Fidus Investment Corporation (Nasdaq:FDUS) is a business development company that specializes in a wide array of capital raising, debt financing and strategic support primarily for lower middle market companies. They typically invest in technology, healthcare, and consumer product companies, but are not restricted to those industries. Ultimately, they have expertise on how to tailor their partnerships to maximize growth for investors and for their partners.
Comps: Diamond Hill Investment Group, Inc. (Nasdaq:DHIL), PennantPark Investment Corporation (NYSE:PNNT)
When we compare these business development firms, it is apparent that Fidus Investment Corporation achieved more favorable share price to earnings per share and significantly higher profit margins and net income. Moreover, they also show higher earnings per share, return on equity, and smaller debt to equity than PennantPark Investment Corporation. From an investment perspective, they not only hit in key aspects but the relative ratio between their net income and revenue is untouchable.