WallStSmart

Barings BDC Inc (BBDC)vsKKR & Co. Inc. (KKR)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

KKR & Co. Inc. generates 9108% more annual revenue ($25.35B vs $275.34M). BBDC leads profitability with a 32.5% profit margin vs 11.7%. KKR appears more attractively valued with a PEG of 0.53. BBDC earns a higher WallStSmart Score of 53/100 (C-).

BBDC

Buy

53

out of 100

Grade: C-

Growth: 4.7Profit: 7.5Value: 5.7Quality: 5.8
Piotroski: 4/9

KKR

Hold

48

out of 100

Grade: D+

Growth: 4.7Profit: 5.5Value: 5.7Quality: 5.8
Piotroski: 3/9

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BBDC4 strengths · Avg: 10.0/10
P/E RatioValuation
9.9x10/10

Attractively priced relative to earnings

Price/BookValuation
0.8x10/10

Reasonable price relative to book value

Profit MarginProfitability
32.5%10/10

Keeps 33 of every $100 in revenue as profit

Operating MarginProfitability
74.7%10/10

Strong operational efficiency at 74.7%

KKR3 strengths · Avg: 8.3/10
Market CapQuality
$91.45B9/10

Large-cap with strong market position

PEG RatioValuation
0.538/10

Growing faster than its price suggests

Free Cash FlowQuality
$1.90B8/10

Generating 1.9B in free cash flow

Areas to Watch

BBDC4 concerns · Avg: 2.8/10
Market CapQuality
$879.54M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
7.8%3/10

ROE of 7.8% — below average capital efficiency

Debt/EquityHealth
1.233/10

Elevated debt levels

PEG RatioValuation
3.152/10

Expensive relative to growth rate

KKR4 concerns · Avg: 3.0/10
P/E RatioValuation
33.4x4/10

Premium valuation, high expectations priced in

Debt/EquityHealth
1.803/10

Elevated debt levels

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Revenue GrowthGrowth
-6.6%2/10

Revenue declined 6.6%

Comparative Analysis Report

WallStSmart Research

Bull Case : BBDC

The strongest argument for BBDC centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 32.5% and operating margin at 74.7%.

Bull Case : KKR

The strongest argument for KKR centers on Market Cap, PEG Ratio, Free Cash Flow. PEG of 0.53 suggests the stock is reasonably priced for its growth.

Bear Case : BBDC

The primary concerns for BBDC are Market Cap, Return on Equity, Debt/Equity.

Bear Case : KKR

The primary concerns for KKR are P/E Ratio, Debt/Equity, Piotroski F-Score. Debt-to-equity of 1.80 is elevated, increasing financial risk.

Key Dynamics to Monitor

KKR carries more volatility with a beta of 1.79 — expect wider price swings.

BBDC is growing revenue faster at -6.0% — sustainability is the question.

KKR generates stronger free cash flow (1.9B), providing more financial flexibility.

Monitor ASSET MANAGEMENT industry trends, competitive dynamics, and regulatory changes.

Bottom Line

BBDC scores higher overall (53/100 vs 48/100), backed by strong 32.5% margins. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Barings BDC Inc

FINANCIAL SERVICES · ASSET MANAGEMENT · USA

Barings BDC Inc (BBDC) is a prominent business development company dedicated to providing tailored debt and equity financing solutions to middle-market companies across the United States. Backed by the extensive resources and experience of its parent company, Barings, BBDC employs a disciplined value-oriented investment strategy that seeks to identify high-potential opportunities in the private credit market. Its diversified portfolio aims to deliver attractive risk-adjusted returns while upholding strong standards of responsible investing. With a robust investment pipeline and comprehensive sector knowledge, Barings BDC is well-equipped to navigate the evolving alternative investment landscape.

KKR & Co. Inc.

FINANCIAL SERVICES · ASSET MANAGEMENT · USA

KKR & Co. Inc. is a preeminent global investment firm founded in 1976, specializing in private equity, credit, and real asset investments. With a keen focus on identifying complex market opportunities, KKR leverages its extensive industry expertise and global network to drive sustainable long-term value for its portfolio companies. The firm is a leader in sustainable investing, integrating robust environmental, social, and governance (ESG) criteria into its investment strategy to promote responsible market growth alongside financial performance. KKR's commitment to innovation and operational excellence further cements its position as a vital contributor to the financial landscape worldwide.

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