Is It Too Late To Consider Buying Affiliated Managers Group (AMG) After 1-Year 93.9% Return?

Simply Wall St

Sun, February 15, 2026 at 4:11 PM GMT+9 6 min read

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AMG

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If you are looking at Affiliated Managers Group and wondering whether its current share price really lines up with its underlying value, you are not alone.

The stock last closed at US$329.79, with total returns of 8.0% over 7 days, 1.1% over 30 days, 14.2% year to date, 93.9% over 1 year, 97.6% over 3 years and 131.8% over 5 years. That naturally raises questions about where value now sits.

Recent news flow around Affiliated Managers Group has focused on its position as a diversified financials business and how investors are thinking about asset managers in the current market context. That backdrop helps explain why price moves can be sensitive to shifts in sentiment toward fee based businesses and the wider asset management industry.

Our valuation model currently gives Affiliated Managers Group a score of 4 out of 6 on our undervaluation checks. This sets up a closer look at how traditional metrics like P/E and discounted cash flow compare, and hints at an even richer way to think about value that we will come back to at the end of this article.

Affiliated Managers Group delivered 93.9% returns over the last year. See how this stacks up to the rest of the Capital Markets industry.

Approach 1: Affiliated Managers Group Excess Returns Analysis

The Excess Returns model looks at how efficiently Affiliated Managers Group turns its equity base into earnings, then compares those earnings to the return that shareholders require. The gap between the two is the “excess return” that supports value above book value.

For Affiliated Managers Group, the model uses a Book Value of $116.91 per share and a Stable EPS of $21.01 per share, based on the median return on equity from the past 5 years. That implies an Average Return on Equity of 19.43% on a Stable Book Value of $108.14 per share, again anchored to the median book value over the same period.

The required shareholder return, or Cost of Equity, is set at $9.19 per share. With earnings of $21.01 per share, this points to an Excess Return of $11.81 per share, which the model capitalizes to arrive at an intrinsic value of about US$340.10 per share. Against the recent share price of US$329.79, this implies the stock is around 3.0% undervalued, which is a relatively tight gap.

Result: ABOUT RIGHT

Affiliated Managers Group is fairly valued according to our Excess Returns, but this can change at a moment’s notice. Track the value in your watchlist or portfolio and be alerted on when to act.

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AMG Discounted Cash Flow as at Feb 2026

Head to the Valuation section of our Company Report for more details on how we arrive at this Fair Value for Affiliated Managers Group.

Approach 2: Affiliated Managers Group Price vs Earnings

For a profitable business like Affiliated Managers Group, the P/E ratio is a useful way to connect what you pay per share with the earnings the company is generating today. It gives you a quick sense of how many dollars the market is willing to pay for each dollar of earnings.

What counts as a “normal” P/E depends on what investors expect for future growth and how much risk they see in the business. Higher growth or lower perceived risk can justify a higher P/E, while lower growth or higher risk usually lines up with a lower multiple.

Affiliated Managers Group currently trades on a P/E of 12.95x. That sits below both the Capital Markets industry average P/E of 23.12x and a peer group average of 17.75x. Simply Wall St also calculates a Fair Ratio of 14.54x, which is the P/E it would expect for Affiliated Managers Group given factors like its earnings profile, industry, profit margins, size and risk characteristics. This Fair Ratio is designed to be more tailored than a simple peer or industry comparison because it adjusts for those company specific features.

Compared with the Fair Ratio of 14.54x, the current P/E of 12.95x points to Affiliated Managers Group trading below that model based reference.

Result: UNDERVALUED

NYSE:AMG P/E Ratio as at Feb 2026

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Upgrade Your Decision Making: Choose your Affiliated Managers Group Narrative

Earlier we mentioned that there is an even better way to understand valuation, so let us introduce you to Narratives. These are simple story based forecasts you can build or browse on Simply Wall St’s Community page. They connect your view of Affiliated Managers Group’s future revenue, earnings and margins to a fair value. You can then compare that fair value with today’s price to help you think about when to buy or sell. The numbers are continuously refreshed when new news or earnings arrive. This allows you to see, for example, how one Narrative might frame AMG as closer to US$255 per share while another, more optimistic view, could land nearer to US$495 per share, both using different but clearly laid out assumptions.

For Affiliated Managers Group, here are previews of two leading Affiliated Managers Group narratives:

🐂 Affiliated Managers Group Bull Case

Fair value in this bullish narrative: US$495.00 per share

Gap to that fair value: roughly 33.4% below the narrative fair value at the recent price of US$329.79, using ((495.00 minus 329.79) divided by 495.00)

Revenue growth used in the narrative model: 8.22% a year

AnalystHighTarget focuses on rapid build up in higher fee alternative assets, where a larger share of EBITDA is tied to alternatives and performance fees.

Heavy share repurchases and a lower discount rate in the model are central to the view that earnings per share and return on equity could be stronger than many expect.

The narrative ties its US$495 fair value to assumptions around faster revenue growth, higher profit margins and a future P/E of about 20x.

🐻 Affiliated Managers Group Bear Case

Fair value in this bearish narrative: US$255.00 per share

Gap to that fair value: roughly 29.3% above the narrative fair value at the recent price of US$329.79, using ((329.79 minus 255.00) divided by 255.00)

Revenue growth used in the narrative model: 8.33% a year

AnalystLowTarget stresses risks around higher exposure to alternatives, fee pressure and competition from lower cost passive products.

The narrative assumes AMG would eventually trade on a lower future P/E multiple of around 10x, even with revenue growth and wider margins in the model.

This framework ties the US$255 fair value to concerns that the current market price already bakes in optimistic expectations for affiliate performance and capital allocation.

Taken together, these opposing narratives show how the same core financial data can point to very different views on what Affiliated Managers Group is worth. Your own stance will come down to which set of assumptions around growth, margins, P/E and risk you consider more realistic, and how that compares with the current market price.

Do you think there’s more to the story for Affiliated Managers Group? Head over to our Community to see what others are saying!

NYSE:AMG 1-Year Stock Price Chart

_ 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._

Companies discussed in this article include AMG.

Have feedback on this article? Concerned about the content? Get in touch with us directly._ Alternatively, email editorial-team@simplywallst.com_

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