Kayne Anderson BDC, Inc. (KBDC) vs MidCap Financial Investment Corporation (MFIC)

Kayne Anderson BDC, Inc. and MidCap Financial Investment Corporation are both Asset Management companies. Kayne Anderson BDC, Inc. is the larger, with a market value of $857.8M against $731.1M — 1.2× the size. MidCap Financial Investment Corporation has negative trailing earnings, so its P/E is not meaningful; Kayne Anderson BDC, Inc. trades at 12.0×. Kayne Anderson BDC, Inc. grew revenue faster over the last twelve months: 4.24% against −7.17%. Kayne Anderson BDC, Inc. has the higher net margin (31.5% vs −9.85%) and the lower return on invested capital (5.43% vs 5.78%). Across the 19 metrics below, MidCap Financial Investment Corporation leads on 10 and Kayne Anderson BDC, Inc. on 9.

Valuation

Metric KBDC MFIC Asset Management median
P/E 11.99 n/m 14.62
P/S 3.67 2.44 2.97
P/B 0.82 0.67 0.94
Price to free cash flow n/m 1.38 8.93
EV/EBITDA 10.31 6.54 10.32
EV/Sales 8.79 8.07 5.72
Earnings yield 8.34% (4.05%) 4.53%
Free cash flow yield (0.41%) 72.49% 4.65%

Profitability

Metric KBDC MFIC Asset Management median
Gross margin 84.96% 100.00% 100.00%
Operating margin 83.39% 86.02% 33.03%
Net margin 31.54% (9.85%) 13.53%
Free cash flow margin (1.50%) 176.54% 12.44%
Return on equity 6.72% (2.39%) 4.83%
Return on assets 3.24% (0.94%) 1.57%
Return on invested capital 5.43% 5.78% 3.04%

Growth

Metric KBDC MFIC Asset Management median
Revenue growth (TTM) 4.24% (7.17%) 6.97%
EPS growth (last fiscal year) (35.75%) (46.46%) —
Revenue growth, 5-year CAGR — 8.16% 12.13%
Net income growth, 5-year CAGR 0.00% (10.80%) 0.00%

Health

Metric KBDC MFIC Asset Management median
Debt to equity 1.16 1.58 0.42
Current ratio 1.25 3.78 1.28
Net debt to EBITDA 5.54 6.41 1.06

Dividend

Metric KBDC MFIC Asset Management median
Dividend yield — 11.11% 6.92%
Payout ratio — 0.97 0.77

Size

Metric KBDC MFIC Asset Management median
Market cap 857.83m 731.06m 721.34m

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