ARES vs. UPST: A Head-to-Head Stock Comparison
UpdatedHere’s a clear look at ARES and UPST, 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 UPST’s 4.18 billion USD by roughly 8.18×.
UPST carries a higher beta at 2.39, indicating it’s more sensitive to market moves, while ARES remains steadier at 1.42.
| Symbol | ARES | UPST |
|---|---|---|
| Company Name | Ares Management Corporation | Upstart Holdings, Inc. |
| Country | US | US |
| Sector | Financial Services | Financial Services |
| Industry | Asset Management | Financial - Credit Services |
| CEO | Mr. Michael J. Arougheti | Mr. David J. Girouard |
| Price | 158.98 USD | 43.92 USD |
| Market Cap | 34.18 billion USD | 4.18 billion USD |
| Beta | 1.42 | 2.39 |
| Exchange | NYSE | NASDAQ |
| IPO Date | May 2, 2014 | December 16, 2020 |
| ADR | No | No |
Performance Comparison
This chart compares the performance of ARES and UPST 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
The section examines key financial ratios to assess the valuation of ARES and UPST based on earnings, cash flow, sales, and book value. Pay attention to the following notable points where extreme values stand out.
- UPST shows a negative P/E of -62.33, highlighting a year of losses, whereas ARES at 64.72 trades on solid profitability.
- UPST shows a negative forward PEG of -1.99, signaling expected earnings contraction, while ARES at 2.92 maintains analysts’ projections for stable or improved profits.
| Symbol | ARES | UPST |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 64.72 | -62.33 |
| Forward PEG Ratio (TTM) | 2.92 | -1.99 |
| Price-to-Sales Ratio (P/S, TTM) | 6.95 | 5.79 |
| Price-to-Book Ratio (P/B, TTM) | 7.47 | 6.12 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 6.22 | 39.49 |
| EV-to-EBITDA (TTM) | 20.91 | -87.29 |
| EV-to-Sales (TTM) | 6.97 | 6.87 |
| EV-to-Free Cash Flow (TTM) | 6.23 | 46.83 |
Dividend Comparison
ARES delivers a 2.46% dividend yield, blending income with growth, whereas UPST appears to retain its profits, possibly to fund operations, R&D, or other growth initiatives.
| Symbol | ARES | UPST |
|---|---|---|
| Dividend Yield (TTM) | 2.46% | 0.00% |
Financial Strength Metrics Comparison
This section dives into the financial resilience of ARES and UPST, 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 UPST at 4.06 comfortably covers its short-term obligations.
- ARES meets its interest obligations (ratio 1.95). In stark contrast, UPST’s negative ratio (-2.43) means its operating earnings (EBIT) don't cover basic operations, let alone interest, signaling serious financial trouble.
| Symbol | ARES | UPST |
|---|---|---|
| Current Ratio (TTM) | 0.90 | 4.06 |
| Quick Ratio (TTM) | 0.90 | 4.06 |
| Debt-to-Equity Ratio (TTM) | 0.15 | 2.04 |
| Debt-to-Assets Ratio (TTM) | 0.03 | 0.60 |
| Interest Coverage Ratio (TTM) | 1.95 | -2.43 |