Critical Contrast: Princeton Capital (OTCMKTS:PIAC) versus Affiliated Managers Group (NYSE:AMG)

Affiliated Managers Group (NYSE:AMG) and Princeton Capital (OTCMKTS:PIAC) are both finance companies, but which is the better business? We will contrast the two companies based on the strength of their earnings, risk, analyst recommendations, dividends, institutional ownership, valuation and profitability.

Analyst Ratings

This is a summary of recent ratings and recommmendations for Affiliated Managers Group and Princeton Capital, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Affiliated Managers Group	0	0	7	1	3.12
Princeton Capital	0	0	0	0	0.00

Affiliated Managers Group presently has a consensus price target of $370.86, indicating a potential upside of 0.41%. Given Affiliated Managers Group’s stronger consensus rating and higher possible upside, research analysts clearly believe Affiliated Managers Group is more favorable than Princeton Capital.

Profitability

This table compares Affiliated Managers Group and Princeton Capital’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Affiliated Managers Group	37.72%	21.94%	9.72%
Princeton Capital	N/A	N/A	N/A

Valuation and Earnings

This table compares Affiliated Managers Group and Princeton Capital”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Affiliated Managers Group	$2.07 billion	4.70	$716.60 million	$28.87	12.79
Princeton Capital	N/A	N/A	N/A	N/A	N/A

Affiliated Managers Group has higher revenue and earnings than Princeton Capital.

Institutional and Insider Ownership

95.3% of Affiliated Managers Group shares are owned by institutional investors. 2.9% of Affiliated Managers Group shares are owned 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.

Summary

Affiliated Managers Group beats Princeton Capital on 10 of the 10 factors compared between the two stocks.

About Affiliated Managers Group

Affiliated Managers Group, Inc., through its affiliates, operates as an investment management company providing investment management services to mutual funds, institutional clients,retails and high net worth individuals in the United States. It provides advisory or sub-advisory services to mutual funds. These funds are distributed to retail, high net worth and institutional clients directly and through intermediaries, including independent investment advisors, retirement plan sponsors, broker-dealers, major fund marketplaces, and bank trust departments. The company also offers investment products in various investment styles in the institutional distribution channel, including small, small/mid, mid, and large capitalization value and growth equity, and emerging markets. In addition, it offers quantitative, alternative, and fixed income products, and manages assets for foundations and endowments, defined benefit, and defined contribution plans for corporations and municipalities. Affiliated Managers Group provides investment management or customized investment counseling and fiduciary services. Affiliated Managers Group, Inc. was formed in 1993 and is based in West Palm Beach, Florida with additional offices in Prides Crossing, Massachusetts; Stamford, Connecticut; London, United Kingdom; Dubai, United Arab Emirates; Sydney, Australia; Hong Kong; Tokyo, Japan, Zurich, Switzerland and Delaware.

About Princeton Capital

Princeton Capital Corporation is a business development company specializing in the private equity investments. The fund specializes in making investments in lower middle market in form of mezzanine, mezzanine debt, first lien loans, second lien loans, notes, bonds, subordinated debt, leverage buyouts, add on acquisitions, recapitalization, refinancings, growth financing and debt financing investments. It focuses on sponsored deals and non-sponsored deals. It typically invests in the United States region. The fund seeks to invest between $1 million and $5 million per transaction. It seeks to invest in companies with sales more than $35 million. It seeks to invest in companies with EBITDA between $3 million and $20 million. It takes minority equity and equity co-Investments.