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

Updated

Here’s a clear look at ARES and WFC, 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

WFC stands out with 238.17 billion USD in market value—about 6.97× ARES’s market cap of 34.18 billion USD.

With betas of 1.42 for ARES and 1.12 for WFC, both show similar volatility profiles relative to the overall market.

SymbolARESWFC
Company NameAres Management CorporationWells Fargo & Company
CountryUSUS
SectorFinancial ServicesFinancial Services
IndustryAsset ManagementBanks - Diversified
CEOMr. Michael J. AroughetiMr. Charles W. Scharf
Price158.98 USD73.19 USD
Market Cap34.18 billion USD238.17 billion USD
Beta1.421.12
ExchangeNYSENYSE
IPO DateMay 2, 2014June 1, 1972
ADRNoNo

Performance Comparison

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

SymbolARESWFC
Price-to-Earnings Ratio (P/E, TTM)64.7212.01
Forward PEG Ratio (TTM)2.920.66
Price-to-Sales Ratio (P/S, TTM)6.953.00
Price-to-Book Ratio (P/B, TTM)7.471.33
Price-to-Free Cash Flow Ratio (P/FCF, TTM)6.2257.77
EV-to-EBITDA (TTM)20.9130.50
EV-to-Sales (TTM)6.974.93
EV-to-Free Cash Flow (TTM)6.2394.96

Dividend Comparison

Both ARES and WFC offer similar dividend yields (2.46% vs. 2.19%), indicating comparable approaches to balancing income and growth.

SymbolARESWFC
Dividend Yield (TTM)2.46%2.19%

Financial Strength Metrics Comparison

This section dives into the financial resilience of ARES and WFC, 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 0.25, both ARES and WFC have less current assets than short-term liabilities, which could strain their working capital and force reliance on additional financing.
  • WFC posts a quick ratio of 0.25, indicating limited coverage of short-term debts from its most liquid assets—while ARES at 0.90 enjoys stronger liquidity resilience.
SymbolARESWFC
Current Ratio (TTM)0.900.25
Quick Ratio (TTM)0.900.25
Debt-to-Equity Ratio (TTM)0.151.04
Debt-to-Assets Ratio (TTM)0.030.10
Interest Coverage Ratio (TTM)1.952.50