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what it is
AMG buys stakes in money managers and collects fees when those firms keep client assets growing.
how it gets paid
Last year Affiliated Mgrs made $2.1B in revenue. Equities was the main engine at $0.95B, or 45% of sales.
why it's growing
Revenue grew 1.6% last year. The quarter was helped by a much larger revenue base and stronger profitability.
what just happened
Revenue hit $1.5B and EPS came in at $11.83, far above the street's $8.71 expectation.
At a glance
B++ balance sheet — above average — nothing keeping you up at night
15/100 earnings predictability — expect surprises
12.0x trailing p/e — the market's not buying it — or you found a deal
14.0% return on capital — nothing to write home about
xvary composite: 65/100 — average
What they do
AMG buys stakes in money managers and collects fees when those firms keep client assets growing.
AMG's model is asset management (getting paid to oversee client money) → a fee business with almost no factories → so more of each dollar can fall to profit. Its operating margin is 46.0% and net profit margin is 31.6%, which is fat for a company managing other people's money. You are also buying reach: AMG had $707.9 billion of assets under management at 12/31/24 across private markets, alternatives, equities, and fixed income, so one bad strategy does not sink the whole ship.
How they make money
$2.1B
annual revenue · their business grew +1.6% last year
Equities
$0.95B
Liquid Alternatives
$0.42B
Private Markets
$0.40B
Multi-Asset & Fixed Income
$0.34B
The products that matter
public market investment strategies
Equities
$945M · 45% of revenue
This is the biggest fee stream. At $945M, nearly half the business sits here, so if performance slips or clients leave, you will feel it first in the public-markets bucket.
largest fee stream
hedge fund and alternative strategies
Liquid Alternatives
$420M · 20% of revenue
This $420M segment matters because fee rates here are often richer than plain-vanilla long-only funds. In human-speak: this is part of what keeps the margin profile well above most ordinary asset managers.
higher-fee mix
private equity and credit strategies
Private Markets
$399M · 19% of revenue
Private Markets contributes $399M and adds a slower-moving fee stream than public equities. That's helpful when listed markets get jumpy, but fundraising cycles here can also freeze without warning.
private-credit angle
Key numbers
$707.9B
client assets
This is the money AMG gets paid to oversee. More assets usually mean more fees without building more factories.
46.0%
operating margin
Operating margin → what is left after running the business → so AMG keeps a lot of each revenue dollar.
12.0x
trailing p/e
P/E → price divided by earnings → so you are paying 12 years of current profit for the stock.
$2.4B
long-term debt
Debt adds risk when markets fall, because fees can drop before obligations do.
Financial health
B++
strength
- balance sheet grade B++ — above average financial health
- risk rank 3 — safer than 50% of stocks
- price stability 55 / 100
- long-term debt $2.4B (22% of capital)
- net profit margin 31.6% — keeps 32 cents of every dollar in revenue
- return on equity 19% — $0.19 profit for every $1 investors have put in
B++ — functional but not a standout on the balance sheet.
Total return vs. market
You invested $10,000 in AMG 3 years ago → it's now worth $18,840.
The index would have given you $14,770.
source: institutional data · total return
What just happened
beat estimates
Revenue hit $1.5B and EPS came in at $11.83, far above the street's $8.71 expectation.
The quarter was helped by a much larger revenue base and stronger profitability. Last earnings, AMG posted $11.03 versus an $8.71 estimate, a 26.64% surprise, so the beat pattern is real.
$1.5B
revenue
$11.83
eps
46.0%
gross margin
the number that mattered
$11.83 of quarterly EPS matters most because it shows how much profit this fee model can throw off when assets and activity cooperate.
-
affiliated managers group (amg) continues to make progress.
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at the close of the third quarter, assets under management (aum) settled at $804 billion, representing a 14% gain from the start of 2025.
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the increase was driven by market appreciation, client inflows, and new investments.too, it was encouraging to see advances across all of the firm’s major asset categories (alternative, private markets, equities, and fixed income). looking ahead, amg should hold up reasonably well during periods of market turbulence, since it specializes in safe havens and alternative investments.
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meanwhile, affiliated managers continues to expand its reach.in late october, amg announced a strategic partnership with brown brothers harriman (bbh) partners, a global financial services firm. the collaboration aims to develop new alternative credit products for high net worth investors in the u.s.
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amg will provide initial capital and retain a minority interest in the venture.
source: company earnings report, 2026
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What could go wrong
AMG's problem is not abstract market fear. It is very specific. If AUM falls, fee revenue feels it. If affiliates underperform, client money leaves. If higher-fee alternatives cool off, the margin story gets less impressive fast.
high
AUM shrinkage hits the machine directly
You are paid on client assets. If markets drop or clients redeem, the fee base shrinks with them. There is no product cycle here to distract you from that math.
AMG manages $804B today. That's the whole engine. Lower AUM means lower fees, and the stock's cheap multiple stops looking especially cheap if earnings follow it down.
med
Alternatives mix can help until it doesn't
Private markets and liquid alternatives make up 39% of revenue. That mix supports better economics, but fundraising in these areas can stall when buyers turn cautious or liquidity tightens.
The quiet part is that a better mix cuts both ways. Higher-fee strategies lift margins on the way up and make mix deterioration more painful on the way down.
med
Boutique model means key-person and performance risk
AMG is a collection of affiliates, not one centrally branded manager. If a star allocator leaves or an affiliate lags for long enough, outflows can start small and become a reputation problem.
Equities is 45% of revenue. Weak results at a major public-markets affiliate would not stay isolated for long.
This is a fee business with sharp fixed-cost math. When AUM rises, earnings can jump. When AUM falls, the same setup works against you.
source: institutional data · regulatory filings · risk analysis
Pay attention to
metric
AUM above $804B
This is the first screen. If AUM keeps climbing, the fee base still has room to support earnings. If it rolls over, the low multiple will start making sense in the wrong way.
trend
revenue growth above 1.6%
AMG already showed it can grow EPS. The cleaner rerating case is simple: revenue needs to move faster than the current 1.6% pace.
event
next earnings report
Watch the combination, not one line item. AUM, revenue, and margin need to tell the same story. If only EPS looks good again, the market may stop giving it full credit.
risk
Brown Brothers Harriman partnership traction
Right now this is strategy on paper. The next step is evidence that the private-credit push actually changes mix or fee growth, not just the investor presentation.
Analyst rankings
short-term outlook
top 20%
Momentum score 2. Analysts expect above-average price performance in the year ahead. in human-speak, they still like the setup.
risk profile
average
Stability score 3. You are not in bunker-stock territory, but this is not a rollercoaster either.
chart momentum
average
Technical score 3. The chart is not screaming either way. It looks more orderly than euphoric.
earnings predictability
15 / 100
Low predictability. Asset managers live with market moves, fund flows, and fee variability. AMG is no exception.
source: institutional data
Institutional activity
199 buyers vs. 196 sellers in 3q2025. total institutional holdings: 26.7M shares.
source: institutional data
Price targets
3-5 year target range
$178
$371
$304
current price
$275
target midpoint · 9% from current · 3-5yr high: $455 (+50% · 11% ann'l return)
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