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ARES vs. AXP: A Head-to-Head Stock Comparison

Updated

Here’s a clear look at ARES and AXP, comparing key factors like performance, valuation metrics, dividends, and financial strength. It’s built for investors or anyone curious to see how these two stocks match up.

Company Overview

AXP stands out with 200.37 billion USD in market value—about 5.86× ARES’s market cap of 34.18 billion USD.

With betas of 1.42 for ARES and 1.24 for AXP, both show similar volatility profiles relative to the overall market.

SymbolARESAXP
Company NameAres Management CorporationAmerican Express Company
CountryUSUS
SectorFinancial ServicesFinancial Services
IndustryAsset ManagementFinancial - Credit Services
CEOMr. Michael J. AroughetiMr. Stephen Joseph Squeri
Price158.98 USD286 USD
Market Cap34.18 billion USD200.37 billion USD
Beta1.421.24
ExchangeNYSENYSE
IPO DateMay 2, 2014June 1, 1972
ADRNoNo

Performance Comparison

This chart compares the performance of ARES and AXP over the past year by tracking the growth of an initial $10,000 investment in each (starting one year ago).

Hover over the lines to see the investment’s value and total return (%) at specific dates.

Data is adjusted for dividends and splits.

Valuation Metrics Comparison

For a detailed comparison of valuation metrics between ARES and AXP, please refer to the table below.

SymbolARESAXP
Price-to-Earnings Ratio (P/E, TTM)64.7219.51
Forward PEG Ratio (TTM)2.921.83
Price-to-Sales Ratio (P/S, TTM)6.952.66
Price-to-Book Ratio (P/B, TTM)7.476.43
Price-to-Free Cash Flow Ratio (P/FCF, TTM)6.2217.71
EV-to-EBITDA (TTM)20.9113.57
EV-to-Sales (TTM)6.972.67
EV-to-Free Cash Flow (TTM)6.2317.74

Dividend Comparison

ARES’s dividend yield of 2.46% is about 141% higher than AXP’s 1.02%, underscoring its stronger focus on returning cash to shareholders.

SymbolARESAXP
Dividend Yield (TTM)2.46%1.02%

Financial Strength Metrics Comparison

This section dives into the financial resilience of ARES and AXP, spotlighting key metrics like liquidity, leverage, and debt coverage. Check out the standout observations below where notable differences or extremes pop up.

  • With current ratios of 0.90 and 0.32, both ARES and AXP have less current assets than short-term liabilities, which could strain their working capital and force reliance on additional financing.
  • AXP posts a quick ratio of 0.32, indicating limited coverage of short-term debts from its most liquid assets—while ARES at 0.90 enjoys stronger liquidity resilience.
SymbolARESAXP
Current Ratio (TTM)0.900.32
Quick Ratio (TTM)0.900.32
Debt-to-Equity Ratio (TTM)0.151.69
Debt-to-Assets Ratio (TTM)0.030.19
Interest Coverage Ratio (TTM)1.951.59