Moelis & Company (NYSE:MC) vs. Siebert Financial (NASDAQ:SIEB) Financial Comparison

Moelis & Company (NYSE:MC) and Siebert Financial (NASDAQ:SIEB) are both finance companies, but which is the superior stock? We will compare the two businesses based on the strength of their institutional ownership, analyst recommendations, profitability, risk, earnings, dividends and valuation.

Analyst Recommendations

This is a breakdown of recent ratings and target prices for Moelis & Company and Siebert Financial, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Moelis & Company	1	4	2	1	2.38
Siebert Financial	0	0	0	0	0.00

Moelis & Company presently has a consensus target price of $66.00, indicating a potential downside of 9.09%. Given Moelis & Company’s stronger consensus rating and higher possible upside, equities analysts clearly believe Moelis & Company is more favorable than Siebert Financial.

Valuation and Earnings

This table compares Moelis & Company and Siebert Financial”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Moelis & Company	$1.19 billion	4.77	$136.02 million	$2.54	28.58
Siebert Financial	$83.90 million	1.52	$13.29 million	$0.24	12.79

Moelis & Company has higher revenue and earnings than Siebert Financial. Siebert Financial is trading at a lower price-to-earnings ratio than Moelis & Company, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Moelis & Company and Siebert Financial’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Moelis & Company	14.31%	42.72%	17.12%
Siebert Financial	11.00%	10.78%	1.73%

Volatility and Risk

Moelis & Company has a beta of 1.7, indicating that its share price is 70% more volatile than the S&P 500. Comparatively, Siebert Financial has a beta of 0.73, indicating that its share price is 27% less volatile than the S&P 500.

Insider and Institutional Ownership

91.5% of Moelis & Company shares are owned by institutional investors. Comparatively, 1.5% of Siebert Financial shares are owned by institutional investors. 6.4% of Moelis & Company shares are owned by insiders. Comparatively, 47.0% of Siebert Financial shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Summary

Moelis & Company beats Siebert Financial on 14 of the 15 factors compared between the two stocks.

About Moelis & Company

Moelis & Co. operates as a holding company. It engages in the provision of financial advisory, capital raising and asset management services to a client base including corporations, governments, sovereign wealth funds and financial sponsors. The firm focuses on clients including large public multinational corporations, middle market private companies, financial sponsors, entrepreneurs and governments. The company was founded by Kenneth David Moelis, Navid Mahmoodzadegan, Jeffrey Raich and Elizabeth Ann Crain in July 2007 and is headquartered in New York, NY.

About Siebert Financial

Siebert Financial Corp., through its subsidiaries, engages in the retail brokerage and investment advisory businesses in the United States and Internationally. It offers self-directed trading, market making and fixed income investment, stock borrow, stock loan, equity compensation plans, wealth management, and financial advisory services; independent retail execution services; and retail customer services. The company also offers self-directed retirement accounts, as well as lends customers a portion of the market value of marginable securities held in the customer's account. In addition, the company provides data technology platform that offers various services, such as email and messaging, market data systems and third party trading systems, business productivity tools, and customer relationship management systems. Further, it offers a Robo-Advisor platform that provides clients with an automated wealth management solution; and various insurance products, such as fixed annuities, personal insurance, property and casualty insurance, natural disaster insurance, and life and disability. Siebert Financial Corp. was incorporated in 1934 and is headquartered in Miami Beach, Florida.