APAM vs AMG

For growth investors, Affiliated Managers Group, Inc.

(AMG) is the stronger pick with 19. 8% revenue growth year-over-year, versus 7. 6% for Artisan Partners Asset Management Inc. (APAM). Artisan Partners Asset Management Inc. (APAM) offers the better valuation at 9. 3x trailing P/E (9. 8x forward), making it the more compelling value choice. Analysts rate Affiliated Managers Group, Inc. (AMG) a "Buy" — based on 12 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Artisan Partners Asset Management Inc.

(APAM) is the cheapest at 9. 3x versus Affiliated Managers Group, Inc. at 13. 4x. On forward P/E, Affiliated Managers Group, Inc. is actually cheaper at 9. 2x — notably different from the trailing picture, reflecting expected earnings growth. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: Affiliated Managers Group, Inc. wins at 0. 23x versus Artisan Partners Asset Management Inc. 's 2. 76x — a PEG below 1. 0 traditionally signals the market is underpricing earnings growth.

Over the past 5 years, Affiliated Managers Group, Inc.

(AMG) delivered a total return of +80. 2%, compared to +1. 5% for Artisan Partners Asset Management Inc. (APAM). Over 10 years, the gap is even starker: APAM returned +127. 8% versus AMG's +89. 1%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Affiliated Managers Group, Inc.

(AMG) is the lower-risk stock at 1. 14β versus Artisan Partners Asset Management Inc. 's 1. 17β — meaning APAM is approximately 3% more volatile than AMG relative to the S&P 500. On balance sheet safety, Artisan Partners Asset Management Inc. (APAM) carries a lower debt/equity ratio of 52% versus 61% for Affiliated Managers Group, Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Affiliated Managers Group, Inc.

(AMG) is pulling ahead at 19. 8% versus 7. 6% for Artisan Partners Asset Management Inc. (APAM). On earnings-per-share growth, the picture is similar: Affiliated Managers Group, Inc. grew EPS 50. 3% year-over-year, compared to 10. 7% for Artisan Partners Asset Management Inc.. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Affiliated Managers Group, Inc.

(AMG) is the more profitable company, earning 29. 3% net margin versus 24. 3% for Artisan Partners Asset Management Inc. — meaning it keeps 29. 3% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: APAM leads at 33. 4% versus 31. 8% for AMG. At the gross margin level — before operating expenses — AMG leads at 86. 0%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, Affiliated Managers Group, Inc. (AMG) is the more undervalued stock at a PEG of 0. 23x versus Artisan Partners Asset Management Inc. 's 2. 76x. A PEG below 1. 0 is traditionally considered the threshold for growth-adjusted undervaluation. On forward earnings alone, Affiliated Managers Group, Inc. (AMG) trades at 9. 2x forward P/E versus 9. 8x for Artisan Partners Asset Management Inc. — 0. 7x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for AMG: 9. 2% to $331. 50.

In this comparison, APAM (10.

4% yield) pays a dividend. AMG does not pay a meaningful dividend and should not be held primarily for income.

For long-horizon retirement investors, Artisan Partners Asset Management Inc.

(APAM) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 1. 17), 10. 4% yield, +127. 8% 10Y return). Both have compounded well over 10 years (APAM: +127. 8%, AMG: +89. 1%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Financial Services sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

In terms of investment character: APAM is a small-cap deep-value stock; AMG is a small-cap high-growth stock. APAM pays a dividend while AMG does not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.