Analyzing Affiliated Managers Group (NYSE:AMG) & Barings Corporate Investors (NYSE:MCI)

Barings Corporate Investors (NYSE:MCI) and Affiliated Managers Group (NYSE:AMG) are both finance companies, but which is the better business? We will contrast the two businesses based on the strength of their dividends, analyst recommendations, risk, valuation, profitability, institutional ownership and earnings.

Profitability

This table compares Barings Corporate Investors and Affiliated Managers Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Barings Corporate Investors	N/A	N/A	N/A
Affiliated Managers Group	21.79%	16.11%	7.68%

Insider & Institutional Ownership

95.3% of Affiliated Managers Group shares are held by institutional investors. 1.1% of Barings Corporate Investors shares are held by company insiders. Comparatively, 4.2% of Affiliated Managers Group shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Volatility and Risk

Barings Corporate Investors has a beta of 0.34, indicating that its stock price is 66% less volatile than the S&P 500. Comparatively, Affiliated Managers Group has a beta of 1.25, indicating that its stock price is 25% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of current ratings for Barings Corporate Investors and Affiliated Managers Group, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Barings Corporate Investors	0	0	0	0	0.00
Affiliated Managers Group	0	0	7	1	3.13

Affiliated Managers Group has a consensus target price of $290.33, indicating a potential upside of 8.00%. Given Affiliated Managers Group’s stronger consensus rating and higher probable upside, analysts plainly believe Affiliated Managers Group is more favorable than Barings Corporate Investors.

Valuation & Earnings

This table compares Barings Corporate Investors and Affiliated Managers Group”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Barings Corporate Investors	N/A	N/A	N/A	N/A	N/A
Affiliated Managers Group	$2.04 billion	3.70	$511.60 million	$16.79	16.01

Affiliated Managers Group has higher revenue and earnings than Barings Corporate Investors.

Dividends

Barings Corporate Investors pays an annual dividend of $1.60 per share and has a dividend yield of 7.7%. Affiliated Managers Group pays an annual dividend of $0.04 per share and has a dividend yield of 0.0%. Affiliated Managers Group pays out 0.2% of its earnings in the form of a dividend.

Summary

Affiliated Managers Group beats Barings Corporate Investors on 11 of the 13 factors compared between the two stocks.

About Barings Corporate Investors

Babson Capital Corporate Investors trust is a closed ended fixed income mutual fund launched and managed by Barings LLC. It invests in fixed income markets of the United States. The fund seeks to invest in securities of companies operating across diversified sectors. It primarily invests in a portfolio of privately placed, below-investment grade, long term corporate debt obligations. The fund also invests in marketable investment grade debt securities, other marketable debt securities, and marketable common stocks. It was formerly known as Babson Capital Corporate Investors. Babson Capital Corporate Investors trust was formed in 1971 and is domiciled in the United States.

About Affiliated Managers Group

Affiliated Managers Group, Inc., through its affiliates, operates as an investment management company providing investment management services to mutual funds, institutional clients,retails and high net worth individuals in the United States. It provides advisory or sub-advisory services to mutual funds. These funds are distributed to retail, high net worth and institutional clients directly and through intermediaries, including independent investment advisors, retirement plan sponsors, broker-dealers, major fund marketplaces, and bank trust departments. The company also offers investment products in various investment styles in the institutional distribution channel, including small, small/mid, mid, and large capitalization value and growth equity, and emerging markets. In addition, it offers quantitative, alternative, and fixed income products, and manages assets for foundations and endowments, defined benefit, and defined contribution plans for corporations and municipalities. Affiliated Managers Group provides investment management or customized investment counseling and fiduciary services. Affiliated Managers Group, Inc. was formed in 1993 and is based in West Palm Beach, Florida with additional offices in Prides Crossing, Massachusetts; Stamford, Connecticut; London, United Kingdom; Dubai, United Arab Emirates; Sydney, Australia; Hong Kong; Tokyo, Japan, Zurich, Switzerland and Delaware.