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

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

Company Profile

SymbolARESTROW
Company NameAres Management CorporationT. Rowe Price Group, Inc.
CountryUnited StatesUnited States
GICS SectorFinancialsFinancials
GICS IndustryCapital MarketsCapital Markets
Market Capitalization58.46 billion USD23.24 billion USD
ExchangeNYSENasdaqGS
Listing DateMay 2, 2014April 2, 1986
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of ARES and TROW 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. TROW: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolARESTROW
5-Day Price Return-6.05%-3.03%
13-Week Price Return6.10%7.96%
26-Week Price Return-2.96%-1.38%
52-Week Price Return23.76%-3.34%
Month-to-Date Return-3.56%4.25%
Year-to-Date Return1.07%-6.48%
10-Day Avg. Volume1.27M1.12M
3-Month Avg. Volume1.51M1.68M
3-Month Volatility25.97%22.22%
Beta1.511.54

Profitability

Return on Equity (TTM)

ARES

13.30%

Capital Markets Industry

Max
38.97%
Q3
21.61%
Median
13.77%
Q1
8.31%
Min
-4.25%

ARES’s Return on Equity of 13.30% is on par with the norm for the Capital Markets industry, indicating its profitability relative to shareholder equity is typical for the sector.

TROW

19.63%

Capital Markets Industry

Max
38.97%
Q3
21.61%
Median
13.77%
Q1
8.31%
Min
-4.25%

TROW’s Return on Equity of 19.63% is on par with the norm for the Capital Markets industry, indicating its profitability relative to shareholder equity is typical for the sector.

ARES vs. TROW: A comparison of their Return on Equity (TTM) against the Capital Markets industry benchmark.

Net Profit Margin (TTM)

ARES

9.94%

Capital Markets Industry

Max
66.67%
Q3
35.11%
Median
23.49%
Q1
13.63%
Min
-15.18%

Falling into the lower quartile for the Capital Markets industry, ARES’s Net Profit Margin of 9.94% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.

TROW

28.72%

Capital Markets Industry

Max
66.67%
Q3
35.11%
Median
23.49%
Q1
13.63%
Min
-15.18%

TROW’s Net Profit Margin of 28.72% is aligned with the median group of its peers in the Capital Markets industry. This indicates its ability to convert revenue into profit is typical for the sector.

ARES vs. TROW: A comparison of their Net Profit Margin (TTM) against the Capital Markets industry benchmark.

Operating Profit Margin (TTM)

ARES

17.40%

Capital Markets Industry

Max
86.40%
Q3
46.46%
Median
32.80%
Q1
18.32%
Min
-21.87%

ARES’s Operating Profit Margin of 17.40% 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.

TROW

31.84%

Capital Markets Industry

Max
86.40%
Q3
46.46%
Median
32.80%
Q1
18.32%
Min
-21.87%

TROW’s Operating Profit Margin of 31.84% is around the midpoint for the Capital Markets industry, indicating that its efficiency in managing core business operations is typical for the sector.

ARES vs. TROW: A comparison of their Operating Profit Margin (TTM) against the Capital Markets industry benchmark.

Profitability at a Glance

SymbolARESTROW
Return on Equity (TTM)13.30%19.63%
Return on Assets (TTM)1.85%14.69%
Net Profit Margin (TTM)9.94%28.72%
Operating Profit Margin (TTM)17.40%31.84%
Gross Profit Margin (TTM)--99.83%

Financial Strength

Current Ratio (MRQ)

ARES

0.31

Capital Markets Industry

Max
3.76
Q3
1.89
Median
1.01
Q1
0.54
Min
-0.41

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

TROW

2.81

Capital Markets Industry

Max
3.76
Q3
1.89
Median
1.01
Q1
0.54
Min
-0.41

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

ARES vs. TROW: A comparison of their Current Ratio (MRQ) against the Capital Markets industry benchmark.

Debt-to-Equity Ratio (MRQ)

ARES

2.93

Capital Markets Industry

Max
6.62
Q3
2.84
Median
1.02
Q1
0.32
Min
0.00

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

TROW

0.00

Capital Markets Industry

Max
6.62
Q3
2.84
Median
1.02
Q1
0.32
Min
0.00

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

ARES vs. TROW: A comparison of their Debt-to-Equity Ratio (MRQ) against the Capital Markets industry benchmark.

Interest Coverage Ratio (TTM)

ARES

--

Capital Markets Industry

Max
126.03
Q3
60.98
Median
11.77
Q1
4.95
Min
-36.26

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

TROW

5.74

Capital Markets Industry

Max
126.03
Q3
60.98
Median
11.77
Q1
4.95
Min
-36.26

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

ARES vs. TROW: A comparison of their Interest Coverage Ratio (TTM) against the Capital Markets industry benchmark.

Financial Strength at a Glance

SymbolARESTROW
Current Ratio (MRQ)0.312.81
Quick Ratio (MRQ)0.312.81
Debt-to-Equity Ratio (MRQ)2.930.00
Interest Coverage Ratio (TTM)--5.74

Growth

Revenue Growth

ARES vs. TROW: 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. TROW: 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

4.01%

Capital Markets Industry

Max
10.26%
Q3
4.86%
Median
2.78%
Q1
1.22%
Min
0.00%

ARES’s Dividend Yield of 4.01% is consistent with its peers in the Capital Markets industry, providing a dividend return that is standard for its sector.

TROW

4.91%

Capital Markets Industry

Max
10.26%
Q3
4.86%
Median
2.78%
Q1
1.22%
Min
0.00%

With a Dividend Yield of 4.91%, TROW offers a more attractive income stream than most of its peers in the Capital Markets industry, signaling a strong commitment to shareholder returns.

ARES vs. TROW: A comparison of their Dividend Yield (TTM) against the Capital Markets industry benchmark.

Dividend Payout Ratio (TTM)

ARES

323.31%

Capital Markets Industry

Max
200.72%
Q3
101.92%
Median
57.97%
Q1
32.36%
Min
0.00%

At 323.31%, 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.

TROW

55.97%

Capital Markets Industry

Max
200.72%
Q3
101.92%
Median
57.97%
Q1
32.36%
Min
0.00%

TROW’s Dividend Payout Ratio of 55.97% is within the typical range for the Capital Markets industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

ARES vs. TROW: A comparison of their Dividend Payout Ratio (TTM) against the Capital Markets industry benchmark.

Dividend at a Glance

SymbolARESTROW
Dividend Yield (TTM)4.01%4.91%
Dividend Payout Ratio (TTM)323.31%55.97%

Valuation

Price-to-Earnings Ratio (TTM)

ARES

80.55

Capital Markets Industry

Max
58.89
Q3
31.00
Median
18.54
Q1
12.09
Min
5.24

At 80.55, ARES’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Capital Markets industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

TROW

11.39

Capital Markets Industry

Max
58.89
Q3
31.00
Median
18.54
Q1
12.09
Min
5.24

In the lower quartile for the Capital Markets industry, TROW’s P/E Ratio of 11.39 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.

ARES vs. TROW: A comparison of their Price-to-Earnings Ratio (TTM) against the Capital Markets industry benchmark.

Price-to-Sales Ratio (TTM)

ARES

8.01

Capital Markets Industry

Max
14.49
Q3
7.41
Median
4.68
Q1
2.25
Min
0.04

ARES’s P/S Ratio of 8.01 is in the upper echelon for the Capital Markets 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.

TROW

3.27

Capital Markets Industry

Max
14.49
Q3
7.41
Median
4.68
Q1
2.25
Min
0.04

TROW’s P/S Ratio of 3.27 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.

ARES vs. TROW: A comparison of their Price-to-Sales Ratio (TTM) against the Capital Markets industry benchmark.

Price-to-Book Ratio (MRQ)

ARES

12.97

Capital Markets Industry

Max
9.48
Q3
4.94
Median
2.42
Q1
1.21
Min
0.38

At 12.97, 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.

TROW

2.01

Capital Markets Industry

Max
9.48
Q3
4.94
Median
2.42
Q1
1.21
Min
0.38

TROW’s P/B Ratio of 2.01 is within the conventional range for the Capital Markets 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. TROW: A comparison of their Price-to-Book Ratio (MRQ) against the Capital Markets industry benchmark.

Valuation at a Glance

SymbolARESTROW
Price-to-Earnings Ratio (TTM)80.5511.39
Price-to-Sales Ratio (TTM)8.013.27
Price-to-Book Ratio (MRQ)12.972.01
Price-to-Free Cash Flow Ratio (TTM)9.7214.82