DigitalBridge Group (NYSE:DBRG) vs. Acadian Asset Management (NYSE:AAMI) Financial Comparison

Acadian Asset Management (NYSE:AAMI) and DigitalBridge Group (NYSE:DBRG) are both small-cap finance companies, but which is the better stock? We will compare the two companies based on the strength of their analyst recommendations, risk, profitability, valuation, dividends, institutional ownership and earnings.

Volatility & Risk

Acadian Asset Management has a beta of 1.36, meaning that its share price is 36% more volatile than the S&P 500. Comparatively, DigitalBridge Group has a beta of 1.58, meaning that its share price is 58% more volatile than the S&P 500.

Insider and Institutional Ownership

98.7% of Acadian Asset Management shares are held by institutional investors. Comparatively, 92.7% of DigitalBridge Group shares are held by institutional investors. 26.0% of Acadian Asset Management shares are held by company insiders. Comparatively, 3.6% of DigitalBridge Group shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Dividends

Acadian Asset Management pays an annual dividend of $0.04 per share and has a dividend yield of 0.1%. DigitalBridge Group pays an annual dividend of $0.04 per share and has a dividend yield of 0.4%. Acadian Asset Management pays out 1.7% of its earnings in the form of a dividend. DigitalBridge Group pays out 13.3% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Valuation and Earnings

This table compares Acadian Asset Management and DigitalBridge Group”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Acadian Asset Management	$519.80 million	2.04	$85.00 million	$2.41	12.31
DigitalBridge Group	$578.08 million	3.36	$185.28 million	$0.30	36.72

DigitalBridge Group has higher revenue and earnings than Acadian Asset Management. Acadian Asset Management is trading at a lower price-to-earnings ratio than DigitalBridge Group, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of recent ratings and price targets for Acadian Asset Management and DigitalBridge Group, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Acadian Asset Management	0	3	0	0	2.00
DigitalBridge Group	0	1	7	2	3.10

Acadian Asset Management currently has a consensus target price of $25.67, indicating a potential downside of 13.49%. DigitalBridge Group has a consensus target price of $16.28, indicating a potential upside of 47.78%. Given DigitalBridge Group’s stronger consensus rating and higher possible upside, analysts clearly believe DigitalBridge Group is more favorable than Acadian Asset Management.

Profitability

This table compares Acadian Asset Management and DigitalBridge Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Acadian Asset Management	16.81%	1,000.27%	18.11%
DigitalBridge Group	10.98%	4.29%	2.06%

Summary

DigitalBridge Group beats Acadian Asset Management on 10 of the 17 factors compared between the two stocks.

About Acadian Asset Management

Acadian Asset Management Inc. is a publically owned asset management holding company. The firm provides its services to individuals and institutions. It manages separate client focused portfolios through its subsidiaries. The firm also launches equity mutual funds for its clients. It invests in public equity, fixed income, and alternative investment markets through its subsidiaries. The firm was founded in 1980 is based Boston, Massachusetts. It was formally known as BrightSphere Investment Group plc. BrightSphere Investment Group Inc. was formed in 1980 and is based in Boston, Massachusetts.

About DigitalBridge Group

DigitalBridge is an infrastructure investment firm specializing in digital infrastructure assets. They provide services to institutional investors. They primarily invest in data centers, cell towers, fiber networks, small cells, and edge infrastructure. DigitalBridge Group, Inc. was founded in 1991 and is headquartered in Boca Raton, Florida with additional offices in Los Angles, California, and New York New York.