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

Updated

Here’s a clear look at ARES and TROW, 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

ARES dominates in value with a market cap of 34.18 billion USD, eclipsing TROW’s 20.95 billion USD by roughly 1.63×.

With betas of 1.42 for ARES and 1.52 for TROW, both show similar volatility profiles relative to the overall market.

SymbolARESTROW
Company NameAres Management CorporationT. Rowe Price Group, Inc.
CountryUSUS
SectorFinancial ServicesFinancial Services
IndustryAsset ManagementAsset Management
CEOMr. Michael J. AroughetiMr. Robert W. Sharps C.F.A., CPA
Price158.98 USD95.09 USD
Market Cap34.18 billion USD20.95 billion USD
Beta1.421.52
ExchangeNYSENASDAQ
IPO DateMay 2, 2014April 2, 1986
ADRNoNo

Performance Comparison

This chart compares the performance of ARES and TROW 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 TROW, please refer to the table below.

SymbolARESTROW
Price-to-Earnings Ratio (P/E, TTM)64.7210.59
Forward PEG Ratio (TTM)2.925.22
Price-to-Sales Ratio (P/S, TTM)6.952.95
Price-to-Book Ratio (P/B, TTM)7.472.04
Price-to-Free Cash Flow Ratio (P/FCF, TTM)6.2216.39
EV-to-EBITDA (TTM)20.916.87
EV-to-Sales (TTM)6.972.61
EV-to-Free Cash Flow (TTM)6.2314.54

Dividend Comparison

TROW stands out with a 5.25% dividend yield—around 113% above ARES’s 2.46%—highlighting its emphasis on generous payouts.

SymbolARESTROW
Dividend Yield (TTM)2.46%5.25%

Financial Strength Metrics Comparison

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

  • ARES’s current ratio of 0.90 signals a possible liquidity squeeze, while TROW at 5.87 comfortably covers its short-term obligations.
  • ARES (at 1.95) covers its interest payments, while TROW shows “--” for minimal debt service.
SymbolARESTROW
Current Ratio (TTM)0.905.87
Quick Ratio (TTM)0.905.87
Debt-to-Equity Ratio (TTM)0.150.05
Debt-to-Assets Ratio (TTM)0.030.03
Interest Coverage Ratio (TTM)1.95--