WallStSmart

Bain Capital Specialty Finance Inc (BCSF)vsKKR & Co LP (KKR)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

KKR & Co LP generates 9288% more annual revenue ($25.65B vs $273.24M). BCSF leads profitability with a 36.1% profit margin vs 9.2%. KKR appears more attractively valued with a PEG of 0.39. BCSF earns a higher WallStSmart Score of 69/100 (B-).

BCSF

Strong Buy

69

out of 100

Grade: B-

Growth: 6.7Profit: 8.0Value: 10.0Quality: 7.3
Piotroski: 5/9

KKR

Buy

65

out of 100

Grade: C+

Growth: 7.3Profit: 6.5Value: 7.3Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BCSFUndervalued (+81.0%)

Margin of Safety

+81.0%

Fair Value

$71.36

Current Price

$12.23

$59.13 discount

UndervaluedFair: $71.36Overvalued
KKRSignificantly Overvalued (-560.3%)

Margin of Safety

-560.3%

Fair Value

$15.91

Current Price

$88.91

$73.00 premium

UndervaluedFair: $15.91Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BCSF5 strengths · Avg: 9.6/10
P/E RatioValuation
7.9x10/10

Attractively priced relative to earnings

Price/BookValuation
0.7x10/10

Reasonable price relative to book value

Profit MarginProfitability
36.1%10/10

Keeps 36 of every $100 in revenue as profit

Operating MarginProfitability
73.4%10/10

Strong operational efficiency at 73.4%

EPS GrowthGrowth
24.9%8/10

Earnings expanding 24.9% YoY

KKR6 strengths · Avg: 9.2/10
PEG RatioValuation
0.3910/10

Growing faster than its price suggests

Operating MarginProfitability
33.0%10/10

Strong operational efficiency at 33.0%

Revenue GrowthGrowth
76.3%10/10

Revenue surging 76.3% year-over-year

Market CapQuality
$84.19B9/10

Large-cap with strong market position

Price/BookValuation
2.8x8/10

Reasonable price relative to book value

Free Cash FlowQuality
$2.27B8/10

Generating 2.3B in free cash flow

Areas to Watch

BCSF3 concerns · Avg: 2.7/10
Market CapQuality
$786.21M3/10

Smaller company, higher risk/reward

Debt/EquityHealth
1.333/10

Elevated debt levels

Revenue GrowthGrowth
-7.0%2/10

Revenue declined 7.0%

KKR2 concerns · Avg: 3.0/10
P/E RatioValuation
38.9x4/10

Premium valuation, high expectations priced in

EPS GrowthGrowth
-2.2%2/10

Earnings declined 2.2%

Comparative Analysis Report

WallStSmart Research

Bull Case : BCSF

The strongest argument for BCSF centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 36.1% and operating margin at 73.4%. PEG of 1.05 suggests the stock is reasonably priced for its growth.

Bull Case : KKR

The strongest argument for KKR centers on PEG Ratio, Operating Margin, Revenue Growth. Revenue growth of 76.3% demonstrates continued momentum. PEG of 0.39 suggests the stock is reasonably priced for its growth.

Bear Case : BCSF

The primary concerns for BCSF are Market Cap, Debt/Equity, Revenue Growth.

Bear Case : KKR

The primary concerns for KKR are P/E Ratio, EPS Growth.

Key Dynamics to Monitor

BCSF profiles as a declining stock while KKR is a hypergrowth play — different risk/reward profiles.

KKR carries more volatility with a beta of 2.01 — expect wider price swings.

KKR is growing revenue faster at 76.3% — sustainability is the question.

KKR generates stronger free cash flow (2.3B), providing more financial flexibility.

Bottom Line

BCSF scores higher overall (69/100 vs 65/100), backed by strong 36.1% margins. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

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

Bain Capital Specialty Finance Inc

FINANCIAL SERVICES · ASSET MANAGEMENT · USA

Bain Capital Specialty Finance Inc. (BCSF) is a leading specialty finance firm that specializes in providing tailored financing solutions to middle-market companies across a range of sectors. The firm primarily invests in debt instruments, including secured loans and asset-backed securities, leveraging the extensive expertise of Bain Capital in private equity and credit markets to enhance its investment strategies. BCSF employs a rigorous investment management approach designed to deliver consistent, sustainable returns while maintaining a strong focus on risk management. With its strategic emphasis on resilience and growth, BCSF actively positions itself to capitalize on opportunities across different economic conditions, making it a vital financing partner for enterprises aiming to expand and thrive.

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KKR & Co LP

FINANCIAL SERVICES · ASSET MANAGEMENT · USA

KKR & Co. LP is a leading global investment firm established in 1976, recognized for its expertise in managing a diversified portfolio across private equity, credit, and real assets. With a strong emphasis on innovative investment strategies and operational excellence, KKR adeptly identifies and leverages complex market opportunities to generate sustainable long-term value. The firm's profound industry knowledge and extensive global network contribute significantly to the growth of its portfolio companies. Additionally, KKR is committed to sustainable investing, actively integrating environmental, social, and governance (ESG) considerations into its strategies, thereby reinforcing its dedication to delivering robust performance for its investors while promoting responsible growth in the financial markets.

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