Ares Management (NYSE:ARES – Get Free Report) and Resolute Holdings Management (NYSE:RHLD – Get Free Report) are both finance companies, but which is the superior business? We will compare the two companies based on the strength of their risk, profitability, dividends, institutional ownership, valuation, earnings and analyst recommendations.
Analyst Recommendations
This is a breakdown of recent ratings and price targets for Ares Management and Resolute Holdings Management, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Ares Management | 0 | 6 | 12 | 1 | 2.74 |
| Resolute Holdings Management | 0 | 1 | 0 | 0 | 2.00 |
Ares Management presently has a consensus target price of $159.81, indicating a potential upside of 33.19%. Given Ares Management’s stronger consensus rating and higher possible upside, equities analysts clearly believe Ares Management is more favorable than Resolute Holdings Management.
Valuation and Earnings
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Ares Management | $5.60 billion | 7.07 | $527.36 million | $2.18 | 55.04 |
| Resolute Holdings Management | $462.05 million | 2.14 | -$5.92 million | $5.43 | 23.32 |
Ares Management has higher revenue and earnings than Resolute Holdings Management. Resolute Holdings Management is trading at a lower price-to-earnings ratio than Ares Management, indicating that it is currently the more affordable of the two stocks.
Insider & Institutional Ownership
50.0% of Ares Management shares are held by institutional investors. 34.7% of Ares Management shares are held by company insiders. Comparatively, 52.8% of Resolute Holdings Management shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.
Profitability
This table compares Ares Management and Resolute Holdings Management’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Ares Management | 10.63% | 25.42% | 6.35% |
| Resolute Holdings Management | 4.21% | 3.55% | 1.71% |
Volatility and Risk
Ares Management has a beta of 1.49, indicating that its stock price is 49% more volatile than the S&P 500. Comparatively, Resolute Holdings Management has a beta of -1.31, indicating that its stock price is 231% less volatile than the S&P 500.
Summary
Ares Management beats Resolute Holdings Management on 13 of the 15 factors compared between the two stocks.
About Ares Management
Ares Management Corporation operates as an alternative asset manager in the United States, Europe, and Asia. The company's Tradable Credit Group segment manages various types of investment funds, such as commingled and separately managed accounts for institutional investors, and publicly traded vehicles and sub-advised funds for retail investors in the tradable and non-investment grade corporate credit markets. Its Direct Lending Group segment provides financing solutions to small-to-medium sized companies. The company's Private Equity Group segment focuses on majority or shared-control investments primarily in under-capitalized companies. Its Real Estate Group segment invests in new developments and the repositioning of assets, with a focus on control or majority-control investments; and originates and invests in a range of self-originated financing opportunities for middle-market owners and operators of commercial real estate. The firm was previously known as Ares Management, L.P. Ares Management Corporation was founded in 1997 and is headquartered in Los Angeles, California with additional offices in the United States, Europe and Asia. Ares Management GP LLC is the general partner of the company.
About Resolute Holdings Management
Resolute Holdings Management, Inc. operates as an alternative asset management platform company. The company was incorporated in 2024 and is based in New York, New York.
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