OFS Capital Corporation (OFS) vs Rand Capital Corporation (RAND)

OFS Capital Corporation and Rand Capital Corporation are both Asset Management companies. OFS Capital Corporation is the larger, with a market value of $49.8M against $29.5M — 1.7× the size. OFS Capital Corporation has negative trailing earnings, so its P/E is not meaningful; Rand Capital Corporation trades at 9.5×. OFS Capital Corporation grew revenue faster over the last twelve months: −27.7% against −28.6%. Rand Capital Corporation has the higher net margin (57.9% vs −91.4%) and the lower return on invested capital (0.00% vs 3.94%). Both pay a dividend; OFS Capital Corporation yields more (17.9% vs 8.90%). Across the 17 metrics below, Rand Capital Corporation leads on 9 and OFS Capital Corporation on 8.

Valuation

Metric OFS RAND Asset Management median
P/E n/m 9.51 13.35
P/S 1.64 5.55 3.01
P/B 0.51 0.56 0.91
Price to free cash flow 0.56 n/m 7.27
EV/EBITDA — — —
EV/Sales — — —
Earnings yield (55.67%) 10.51% 4.59%
Free cash flow yield 179.90% (31.58%) 4.88%

Profitability

Metric OFS RAND Asset Management median
Gross margin 100.00% 100.00% 100.00%
Operating margin 73.44% 52.52% 28.39%
Net margin (91.39%) 57.91% 11.89%
Free cash flow margin 294.23% (175.10%) 5.96%
Return on equity (24.13%) 5.76% 4.61%
Return on assets (8.88%) 5.40% 1.45%
Return on invested capital 3.94% 0.00% 2.27%

Growth

Metric OFS RAND Asset Management median
Revenue growth (TTM) (27.74%) (28.61%) 7.26%
EPS growth (last fiscal year) (216.51%) (179.82%) (5.64%)
Revenue growth, 5-year CAGR (2.20%) 15.85% 11.84%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric OFS RAND Asset Management median
Debt to equity 0.27 0.10 0.39
Current ratio 0.05 85.58 1.25
Net debt to EBITDA 2.74 (9.71) 1.06

Dividend

Metric OFS RAND Asset Management median
Dividend yield 17.94% 8.90% 6.43%
Payout ratio — 0.85 0.92

Size

Metric OFS RAND Asset Management median
Market cap 49.84m 29.46m 677.66m

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