DeFi Development Corp. (DFDV) vs PennantPark Investment Corporation (PNNT)

DeFi Development Corp. and PennantPark Investment Corporation are both Asset Management companies. PennantPark Investment Corporation is the larger, with a market value of $218.7M against $189.5M — 1.2× the size. DeFi Development Corp. has negative trailing earnings, so its P/E is not meaningful; PennantPark Investment Corporation trades at 21.4×. DeFi Development Corp. grew revenue faster over the last twelve months: 328.6% against −19.9%. PennantPark Investment Corporation has the higher net margin (9.66% vs −1,319.5%) and the higher return on invested capital (2.65% vs −79.9%). Across the 17 metrics below, PennantPark Investment Corporation leads on 11 and DeFi Development Corp. on 6.

Valuation

Metric DFDV PNNT Asset Management median
P/E n/m 21.39 14.62
P/S 10.95 2.07 2.97
P/B n/m 0.51 0.94
Price to free cash flow n/m 1.92 8.93
EV/EBITDA n/m 9.79 10.32
EV/Sales 18.53 7.18 5.72
Earnings yield (169.54%) 4.67% 4.53%
Free cash flow yield (87.23%) 52.22% 4.65%

Profitability

Metric DFDV PNNT Asset Management median
Gross margin 97.76% 80.01% 100.00%
Operating margin (866.51%) 74.72% 33.03%
Net margin (1,319.46%) 9.66% 13.53%
Free cash flow margin (954.86%) 107.91% 12.44%
Return on equity (589.29%) 2.23% 4.83%
Return on assets (128.23%) 0.81% 1.57%
Return on invested capital (79.93%) 2.65% 3.04%

Growth

Metric DFDV PNNT Asset Management median
Revenue growth (TTM) 328.61% (19.87%) 6.97%
EPS growth (last fiscal year) (1,335.75%) (33.33%) —
Revenue growth, 5-year CAGR 48.79% 4.07% 12.13%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric DFDV PNNT Asset Management median
Debt to equity (10.02) 1.28 0.42
Current ratio 1.27 0.18 1.28
Net debt to EBITDA (3.50) 7.74 1.06

Dividend

Metric DFDV PNNT Asset Management median
Dividend yield — 12.94% 6.92%
Payout ratio — 0.99 0.77

Size

Metric DFDV PNNT Asset Management median
Market cap 189.52m 218.74m 721.34m

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