BARINGS BDC, INC. (BBDC) vs Burford Capital Limited (BUR)

BARINGS BDC, INC. and Burford Capital Limited are both Asset Management companies. BARINGS BDC, INC. is the larger, with a market value of $902.6M against $797.1M — 1.1× the size. Burford Capital Limited has negative trailing earnings, so its P/E is not meaningful; BARINGS BDC, INC. trades at 10.4×. BARINGS BDC, INC. grew revenue faster over the last twelve months: −5.06% against −331.0%. Burford Capital Limited has the higher net margin (112.0% vs 32.7%) and the lower return on invested capital (−29.9% vs 10.9%). Both pay a dividend; BARINGS BDC, INC. yields more (11.6% vs 0.88%). Across the 18 metrics below, BARINGS BDC, INC. leads on 13 and Burford Capital Limited on 5.

Valuation

Metric BBDC BUR Asset Management median
P/E 10.45 n/m 14.62
P/S 3.41 n/m 2.97
P/B 0.79 0.54 0.94
Price to free cash flow 2.98 n/m 8.93
EV/EBITDA 4.84 n/m 10.32
EV/Sales 4.19 (1.63) 5.72
Earnings yield 9.57% (211.81%) 4.53%
Free cash flow yield 33.57% (23.17%) 4.65%

Profitability

Metric BBDC BUR Asset Management median
Gross margin 100.00% 100.00% 100.00%
Operating margin 88.68% 99.23% 33.03%
Net margin 32.73% 111.95% 13.53%
Free cash flow margin 114.50% 12.27% 12.44%
Return on equity 7.50% (71.82%) 4.83%
Return on assets 3.24% (31.82%) 1.57%
Return on invested capital 10.90% (29.90%) 3.04%

Growth

Metric BBDC BUR Asset Management median
Revenue growth (TTM) (5.06%) (330.95%) 6.97%
EPS growth (last fiscal year) (6.73%) (57.58%) —
Revenue growth, 5-year CAGR 31.49% 2.85% 12.13%
Net income growth, 5-year CAGR 65.63% (17.64%) 0.00%

Health

Metric BBDC BUR Asset Management median
Debt to equity 0.24 1.64 0.42
Current ratio 0.09 9.56 1.28
Net debt to EBITDA 0.69 6.34 1.06

Dividend

Metric BBDC BUR Asset Management median
Dividend yield 11.62% 0.88% 6.92%
Payout ratio 1.18 0.10 0.77

Size

Metric BBDC BUR Asset Management median
Market cap 902.57m 797.09m 721.34m

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