TPG Inc. (TPG) vs T. Rowe Price Group, Inc. (TROW)

TPG Inc. and T. Rowe Price Group, Inc. are both Asset Management companies. T. Rowe Price Group, Inc. is the larger, with a market value of $22.2B against $16.8B — 1.3× the size. T. Rowe Price Group, Inc. trades at the lower P/E: 10.6× against 37.6×. TPG Inc. grew revenue faster over the last twelve months: 30.1% against 6.97%. T. Rowe Price Group, Inc. has the higher net margin (28.6% vs 4.67%) and the higher return on invested capital (18.4% vs 7.97%). Both pay a dividend; T. Rowe Price Group, Inc. yields more (4.58% vs 2.87%). Across the 22 metrics below, T. Rowe Price Group, Inc. leads on 14 and TPG Inc. on 8.

Valuation

Metric TPG TROW Asset Management median
P/E 37.62 10.57 14.62
P/S 1.45 2.97 2.97
P/B 1.95 2.02 0.94
Price to free cash flow 7.97 13.49 8.93
EV/EBITDA 9.14 6.68 10.32
EV/Sales 1.72 2.55 5.72
Earnings yield 2.66% 9.46% 4.53%
Free cash flow yield 12.55% 7.41% 4.65%

Profitability

Metric TPG TROW Asset Management median
Gross margin 100.00% 100.00% 100.00%
Operating margin 15.54% 30.76% 33.03%
Net margin 4.67% 28.59% 13.53%
Free cash flow margin 18.15% 22.05% 12.44%
Return on equity 6.47% 19.85% 4.83%
Return on assets 1.82% 14.62% 1.57%
Return on invested capital 7.97% 18.41% 3.04%

Growth

Metric TPG TROW Asset Management median
Revenue growth (TTM) 30.07% 6.97% 6.97%
EPS growth (last fiscal year) 207.14% 0.98% —
Revenue growth, 5-year CAGR 17.17% 3.34% 12.13%
Net income growth, 5-year CAGR (33.68%) (2.47%) 0.00%

Health

Metric TPG TROW Asset Management median
Debt to equity 0.63 0.00 0.42
Current ratio 0.31 4.04 1.28
Net debt to EBITDA 1.06 (1.21) 1.06

Dividend

Metric TPG TROW Asset Management median
Dividend yield 2.87% 4.58% 6.92%
Payout ratio 19.29 0.72 0.77

Size

Metric TPG TROW Asset Management median
Market cap 16.78b 22.24b 721.34m

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