Palmer Square Capital BDC (NYSE:PSBD) & Nicholas Financial (NASDAQ:NICK) Head to Head Survey

Nicholas Financial (NASDAQ:NICKGet Free Report) and Palmer Square Capital BDC (NYSE:PSBDGet Free Report) are both small-cap finance companies, but which is the better stock? We will compare the two companies based on the strength of their profitability, analyst recommendations, valuation, institutional ownership, dividends, earnings and risk.

Insider and Institutional Ownership

39.9% of Nicholas Financial shares are owned by institutional investors. Comparatively, 6.5% of Palmer Square Capital BDC shares are owned by institutional investors. 43.0% of Nicholas Financial shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Analyst Ratings

This is a breakdown of current ratings and target prices for Nicholas Financial and Palmer Square Capital BDC, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Nicholas Financial 0 0 0 0 N/A
Palmer Square Capital BDC 0 3 4 0 2.57

Palmer Square Capital BDC has a consensus price target of $16.93, indicating a potential upside of 1.92%. Given Palmer Square Capital BDC’s higher possible upside, analysts clearly believe Palmer Square Capital BDC is more favorable than Nicholas Financial.

Profitability

This table compares Nicholas Financial and Palmer Square Capital BDC’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Nicholas Financial -134.48% -50.06% -42.27%
Palmer Square Capital BDC 84.94% 18.90% 7.55%

Earnings and Valuation

This table compares Nicholas Financial and Palmer Square Capital BDC’s top-line revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Nicholas Financial $44.34 million 1.89 -$34.12 million ($5.01) -1.32
Palmer Square Capital BDC $112.22 million 4.82 $107.84 million N/A N/A

Palmer Square Capital BDC has higher revenue and earnings than Nicholas Financial.

Summary

Palmer Square Capital BDC beats Nicholas Financial on 8 of the 10 factors compared between the two stocks.

About Nicholas Financial

(Get Free Report)

Nicholas Financial, Inc. operates as a consumer finance company in the United States. The company engages in acquiring and servicing automobile finance installment contracts for the purchase of new and used automobiles and light trucks. It also originates direct consumer loans and sells consumer-finance related products. The company operates branch offices located in Alabama, Florida, Georgia, Idaho, Illinois, Indiana, Kentucky, Michigan, Missouri, Nevada, North Carolina, Nevada, Ohio, Pennsylvania, South Carolina, Tennessee, Texas, Utah, and Wisconsin. Nicholas Financial, Inc. was founded in 1985 and is headquartered in Clearwater, Florida.

About Palmer Square Capital BDC

(Get Free Report)

Palmer Square Capital BDC Inc. is an externally managed, non-diversified closed-end management investment company which primarily lends to and invests in corporate debt securities, including small to large private U.S. companies and has elected to be regulated as a business development company. Palmer Square Capital BDC Inc. is based in MISSION WOODS, Kan.

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