Advanced Flower Capital Inc. (AFCG) vs Great Elm Group, Inc. (GEG)

Advanced Flower Capital Inc. and Great Elm Group, Inc. are both Asset Management companies. Advanced Flower Capital Inc. and Great Elm Group, Inc. are of similar size ($67.2M and $66.5M). Great Elm Group, Inc. has negative trailing earnings, so its P/E is not meaningful; Advanced Flower Capital Inc. trades at 2.8×. Advanced Flower Capital Inc. grew revenue faster over the last twelve months: 2.92% against −12.1%. Advanced Flower Capital Inc. has the higher net margin (16.0% vs −160.2%) and the higher return on invested capital (0.00% vs −11.8%). Across the 17 metrics below, Advanced Flower Capital Inc. leads on 14 and Great Elm Group, Inc. on 3.

Valuation

Metric AFCG GEG Asset Management median
P/E 2.83 n/m 13.38
P/S 2.20 3.15 2.99
P/B 0.35 1.74 0.91
Price to free cash flow n/m 45.80 7.79
EV/EBITDA — — —
EV/Sales — — —
Earnings yield 35.37% (48.84%) 4.67%
Free cash flow yield (41.14%) 2.18% 4.85%

Profitability

Metric AFCG GEG Asset Management median
Gross margin 100.00% 0.00% 100.00%
Operating margin 44.28% (67.76%) 27.27%
Net margin 16.02% (160.19%) 11.89%
Free cash flow margin 0.00% 6.15% 5.96%
Return on equity 0.00% (54.36%) 4.57%
Return on assets 0.00% (24.57%) 1.40%
Return on invested capital 0.00% (11.77%) 2.12%

Growth

Metric AFCG GEG Asset Management median
Revenue growth (TTM) 2.92% (12.05%) 7.26%
EPS growth (last fiscal year) (221.79%) (407.89%) (5.64%)
Revenue growth, 5-year CAGR 36.15% (14.52%) 11.84%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric AFCG GEG Asset Management median
Debt to equity 0.00 1.00 0.40
Current ratio 1.34 2.89 1.23
Net debt to EBITDA (1.80) 2.68 1.06

Dividend

Metric AFCG GEG Asset Management median
Dividend yield 5.10% — 6.43%
Payout ratio 0.14 — 0.91

Size

Metric AFCG GEG Asset Management median
Market cap 67.19m 66.52m 692.54m

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