Associated Capital Group (ACGP) AI Stock Analysis

• Market Cap: $799.02M
• Dividend Yield: 5.79%
• Average Volume (3M): 1.10K
• Price to Earnings (P/E): 17.3
• Beta (1Y): 0.51
• Revenue Growth: -10.53%
• EPS Growth: -16.94%
• Country: US
• Employees: 24
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Capital Markets
• EPS (TTM): 0.74
• Shares Outstanding: 2,172,492
• 10 Day Avg. Volume: 295
• 30 Day Avg. Volume: 1,100
• PEG Ratio: 0.79
• Price to Book (P/B): 0.82
• Price to Sales (P/S): 55.51
• P/FCF Ratio: 27.21
• Enterprise Value/Market Cap: 0.00
• Enterprise Value/Revenue: 0.00
• Enterprise Value/Gross Profit: 0.00
• Enterprise Value/Ebitda: 0.00
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 64 Neutral
• Price Target: ―

Associated Capital Group's overall score reflects a stable financial position with strong balance sheet metrics, offset by challenges in profitability and cash flow management. Technical analysis indicates a neutral to slightly bearish trend, while valuation seems reasonable but with low income potential from dividends. These factors combine to provide a moderately positive outlook, but with caution due to operational uncertainties.

Positive Factors

Balance Sheet Strength

A strong balance sheet with zero debt enhances financial stability and flexibility, allowing the company to invest in growth opportunities without the burden of interest obligations.

Revenue Growth

Significant revenue growth indicates successful business expansion and increased market demand for the company's financial services, supporting long-term growth prospects.

Improved Gross Profit Margin

The improvement in gross profit margin reflects better cost management and operational efficiency, which can lead to enhanced profitability and competitive positioning over time.

Negative Factors

Leadership Transition

The upcoming leadership change may introduce strategic uncertainties and potential disruptions in management continuity, impacting the company's strategic direction and execution.

Declining Operating Cash Flow

A decline in operating cash flow suggests potential challenges in generating cash from core operations, which could affect the company's ability to fund operations and growth initiatives.

Volatile Profit Margins

Volatile profit margins indicate inconsistent profitability, which can undermine investor confidence and complicate financial planning, potentially affecting long-term financial health.

Associated Capital Group Business Overview & Revenue Model

Company Description

Associated Capital Group, Inc. (AC) is a diversified financial services company primarily engaged in alternative investment management and financial advisory services. The company operates in sectors such as asset management, investment advisory, and institutional research services, offering a range of investment products including hedge funds, private equity, and institutional accounts. Associated Capital Group focuses on delivering long-term capital growth to its clients through its expertise in alternative investments and financial market research.

How the Company Makes Money

Associated Capital Group makes money through a combination of management fees, performance-based fees, and advisory fees. The company generates revenue by managing assets for institutional and high-net-worth clients, charging a percentage of assets under management (AUM) as management fees. Additionally, AC earns performance-based fees when the returns on managed funds exceed certain benchmarks or predefined targets. The firm's institutional research services also contribute to its revenue by providing financial market insights and analysis to clients, which are typically compensated through subscription or consulting fees. Key partnerships with institutional investors and a focus on alternative investment strategies further enhance the company's revenue streams.

Associated Capital Group Financial Statement Overview

Summary

Associated Capital Group demonstrates a mixed financial performance. The income statement reveals volatility in revenue and profit margins, though recent improvements are noted. The balance sheet is robust with no debt and strong equity ratios, contributing to stability. Cash flow trends show recovery in free cash flow, but declining operating cash flow suggests some operational challenges. Overall, the company is financially stable but faces profitability and cash flow management issues.

Income Statement

The company exhibits inconsistent revenue performance with a decline from 2022 to 2023 but a slight recovery in 2024. Notably, gross profit margin has improved significantly in 2024, reaching 100%, compared to negative margins in prior years, indicating improved cost management. However, net profit margin shows volatility due to fluctuating net income figures, with a spike in 2024. EBIT and EBITDA margins are negative, reflecting operational challenges.

Balance Sheet

The balance sheet is strong with zero debt reported in 2024, leading to an excellent debt-to-equity ratio. The high equity ratio is a positive indicator of financial stability, and the return on equity in 2024 is impressive, showing efficient use of shareholders' funds. The company maintains substantial cash reserves, contributing to its financial resilience.

Cash Flow

Cash flow from operations decreased significantly from 2023 to 2024, raising concerns. However, the company has maintained positive free cash flow in 2024, a recovery from the negative figures in earlier years. The operating cash flow to net income ratio indicates relatively strong cash generation relative to earnings in 2024.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	38.99M	13.18M	12.68M	15.23M	20.92M	18.98M
Gross Profit	-12.16M	7.30M	-4.56M	-3.65M	-3.53M	-453.00K
EBITDA	61.58M	53.36M	26.45M	-67.43M	-18.70M	-12.42M
Net Income	53.77M	44.33M	37.45M	-45.52M	59.20M	18.82M
Balance Sheet
Total Assets	959.13M	935.29M	943.80M	927.69M	1.20B	1.17B
Cash, Cash Equivalents and Short-Term Investments	392.50M	367.85M	406.64M	404.46M	380.04M	383.96M
Total Debt	0.00	0.00	6.50M	1.85M	4.49M	11.04M
Total Liabilities	38.70M	36.99M	30.72M	27.30M	65.53M	66.33M
Stockholders Equity	914.65M	892.71M	906.98M	890.20M	935.35M	901.39M
Cash Flow
Free Cash Flow	-51.02M	26.87M	145.07M	-75.62M	238.19M	-290.45M
Operating Cash Flow	-51.02M	26.87M	145.07M	-70.55M	238.19M	-279.37M
Investing Cash Flow	13.73M	10.98M	5.75M	402.00K	65.28M	-174.07M
Financing Cash Flow	-54.86M	-59.21M	-25.04M	-37.17M	-14.39M	150.95M

Associated Capital Group Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 36.99
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ACGP, the sentiment is Positive. The current price of 36.99 is below the 20-day moving average (MA) of 37.11, above the 50-day MA of 36.06, and above the 200-day MA of 36.12, indicating a bullish trend. The MACD of 0.32 indicates Positive momentum. The RSI at 57.17 is Neutral, neither overbought nor oversold. The STOCH value of 32.19 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ACGP.

Associated Capital Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SIEB	69 Neutral	$117.64M	15.99	8.43%	―	8.47%	-32.22%
WHG	69 Neutral	$159.28M	20.68	5.99%	3.69%	4.03%	151.19%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
ACGP	64 Neutral	$799.02M	17.33	5.10%	5.79%	-10.53%	-16.94%
AMRK	60 Neutral	$654.80M	90.62	1.18%	3.01%	20.29%	-87.68%
OPY	58 Neutral	$704.87M	9.06	9.64%	1.06%	12.52%	16.53%
SRL	55 Neutral	$83.00M	―	―	4.64%	-36.67%	-1568.10%

Associated Capital Group Corporate Events

Associated Capital Group Announces CEO Leadership Change

On February 28, 2025, Associated Capital Group, Inc. announced that Douglas R. Jamieson will retire as its Chief Executive Officer and President on March 17, 2025, but will remain a Director. Patrick Huvane, Vice President of Corporate Development, will step in as Interim CEO, indicating a leadership transition within the company.