Seek Returns logo

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

Updated on

Here’s a clear look at ARES and MFC, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolARESMFC
Company NameAres Management CorporationManulife Financial Corporation
CountryUnited StatesCanada
GICS SectorFinancialsFinancials
GICS IndustryCapital MarketsInsurance
Market Capitalization47.67 billion USD57.15 billion USD
ExchangeNYSENYSE
Listing DateMay 2, 2014September 24, 1999
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of ARES and MFC by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

ARES vs. MFC: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolARESMFC
5-Day Price Return-7.68%3.01%
13-Week Price Return-24.94%14.22%
26-Week Price Return-19.21%9.14%
52-Week Price Return-15.95%4.39%
Month-to-Date Return-4.47%6.32%
Year-to-Date Return-19.75%9.28%
10-Day Avg. Volume1.71M6.65M
3-Month Avg. Volume1.74M6.12M
3-Month Volatility34.57%17.08%
Beta1.581.12

Profitability

Return on Equity (TTM)

ARES

15.46%

Capital Markets Industry

Max
41.61%
Q3
22.56%
Median
13.62%
Q1
9.23%
Min
-4.25%

ARES’s Return on Equity of 15.46% is on par with the norm for the Capital Markets industry, indicating its profitability relative to shareholder equity is typical for the sector.

MFC

11.91%

Insurance Industry

Max
31.64%
Q3
19.22%
Median
14.77%
Q1
10.48%
Min
2.20%

MFC’s Return on Equity of 11.91% is on par with the norm for the Insurance industry, indicating its profitability relative to shareholder equity is typical for the sector.

ARES vs. MFC: A comparison of their Return on Equity (TTM) against their respective Capital Markets and Insurance industry benchmarks.

Net Profit Margin (TTM)

ARES

12.14%

Capital Markets Industry

Max
69.91%
Q3
36.88%
Median
24.30%
Q1
13.14%
Min
-6.20%

Falling into the lower quartile for the Capital Markets industry, ARES’s Net Profit Margin of 12.14% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.

MFC

15.67%

Insurance Industry

Max
28.47%
Q3
15.63%
Median
10.40%
Q1
6.94%
Min
-3.51%

A Net Profit Margin of 15.67% places MFC in the upper quartile for the Insurance industry, signifying strong profitability and more effective cost management than most of its peers.

ARES vs. MFC: A comparison of their Net Profit Margin (TTM) against their respective Capital Markets and Insurance industry benchmarks.

Operating Profit Margin (TTM)

ARES

17.08%

Capital Markets Industry

Max
83.68%
Q3
47.64%
Median
32.36%
Q1
19.28%
Min
0.30%

ARES’s Operating Profit Margin of 17.08% is in the lower quartile for the Capital Markets industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.

MFC

19.19%

Insurance Industry

Max
35.59%
Q3
21.31%
Median
14.99%
Q1
10.34%
Min
-2.51%

In the Insurance industry, Operating Profit Margin is often not the primary measure of operational efficiency.

ARES vs. MFC: A comparison of their Operating Profit Margin (TTM) against their respective Capital Markets and Insurance industry benchmarks.

Profitability at a Glance

SymbolARESMFC
Return on Equity (TTM)15.46%11.91%
Return on Assets (TTM)2.45%0.62%
Net Profit Margin (TTM)12.14%15.67%
Operating Profit Margin (TTM)17.08%19.19%
Gross Profit Margin (TTM)----

Financial Strength

Current Ratio (MRQ)

ARES

0.26

Capital Markets Industry

Max
3.43
Q3
1.76
Median
1.00
Q1
0.60
Min
0.04

For the Capital Markets industry, the Current Ratio is often not the most suitable measure of short-term liquidity.

MFC

1.14

Insurance Industry

Max
2.64
Q3
1.19
Median
0.53
Q1
0.15
Min
0.00

For the Insurance industry, the Current Ratio is often not the most suitable measure of short-term liquidity.

ARES vs. MFC: A comparison of their Current Ratio (MRQ) against their respective Capital Markets and Insurance industry benchmarks.

Debt-to-Equity Ratio (MRQ)

ARES

2.69

Capital Markets Industry

Max
6.12
Q3
2.78
Median
0.96
Q1
0.31
Min
0.00

The Debt-to-Equity Ratio is often not the primary focus for assessing leverage in the Capital Markets industry.

MFC

0.27

Insurance Industry

Max
1.10
Q3
0.65
Median
0.35
Q1
0.23
Min
0.00

The Debt-to-Equity Ratio is often not the primary focus for assessing leverage in the Insurance industry.

ARES vs. MFC: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Capital Markets and Insurance industry benchmarks.

Interest Coverage Ratio (TTM)

ARES

--

Capital Markets Industry

Max
107.59
Q3
50.42
Median
10.94
Q1
4.37
Min
-36.26

The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Capital Markets industry.

MFC

-0.31

Insurance Industry

Max
49.59
Q3
22.05
Median
9.63
Q1
3.42
Min
-5.73

The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Insurance industry.

ARES vs. MFC: A comparison of their Interest Coverage Ratio (TTM) against their respective Capital Markets and Insurance industry benchmarks.

Financial Strength at a Glance

SymbolARESMFC
Current Ratio (MRQ)0.261.14
Quick Ratio (MRQ)0.261.14
Debt-to-Equity Ratio (MRQ)2.690.27
Interest Coverage Ratio (TTM)---0.31

Growth

Revenue Growth

ARES vs. MFC: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

ARES vs. MFC: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

ARES

5.36%

Capital Markets Industry

Max
8.63%
Q3
4.88%
Median
2.72%
Q1
1.41%
Min
0.00%

With a Dividend Yield of 5.36%, ARES offers a more attractive income stream than most of its peers in the Capital Markets industry, signaling a strong commitment to shareholder returns.

MFC

3.93%

Insurance Industry

Max
9.43%
Q3
5.10%
Median
3.57%
Q1
2.02%
Min
0.00%

MFC’s Dividend Yield of 3.93% is consistent with its peers in the Insurance industry, providing a dividend return that is standard for its sector.

ARES vs. MFC: A comparison of their Dividend Yield (TTM) against their respective Capital Markets and Insurance industry benchmarks.

Dividend Payout Ratio (TTM)

ARES

251.91%

Capital Markets Industry

Max
188.84%
Q3
96.52%
Median
61.58%
Q1
31.74%
Min
0.00%

At 251.91%, ARES’s Dividend Payout Ratio is exceptionally high, exceeding the typical range for the Capital Markets industry. While this provides a significant return to shareholders, it may limit funds for reinvestment and could be difficult to sustain.

MFC

53.26%

Insurance Industry

Max
169.40%
Q3
85.57%
Median
50.55%
Q1
22.12%
Min
0.00%

MFC’s Dividend Payout Ratio of 53.26% is within the typical range for the Insurance industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

ARES vs. MFC: A comparison of their Dividend Payout Ratio (TTM) against their respective Capital Markets and Insurance industry benchmarks.

Dividend at a Glance

SymbolARESMFC
Dividend Yield (TTM)5.36%3.93%
Dividend Payout Ratio (TTM)251.91%53.26%

Valuation

Price-to-Earnings Ratio (TTM)

ARES

47.01

Capital Markets Industry

Max
47.53
Q3
28.81
Median
16.62
Q1
12.06
Min
5.71

A P/E Ratio of 47.01 places ARES in the upper quartile for the Capital Markets industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

MFC

13.54

Insurance Industry

Max
27.66
Q3
17.29
Median
12.59
Q1
9.86
Min
3.13

MFC’s P/E Ratio of 13.54 is within the middle range for the Insurance industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

ARES vs. MFC: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Capital Markets and Insurance industry benchmarks.

Price-to-Sales Ratio (TTM)

ARES

5.71

Capital Markets Industry

Max
13.23
Q3
6.65
Median
4.40
Q1
2.22
Min
0.03

ARES’s P/S Ratio of 5.71 aligns with the market consensus for the Capital Markets industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

MFC

2.12

Insurance Industry

Max
3.39
Q3
1.95
Median
1.25
Q1
0.83
Min
0.22

MFC’s P/S Ratio of 2.12 is in the upper echelon for the Insurance industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

ARES vs. MFC: A comparison of their Price-to-Sales Ratio (TTM) against their respective Capital Markets and Insurance industry benchmarks.

Price-to-Book Ratio (MRQ)

ARES

11.68

Capital Markets Industry

Max
10.83
Q3
5.27
Median
2.66
Q1
1.34
Min
0.37

At 11.68, ARES’s P/B Ratio is at an extreme premium to the Capital Markets industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

MFC

1.48

Insurance Industry

Max
4.36
Q3
2.47
Median
1.77
Q1
1.18
Min
0.17

MFC’s P/B Ratio of 1.48 is within the conventional range for the Insurance industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

ARES vs. MFC: A comparison of their Price-to-Book Ratio (MRQ) against their respective Capital Markets and Insurance industry benchmarks.

Valuation at a Glance

SymbolARESMFC
Price-to-Earnings Ratio (TTM)47.0113.54
Price-to-Sales Ratio (TTM)5.712.12
Price-to-Book Ratio (MRQ)11.681.48
Price-to-Free Cash Flow Ratio (TTM)6.812.87