Financial Analysis: 3i Group (OTCMKTS:TGOPY) and Perella Weinberg Partners (NASDAQ:PWP)

3i Group (OTCMKTS:TGOPY) and Perella Weinberg Partners (NASDAQ:PWP) are both finance companies, but which is the superior investment? We will compare the two businesses based on the strength of their profitability, earnings, institutional ownership, valuation, risk, analyst recommendations and dividends.

Dividends

3i Group pays an annual dividend of $0.23 per share and has a dividend yield of 1.6%. Perella Weinberg Partners pays an annual dividend of $0.28 per share and has a dividend yield of 1.2%. Perella Weinberg Partners pays out 34.1% of its earnings in the form of a dividend.

Analyst Ratings

This is a summary of current recommendations and price targets for 3i Group and Perella Weinberg Partners, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
3i Group	0	1	1	0	2.50
Perella Weinberg Partners	1	1	1	0	2.00

Perella Weinberg Partners has a consensus target price of $23.67, suggesting a potential upside of 5.56%. Given Perella Weinberg Partners’ higher probable upside, analysts plainly believe Perella Weinberg Partners is more favorable than 3i Group.

Institutional & Insider Ownership

41.1% of Perella Weinberg Partners shares are held by institutional investors. 31.8% of Perella Weinberg Partners shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Earnings & Valuation

This table compares 3i Group and Perella Weinberg Partners”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
3i Group	$6.37 billion	8.52	N/A	N/A	N/A
Perella Weinberg Partners	$878.04 million	2.23	-$64.73 million	$0.82	27.34

3i Group has higher revenue and earnings than Perella Weinberg Partners.

Profitability

This table compares 3i Group and Perella Weinberg Partners’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
3i Group	N/A	N/A	N/A
Perella Weinberg Partners	6.57%	-26.14%	12.99%

Summary

3i Group beats Perella Weinberg Partners on 6 of the 11 factors compared between the two stocks.

About 3i Group

3i Group plc is a private equity firm specializing in mature companies, growth capital, middle markets, infrastructure, and management leveraged buyouts and buy-ins. The firm also provides infrastructure financing and debt management. For debt management, it invests in senior and mezzanine corporate debt in typically large and private companies in United Kingdom, Europe, Asia, and North America. It makes private equity investments in business and technology services, financial services, consumer, healthcare, consumption and distribution, media and telecom, renewable energy, wind, and industrial technology sector. Within business and technology services, the firm seeks to invest in sub sectors such as testing, inspection and certification; intelligent outsourcing, BPO and consultancy; human capital including staffing, governance, risk and compliance, services to pharmaceutical companies, vertical application software, education and training businesses; facilities management; support services to industrial sectors such as oil and gas and utilities; human resources outsourcing and advising; recruitment; logistics and infrastructure support services including distribution, waste, and rental. In the consumer sector, it focuses on, multi-unit roll out, omni-channel propositions, niche branded consumer goods, polarization, health and wellness, ageing population, millennials, consumer goods; e-commerce; retail; food and drinks; and leisure. In the healthcare sector, the firm focuses on outsourced medical device manufacturing & services, outsourced pharmaceutical manufacturing & services, bioprocessing supply chain, life science tools and diagnostics, wellness & consumer health products, pharmaceuticals and biotechnology including specialty pharma, generics / OTC, drug delivery, and animal health; healthcare Services including activities such as elderly and specialty care, including caring for people in their own homes, in hospital and in community facilities, as well as operational services such as outsourced support, clinical services and B2B contract services; medical devices and technology including devices, medical equipment and consumables, diagnostics, and healthcare IT. In the industrial sector, it focuses on automotive, chemicals, safety and security, construction, building products and materials, energy, electronics and electrical components, flow control and filtration, mobility, packaging, industrial Services incl. industrial software, oil, gas, and power. Through 3i BIFM Limited and 3i Infrastructure plc the firm makes infrastructure investments where it focuses principally on the utilities including energy transmission and storage, electricity and gas distribution, water, power generation, and communication network; transportation including airports, ports, ferries, toll roads, and rail; and social infrastructure sector including primary and secondary PFI, public private partnerships, healthcare, education, and government accommodation. In infrastructure it invests primarily in utilities, transportation and social infrastructure in the United Kingdom, France, Italy, Europe, and Ireland. The firm prefers to invest in companies across Europe, France, United States, South America, and Asia. It seeks to make new investments in Northern Europe and North America. The firm typically invests between 5 million ($5.59125 million) and 300 million ($335.475 million) in companies with an enterprise value typically between 100 million ($111.825 million) and 500 million ($559.125 million) and sales value between 80 million ($89.46 million) and 1500 million ($1677.38 million). It seeks to take either majority or minority stakes. It seeks to take a board seat in its portfolio companies with regards to infrastructure investments. The firm invests through a combination of third-party and proprietary capital. It invests through its personal capital. 3i Group plc was founded in 1945 and is based in London, United Kingdom with additional offices across Europe, North America, and Asia.

About Perella Weinberg Partners

Perella Weinberg Partners, an independent investment banking company, provides strategic and financial advice services in the United States and internationally. The company offers advisory services related to strategic and financial decisions, mergers and acquisition execution, shareholder and defense advisory, and financing and capital solutions advice with resources focused on restructuring, liability management, and capital markets advisory, as well as underwriting and research services primarily for the energy and related industries. It serves public multinational corporations, mid-sized public and private companies, financial sponsors, individual entrepreneurs, private and institutional investors, creditor committees, and government institutions in consumer and retail; energy and energy transition; financial services and FinTech; healthcare; industrials and infrastructure; and technology, telecommunication, and media industries. Perella Weinberg Partners is headquartered in New York, New York.