Affiliated Managers (AMG) AI Stock Analysis

• Market Cap: $6.24B
• Dividend Yield: 0.02%
• Average Volume (3M): 195.00K
• Price to Earnings (P/E): 16.5
• Beta (1Y): 0.90
• Revenue Growth: -5.87%
• EPS Growth: -21.51%
• Country: US
• Employees: 4,100
• Sector: Financial
• Sector Strength: 71
• Industry: Asset Management
• EPS (TTM): 5.39
• Shares Outstanding: 28,412,064
• 10 Day Avg. Volume: 167,093
• 30 Day Avg. Volume: 194,995
• PEG Ratio: -0.79
• Price to Book (P/B): 1.72
• Price to Sales (P/S): 2.82
• P/FCF Ratio: 6.19
• Enterprise Value/Market Cap: 1.55
• Enterprise Value/Revenue: 4.75
• Enterprise Value/Gross Profit: 8.54
• Enterprise Value/Ebitda: 9.33
• 1Y Price Target: $244.40
• Price Target Upside: 9.60% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5

• Rating: 79 Outperform
• Price Target: $241.00 ▲(8.08% Upside)

AMG's overall stock score is supported by strong technical analysis and positive earnings call insights. Despite challenges in revenue and cash flow, the firm's strategic focus on growth in alternative assets and successful partnerships positions it well. The valuation is reasonable, but not a standout, while corporate events further bolster the company's strategic direction.

Positive Factors

Asset Management

AMG's aggregate assets under management rose by 8.9% year over year, highlighting strong asset growth.

Earnings

Q2 earnings exceeded expectations, leading analysts to raise the 12-month price target from $200 to $240.

Negative Factors

Cash Flow

Net client cash outflows of $8.3 billion in the fourth quarter signal challenges in the equities sector.

Revenue Performance

Revenues decreased by 0.7% to $496.6 million, falling short of the estimated $510.0 million and the FactSet consensus of $501.9 million.

Affiliated Managers Business Overview & Revenue Model

Company Description

Affiliated Managers Group, Inc., through its affiliates, operates as an asset management company providing investment management services to mutual funds, institutional clients, and high net worth individuals in the United States. It provides advisory or subadvisory services to mutual funds. These funds are distributed to retail and institutional clients directly and through intermediaries, including independent investment advisors, retirement plan sponsors, broker-dealers, major fund marketplaces, and bank trust departments. The company also offers investment products in various investment styles in the institutional distribution channel, including small, small/mid, mid, and large capitalization value and growth equity, and emerging markets. In addition, it offers quantitative, alternative, and fixed income products, and manages assets for foundations and endowments, defined benefit, and defined contribution plans for corporations and municipalities. Affiliated Managers Group provides investment management or customized investment counseling and fiduciary services. Affiliated Managers Group, Inc. was formed in 1993 and is based in West Palm Beach, Florida with additional offices in Prides Crossing, Massachusetts; Stamford, Connecticut; London, United Kingdom; Dubai, United Arab Emirates; Sydney, Australia; Hong Kong; Tokyo, Japan, Zurich, Switzerland and Delaware.

How the Company Makes Money

AMG generates revenue through a variety of channels, primarily by taking a minority equity stake in its affiliated investment firms, which allows it to receive a share of their profits. The company earns management fees based on the assets under management (AUM) of these affiliates, as well as performance fees linked to the investment performance of the funds. Additionally, AMG benefits from distribution and service agreements, where it assists its affiliates in marketing their products, further enhancing its revenue streams. Key partnerships with established asset managers and a growing network of affiliates contribute significantly to AMG's earnings, as the company continues to expand its footprint in the global asset management market.

Affiliated Managers Financial Statement Overview

Summary

Affiliated Managers demonstrates strong profitability and operational efficiency with robust margins and a healthy balance sheet. However, recent trends of declining revenue and free cash flow suggest potential challenges in maintaining growth. Financial stability is supported by prudent leverage and strong equity returns, positioning the company well within the asset management industry despite cash flow concerns.

Income Statement

The income statement showcases a solid financial performance with a Gross Profit Margin of 55.7% and a Net Profit Margin of 21.3% in the TTM period. However, there's a slight decline in Total Revenue from $2.05 billion to $2.03 billion, indicating a revenue contraction of -0.3% year-over-year. The EBIT Margin is healthy at 31.7%, while the EBITDA Margin stands at 51%. Despite the revenue contraction, margins remain strong, suggesting operational efficiency.

Balance Sheet

The balance sheet reflects a stable financial position with a Debt-to-Equity Ratio of 0.82, indicating a balanced leverage level. The Return on Equity (ROE) is strong at 13.6%, suggesting effective use of equity for generating profits. The Equity Ratio is at 36.6%, highlighting a solid equity base relative to total assets. Overall, the balance sheet reflects financial stability and prudent debt management.

Cash Flow

The cash flow statement shows a decline in Free Cash Flow from $928.7 million to $718.9 million, reflecting a negative Free Cash Flow Growth Rate of -22.6%. However, the Operating Cash Flow to Net Income Ratio is 2.15, indicating strong cash generation relative to net income. The Free Cash Flow to Net Income Ratio is 1.66, further reinforcing cash efficiency despite the recent decline.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.04B	2.04B	2.06B	2.33B	2.41B	2.03B
Gross Profit	1.13B	1.13B	1.15B	1.26B	1.37B	1.14B
EBITDA	1.04B	1.07B	1.23B	1.88B	1.27B	769.60M
Net Income	434.10M	511.60M	672.90M	1.15B	565.70M	202.20M
Balance Sheet
Total Assets	8.71B	8.83B	9.06B	8.88B	8.88B	7.89B
Cash, Cash Equivalents and Short-Term Investments	816.50M	1.01B	1.27B	1.15B	987.00M	1.11B
Total Debt	2.62B	2.62B	2.54B	2.54B	2.49B	2.31B
Total Liabilities	4.25B	4.18B	4.10B	4.24B	4.49B	3.90B
Stockholders Equity	3.19B	3.35B	3.59B	3.23B	2.79B	2.78B
Cash Flow
Free Cash Flow	927.80M	928.70M	861.90M	1.04B	1.25B	1.00B
Operating Cash Flow	931.80M	932.10M	874.30M	1.05B	1.26B	1.01B
Investing Cash Flow	269.00M	379.10M	264.50M	-109.90M	-583.70M	-53.70M
Financing Cash Flow	-1.19B	-1.18B	-758.30M	-1.40B	-798.30M	-455.40M

Affiliated Managers Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 222.99
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AMG, the sentiment is Positive. The current price of 222.99 is above the 20-day moving average (MA) of 212.79, above the 50-day MA of 200.71, and above the 200-day MA of 182.46, indicating a bullish trend. The MACD of 5.18 indicates Negative momentum. The RSI at 68.78 is Neutral, neither overbought nor oversold. The STOCH value of 95.92 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AMG.

Affiliated Managers Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VCTR	81 Outperform	$4.85B	17.94	15.59%	2.54%	19.81%	12.83%
JHG	80 Outperform	$6.89B	16.64	8.87%	3.56%	17.59%	-8.81%
AMG	79 Outperform	$6.24B	16.53	13.47%	0.02%	-5.87%	-21.51%
AB	76 Outperform	$4.44B	11.95	18.55%	8.20%	―	16.78%
CNS	71 Outperform	$3.84B	23.94	32.70%	3.20%	12.95%	23.72%
Sector *	68 Neutral	$17.51B	11.65	10.43%	3.82%	9.93%	1.68%
STEP	60 Neutral	$7.24B	103.13	-88.82%	2.18%	88.68%	-494.20%

Affiliated Managers Corporate Events

Affiliated Managers Appoints Marcy Engel to Board

On August 14, 2025, Affiliated Managers Group, Inc. announced the appointment of Marcy Engel to its Board of Directors as an independent director, effective September 30, 2025. Engel brings extensive experience in financial services, having served in senior roles at alternative investment firms and investment banks. This appointment coincides with the retirement of Dwight D. Churchill, who has served on the board since February 2010. Churchill’s tenure included leadership roles such as Chair of the Audit Committee and interim Chair, contributing significantly to AMG’s growth and evolution. The changes in the board are expected to bring fresh perspectives while acknowledging Churchill’s impactful service.

The most recent analyst rating on (AMG) stock is a Buy with a $205.00 price target. To see the full list of analyst forecasts on Affiliated Managers stock, see the AMG Stock Forecast page.

Affiliated Managers Announces Quarterly Dividend Amid Strong Q2

On July 31, 2025, AMG announced a quarterly dividend of $0.01 per share, payable on August 25, 2025, reflecting its strong financial performance. The company reported a 15% increase in Economic Earnings per share for Q2 2025, driven by robust client cash flows and strategic partnerships, positioning itself for continued growth in the investment management industry.

The most recent analyst rating on (AMG) stock is a Buy with a $205.00 price target. To see the full list of analyst forecasts on Affiliated Managers stock, see the AMG Stock Forecast page.

Affiliated Managers Appoints Thomas Wojcik as President

On June 3, 2025, Affiliated Managers Group, Inc. appointed Thomas M. Wojcik as President while he continues as Chief Operating Officer. This move is part of AMG’s strategy to enhance its growth and value creation, with Wojcik playing a key role in expanding the company’s participation in secular growth areas, including private markets and liquid alternative strategies, which now contribute significantly to earnings.

The most recent analyst rating on (AMG) stock is a Buy with a $191.00 price target. To see the full list of analyst forecasts on Affiliated Managers stock, see the AMG Stock Forecast page.

Affiliated Managers Holds Annual Stockholders Meeting

On May 22, 2025, Affiliated Managers Group, Inc. held its Annual Meeting of Stockholders, where key proposals were considered. The stockholders elected directors with over 96% approval, approved executive compensation by 97%, and ratified PricewaterhouseCoopers LLP as the independent public accounting firm with 93% support.

The most recent analyst rating on (AMG) stock is a Buy with a $202.00 price target. To see the full list of analyst forecasts on Affiliated Managers stock, see the AMG Stock Forecast page.