Principal Financial Group, Inc. (PFG) vs TPG Inc. (TPG)

Principal Financial Group, Inc. and TPG Inc. are both Asset Management companies. Principal Financial Group, Inc. is the larger, with a market value of $24.4B against $16.8B — 1.5× the size. Principal Financial Group, Inc. trades at the lower P/E: 16.1× against 37.6×. TPG Inc. grew revenue faster over the last twelve months: 30.1% against 3.72%. Principal Financial Group, Inc. has the higher net margin (9.93% vs 4.67%) and the higher return on invested capital (10.3% vs 7.97%). Both pay a dividend; Principal Financial Group, Inc. yields more (3.35% vs 2.87%). Across the 22 metrics below, Principal Financial Group, Inc. leads on 11 and TPG Inc. on 11.

Valuation

Metric PFG TPG Asset Management median
P/E 16.07 37.62 14.62
P/S 1.58 1.45 2.97
P/B 2.03 1.95 0.94
Price to free cash flow n/m 7.97 8.93
EV/EBITDA 12.81 9.14 10.32
EV/Sales 1.52 1.72 5.72
Earnings yield 6.22% 2.66% 4.53%
Free cash flow yield (20.37%) 12.55% 4.65%

Profitability

Metric PFG TPG Asset Management median
Gross margin 47.67% 100.00% 100.00%
Operating margin 11.87% 15.54% 33.03%
Net margin 9.93% 4.67% 13.53%
Free cash flow margin 30.92% 18.15% 12.44%
Return on equity 13.18% 6.47% 4.83%
Return on assets 0.46% 1.82% 1.57%
Return on invested capital 10.34% 7.97% 3.04%

Growth

Metric PFG TPG Asset Management median
Revenue growth (TTM) 3.72% 30.07% 6.97%
EPS growth (last fiscal year) (21.41%) 207.14% —
Revenue growth, 5-year CAGR 1.17% 17.17% 12.13%
Net income growth, 5-year CAGR (3.22%) (33.68%) 0.00%

Health

Metric PFG TPG Asset Management median
Debt to equity 0.36 0.63 0.42
Current ratio 0.24 0.31 1.28
Net debt to EBITDA (0.28) 1.06 1.06

Dividend

Metric PFG TPG Asset Management median
Dividend yield 3.35% 2.87% 6.92%
Payout ratio 0.39 19.29 0.77

Size

Metric PFG TPG Asset Management median
Market cap 24.44b 16.78b 721.34m

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