decrease in Revenue. The Revenue will decrease by -1.20% on average per year.
EPS Next Y13.95%
EPS Next 2Y13.92%
EPS Next 3Y10.16%
EPS Next 5Y6.2%
Revenue Next Year-1.62%
Revenue Next 2Y1.09%
Revenue Next 3Y2.33%
Revenue Next 5Y-1.2%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 9.35, which indicates a very decent valuation of AMG.
73.15% of the companies in the same industry are more expensive than AMG, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of AMG to the average of the S&P500 Index (31.77), we can say AMG is valued rather cheaply.
With a Price/Forward Earnings ratio of 7.73, the valuation of AMG can be described as very cheap.
Compared to the rest of the industry, the Price/Forward Earnings ratio of AMG indicates a rather cheap valuation: AMG is cheaper than 87.50% of the companies listed in the same industry.
AMG's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.70.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.35 | ||
| Fwd PE | 7.73 |
4.2 Price Multiples
87.04% of the companies in the same industry are more expensive than AMG, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of AMG indicates a rather cheap valuation: AMG is cheaper than 81.48% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.9 | ||
| EV/EBITDA | 10.27 |
4.3 Compensation for Growth
AMG's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of AMG may justify a higher PE ratio.
PEG (NY)0.67
PEG (5Y)1.52
EPS Next 2Y13.92%
EPS Next 3Y10.16%
5. Dividend
5.1 Amount
AMG has a yearly dividend return of 0.02%, which is pretty low.
Compared to an average industry Dividend Yield of 9.18, AMG's dividend is way lower than its industry peers. On top of this 80.56% of the companies listed in the same industry pay a better dividend than AMG!
Compared to an average S&P500 Dividend Yield of 2.21, AMG's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.02% |
5.2 History
The dividend of AMG decreases each year by -47.60%.
AMG has been paying a dividend for over 5 years, so it has already some track record.
AMG has decreased its dividend in the last 3 years.
Dividend Growth(5Y)-47.6%
Div Incr Years0
Div Non Decr Years2
5.3 Sustainability
AMG pays out 0.22% of its income as dividend. This is a sustainable payout ratio.
DP0.22%
EPS Next 2Y13.92%
EPS Next 3Y10.16%
AFFILIATED MANAGERS GROUP
NYSE:AMG (10/17/2024, 7:19:00 PM)
After market: 196.21 0 (0%)196.21
+3.35 (+1.74%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap5.85B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.02% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
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EPS beat(4)
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EPS beat(8)
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EPS beat(12)
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EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
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Min Revenue beat(2)
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Revenue beat(4)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.35 | ||
| Fwd PE | 7.73 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.67
PEG (5Y)1.52
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.22% | ||
| ROE | 19.18% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 33.12% | ||
| PM (TTM) | 31.5% | ||
| GM | N/A | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.23
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.76 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 2.08 | ||
| Quick Ratio | 2.08 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)4.27%
EPS 3Y13.48%
EPS 5Y
EPS Q2Q%
EPS Next Y13.95%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-5.6%
Revenue growth 3Y0.5%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y