Financial Review: Brookfield Asset Management (NYSE:BAM) & AssetMark Financial (NYSE:AMK)

Brookfield Asset Management (NYSE:BAM) and AssetMark Financial (NYSE:AMK) are both finance companies, but which is the better investment? We will contrast the two companies based on the strength of their institutional ownership, risk, analyst recommendations, profitability, dividends, valuation and earnings.

Valuation & Earnings

This table compares Brookfield Asset Management and AssetMark Financial’s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Brookfield Asset Management	$4.06 billion	4.03	$451.00 million	$1.13	35.04
AssetMark Financial	$708.50 million	3.69	$123.12 million	$1.64	21.43

Brookfield Asset Management has higher revenue and earnings than AssetMark Financial. AssetMark Financial is trading at a lower price-to-earnings ratio than Brookfield Asset Management, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Brookfield Asset Management and AssetMark Financial’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Brookfield Asset Management	50.23%	96.43%	66.17%
AssetMark Financial	17.38%	12.74%	9.76%

Risk & Volatility

Brookfield Asset Management has a beta of 1.68, meaning that its stock price is 68% more volatile than the S&P 500. Comparatively, AssetMark Financial has a beta of 1.11, meaning that its stock price is 11% more volatile than the S&P 500.

Insider & Institutional Ownership

68.4% of Brookfield Asset Management shares are held by institutional investors. Comparatively, 28.6% of AssetMark Financial shares are held by institutional investors. 2.3% of AssetMark Financial shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Analyst Recommendations

This is a summary of current recommendations for Brookfield Asset Management and AssetMark Financial, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Brookfield Asset Management	1	3	5	1	2.60
AssetMark Financial	0	1	0	1	3.00

Brookfield Asset Management presently has a consensus price target of $42.20, indicating a potential upside of 6.59%. AssetMark Financial has a consensus price target of $32.67, indicating a potential downside of 7.04%. Given Brookfield Asset Management’s higher possible upside, analysts clearly believe Brookfield Asset Management is more favorable than AssetMark Financial.

Summary

Brookfield Asset Management beats AssetMark Financial on 11 of the 14 factors compared between the two stocks.

About Brookfield Asset Management

Brookfield Asset Management Ltd. is a real estate investment firm specializing in alternative asset management services. Its renewable power and transition business includes the operates in the hydroelectric, wind, solar, distributed generation, and sustainable solution sector. The company's infrastructure business engages in the utilities, transport, midstream, and data infrastructure sectors. In addition, its private equity business offers industrial, infrastructure, and business services sectors; and real estate business, which includes housing, logistics, hospitality, science and innovation, office, and retail sectors. Further, it provides credit business; and insurance solution in the reinsurance, annuities, operating platform, and investment solutions sectors. Brookfield Asset Management Ltd. was incorporated in 2022 and is headquartered in Toronto, Canada.

About AssetMark Financial

AssetMark Financial Holdings, Inc., together with its subsidiaries, provides wealth management platform in the United States. It offers an open-architecture product platform, as well as client advice, asset allocation options, practice management, support services, and technology solutions to the financial adviser channel. The company also provides flexible technology platform for advisers for accessing a range of automated tools and capabilities, including new account opening, portfolio construction, streamlined financial planning, customer billing, investor reporting, progress-to-goal analysis, and client activity tracking; adviser services; curated investment platform; and integrated financial planning tools. In addition, it provides SaaS-based financial planning, wellness, and client digital engagement solutions; offers mutual funds; custodial recordkeeping services primarily to investor clients of registered investment advisers; wealth management solutions for individual investors; and overlay management, investment solutions, flexible desktop technology, and a manager marketplace. The company serves independent advisers who provide wealth management advice to the U.S. investors. AssetMark Financial Holdings, Inc. was founded in 1996 and is headquartered in Concord, California. AssetMark Financial Holdings, Inc. operates as a subsidiary of Huatai International Investment Holdings Limited.