Stellus Capital Investment Corporation (SCM) vs TriplePoint Venture Growth BDC Corp. (TPVG)

Stellus Capital Investment Corporation and TriplePoint Venture Growth BDC Corp. are both Asset Management companies. Stellus Capital Investment Corporation is the larger, with a market value of $219.3M against $195.8M — 1.1× the size. TriplePoint Venture Growth BDC Corp. trades at the lower P/E: 4.9× against 7.5×. Stellus Capital Investment Corporation grew revenue faster over the last twelve months: −5.52% against −8.04%. TriplePoint Venture Growth BDC Corp. has the higher net margin (44.6% vs 30.7%) and the higher return on invested capital (4.41% vs 2.12%). Both pay a dividend; TriplePoint Venture Growth BDC Corp. yields more (14.7% vs 12.6%). Across the 21 metrics below, TriplePoint Venture Growth BDC Corp. leads on 17 and Stellus Capital Investment Corporation on 4.

Valuation

Metric SCM TPVG Asset Management median
P/E 7.50 4.88 14.62
P/S 2.27 2.18 2.97
P/B 0.60 0.56 0.94
Price to free cash flow 4.91 n/m 8.93
EV/EBITDA 11.57 5.67 10.32
EV/Sales 8.40 4.18 5.72
Earnings yield 13.33% 20.50% 4.53%
Free cash flow yield 20.37% (14.84%) 4.65%

Profitability

Metric SCM TPVG Asset Management median
Gross margin 100.00% 100.00% 100.00%
Operating margin 70.04% 74.52% 33.03%
Net margin 30.66% 44.58% 13.53%
Free cash flow margin 46.33% (32.28%) 12.44%
Return on equity 8.02% 11.45% 4.83%
Return on assets 2.95% 5.03% 1.57%
Return on invested capital 2.12% 4.41% 3.04%

Growth

Metric SCM TPVG Asset Management median
Revenue growth (TTM) (5.52%) (8.04%) 6.97%
EPS growth (last fiscal year) (46.93%) 48.78% —
Revenue growth, 5-year CAGR 12.51% (0.06%) 12.13%
Net income growth, 5-year CAGR 6.02% 6.86% 0.00%

Health

Metric SCM TPVG Asset Management median
Debt to equity 1.63 0.55 0.42
Current ratio 0.06 0.06 1.28
Net debt to EBITDA 8.41 0.72 1.06

Dividend

Metric SCM TPVG Asset Management median
Dividend yield 12.56% 14.69% 6.92%
Payout ratio 1.68 8.47 0.77

Size

Metric SCM TPVG Asset Management median
Market cap 219.30m 195.81m 721.34m

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