📊 AAMI Key Takeaways
Is Acadian Asset Management Inc. (AAMI) a Good Investment?
Despite 11.5% revenue growth and a 60.4% ROE, fundamental concerns are severe: operating cash flow is -$44.9M while net income is positive, indicating poor earnings quality and unsustainable business dynamics. The 4.98x debt-to-equity ratio combined with 4.1x interest coverage leaves minimal financial flexibility; at 3.4% ROA, the high ROE is purely leverage-driven and fragile.
Acadian Asset Management shows solid top-line momentum and healthy operating profitability, with revenue up 11.5% year over year and a 23.4% operating margin. However, growth quality is weakened by a 25.0% drop in net income, negative operating and free cash flow, and a highly leveraged balance sheet with very thin equity support. The fundamentals suggest a profitable business, but not one with clean enough earnings or cash generation to justify a more aggressive rating.
Acadian Asset Management Inc. Key Strengths (AAMI)
- Strong revenue growth of 11.5% year-over-year
- Healthy operating margin of 25.1%
- Substantial cash position of $150M provides near-term liquidity buffer
- Revenue growth remains strong at 11.5% year over year
- Operating profitability is solid with a 23.4% operating margin and 12.8x interest coverage
- Cash balance of $124.4M provides some liquidity support despite balance sheet pressure
AAMI Stock Risks: Acadian Asset Management Inc. Investment Risks
- Critical: Operating cash flow is -$44.9M despite positive net income, indicating poor cash conversion and unsustainable earnings
- Extreme leverage of 4.98x debt-to-equity with only $40.2M equity versus $200M debt leaves zero financial flexibility
- Tight interest coverage of 4.1x combined with negative operating cash flow creates material refinancing risk
- Net income declined 5.9% YoY despite revenue growth, signaling operational deterioration
- For an asset management company, negative operating cash flow is particularly abnormal and raises business model viability questions
- Net income declined 25.0% year over year, indicating earnings pressure despite revenue growth
- Operating cash flow and free cash flow are negative, raising concerns about earnings quality
- Leverage is elevated with 4.98x debt-to-equity and only $40.2M of equity against $593.0M of liabilities
Key Metrics to Watch
- Operating cash flow (must turn positive)
- Free cash flow and cash burn rate
- Debt refinancing schedules and covenant compliance
- Revenue per employee and cost structure trends
- Operating cash flow and free cash flow conversion
- Net income margin and debt-to-equity trend
Acadian Asset Management Inc. (AAMI) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The current ratio below 1.0x warrants monitoring of short-term liquidity.
AAMI Profit Margin, ROE & Profitability Analysis
AAMI vs Market Sector: How Acadian Asset Management Inc. Compares
How Acadian Asset Management Inc. compares to Market sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Acadian Asset Management Inc. Stock Overvalued? AAMI Valuation Analysis 2026
Based on fundamental analysis, Acadian Asset Management Inc. has mixed fundamental signals relative to the Market sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Acadian Asset Management Inc. Balance Sheet: AAMI Debt, Cash & Liquidity
AAMI Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Acadian Asset Management Inc.'s revenue has declined by 38% over the 5-year period, indicating business contraction. The most recent EPS of $1.55 reflects profitable operations.
AAMI Revenue Growth, EPS Growth & YoY Performance
AAMI Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $119.9M | $20.1M | $0.54 |
| Q3 2025 | $123.1M | $15.1M | $0.42 |
| Q2 2025 | $109.0M | $10.1M | $0.28 |
| Q1 2025 | $105.7M | $14.6M | $0.37 |
| Q3 2024 | $107.3M | $16.9M | $0.45 |
| Q2 2024 | $96.3M | $11.0M | $0.27 |
| Q1 2024 | $91.8M | $12.0M | $0.28 |
| Q3 2023 | $86.8M | $17.8M | $0.42 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Acadian Asset Management Inc. Dividends, Buybacks & Capital Allocation
AAMI SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Acadian Asset Management Inc. (CIK: 0001748824)
📋 Recent SEC Filings
❓ Frequently Asked Questions about AAMI
What is the AI rating for AAMI?
Acadian Asset Management Inc. (AAMI) has a Combined AI Grade of C from Claude (C) and ChatGPT (B) with 73% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are AAMI's key strengths?
Claude: Strong revenue growth of 11.5% year-over-year. Healthy operating margin of 25.1%. ChatGPT: Revenue growth remains strong at 11.5% year over year. Operating profitability is solid with a 23.4% operating margin and 12.8x interest coverage.
What are the risks of investing in AAMI?
Claude: Critical: Operating cash flow is -$44.9M despite positive net income, indicating poor cash conversion and unsustainable earnings. Extreme leverage of 4.98x debt-to-equity with only $40.2M equity versus $200M debt leaves zero financial flexibility. ChatGPT: Net income declined 25.0% year over year, indicating earnings pressure despite revenue growth. Operating cash flow and free cash flow are negative, raising concerns about earnings quality.
What is AAMI's revenue and growth?
Acadian Asset Management Inc. reported revenue of $167.0M.
Does AAMI pay dividends?
Acadian Asset Management Inc. pays dividends, with $0.8M distributed to shareholders in the trailing twelve months.
Where can I find AAMI SEC filings?
Official SEC filings for Acadian Asset Management Inc. (CIK: 0001748824) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is AAMI's EPS?
Acadian Asset Management Inc. has a diluted EPS of $0.68.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.
What is AAMI's fundamental grade?
Based on our AI fundamental analysis in June 2026, Acadian Asset Management Inc. has a C grade with 73% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is AAMI stock overvalued or undervalued?
Valuation metrics for AAMI: ROE of 60.4% (sector avg: 15%), net margin of 14.6% (sector avg: 12%). Higher ROE suggests strong returns relative to peers.
What is AAMI's AI grade for 2026?
Our dual AI analysis gives Acadian Asset Management Inc. a combined C grade for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.
What is AAMI's free cash flow?
Acadian Asset Management Inc.'s operating cash flow is $-44.9M, with capital expenditures of $7.9M. FCF margin is -31.6%.
How does AAMI compare to other Market stocks?
Vs Default sector averages: Net margin 14.6% (avg: 12%), ROE 60.4% (avg: 15%), current ratio N/A (avg: 1.8).
Is Acadian Asset Management Inc. carrying too much debt?
AAMI has a debt-to-equity ratio of 4.98x, which is above the Market sector average of 0.7x. Combined with a current ratio below 1, this warrants careful monitoring of the balance sheet.
Why is AAMI's return on equity (ROE) so high?
Acadian Asset Management Inc. has a return on equity of 60.4%, significantly above the Market sector average of 15%. A high ROE indicates the company is efficient at generating profits from shareholder equity. This is supported by a 14.6% net margin.