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Artisan Partners Asset Management (APAM) Outpaces Stock Market Gains: What You Should Know

Zacks Equity Research

Artisan Partners Asset Management (APAM) closed the most recent trading day at $34.04, moving +0.8% from the previous trading session. The stock outpaced the S&P 500's daily gain of 0.31%. At the same time, the Dow added 0.44%, and the tech-heavy Nasdaq gained 0.26%.

Prior to today's trading, shares of the investment management firm had gained 4.49% over the past month. This has outpaced the Finance sector's loss of 1.01% and the S&P 500's gain of 1.18% in that time.

Wall Street will be looking for positivity from APAM as it approaches its next earnings report date. This is expected to be February 4, 2020. In that report, analysts expect APAM to post earnings of $0.73 per share. This would mark year-over-year growth of 19.67%. Our most recent consensus estimate is calling for quarterly revenue of $209.15 million, up 9.22% from the year-ago period.

Any recent changes to analyst estimates for APAM should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 4.81% higher within the past month. APAM is currently sporting a Zacks Rank of #1 (Strong Buy).

Digging into valuation, APAM currently has a Forward P/E ratio of 11.35. This valuation marks a premium compared to its industry's average Forward P/E of 10.7.

Also, we should mention that APAM has a PEG ratio of 1.84. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Financial - Investment Management was holding an average PEG ratio of 1.48 at yesterday's closing price.

The Financial - Investment Management industry is part of the Finance sector. This group has a Zacks Industry Rank of 12, putting it in the top 5% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.

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