FS KKR Capital Corp. (FSK) vs Patria Investments Limited (PAX)

FS KKR Capital Corp. and Patria Investments Limited are both Asset Management companies. FS KKR Capital Corp. is the larger, with a market value of $3.0B against $1.9B — 1.5× the size. FS KKR Capital Corp. has negative trailing earnings, so its P/E is not meaningful; Patria Investments Limited trades at 25.4×. Patria Investments Limited grew revenue faster over the last twelve months: 7.70% against −20.1%. Patria Investments Limited has the higher net margin (17.5% vs −28.5%) and the higher return on invested capital (8.38% vs 2.98%). Both pay a dividend; FS KKR Capital Corp. yields more (18.9% vs 5.34%). Across the 20 metrics below, Patria Investments Limited leads on 11 and FS KKR Capital Corp. on 9.

Valuation

Metric FSK PAX Asset Management median
P/E n/m 25.41 13.99
P/S 2.20 4.41 2.76
P/B 0.57 2.95 0.85
Price to free cash flow 1.50 12.43 8.32
EV/EBITDA — — —
EV/Sales — — —
Earnings yield (13.07%) 3.94% 4.72%
Free cash flow yield 66.47% 8.04% 4.44%

Profitability

Metric FSK PAX Asset Management median
Gross margin 100.00% 41.19% 100.00%
Operating margin 75.06% 27.36% 33.42%
Net margin (28.52%) 17.50% 13.37%
Free cash flow margin 146.24% 35.48% 12.36%
Return on equity (6.66%) 12.20% 4.79%
Return on assets (2.82%) 4.76% 1.55%
Return on invested capital 2.98% 8.38% 2.97%

Growth

Metric FSK PAX Asset Management median
Revenue growth (TTM) (20.11%) 7.70% 7.42%
EPS growth (last fiscal year) (98.09%) 12.50% (6.67%)
Revenue growth, 5-year CAGR 18.91% 27.12% 12.51%
Net income growth, 5-year CAGR 0.00% 7.80% 0.00%

Health

Metric FSK PAX Asset Management median
Debt to equity 1.23 0.54 0.44
Current ratio 2.28 1.04 1.30
Net debt to EBITDA 6.40 (0.30) 1.02

Dividend

Metric FSK PAX Asset Management median
Dividend yield 18.88% 5.34% 6.60%
Payout ratio — 1.36 0.94

Size

Metric FSK PAX Asset Management median
Market cap 2.97b 1.94b 694.86m

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