Oaktree Specialty Lending Corp. (OCSL) vs Virtus Investment Partners, Inc. (VRTS)

Oaktree Specialty Lending Corp. and Virtus Investment Partners, Inc. are both Asset Management companies. Oaktree Specialty Lending Corp. is the larger, with a market value of $1.0B against $813.9M — 1.3× the size. Virtus Investment Partners, Inc. trades at the lower P/E: 6.8× against 24.1×. Virtus Investment Partners, Inc. grew revenue faster over the last twelve months: −7.16% against −12.6%. Virtus Investment Partners, Inc. has the higher net margin (14.5% vs 14.5%) and the lower return on invested capital (0.00% vs 6.43%). Both pay a dividend; Oaktree Specialty Lending Corp. yields more (12.1% vs 9.87%). Across the 20 metrics below, Virtus Investment Partners, Inc. leads on 13 and Oaktree Specialty Lending Corp. on 7.

Valuation

Metric OCSL VRTS Asset Management median
P/E 24.10 6.84 13.99
P/S 3.49 0.99 2.76
P/B 0.74 0.86 0.85
Price to free cash flow 9.60 n/m 8.32
EV/EBITDA — — —
EV/Sales — — —
Earnings yield 4.15% 14.62% 4.72%
Free cash flow yield 10.41% (6.38%) 4.44%

Profitability

Metric OCSL VRTS Asset Management median
Gross margin 82.16% 100.00% 100.00%
Operating margin 80.26% 15.71% 33.42%
Net margin 14.45% 14.52% 13.37%
Free cash flow margin 36.32% (6.29%) 12.36%
Return on equity 2.95% 12.99% 4.79%
Return on assets 1.45% 2.91% 1.55%
Return on invested capital 6.43% 0.00% 2.97%

Growth

Metric OCSL VRTS Asset Management median
Revenue growth (TTM) (12.55%) (7.16%) 7.42%
EPS growth (last fiscal year) (45.83%) 18.24% (6.67%)
Revenue growth, 5-year CAGR 17.22% 7.15% 12.51%
Net income growth, 5-year CAGR (2.86%) 11.60% 0.00%

Health

Metric OCSL VRTS Asset Management median
Debt to equity 0.68 0.44 0.44
Current ratio 0.19 10.54 1.30
Net debt to EBITDA 3.34 (12.38) 1.02

Dividend

Metric OCSL VRTS Asset Management median
Dividend yield 12.10% 9.87% 6.60%
Payout ratio 2.92 0.69 0.94

Size

Metric OCSL VRTS Asset Management median
Market cap 1.04b 813.93m 694.86m

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