Associated Capital Group (AC) AI Stock Analysis

• Market Cap: $810.37M
• Dividend Yield: 0.52%
• Average Volume (3M): 5.74K
• Price to Earnings (P/E): 18.4
• Beta (1Y): 0.30
• Revenue Growth: 0.41%
• EPS Growth: 20.80%
• Country: US
• Employees: 24
• Sector: Financial
• Sector Strength: 82
• Industry: Financial - Capital Markets
• EPS (TTM): 2.08
• Shares Outstanding: 2,201,859
• 10 Day Avg. Volume: 5,031
• 30 Day Avg. Volume: 5,738
• PEG Ratio: 0.89
• Price to Book (P/B): N/A
• Price to Sales (P/S): 55.45
• Price to Cash Flow (P/CF): -2.50
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $63.07
• Price Target Upside: 64.63% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

The stock score reflects a robust balance sheet and fair valuation, which are positive indicators for financial stability. However, the company's recent operational challenges, as evidenced by volatile revenue and profit margins, diminish its attractiveness. Technical indicators suggest neutral momentum, neither strongly positive nor negative. Overall, the stock is stable but has room for improvement in profitability and cash flow management.

Associated Capital Group Business Overview & Revenue Model

Company Description

Associated Capital Group, Inc. provides investment advisory services in the United States. The company offers alternative investment management and asset management services. It also invests in new and existing businesses. The company was founded in 1976 and is headquartered in Greenwich, Connecticut.

How the Company Makes Money

Associated Capital Group makes money through a combination of management fees, performance-based fees, and advisory fees. The company generates revenue by managing assets for institutional and high-net-worth clients, charging a percentage of assets under management (AUM) as management fees. Additionally, AC earns performance-based fees when the returns on managed funds exceed certain benchmarks or predefined targets. The firm's institutional research services also contribute to its revenue by providing financial market insights and analysis to clients, which are typically compensated through subscription or consulting fees. Key partnerships with institutional investors and a focus on alternative investment strategies further enhance the company's revenue streams.

Associated Capital Group Financial Statement Overview

Summary

Associated Capital Group demonstrates a mixed financial performance. The income statement reveals volatility in revenue and profit margins, though recent improvements are noted. The balance sheet is robust with no debt and strong equity ratios, contributing to stability. Cash flow trends show recovery in free cash flow, but declining operating cash flow suggests some operational challenges. Overall, the company is financially stable but faces profitability and cash flow management issues.

Income Statement

The company exhibits inconsistent revenue performance with a decline from 2022 to 2023 but a slight recovery in 2024. Notably, gross profit margin has improved significantly in 2024, reaching 100%, compared to negative margins in prior years, indicating improved cost management. However, net profit margin shows volatility due to fluctuating net income figures, with a spike in 2024. EBIT and EBITDA margins are negative, reflecting operational challenges.

Balance Sheet

The balance sheet is strong with zero debt reported in 2024, leading to an excellent debt-to-equity ratio. The high equity ratio is a positive indicator of financial stability, and the return on equity in 2024 is impressive, showing efficient use of shareholders' funds. The company maintains substantial cash reserves, contributing to its financial resilience.

Cash Flow

Cash flow from operations decreased significantly from 2023 to 2024, raising concerns. However, the company has maintained positive free cash flow in 2024, a recovery from the negative figures in earlier years. The operating cash flow to net income ratio indicates relatively strong cash generation relative to earnings in 2024.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
13.18M	12.68M	15.23M	20.92M	18.98M
	Gross Profit
13.18M	-4.56M	-3.65M	-3.53M	-453.00K
	EBIT
-5.12M	-16.95M	48.04M	-19.08M	-12.47M
	EBITDA
53.36M	26.45M	-67.43M	-18.70M	-12.42M
	Net Income Common Stockholders
44.33M	37.45M	-45.52M	59.20M	18.82M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
367.85M	406.64M	404.46M	380.04M	383.96M
	Total Assets
935.29M	943.80M	927.69M	1.20B	1.17B
	Total Debt
0.00	6.50M	1.85M	4.49M	11.04M
	Net Debt
-299.55M	-317.49M	-402.62M	-375.55M	-372.93M
	Total Liabilities
36.99M	30.72M	27.30M	65.53M	66.33M
	Stockholders Equity
892.71M	906.98M	890.20M	935.35M	901.39M
Cash Flow		Free Cash Flow
26.87M	145.07M	-75.62M	238.19M	-290.45M
	Operating Cash Flow
26.87M	145.07M	-70.55M	238.19M	-279.37M
	Investing Cash Flow
10.98M	5.75M	402.00K	65.28M	-174.07M
	Financing Cash Flow
-59.21M	-25.04M	-37.17M	-14.39M	150.95M

Associated Capital Group Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 38.31
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AC, the sentiment is Positive. The current price of 38.31 is above the 20-day moving average (MA) of 36.19, above the 50-day MA of 36.69, and above the 200-day MA of 34.34, indicating a bullish trend. The MACD of 0.16 indicates Negative momentum. The RSI at 64.97 is Neutral, neither overbought nor oversold. The STOCH value of 93.02 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AC.

Associated Capital Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LAZ	74 Outperform	$3.88B	16.12	51.51%	4.63%	23.88%	―
PJT	73 Outperform	$5.28B	27.62	62.26%	0.73%	29.48%	63.03%
EVR	73 Outperform	$7.81B	21.97	23.03%	1.60%	22.67%	47.20%
MC	70 Outperform	$4.44B	32.62	34.27%	4.23%	39.75%	―
PIPR	66 Neutral	$4.39B	24.18	15.66%	1.01%	12.29%	99.57%
AC	65 Neutral	$810.37M	18.45	4.93%	0.52%	0.41%	20.80%
Sector *	64 Neutral	$14.25B	10.26	8.97%	4.33%	16.33%	-11.91%

Associated Capital Group Corporate Events

Associated Capital Group Announces CEO Leadership Change

On February 28, 2025, Associated Capital Group, Inc. announced that Douglas R. Jamieson will retire as its Chief Executive Officer and President on March 17, 2025, but will remain a Director. Patrick Huvane, Vice President of Corporate Development, will step in as Interim CEO, indicating a leadership transition within the company.