Comparing Intercontinental Exchange (NYSE:ICE) and Silvercrest Asset Management Group (NASDAQ:SAMG)

Silvercrest Asset Management Group (NASDAQ:SAMG) and Intercontinental Exchange (NYSE:ICE) are both finance companies, but which is the superior business? We will compare the two businesses based on the strength of their dividends, earnings, institutional ownership, risk, valuation, profitability and analyst recommendations.

Profitability

This table compares Silvercrest Asset Management Group and Intercontinental Exchange’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Silvercrest Asset Management Group	0.74%	8.55%	4.67%
Intercontinental Exchange	29.62%	15.32%	2.71%

Earnings & Valuation

This table compares Silvercrest Asset Management Group and Intercontinental Exchange”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Silvercrest Asset Management Group	$126.86 million	1.01	$4.89 million	$0.12	90.54
Intercontinental Exchange	$12.64 billion	7.85	$3.31 billion	$7.33	24.22

Intercontinental Exchange has higher revenue and earnings than Silvercrest Asset Management Group. Intercontinental Exchange is trading at a lower price-to-earnings ratio than Silvercrest Asset Management Group, indicating that it is currently the more affordable of the two stocks.

Insider and Institutional Ownership

47.6% of Silvercrest Asset Management Group shares are owned by institutional investors. Comparatively, 89.3% of Intercontinental Exchange shares are owned by institutional investors. 21.7% of Silvercrest Asset Management Group shares are owned by insiders. Comparatively, 0.8% of Intercontinental Exchange shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Dividends

Silvercrest Asset Management Group pays an annual dividend of $0.84 per share and has a dividend yield of 7.7%. Intercontinental Exchange pays an annual dividend of $2.08 per share and has a dividend yield of 1.2%. Silvercrest Asset Management Group pays out 700.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Intercontinental Exchange pays out 28.4% of its earnings in the form of a dividend. Silvercrest Asset Management Group has raised its dividend for 1 consecutive years and Intercontinental Exchange has raised its dividend for 9 consecutive years.

Analyst Recommendations

This is a summary of current recommendations and price targets for Silvercrest Asset Management Group and Intercontinental Exchange, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Silvercrest Asset Management Group	1	1	0	0	1.50
Intercontinental Exchange	1	3	12	1	2.76

Intercontinental Exchange has a consensus price target of $189.25, indicating a potential upside of 6.62%. Given Intercontinental Exchange’s stronger consensus rating and higher probable upside, analysts plainly believe Intercontinental Exchange is more favorable than Silvercrest Asset Management Group.

Volatility and Risk

Silvercrest Asset Management Group has a beta of 0.63, suggesting that its share price is 37% less volatile than the S&P 500. Comparatively, Intercontinental Exchange has a beta of 0.84, suggesting that its share price is 16% less volatile than the S&P 500.

Summary

Intercontinental Exchange beats Silvercrest Asset Management Group on 14 of the 18 factors compared between the two stocks.

About Silvercrest Asset Management Group

Silvercrest Asset Management Group, Inc. is an investment advisory and wealth management firm serving high-net-worth individuals, families, family offices, institutions, and charitable organizations. The company provides customized investment management and financial planning services designed to address clients’ long-term wealth objectives. Its services include portfolio management, asset allocation, manager selection, wealth planning, family office support, and advice related to trusts, estates, and other complex financial matters.

About Intercontinental Exchange

Intercontinental Exchange, Inc. (NYSE: ICE) operates exchanges, clearing houses and technology businesses serving financial and commodity markets. Its platforms support the trading and clearing of futures, options and other products across areas such as energy, agriculture, interest rates and equities. The company also provides market data, analytics and connectivity services to financial institutions and other market participants. Intercontinental Exchange owns the New York Stock Exchange and operates exchanges and clearing houses in multiple markets around the world.