ACADIAN ASSET MANAGEMENT INC (AAMI) Stock Fundamental Analysis
NYSE:AAMI - New York Stock Exchange, Inc. - US10948W1036 - Common Stock - Currency: USD
We assign a fundamental rating of 5 out of 10 to AAMI. AAMI was compared to 232 industry peers in the Capital Markets industry. AAMI has an average financial health and profitability rating. AAMI has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year AAMI was profitable.
AAMI had a positive operating cash flow in the past year.
In the past 5 years AAMI has always been profitable.
Of the past 5 years AAMI 4 years had a positive operating cash flow.
1.2 Ratios
AAMI has a Return On Assets of 13.36%. This is amongst the best in the industry. AAMI outperforms 94.40% of its industry peers.
AAMI has a better Return On Equity (416.35%) than 100.00% of its industry peers.
AAMI has a Return On Invested Capital of 18.41%. This is amongst the best in the industry. AAMI outperforms 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 of 17.41%. This is comparable to the rest of the industry: AAMI outperforms 55.60% of its industry peers.
In the last couple of years the Profit Margin of AAMI has declined.
AAMI has a Operating Margin (27.80%) which is comparable to the rest of the industry.
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
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 2.73 indicates that AAMI is not a great score, but indicates only limited risk for bankruptcy at the moment.
AAMI has a Altman-Z score of 2.73. This is in the better half 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 has a Debt to FCF ratio (10.02) which is comparable to the rest of the industry.
AAMI has a Debt/Equity ratio of 17.24. This is a high value indicating a heavy dependency on external financing.
AAMI has a Debt to Equity ratio of 17.24. This is amonst the worse of the industry: AAMI underperforms 91.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 17.24 | ||
| Debt/FCF | 10.02 | ||
| Altman-Z | 2.73 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
AAMI has a Current 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 better Current ratio (1.64) than 65.52% of its industry peers.
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
The Earnings Per Share has grown by an impressive 48.45% over the past year.
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%.
The Revenue has been decreasing by -3.19% on average over the past years.
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.
The Revenue is expected to grow by 5.34% on average over the next years.
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
With a Price/Earnings ratio of 11.02, the valuation of AAMI can be described as very reasonable.
Based on the Price/Earnings ratio, AAMI is valued a bit cheaper than 69.40% of the companies in the same industry.
AAMI is valuated cheaply when we compare the Price/Earnings ratio to 26.60, which is the current average of the S&P500 Index.
AAMI is valuated reasonably with a Price/Forward Earnings ratio of 10.30.
69.40% of the companies in the same industry are more expensive than AAMI, based on the Price/Forward Earnings ratio.
AAMI's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.02 | ||
| Fwd PE | 10.3 |
4.2 Price Multiples
89.66% of the companies in the same industry are more expensive than AAMI, based on the Enterprise Value to EBITDA ratio.
AAMI's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 30.38 | ||
| EV/EBITDA | 8.39 |
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)1.17
EPS Next 2Y5.26%
EPS Next 3Y9%
5. Dividend
5.1 Amount
With a yearly dividend of 0.13%, AAMI is not a good candidate for dividend investing.
AAMI's Dividend Yield is slightly below the industry average, which is at 8.22.
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%
31.74
+0.19 (+0.6%)
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 Cap1.14B
Analysts47.5
Price Target27.88 (-12.16%)
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 | 11.02 | ||
| Fwd PE | 10.3 | ||
| P/S | 2.19 | ||
| P/FCF | 30.38 | ||
| P/OCF | 23.97 | ||
| P/B | 52.28 | ||
| P/tB | 790.9 | ||
| EV/EBITDA | 8.39 |
EPS(TTM)2.88
EY9.07%
EPS(NY)3.08
Fwd EY9.71%
FCF(TTM)1.04
FCFY3.29%
OCF(TTM)1.32
OCFY4.17%
SpS14.52
BVpS0.61
TBVpS0.04
PEG (NY)N/A
PEG (5Y)1.17
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 | 2.73 |
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