The Bull Case For Affiliated Managers Group (AMG) Could Change Following Surge in Q3 Profit and Share Buyback Completion

• Affiliated Managers Group reported a strong third-quarter 2025 performance, posting US$528 million in sales and US$212.4 million in net income, while affirming a US$0.01 per share dividend and completing a sizeable share repurchase program.
• The sharp increase in net income and earnings per share, along with ongoing capital returns to shareholders, highlights improved profitability and confidence in the company’s financial position.
• We'll explore how the surge in quarterly earnings and active share repurchases impact Affiliated Managers Group's broader investment narrative.

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Affiliated Managers Group Investment Narrative Recap

To be a shareholder in Affiliated Managers Group, you need to believe in the firm’s ability to keep growing its alternative asset base and deliver consistent earnings, despite industry shifts towards passive investing and competitive fee pressures. The latest earnings report brought a sharp rise in net income and EPS, but these solid results do not alter the most important short-term catalyst: sustained inflows to higher-fee alternative strategies. The main risk, ongoing outflows from traditional active equity, remains unchanged, and is not materially affected by this quarter’s numbers.

Among recent announcements, the completion of a substantial share buyback program stands out. AMG repurchased 334,572 shares in the third quarter and has now bought back over 2 million shares since mid-2024, reducing the share count and increasing earnings per share just as profitability improved. This supports the near-term catalyst of compounding value for shareholders via capital returns.

By contrast, investors should be aware of ongoing concentration risk among a few key affiliates, as stability depends on...

Read the full narrative on Affiliated Managers Group (it's free!)

Affiliated Managers Group's outlook anticipates revenues reaching $2.2 billion and earnings rising to $594.9 million by 2028. This implies a 2.7% annual revenue growth and a $152.5 million increase in earnings from current levels of $442.4 million.

Uncover how Affiliated Managers Group's forecasts yield a $308.00 fair value, a 19% upside to its current price.

Exploring Other Perspectives

Simply Wall St Community members provided two fair value estimates for AMG, ranging from US$288.51 to US$308 per share. While these span a moderately tight range, the big catalyst remains AMG’s strong alternative AUM growth, with differing community and analyst views offering extra context.

Explore 2 other fair value estimates on Affiliated Managers Group - why the stock might be worth just $288.51!

Build Your Own Affiliated Managers Group Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Affiliated Managers Group research is our analysis highlighting 3 key rewards and 1 important warning sign that could impact your investment decision.
• Our free Affiliated Managers Group research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Affiliated Managers Group's overall financial health at a glance.

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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.