Bain Capital Specialty Finance, Inc. (BCSF) vs Kayne Anderson BDC, Inc. (KBDC)

Bain Capital Specialty Finance, Inc. and Kayne Anderson BDC, Inc. are both Asset Management companies. Kayne Anderson BDC, Inc. is the larger, with a market value of $857.8M against $721.3M — 1.2× the size. Bain Capital Specialty Finance, Inc. trades at the lower P/E: 11.2× against 12.0×. Kayne Anderson BDC, Inc. grew revenue faster over the last twelve months: 4.24% against −6.95%. Kayne Anderson BDC, Inc. has the higher net margin (31.5% vs 24.2%) and the higher return on invested capital (5.43% vs 3.01%). Across the 20 metrics below, Bain Capital Specialty Finance, Inc. leads on 10 and Kayne Anderson BDC, Inc. on 10.

Valuation

Metric BCSF KBDC Asset Management median
P/E 11.19 11.99 14.62
P/S 2.72 3.67 2.97
P/B 0.67 0.82 0.94
Price to free cash flow 5.38 n/m 8.93
EV/EBITDA 18.11 10.31 10.32
EV/Sales 13.76 8.79 5.72
Earnings yield 8.94% 8.34% 4.53%
Free cash flow yield 18.58% (0.41%) 4.65%

Profitability

Metric BCSF KBDC Asset Management median
Gross margin 100.00% 84.96% 100.00%
Operating margin 75.36% 83.39% 33.03%
Net margin 24.22% 31.54% 13.53%
Free cash flow margin 50.60% (1.50%) 12.44%
Return on equity 5.76% 6.72% 4.83%
Return on assets 2.37% 3.24% 1.57%
Return on invested capital 3.01% 5.43% 3.04%

Growth

Metric BCSF KBDC Asset Management median
Revenue growth (TTM) (6.95%) 4.24% 6.97%
EPS growth (last fiscal year) (17.84%) (35.75%) —
Revenue growth, 5-year CAGR 7.04% — 12.13%
Net income growth, 5-year CAGR 64.18% 0.00% 0.00%

Health

Metric BCSF KBDC Asset Management median
Debt to equity 1.39 1.16 0.42
Current ratio 7.20 1.25 1.28
Net debt to EBITDA 6.85 5.54 1.06

Dividend

Metric BCSF KBDC Asset Management median
Dividend yield 10.72% — 6.92%
Payout ratio 0.83 — 0.77

Size

Metric BCSF KBDC Asset Management median
Market cap 721.34m 857.83m 721.34m

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