Noah Holdings (NYSE: NOAH) is one of 53 public companies in the “Investment Management & Fund Operators” industry, but how does it contrast to its peers? We will compare Noah Holdings to similar companies based on the strength of its earnings, profitability, analyst recommendations, risk, dividends, valuation and institutional ownership.

Valuation and Earnings

This table compares Noah Holdings and its peers top-line revenue, earnings per share (EPS) and valuation.

Gross Revenue EBITDA Price/Earnings Ratio
Noah Holdings $404.86 million $121.33 million 16.77
Noah Holdings Competitors $3.00 billion $961.92 million 6.47

Noah Holdings’ peers have higher revenue and earnings than Noah Holdings. Noah Holdings is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.

Profitability

This table compares Noah Holdings and its peers’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Noah Holdings 29.39% 18.42% 11.94%
Noah Holdings Competitors -46.91% 10.48% 5.74%

Insider and Institutional Ownership

41.6% of Noah Holdings shares are held by institutional investors. Comparatively, 62.1% of shares of all “Investment Management & Fund Operators” companies are held by institutional investors. 10.4% of shares of all “Investment Management & Fund Operators” companies are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for Noah Holdings and its peers, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Noah Holdings 0 0 1 0 3.00
Noah Holdings Competitors 357 1775 1792 62 2.39

Noah Holdings currently has a consensus target price of $29.00, suggesting a potential downside of 0.03%. As a group, “Investment Management & Fund Operators” companies have a potential upside of 6.60%. Given Noah Holdings’ peers higher possible upside, analysts plainly believe Noah Holdings has less favorable growth aspects than its peers.

Volatility & Risk

Noah Holdings has a beta of 2.37, meaning that its share price is 137% more volatile than the S&P 500. Comparatively, Noah Holdings’ peers have a beta of 1.23, meaning that their average share price is 23% more volatile than the S&P 500.

Summary

Noah Holdings beats its peers on 7 of the 13 factors compared.

Noah Holdings Company Profile

Noah Holdings Limited is a wealth management service provider with a focus on global wealth investment and asset allocation services for high net worth individuals and enterprises in China. The Company operates through three segments: wealth management, asset management and Internet finance. It also provides Internet finance services to clients in China. It provides direct access to China’s high net worth population. With approximately 1,100 relationship managers in over 130 branch offices, its coverage network includes China’s regions where high net worth population is concentrated, including the Yangtze River Delta, the Pearl River Delta, the Bohai Rim and other regions. Its product offerings consist primarily of over-the-counter (OTC) wealth management and OTC asset management products, mutual fund products and asset management plans originated in China and designed to cater to the needs of China’s high net worth population.

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