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 232 industry peers in the Capital Markets industry. AAMI has an average financial health and profitability rating. AAMI is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year AAMI was profitable.
In the past year AAMI had a positive cash flow from operations.
In the past 5 years AAMI has always been profitable.
AAMI had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
AAMI has a better Return On Assets (13.36%) than 94.40% of its industry peers.
The Return On Equity of AAMI (416.35%) is better than 100.00% of its industry peers.
AAMI has a better Return On Invested Capital (18.41%) than 94.83% of its industry peers.
AAMI had an Average Return On Invested Capital over the past 3 years of 25.11%. This is significantly above the industry average of 7.88%.
The last Return On Invested Capital (18.41%) 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 | 13.36% | ||
| ROE | 416.35% | ||
| ROIC | 18.41% |
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
AAMI has a Profit Margin (17.41%) which is comparable to the rest of the industry.
AAMI's Profit Margin has declined in the last couple of years.
AAMI has a Operating Margin of 27.80%. This is comparable to the rest of the industry: AAMI outperforms 50.43% of its industry peers.
In the last couple of years the Operating Margin of AAMI has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 27.8% | ||
| PM (TTM) | 17.41% | ||
| 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
The number of shares outstanding for AAMI has been reduced compared to 1 year ago.
Compared to 5 years ago, AAMI has less shares outstanding
The debt/assets ratio for AAMI has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.72 indicates that AAMI is not a great score, but indicates only limited risk for bankruptcy at the moment.
AAMI's Altman-Z score of 2.72 is fine compared to the rest of the industry. AAMI outperforms 75.43% of its industry peers.
AAMI has a debt to FCF ratio of 10.02. This is a negative value and a sign of low solvency as AAMI would need 10.02 years to pay back of all of its debts.
AAMI's Debt to FCF ratio of 10.02 is in line compared to the rest of the industry. AAMI outperforms 52.59% of its industry peers.
A Debt/Equity ratio of 17.24 is on the high side and indicates that AAMI has dependencies on debt financing.
With a Debt to Equity ratio value of 17.24, AAMI is not doing good in the industry: 91.38% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 17.24 | ||
| Debt/FCF | 10.02 | ||
| Altman-Z | 2.72 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 1.64 indicates that AAMI should not have too much problems paying its short term obligations.
With a decent Current ratio value of 1.64, AAMI is doing good in the industry, outperforming 65.52% of the companies in the same industry.
AAMI has a Quick Ratio of 1.64. This is a normal value and indicates that AAMI is financially healthy and should not expect problems in meeting its short term obligations.
AAMI has a Quick ratio of 1.64. This is in the better half of the industry: AAMI outperforms 65.52% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.64 | ||
| Quick Ratio | 1.64 |
3. Growth
3.1 Past
AAMI shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 48.45%, which is quite impressive.
Measured over the past years, AAMI shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.45% on average per year.
AAMI shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 18.00%.
AAMI shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -3.19% yearly.
EPS 1Y (TTM)48.45%
EPS 3Y21.5%
EPS 5Y9.45%
EPS Q2Q%22.73%
Revenue 1Y (TTM)18%
Revenue growth 3Y-1.17%
Revenue growth 5Y-3.19%
Sales Q2Q%13.43%
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 9.00% yearly.
AAMI is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.34% yearly.
EPS Next Y-2.28%
EPS Next 2Y5.26%
EPS Next 3Y9%
EPS Next 5YN/A
Revenue Next Year7.16%
Revenue Next 2Y6.7%
Revenue Next 3Y5.34%
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.
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 10.92, which indicates a very decent valuation of AAMI.
69.40% of the companies in the same industry are more expensive than AAMI, based on the Price/Earnings ratio.
AAMI's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.59.
Based on the Price/Forward Earnings ratio of 10.21, the valuation of AAMI can be described as reasonable.
Based on the Price/Forward Earnings ratio, AAMI is valued a bit cheaper than 70.26% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.39. AAMI is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.92 | ||
| Fwd PE | 10.21 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of AAMI indicates a rather cheap valuation: AAMI is cheaper than 89.66% of the companies listed in the same industry.
AAMI's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 30.1 | ||
| EV/EBITDA | 8.32 |
4.3 Compensation for Growth
AAMI has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.16
EPS Next 2Y5.26%
EPS Next 3Y9%
5. Dividend
5.1 Amount
AAMI has a yearly dividend return of 0.13%, which is pretty low.
Compared to an average industry Dividend Yield of 8.22, AAMI is paying slightly less dividend.
With a Dividend Yield of 0.13, AAMI pays less dividend than the S&P500 average, which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.13% |
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.
AAMI has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-36.8%
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
1.66% of the earnings are spent on dividend by AAMI. This is a low number and sustainable payout ratio.
DP1.66%
EPS Next 2Y5.26%
EPS Next 3Y9%
31.45
+0.24 (+0.77%)
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 Change10.8%
Market Cap1.13B
Analysts47.5
Price Target27.88 (-11.35%)
Short Float %2.04%
Short Ratio2.52
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.13% |
Yearly Dividend0.04
Dividend Growth(5Y)-36.8%
DP1.66%
Div Incr Years0
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)19.68%
Min EPS beat(2)2.8%
Max EPS beat(2)36.56%
EPS beat(4)4
Avg EPS beat(4)16.75%
Min EPS beat(4)2.8%
Max EPS beat(4)36.56%
EPS beat(8)7
Avg EPS beat(8)18.44%
EPS beat(12)10
Avg EPS beat(12)19.27%
EPS beat(16)13
Avg EPS beat(16)18.26%
Revenue beat(2)2
Avg Revenue beat(2)9.07%
Min Revenue beat(2)5.61%
Max Revenue beat(2)12.53%
Revenue beat(4)4
Avg Revenue beat(4)7.04%
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)2.5%
PT rev (3m)-1.21%
EPS NQ rev (1m)2.65%
EPS NQ rev (3m)-3.43%
EPS NY rev (1m)-4.31%
EPS NY rev (3m)-4.77%
Revenue NQ rev (1m)4.62%
Revenue NQ rev (3m)-0.17%
Revenue NY rev (1m)2.16%
Revenue NY rev (3m)0.17%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.92 | ||
| Fwd PE | 10.21 | ||
| P/S | 2.17 | ||
| P/FCF | 30.1 | ||
| P/OCF | 23.75 | ||
| P/B | 51.8 | ||
| P/tB | 783.68 | ||
| EV/EBITDA | 8.32 |
EPS(TTM)2.88
EY9.16%
EPS(NY)3.08
Fwd EY9.79%
FCF(TTM)1.04
FCFY3.32%
OCF(TTM)1.32
OCFY4.21%
SpS14.52
BVpS0.61
TBVpS0.04
PEG (NY)N/A
PEG (5Y)1.16
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.36% | ||
| ROE | 416.35% | ||
| ROCE | 27.6% | ||
| ROIC | 18.41% | ||
| ROICexc | 23.6% | ||
| ROICexgc | 26.87% | ||
| OM | 27.8% | ||
| PM (TTM) | 17.41% | ||
| GM | N/A | ||
| FCFM | 7.2% |
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-Score6
Asset Turnover0.77
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 17.24 | ||
| Debt/FCF | 10.02 | ||
| Debt/EBITDA | 2.3 | ||
| Cap/Depr | 55.25% | ||
| Cap/Sales | 1.92% | ||
| Interest Coverage | 9.97 | ||
| Cash Conversion | 29.15% | ||
| Profit Quality | 41.33% | ||
| Current Ratio | 1.64 | ||
| Quick Ratio | 1.64 | ||
| Altman-Z | 2.72 |
F-Score6
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)48.45%
EPS 3Y21.5%
EPS 5Y9.45%
EPS Q2Q%22.73%
EPS Next Y-2.28%
EPS Next 2Y5.26%
EPS Next 3Y9%
EPS Next 5YN/A
Revenue 1Y (TTM)18%
Revenue growth 3Y-1.17%
Revenue growth 5Y-3.19%
Sales Q2Q%13.43%
Revenue Next Year7.16%
Revenue Next 2Y6.7%
Revenue Next 3Y5.34%
Revenue Next 5YN/A
EBIT growth 1Y32.45%
EBIT growth 3Y-2.41%
EBIT growth 5Y-9.42%
EBIT Next Year12.23%
EBIT Next 3Y8.78%
EBIT Next 5YN/A
FCF growth 1Y-53.07%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-50.78%
OCF growth 3YN/A
OCF growth 5YN/A