The Carlyle Group (CG) Competitors

Ares Management (NYSE:ARES) and The Carlyle Group (NASDAQ:CG) are both large-cap finance companies, but which is the better investment? We will contrast the two companies based on the strength of their earnings, profitability, dividends, media sentiment, analyst recommendations, community ranking, valuation, risk and institutional ownership.

Do analysts rate ARES or CG?

Ares Management currently has a consensus price target of $165.40, suggesting a potential upside of 16.99%. The Carlyle Group has a consensus price target of $50.71, suggesting a potential upside of 37.15%. Given The Carlyle Group's higher probable upside, analysts plainly believe The Carlyle Group is more favorable than Ares Management.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ares Management	0 Sell rating(s)	4 Hold rating(s)	11 Buy rating(s)	0 Strong Buy rating(s)	2.73
The Carlyle Group	1 Sell rating(s)	10 Hold rating(s)	6 Buy rating(s)	0 Strong Buy rating(s)	2.29

Does the MarketBeat Community prefer ARES or CG?

Ares Management received 14 more outperform votes than The Carlyle Group when rated by MarketBeat users. Likewise, 68.97% of users gave Ares Management an outperform vote while only 56.13% of users gave The Carlyle Group an outperform vote.

Company	Underperform	Outperform
Ares Management	Outperform Votes 609 68.97%	Underperform Votes 274 31.03%
The Carlyle Group	Outperform Votes 595 56.13%	Underperform Votes 465 43.87%

Does the media refer more to ARES or CG?

In the previous week, Ares Management had 10 more articles in the media than The Carlyle Group. MarketBeat recorded 35 mentions for Ares Management and 25 mentions for The Carlyle Group. Ares Management's average media sentiment score of 0.81 beat The Carlyle Group's score of 0.52 indicating that Ares Management is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Ares Management	17 Very Positive mention(s)	2 Positive mention(s)	8 Neutral mention(s)	4 Negative mention(s)	0 Very Negative mention(s)	Positive
The Carlyle Group	10 Very Positive mention(s)	2 Positive mention(s)	6 Neutral mention(s)	4 Negative mention(s)	0 Very Negative mention(s)	Positive

Which has more volatility & risk, ARES or CG?

Ares Management has a beta of 1.32, indicating that its share price is 32% more volatile than the S&P 500. Comparatively, The Carlyle Group has a beta of 1.72, indicating that its share price is 72% more volatile than the S&P 500.

Which has better valuation & earnings, ARES or CG?

The Carlyle Group has lower revenue, but higher earnings than Ares Management. The Carlyle Group is trading at a lower price-to-earnings ratio than Ares Management, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ares Management	$3.88B	11.48	$440.96M	$2.03	69.65
The Carlyle Group	$3.40B	3.92	$1.02B	$2.78	13.30

Is ARES or CG a better dividend stock?

Ares Management pays an annual dividend of $3.72 per share and has a dividend yield of 2.6%. The Carlyle Group pays an annual dividend of $1.40 per share and has a dividend yield of 3.8%. Ares Management pays out 183.3% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. The Carlyle Group pays out 50.4% of its earnings in the form of a dividend. The Carlyle Group is clearly the better dividend stock, given its higher yield and lower payout ratio.

Is ARES or CG more profitable?

The Carlyle Group has a net margin of 18.81% compared to Ares Management's net margin of 11.35%. The Carlyle Group's return on equity of 24.02% beat Ares Management's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Ares Management	11.35%	16.64%	3.41%
The Carlyle Group	18.81%	24.02%	6.53%

Do institutionals and insiders believe in ARES or CG?

50.0% of Ares Management shares are owned by institutional investors. Comparatively, 55.9% of The Carlyle Group shares are owned by institutional investors. 1.2% of Ares Management shares are owned by company insiders. Comparatively, 27.2% of The Carlyle Group shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Summary

The Carlyle Group beats Ares Management on 11 of the 20 factors compared between the two stocks.