Critical Contrast: U.S. Global Investors (NASDAQ:GROW) vs. AlTi Global (NASDAQ:ALTI)

U.S. Global Investors (NASDAQ:GROW) and AlTi Global (NASDAQ:ALTI) are both small-cap finance companies, but which is the better stock? We will compare the two companies based on the strength of their institutional ownership, earnings, analyst recommendations, valuation, profitability, dividends and risk.

Insider & Institutional Ownership

23.6% of U.S. Global Investors shares are owned by institutional investors. Comparatively, 3.6% of AlTi Global shares are owned by institutional investors. 19.2% of U.S. Global Investors shares are owned by insiders. Comparatively, 22.1% of AlTi Global shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Analyst Ratings

This is a summary of current ratings for U.S. Global Investors and AlTi Global, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
U.S. Global Investors	0	0	0	0	0.00
AlTi Global	0	0	0	1	4.00

AlTi Global has a consensus price target of $9.00, suggesting a potential upside of 99.56%. Given AlTi Global’s stronger consensus rating and higher possible upside, analysts plainly believe AlTi Global is more favorable than U.S. Global Investors.

Profitability

This table compares U.S. Global Investors and AlTi Global’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
U.S. Global Investors	18.23%	3.68%	3.48%
AlTi Global	-41.51%	2.29%	1.38%

Valuation and Earnings

This table compares U.S. Global Investors and AlTi Global”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
U.S. Global Investors	$10.98 million	3.03	$1.33 million	$0.13	18.69
AlTi Global	$250.88 million	2.51	-$162.61 million	($1.75)	-2.58

U.S. Global Investors has higher earnings, but lower revenue than AlTi Global. AlTi Global is trading at a lower price-to-earnings ratio than U.S. Global Investors, indicating that it is currently the more affordable of the two stocks.

Volatility and Risk

U.S. Global Investors has a beta of 1.85, meaning that its stock price is 85% more volatile than the S&P 500. Comparatively, AlTi Global has a beta of 0.65, meaning that its stock price is 35% less volatile than the S&P 500.

Summary

U.S. Global Investors beats AlTi Global on 9 of the 14 factors compared between the two stocks.

About U.S. Global Investors

U.S. Global Investors, Inc. is a publicly owned investment manager. It primarily provides its services to investment companies. The firm is a large advisory firm, an investment adviser to an investment company which provides portfolio management for investment companies. The firm manages and launches equity/balanced funds, fixed income funds and other funds. It also manages hedge funds. The firm primarily invests in no-load mutual funds and exchange traded funds (ETFs). U.S. Global Investors, Inc. is based in San Antonio, Texas.

About AlTi Global

AlTi Global, Inc. provides wealth and asset management services individuals, families, foundations, and institutions in the United States, the United Kingdom, and internationally. It operates through two segments, Wealth Management and Strategic Alternatives. The company offers discretionary investment management, non-discretionary investment advisory, and investment management and advisory services. It also provides trust and administration services, such as entity formation and management; creating or modifying trust instruments and administrative practices to meet beneficiary needs; corporate, trustee-executor, and fiduciary services; provision of directors and company secretarial services; administering entity ownership of intellectual property rights; advisory and administration services in connection with investments in marine and aviation assets; and administering entity ownership of fine art and collectibles. In addition, the company offers family office services comprising bookkeeping and back office services, private foundation management and grant making, oversight of trust administration, financial tracking and reporting, cash flow management and bill pay, and other financial services, as well as clients estate and wealth planning, family governance and education, and philanthropic and strategic services. It also provides ancillary fund management services, including investments, financial planning and strategy, sales and marketing, and back and middle office infrastructure and administration. The company offers strategic advisory, corporate advisory, brokerage, and placement agency services; structures, arranges, and provides investors with co-investment opportunities in various alternative assets; manages and advises public and private investment funds, as well as alternatives platform. The company was formerly known as Alvarium Tiedemann Holdings, Inc. and changed its name to AlTi Global, Inc. in April 2023. The company is based in New York, New York.