A Look at Affiliated Managers Group’s Valuation Following Strategic Investment Partnership with Brown Brothers Harriman

Affiliated Managers Group (AMG) unveiled a strategic partnership with Brown Brothers Harriman, aimed at broadening access to structured and alternative credit investment strategies for U.S. wealth clients. As part of this alliance, AMG will provide seed capital and acquire a minority stake in BBH Credit Partners, a new subsidiary launched by Brown Brothers Harriman to house these offerings.

See our latest analysis for Affiliated Managers Group.

AMG’s latest collaboration with Brown Brothers Harriman comes on the back of a dynamic period for the company, with strong capital allocation moves and recognition as one of the NYSE’s standout value stocks. After a period of portfolio reshaping and rising analyst confidence, AMG’s share price has shown renewed energy, holding steady near $236.55. This has helped the stock deliver a robust 32.6% total shareholder return over one year, outpacing much of its peer group and signaling momentum may be building for the long term.

If strategic partnerships like AMG’s have you curious about what else is taking shape in the market, now is the perfect time to broaden your horizons and discover fast growing stocks with high insider ownership

With the stock trading just below analyst price targets and value ratings at decade highs, investors are left wondering if this recent rally signals an undervalued opportunity or if the market is already pricing in AMG's next chapter of growth.

Most Popular Narrative: 10.3% Undervalued

Affiliated Managers Group closed at $236.55, with the most popular narrative suggesting its fair value is significantly higher. This gap sets the stage for a closer look at what could drive future returns.

Record-breaking inflows and rapid expansion in alternative assets, AMG increased alternative AUM by 20% in six months and reported its strongest organic growth quarter in 12 years, position the company to benefit from persistent global demand for yield, diversification, and differentiated strategies. This directly supports top-line revenue and future net margin improvement due to higher fee structures in alternatives.

Read the complete narrative.

Eager to see what’s fueling this bullish narrative? The fair value here is built on bold projections about alternative assets, margin expansion, and a unique buyback strategy. The numbers behind this valuation might surprise you. Find out how the future could play out by diving deeper into the narrative’s blueprint.

Result: Fair Value of $263.86 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, persistent outflows from active equity strategies and increased earnings concentration in a few affiliates could challenge AMG’s growth momentum, even with strong alternative inflows.

Find out about the key risks to this Affiliated Managers Group narrative.

Build Your Own Affiliated Managers Group Narrative

If you see the facts differently or want to dig deeper into the numbers, you can map out your own viewpoint in just a few minutes. Do it your way

A great starting point for your Affiliated Managers Group research is our analysis highlighting 3 key rewards and 2 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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