Fundamentals snapshot
APAM · NYQ · Financial Services · Asset Management
Current price
$39.83
52-week range
$30.86 - $46.53
Market cap
$2.83B
One-glance verdict
We don't put a cash-flow fair value on banks and insurers. For these companies the reported 'cash flow' is really just money moving between loans, deposits and trades — not the leftover profit the owners could actually pocket — so the usual method would print a misleading number.
Balance sheet
Net cash $65.00M. Interest coverage shows how many times profit covers the interest bill.
What stands out
What this company does
Artisan Partners Asset Management Inc. (APAM) is a company that manages money for various organizations like pension funds and endowments, investing their money in stocks and bonds around the world. Their main source of money comes from the fees they charge for managing these investments, and understanding these fees helps us see how much profit they make after their own business costs (their operating margin, which is the percent of each sales dollar left after day-to-day business costs).
Artisan Partners was founded in 1994 by Andrew and Carlene Ziegler, who left their previous firm with a vision to create a company that would attract and nurture top investment talent. Their strategy was built on two key trends: talent acquisition and open architecture. This meant bringing in skilled investment teams and giving them the freedom to manage their strategies independently, supported by a central infrastructure for operations and distribution. Initially focusing on small-cap growth equity in the U.S., Artisan Partners expanded its offerings over time, adding global value strategies in 2002 and credit strategies in 2014. The company went public in 2013 after initially withdrawing its IPO plans in 2011 due to market conditions. Despite facing market fluctuations and evolving industry trends, Artisan Partners has maintained its focus on autonomous investment teams and delivering long-term value to its clients.
Artisan Partners is an investment management firm that helps clients grow their wealth over the long term. Think of them as professional money managers who invest in stocks and bonds on behalf of others. They offer a variety of investment strategies, which are essentially different ways of picking and managing investments, to a global client base that includes large institutions like pension funds and endowments, as well as individual investors. Their main goal is to generate strong investment returns for their clients by carefully selecting and managing assets.
This is the core of Artisan Partners' business, where they manage money by investing in stocks. They have different teams, each with its own approach, focusing on areas like U.S. stocks, global stocks, or stocks in emerging markets (countries that are growing rapidly). These teams aim to find companies that they believe will perform well over time, offering investors a chance to benefit from the growth of these businesses. The revenue from this segment comes from fees charged as a percentage of the total amount of money managed, known as assets under management (AUM).
This part of Artisan Partners focuses on investing in debt, rather than stocks. This includes things like corporate bonds (loans to companies) and other types of loans, some of which are considered higher risk but offer potentially higher returns. By adding credit strategies, Artisan Partners diversifies its offerings beyond just stocks, aiming to provide clients with a broader range of investment options. Like the equity strategies, this segment generates revenue through management fees based on assets under management.
Artisan Partners also offers 'alternative' investment strategies, which are less traditional than stocks or bonds. These can include a variety of investments designed to offer different types of returns or manage risk in unique ways. The goal here is to broaden the firm's investment capabilities and tap into markets that might not be covered by traditional equity or credit investments. This segment also contributes to the company's revenue through management fees.
Artisan Partners is focused on maintaining its edge by continuing to attract and develop top investment talent, giving these teams the autonomy to pursue their strategies. They are also expanding their offerings in growing areas like credit and alternative investments to diversify their revenue streams and appeal to a wider range of clients. A key priority is to ensure strong long-term investment performance across all their strategies, as this is crucial for retaining clients and attracting new assets under management. They also aim to grow their client base globally and across different types of investors, including institutional clients and financial intermediaries.
Price history
Earnings history
Click any quarter to read the call summary and what the numbers say.
Is it cheap or expensive?
For a bank or insurer, the "free cash flow" shown on its statements is mostly money flowing through loans, deposits and trades — not the leftover profit the owners could actually keep, which is what this kind of valuation needs. Running that through the usual method would spit out a meaningless number, so we leave the cash-flow fair value out here rather than show you something misleading.
Is it drowning in debt?
Net cash $65.0M - more cash than debt. Interest coverage 46.7x.
Artisan Partners Asset Management Inc.'s profit covers its interest bill about 46.7 times over. which is stronger than every peer shown here and 1 peers sit below 1x, which is the danger zone where profit does not fully cover the interest bill.
Total debt $313.05M Interest coverage 46.74x This is the baseline the peer rows are being compared against.
Total debt $1.28B Interest coverage -8.43x -100% vs APAM This peer has almost no interest-payment cushion compared with APAM.
Total debt $497.30M Interest coverage 1.03x -98% vs APAM Carries about 45.4x less debt cushion than APAM.
Total debt $2.30B Interest coverage 4.30x -91% vs APAM Carries about 10.9x less debt cushion than APAM.
What you should know
The numbers
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Valuation
Profitability
Health
Growth
Cash flow
Dividend
Metric explainer
Debt comparison
What you should know