Artisan Partners Asset Management Inc. (APAM) vs Hercules Capital, Inc. (HTGC)

Artisan Partners Asset Management Inc. and Hercules Capital, Inc. are both Asset Management companies. Artisan Partners Asset Management Inc. and Hercules Capital, Inc. are of similar size ($3.2B and $3.1B). Hercules Capital, Inc. trades at the lower P/E: 8.5× against 9.4×. Hercules Capital, Inc. grew revenue faster over the last twelve months: 9.93% against 8.70%. Hercules Capital, Inc. has the higher net margin (62.8% vs 22.5%) and the lower return on invested capital (4.36% vs 88.6%). Both pay a dividend; Artisan Partners Asset Management Inc. yields more (8.70% vs 4.88%). Across the 20 metrics below, Hercules Capital, Inc. leads on 11 and Artisan Partners Asset Management Inc. on 9.

Valuation

Metric APAM HTGC Asset Management median
P/E 9.41 8.49 13.38
P/S 2.10 5.36 2.99
P/B 5.44 1.31 0.91
Price to free cash flow 8.07 n/m 7.79
EV/EBITDA — — —
EV/Sales — — —
Earnings yield 10.63% 11.78% 4.67%
Free cash flow yield 12.39% (5.06%) 4.85%

Profitability

Metric APAM HTGC Asset Management median
Gross margin 43.90% 100.00% 100.00%
Operating margin 33.37% 78.88% 27.27%
Net margin 22.54% 62.84% 11.89%
Free cash flow margin 26.00% (27.11%) 5.96%
Return on equity 61.29% 15.82% 4.57%
Return on assets 18.33% 7.63% 1.40%
Return on invested capital 88.55% 4.36% 2.12%

Growth

Metric APAM HTGC Asset Management median
Revenue growth (TTM) 8.70% 9.93% 7.26%
EPS growth (last fiscal year) 10.66% 14.91% (5.64%)
Revenue growth, 5-year CAGR 5.87% 13.14% 11.84%
Net income growth, 5-year CAGR 4.57% 8.37% 0.00%

Health

Metric APAM HTGC Asset Management median
Debt to equity 0.39 1.10 0.40
Current ratio 0.96 1.41 1.23
Net debt to EBITDA (0.16) 5.21 1.06

Dividend

Metric APAM HTGC Asset Management median
Dividend yield 8.70% 4.88% 6.43%
Payout ratio 0.82 0.43 0.91

Size

Metric APAM HTGC Asset Management median
Market cap 3.23b 3.10b 692.54m

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