Ares Management (ARES) Competitors

Ares Management (NYSE:ARES) and Carlyle Group (NASDAQ:CG) are both large-cap finance companies, but which is the better business? We will contrast the two companies based on the strength of their profitability, dividends, analyst recommendations, institutional ownership, valuation, risk, earnings and media sentiment.

Which has more volatility & risk, ARES or CG?

Ares Management has a beta of 1.37, indicating that its stock price is 37% more volatile than the S&P 500. Comparatively, Carlyle Group has a beta of 1.86, indicating that its stock price is 86% more volatile than the S&P 500.

Is ARES or CG more profitable?

Carlyle Group has a net margin of 19.00% compared to Ares Management's net margin of 9.73%. Carlyle Group's return on equity of 23.78% beat Ares Management's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Ares Management	9.73%	16.29%	3.66%
Carlyle Group	19.00%	23.78%	6.40%

Does the media refer more to ARES or CG?

In the previous week, Carlyle Group had 6 more articles in the media than Ares Management. MarketBeat recorded 27 mentions for Carlyle Group and 21 mentions for Ares Management. Ares Management's average media sentiment score of 1.37 beat Carlyle Group's score of 0.70 indicating that Ares Management is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Ares Management	15 Very Positive mention(s)	2 Positive mention(s)	3 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Carlyle Group	10 Very Positive mention(s)	2 Positive mention(s)	12 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Do institutionals and insiders believe in ARES or CG?

50.0% of Ares Management shares are held by institutional investors. Comparatively, 55.9% of Carlyle Group shares are held by institutional investors. 36.9% of Ares Management shares are held by company insiders. Comparatively, 26.3% of Carlyle Group shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Which has higher valuation and earnings, ARES or CG?

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

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ares Management	$3.88B	15.13	$463.74M	$1.70	105.90
Carlyle Group	$5.43B	3.89	$1.02B	$2.95	19.83

Do analysts prefer ARES or CG?

Ares Management presently has a consensus target price of $176.06, indicating a potential downside of 2.20%. Carlyle Group has a consensus target price of $56.13, indicating a potential downside of 4.05%. Given Ares Management's stronger consensus rating and higher probable upside, equities research analysts plainly believe Ares Management is more favorable than Carlyle Group.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ares Management	0 Sell rating(s)	4 Hold rating(s)	12 Buy rating(s)	0 Strong Buy rating(s)	2.75
Carlyle Group	1 Sell rating(s)	7 Hold rating(s)	8 Buy rating(s)	0 Strong Buy rating(s)	2.44

Is ARES or CG a better dividend stock?

Ares Management pays an annual dividend of $4.48 per share and has a dividend yield of 2.5%. Carlyle Group pays an annual dividend of $1.40 per share and has a dividend yield of 2.4%. Ares Management pays out 263.5% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Carlyle Group pays out 47.5% of its earnings in the form of a dividend. Ares Management has increased its dividend for 7 consecutive years and Carlyle Group has increased its dividend for 4 consecutive years. Ares Management is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Summary

Carlyle Group beats Ares Management on 10 of the 19 factors compared between the two stocks.