Carlyle Group Inc. (CG) vs Equitable Holdings, Inc. (EQH)

Carlyle Group Inc. and Equitable Holdings, Inc. are both Asset Management companies. Carlyle Group Inc. and Equitable Holdings, Inc. are of similar size ($14.4B and $14.1B). Equitable Holdings, Inc. has negative trailing earnings, so its P/E is not meaningful; Carlyle Group Inc. trades at 39.6×. Equitable Holdings, Inc. grew revenue faster over the last twelve months: −22.1% against −41.9%. Carlyle Group Inc. has the higher net margin (10.1% vs −9.25%) and the higher return on invested capital (4.40% vs 0.00%). Across the 19 metrics below, Carlyle Group Inc. leads on 13 and Equitable Holdings, Inc. on 6.

Valuation

Metric CG EQH Asset Management median
P/E 39.63 n/m 14.62
P/S 3.97 1.41 2.97
P/B 1.99 n/m 0.94
Price to free cash flow n/m 11.34 8.93
EV/EBITDA 9.73 9.25 10.32
EV/Sales 4.39 0.45 5.72
Earnings yield 2.52% (6.09%) 4.53%
Free cash flow yield (33.11%) 8.82% 4.65%

Profitability

Metric CG EQH Asset Management median
Gross margin 100.00% 44.18% 100.00%
Operating margin 39.60% (3.62%) 33.03%
Net margin 10.08% (9.25%) 13.53%
Free cash flow margin (114.16%) 12.44% 12.44%
Return on equity 5.22% (168.29%) 4.83%
Return on assets 1.37% (0.31%) 1.57%
Return on invested capital 4.40% 0.00% 3.04%

Growth

Metric CG EQH Asset Management median
Revenue growth (TTM) (41.88%) (22.10%) 6.97%
EPS growth (last fiscal year) (21.30%) (227.78%) —
Revenue growth, 5-year CAGR 10.25% (1.24%) 12.13%
Net income growth, 5-year CAGR 18.36% 0.00% 0.00%

Health

Metric CG EQH Asset Management median
Debt to equity 1.91 8.12 0.42
Current ratio 2.35 0.12 1.28
Net debt to EBITDA (0.47) 60.82 1.06

Dividend

Metric CG EQH Asset Management median
Dividend yield 3.28% — 6.92%
Payout ratio — — 0.77

Size

Metric CG EQH Asset Management median
Market cap 14.05b 14.36b 721.34m

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