Artisan Partners Asset Management Inc. (APAM) vs FS KKR Capital Corp. (FSK)

Artisan Partners Asset Management Inc. and FS KKR Capital Corp. are both Asset Management companies. Artisan Partners Asset Management Inc. and FS KKR Capital Corp. are of similar size ($3.1B and $2.9B). FS KKR Capital Corp. has negative trailing earnings, so its P/E is not meaningful; Artisan Partners Asset Management Inc. trades at 8.8×. Artisan Partners Asset Management Inc. grew revenue faster over the last twelve months: 9.78% against −20.1%. Artisan Partners Asset Management Inc. has the higher net margin (22.1% vs −28.5%) and the higher return on invested capital (84.8% vs 2.98%). Both pay a dividend; FS KKR Capital Corp. yields more (12.7% vs 6.76%). Across the 22 metrics below, Artisan Partners Asset Management Inc. leads on 13 and FS KKR Capital Corp. on 9.

Valuation

Metric APAM FSK Asset Management median
P/E 8.78 n/m 14.62
P/S 1.92 2.40 2.97
P/B 5.16 0.62 0.94
Price to free cash flow 9.25 1.64 8.93
EV/EBITDA 5.31 9.43 10.32
EV/Sales 1.79 7.24 5.72
Earnings yield 11.39% (12.00%) 4.53%
Free cash flow yield 10.81% 61.03% 4.65%

Profitability

Metric APAM FSK Asset Management median
Gross margin 43.31% 100.00% 100.00%
Operating margin 33.03% 75.06% 33.03%
Net margin 22.08% (28.52%) 13.53%
Free cash flow margin 20.78% 146.24% 12.44%
Return on equity 62.29% (6.66%) 4.83%
Return on assets 18.97% (2.82%) 1.57%
Return on invested capital 84.76% 2.98% 3.04%

Growth

Metric APAM FSK Asset Management median
Revenue growth (TTM) 9.78% (20.11%) 6.97%
EPS growth (last fiscal year) 10.66% (98.09%) —
Revenue growth, 5-year CAGR 5.87% 18.91% 12.13%
Net income growth, 5-year CAGR 4.57% 0.00% 0.00%

Health

Metric APAM FSK Asset Management median
Debt to equity 0.41 1.23 0.42
Current ratio 0.90 2.28 1.28
Net debt to EBITDA (0.16) 6.40 1.06

Dividend

Metric APAM FSK Asset Management median
Dividend yield 6.76% 12.71% 6.92%
Payout ratio 0.76 2.60 0.77

Size

Metric APAM FSK Asset Management median
Market cap 2.90b 3.05b 721.34m

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