Financial Review: Invesco (NYSE:IVZ) vs. Barings Corporate Investors (NYSE:MCI)

Barings Corporate Investors (NYSE:MCI) and Invesco (NYSE:IVZ) are both finance companies, but which is the superior investment? We will contrast the two businesses based on the strength of their valuation, analyst recommendations, institutional ownership, earnings, dividends, profitability and risk.

Profitability

This table compares Barings Corporate Investors and Invesco’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Barings Corporate Investors	N/A	N/A	N/A
Invesco	14.15%	9.11%	3.69%

Insider & Institutional Ownership

66.1% of Invesco shares are owned by institutional investors. 1.1% of Barings Corporate Investors shares are owned by insiders. Comparatively, 1.2% of Invesco shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Earnings & Valuation

This table compares Barings Corporate Investors and Invesco”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Barings Corporate Investors	N/A	N/A	N/A	N/A	N/A
Invesco	$6.07 billion	2.09	$774.80 million	$1.47	19.40

Invesco has higher revenue and earnings than Barings Corporate Investors.

Volatility & Risk

Barings Corporate Investors has a beta of 0.28, meaning that its share price is 72% less volatile than the S&P 500. Comparatively, Invesco has a beta of 1.65, meaning that its share price is 65% more volatile than the S&P 500.

Dividends

Barings Corporate Investors pays an annual dividend of $1.60 per share and has a dividend yield of 8.4%. Invesco pays an annual dividend of $0.84 per share and has a dividend yield of 2.9%. Invesco pays out 57.1% of its earnings in the form of a dividend. Invesco has increased its dividend for 5 consecutive years.

Analyst Ratings

This is a breakdown of current recommendations and price targets for Barings Corporate Investors and Invesco, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Barings Corporate Investors	0	0	0	0	0.00
Invesco	0	13	5	0	2.28

Invesco has a consensus target price of $24.70, suggesting a potential downside of 13.37%. Given Invesco’s stronger consensus rating and higher possible upside, analysts plainly believe Invesco is more favorable than Barings Corporate Investors.

Summary

Invesco beats Barings Corporate Investors on 11 of the 13 factors compared between the two stocks.

About Barings Corporate Investors

Babson Capital Corporate Investors trust is a closed ended fixed income mutual fund launched and managed by Barings LLC. It invests in fixed income markets of the United States. The fund seeks to invest in securities of companies operating across diversified sectors. It primarily invests in a portfolio of privately placed, below-investment grade, long term corporate debt obligations. The fund also invests in marketable investment grade debt securities, other marketable debt securities, and marketable common stocks. It was formerly known as Babson Capital Corporate Investors. Babson Capital Corporate Investors trust was formed in 1971 and is domiciled in the United States.

About Invesco

Invesco Ltd. is a publicly owned investment manager. The firm provides its services to retail clients, institutional clients, high-net worth clients, public entities, corporations, unions, non-profit organizations, endowments, foundations, pension funds, financial institutions, and sovereign wealth funds. It manages separate client-focused equity and fixed income portfolios. The firm also launches equity, fixed income, commodity, multi-asset, and balanced mutual funds for its clients. It launches equity, fixed income, multi-asset, and balanced exchange-traded funds. The firm also launches and manages private funds. It invests in the public equity and fixed income markets across the globe. The firm also invests in alternative markets, such as commodities and currencies. For the equity portion of its portfolio, it invests in growth and value stocks of large-cap, mid-cap, and small-cap companies. For the fixed income portion of its portfolio, the firm invests in convertibles, government bonds, municipal bonds, treasury securities, and cash. It also invests in short term and intermediate term bonds, investment grade and high yield bonds, taxable and tax-free bonds, senior secured loans, and structured securities such as asset-backed securities, mortgage-backed securities, and commercial mortgage-backed securities. The firm employs absolute return, global macro, and long/short strategies. It employs quantitative analysis to make its investments. The firm was formerly known as Invesco Plc, AMVESCAP plc, Amvesco plc, Invesco PLC, Invesco MIM, and H. Lotery & Co. Ltd. Invesco Ltd. was founded in 1935 and is based in Atlanta, Georgia with an additional office in Hamilton, Bermuda.