Ridgepost Capital (NYSE:RPC) vs. Acadian Asset Management (NYSE:AAMI) Financial Contrast

Acadian Asset Management (NYSE:AAMI) and Ridgepost Capital (NYSE:RPC) are both finance companies, but which is the better investment? We will compare the two businesses based on the strength of their profitability, risk, institutional ownership, earnings, analyst recommendations, valuation and dividends.

Insider and Institutional Ownership

98.7% of Acadian Asset Management shares are held by institutional investors. Comparatively, 48.0% of Ridgepost Capital shares are held by institutional investors. 22.6% of Acadian Asset Management shares are held by insiders. Comparatively, 11.8% of Ridgepost Capital shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Risk & Volatility

Acadian Asset Management has a beta of 1.3, meaning that its share price is 30% more volatile than the S&P 500. Comparatively, Ridgepost Capital has a beta of 0.87, meaning that its share price is 13% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of current ratings for Acadian Asset Management and Ridgepost Capital, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Acadian Asset Management	0	4	1	0	2.20
Ridgepost Capital	0	2	2	0	2.50

Acadian Asset Management presently has a consensus price target of $81.67, indicating a potential downside of 10.31%. Ridgepost Capital has a consensus price target of $13.00, indicating a potential upside of 67.53%. Given Ridgepost Capital’s stronger consensus rating and higher possible upside, analysts clearly believe Ridgepost Capital is more favorable than Acadian Asset Management.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Acadian Asset Management	15.17%	189.32%	21.26%
Ridgepost Capital	9.03%	21.02%	9.21%

Dividends

Acadian Asset Management pays an annual dividend of $0.40 per share and has a dividend yield of 0.4%. Ridgepost Capital pays an annual dividend of $0.16 per share and has a dividend yield of 2.1%. Acadian Asset Management pays out 14.1% of its earnings in the form of a dividend. Ridgepost Capital pays out 64.0% 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 & Earnings

This table compares Acadian Asset Management and Ridgepost Capital”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Acadian Asset Management	$563.70 million	5.73	$80.00 million	$2.83	32.18
Ridgepost Capital	$297.35 million	2.88	$19.50 million	$0.25	31.04

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

Summary

Acadian Asset Management beats Ridgepost Capital on 12 of the 16 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 Ridgepost Capital

P10, Inc., together with its subsidiaries, operates as a multi-asset class private market solutions provider in the alternative asset management industry in the United States. The company offers private equity, venture capital, private credit, impact investing, and private credit services, as well as primary fund of funds, secondary investment, and direct and co-investments services. It also provides tax credit transaction and consulting services. The company was founded in 1992 and is headquartered in Dallas, Texas.