Reviewing AssetMark Financial (NYSE:AMK) & U.S. Global Investors (NASDAQ:GROW)

AssetMark Financial (NYSE:AMK) and U.S. Global Investors (NASDAQ:GROW) are both finance companies, but which is the superior investment? We will compare the two businesses based on the strength of their risk, earnings, profitability, dividends, analyst recommendations, valuation and institutional ownership.

Earnings and Valuation

This table compares AssetMark Financial and U.S. Global Investors’ revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
AssetMark Financial	$708.50 million	3.58	$123.12 million	$1.91	17.85
U.S. Global Investors	$15.07 million	2.43	$3.15 million	$0.12	21.92

AssetMark Financial has higher revenue and earnings than U.S. Global Investors. AssetMark Financial is trading at a lower price-to-earnings ratio than U.S. Global Investors, indicating that it is currently the more affordable of the two stocks.

Volatility and Risk

AssetMark Financial has a beta of 1.11, indicating that its stock price is 11% more volatile than the S&P 500. Comparatively, U.S. Global Investors has a beta of 1.96, indicating that its stock price is 96% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent ratings and price targets for AssetMark Financial and U.S. Global Investors, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
AssetMark Financial	0	3	0	1	2.50
U.S. Global Investors	0	0	0	0	N/A

AssetMark Financial presently has a consensus price target of $33.75, indicating a potential downside of 1.03%. Given AssetMark Financial’s higher possible upside, research analysts clearly believe AssetMark Financial is more favorable than U.S. Global Investors.

Profitability

This table compares AssetMark Financial and U.S. Global Investors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
AssetMark Financial	19.92%	12.93%	10.00%
U.S. Global Investors	13.08%	3.05%	2.87%

Institutional & Insider Ownership

28.6% of AssetMark Financial shares are owned by institutional investors. Comparatively, 23.6% of U.S. Global Investors shares are owned by institutional investors. 2.0% of AssetMark Financial shares are owned by insiders. Comparatively, 19.2% of U.S. Global Investors shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Summary

AssetMark Financial beats U.S. Global Investors on 10 of the 13 factors compared between the two stocks.

About AssetMark Financial

AssetMark Financial Holdings, Inc., together with its subsidiaries, provides wealth management platform in the United States. It offers an open-architecture product platform, as well as client advice, asset allocation options, practice management, support services, and technology solutions to the financial adviser channel. The company also provides flexible technology platform for advisers for accessing a range of automated tools and capabilities, including new account opening, portfolio construction, streamlined financial planning, customer billing, investor reporting, progress-to-goal analysis, and client activity tracking; adviser services; curated investment platform; and integrated financial planning tools. In addition, it provides SaaS-based financial planning, wellness, and client digital engagement solutions; offers mutual funds; custodial recordkeeping services primarily to investor clients of registered investment advisers; wealth management solutions for individual investors; and overlay management, investment solutions, flexible desktop technology, and a manager marketplace. The company serves independent advisers who provide wealth management advice to the U.S. investors. AssetMark Financial Holdings, Inc. was founded in 1996 and is headquartered in Concord, California. AssetMark Financial Holdings, Inc. operates as a subsidiary of Huatai International Investment Holdings Limited.

About U.S. Global Investors

U.S. Global Investors, Inc. is a publicly owned investment manager. It primarily provides its services to investment companies. The firm is a large advisory firm, an investment adviser to an investment company which provides portfolio management for investment companies. The firm manages and launches equity/balanced funds, fixed income funds and other funds. It also manages hedge funds. The firm primarily invests in no-load mutual funds and exchange traded funds (ETFs). U.S. Global Investors, Inc. is based in San Antonio, Texas.