The Bank of New York Mellon (NYSE:BK) and Manning & Napier (NYSE:MN) are both finance companies, but which is the better stock? We will compare the two companies based on the strength of their profitability, dividends, valuation, risk, institutional ownership, analyst recommendations and earnings.
Valuation and Earnings
This table compares The Bank of New York Mellon and Manning & Napier's revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
|---|
| The Bank of New York Mellon | $20.77 billion | 1.96 | $4.44 billion | $4.02 | 11.57 |
| Manning & Napier | $136 million | 0.95 | $1.43 million | $0.17 | 44.12 |
The Bank of New York Mellon has higher revenue and earnings than Manning & Napier. The Bank of New York Mellon is trading at a lower price-to-earnings ratio than Manning & Napier, indicating that it is currently the more affordable of the two stocks.
Institutional and Insider Ownership
82.3% of The Bank of New York Mellon shares are held by institutional investors. Comparatively, 31.4% of Manning & Napier shares are held by institutional investors. 0.1% of The Bank of New York Mellon shares are held by insiders. Comparatively, 12.1% of Manning & Napier shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.
Analyst Recommendations
This is a breakdown of current ratings and price targets for The Bank of New York Mellon and Manning & Napier, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
|---|
| The Bank of New York Mellon | 0 | 7 | 10 | 0 | 2.59 |
| Manning & Napier | 0 | 0 | 0 | 0 | N/A |
The Bank of New York Mellon presently has a consensus price target of $49.1333, suggesting a potential upside of 5.53%. Given The Bank of New York Mellon's higher probable upside, analysts plainly believe The Bank of New York Mellon is more favorable than Manning & Napier.
Volatility & Risk
The Bank of New York Mellon has a beta of 1.07, meaning that its share price is 7% more volatile than the S&P 500. Comparatively, Manning & Napier has a beta of 3.06, meaning that its share price is 206% more volatile than the S&P 500.
Profitability
This table compares The Bank of New York Mellon and Manning & Napier's net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
|---|
| The Bank of New York Mellon | 23.09% | 9.89% | 0.89% |
| Manning & Napier | 3.60% | 11.30% | 6.79% |
Summary
The Bank of New York Mellon beats Manning & Napier on 8 of the 13 factors compared between the two stocks.
