Bain Capital Specialty Finance, Inc. (BCSF) vs SLR Investment Corp. (SLRC)

Bain Capital Specialty Finance, Inc. and SLR Investment Corp. are both Asset Management companies. Bain Capital Specialty Finance, Inc. is the larger, with a market value of $721.3M against $637.2M — 1.1× the size. SLR Investment Corp. trades at the lower P/E: 8.7× against 11.2×. SLR Investment Corp. grew revenue faster over the last twelve months: −5.79% against −6.95%. SLR Investment Corp. has the higher net margin (35.2% vs 24.2%) and the lower return on invested capital (2.87% vs 3.01%). Both pay a dividend; Bain Capital Specialty Finance, Inc. yields more (10.7% vs 10.1%). Across the 22 metrics below, SLR Investment Corp. leads on 16 and Bain Capital Specialty Finance, Inc. on 6.

Valuation

Metric BCSF SLRC Asset Management median
P/E 11.19 8.70 14.62
P/S 2.72 3.06 2.97
P/B 0.67 0.65 0.94
Price to free cash flow 5.38 4.09 8.93
EV/EBITDA 18.11 9.31 10.32
EV/Sales 13.76 6.55 5.72
Earnings yield 8.94% 11.50% 4.53%
Free cash flow yield 18.58% 24.44% 4.65%

Profitability

Metric BCSF SLRC Asset Management median
Gross margin 100.00% 100.00% 100.00%
Operating margin 75.36% 70.27% 33.03%
Net margin 24.22% 35.20% 13.53%
Free cash flow margin 50.60% 74.68% 12.44%
Return on equity 5.76% 7.47% 4.83%
Return on assets 2.37% 2.89% 1.57%
Return on invested capital 3.01% 2.87% 3.04%

Growth

Metric BCSF SLRC Asset Management median
Revenue growth (TTM) (6.95%) (5.79%) 6.97%
EPS growth (last fiscal year) (17.84%) (3.41%) —
Revenue growth, 5-year CAGR 7.04% 12.41% 12.13%
Net income growth, 5-year CAGR 64.18% 43.04% 0.00%

Health

Metric BCSF SLRC Asset Management median
Debt to equity 1.39 1.17 0.42
Current ratio 7.20 1.09 1.28
Net debt to EBITDA 6.85 5.05 1.06

Dividend

Metric BCSF SLRC Asset Management median
Dividend yield 10.72% 10.13% 6.92%
Payout ratio 0.83 1.48 0.77

Size

Metric BCSF SLRC Asset Management median
Market cap 721.34m 637.20m 721.34m

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