Nomura (NMR) Competitors

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

Is NMR or ARES more profitable?

Ares Management has a net margin of 9.73% compared to Nomura's net margin of 8.06%. Ares Management's return on equity of 16.29% beat Nomura's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Nomura	8.06%	10.58%	0.65%
Ares Management	9.73%	16.29%	3.66%

Which has more risk and volatility, NMR or ARES?

Nomura has a beta of 0.78, meaning that its stock price is 22% less volatile than the S&P 500. Comparatively, Ares Management has a beta of 1.4, meaning that its stock price is 40% more volatile than the S&P 500.

Does the media refer more to NMR or ARES?

In the previous week, Ares Management had 24 more articles in the media than Nomura. MarketBeat recorded 34 mentions for Ares Management and 10 mentions for Nomura. Ares Management's average media sentiment score of 0.92 beat Nomura's score of 0.53 indicating that Ares Management is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Nomura	5 Very Positive mention(s)	1 Positive mention(s)	3 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Ares Management	17 Very Positive mention(s)	5 Positive mention(s)	7 Neutral mention(s)	1 Negative mention(s)	1 Very Negative mention(s)	Positive

Do institutionals & insiders have more ownership in NMR or ARES?

15.1% of Nomura shares are owned by institutional investors. Comparatively, 50.0% of Ares Management shares are owned by institutional investors. 0.0% of Nomura shares are owned by insiders. Comparatively, 36.9% of Ares Management shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Which has higher earnings and valuation, NMR or ARES?

Nomura has higher revenue and earnings than Ares Management. Nomura 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
Nomura	$31.11B	0.64	$2.25B	$0.83	8.06
Ares Management	$3.88B	15.39	$463.74M	$1.70	107.71

Do analysts rate NMR or ARES?

Ares Management has a consensus target price of $177.50, indicating a potential downside of 3.06%. Given Ares Management's stronger consensus rating and higher possible upside, analysts plainly believe Ares Management is more favorable than Nomura.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Nomura	0 Sell rating(s)	2 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	2.00
Ares Management	0 Sell rating(s)	5 Hold rating(s)	13 Buy rating(s)	0 Strong Buy rating(s)	2.72

Is NMR or ARES a better dividend stock?

Nomura pays an annual dividend of $0.38 per share and has a dividend yield of 5.7%. Ares Management pays an annual dividend of $4.48 per share and has a dividend yield of 2.4%. Nomura pays out 45.8% of its earnings in the form of a dividend. 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. Ares Management has increased its dividend for 7 consecutive years. Nomura is clearly the better dividend stock, given its higher yield and lower payout ratio.

Summary

Ares Management beats Nomura on 15 of the 19 factors compared between the two stocks.