Fidus Investment (NasdaqGS:FDUS) - Share price, News & Analysis

FDUS fundamental analysis
Snowflake Score
Valuation	3/6
Future Growth	1/6
Past Performance	4/6
Financial Health	1/6
Dividends	4/6

FDUS Stock Overview

Fidus Investment Corporation is a business development company.

Fidus Investment Competitors

Ares Capital

NasdaqGS:ARCC

US$9.1b

FS KKR Capital

NYSE:FSK

US$5.8b

Prospect Capital

NasdaqGS:PSEC

US$2.9b

Main Street Capital

NYSE:MAIN

US$2.6b

Price History & Performance

Summary of all time highs, changes and price drops for Fidus Investment
Historical stock prices
Current Share Price	US$19.42
52 Week High	US$21.15
52 Week Low	US$16.09
Beta	1.68
1 Month Change	-7.26%
3 Month Change	6.12%
1 Year Change	14.84%
3 Year Change	20.10%
5 Year Change	17.98%
Change since IPO	29.47%

Recent News & Updates

Apr 24

Fidus: My Top Pick For The High-Yield BDC Sector In 2022

Interest rates are rising and this article discusses the BDC sector currently yielding between 6% and 11% that will benefit. This article discusses FDUS currently yielding 9% and will continue to outperform the others. FDUS is well positioned for higher interest rates with 100% fixed-rate borrowings and portfolio companies with "cash interest coverage being 3.00x, which is very high." I'm expecting additional dividend increases plus quarterly supplemental and likely a large special dividend in Q4 announced before Oct. 15, as discussed below. Previously, FDUS was paying 50% of excess earnings but recently changed to 100%. Also, there's $1.56 of spillover that needs to be paid out in 2022.

Mar 15

Fidus Investment: A Great Q4 Adds To A Strong Track Record For This 10.63% Yield BDC

We catch up on Q4 results of FDUS. The company delivered strong sector-beating increases in both net investment income and NAV. FDUS is well-positioned to grow its income given its low leverage and underinvested stance, its falling debt cost, expected rotation into first-lien loans, and more.

Shareholder Returns

	FDUS	US Capital Markets	US Market
7D	1.0%	-0.9%	-4.0%
1Y	14.8%	-14.0%	-13.2%

Return vs Industry: FDUS exceeded the US Capital Markets industry which returned -14% over the past year.

Return vs Market: FDUS exceeded the US Market which returned -13.2% over the past year.

Price Volatility

Is FDUS's price volatile compared to industry and market?
FDUS volatility
FDUS Average Weekly Movement	4.4%
Capital Markets Industry Average Movement	0.5%
Market Average Movement	7.8%
10% most volatile stocks in US Market	16.8%
10% least volatile stocks in US Market	2.9%

Stable Share Price: FDUS is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: FDUS's weekly volatility (4%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
2011	n/a	Ed Ross	https://www.fdus.com

Fidus Investment Corporation is a business development company. It specializing in leveraged buyouts, refinancings, change of ownership transactions, recapitalizations, strategic acquisitions, mezzanine, growth capital, business expansion, lower middle market investments, debt investments, subordinated and second lien loans, senior secured and unitranche debt, preferred equity, warrants, subordinated debt, senior subordinated notes, junior secured loans, and unitranche loans. It does not invest in turnarounds or distressed situations.

Fidus Investment Fundamentals Summary

How do Fidus Investment's earnings and revenue compare to its market cap?
FDUS fundamental statistics
Market Cap	US$467.00m
Earnings (TTM)	US$116.26m
Revenue (TTM)	US$87.67m

4.1x

P/E Ratio

5.4x

P/S Ratio

Is FDUS overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
FDUS income statement (TTM)
Revenue	US$87.67m
Cost of Revenue	US$0
Gross Profit	US$87.67m
Other Expenses	-US$28.58m
Earnings	US$116.26m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	4.76
Gross Margin	100.00%
Net Profit Margin	132.60%
Debt/Equity Ratio	79.6%

How did FDUS perform over the long term?

See historical performance and comparison

Dividends

9.7%

Current Dividend Yield

28%

Payout Ratio

Does FDUS pay a reliable dividends?

See FDUS dividend history and benchmarks

When do you need to buy FDUS by to receive an upcoming dividend?
Fidus Investment dividend dates
Ex Dividend Date	Jun 09 2022
Dividend Pay Date	Jun 24 2022
Days until Ex dividend	14 days
Days until Dividend pay date	29 days

Does FDUS pay a reliable dividends?

See FDUS dividend history and benchmarks

Valuation

Is Fidus Investment undervalued compared to its fair value and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PEG Ratio
PB vs Industry

9.8%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: FDUS ($19.42) is trading below our estimate of fair value ($21.53)

Significantly Below Fair Value: FDUS is trading below fair value, but not by a significant amount.

Price To Earnings Ratio

PE vs Industry: FDUS is good value based on its Price-To-Earnings Ratio (4.1x) compared to the US Capital Markets industry average (29.6x).

PE vs Market: FDUS is good value based on its Price-To-Earnings Ratio (4.1x) compared to the US market (14.9x).

Price to Earnings Growth Ratio

PEG Ratio: FDUS's earnings are forecast to decline next year, so we can't calculate its PEG ratio.

Price to Book Ratio

PB vs Industry: FDUS is overvalued based on its Price-To-Book Ratio (1x) compared to the US Capital Markets industry average (-18.8x).

Future Growth

How is Fidus Investment forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

Future Growth Score

1/6

Future Growth Score 1/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

-29.1%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: FDUS's earnings are forecast to decline over the next 3 years (-29.1% per year).

Earnings vs Market: FDUS's earnings are forecast to decline over the next 3 years (-29.1% per year).

High Growth Earnings: FDUS's earnings are forecast to decline over the next 3 years.

Revenue vs Market: FDUS's revenue (8.8% per year) is forecast to grow faster than the US market (7.7% per year).

High Growth Revenue: FDUS's revenue (8.8% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: Insufficient data to determine if FDUS's Return on Equity is forecast to be high in 3 years time

Past Performance

How has Fidus Investment performed over the past 5 years?

Past Performance Score

4/6

Past Performance Score 4/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

18.5%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: FDUS has a large one-off gain of $91.9M impacting its March 31 2022 financial results.

Growing Profit Margin: FDUS's current net profit margins are higher than last year (78.9%).

Past Earnings Growth Analysis

Earnings Trend: FDUS's earnings have grown by 18.5% per year over the past 5 years.

Accelerating Growth: FDUS's earnings growth over the past year (66.7%) exceeds its 5-year average (18.5% per year).

Earnings vs Industry: FDUS earnings growth over the past year (66.7%) underperformed the Capital Markets industry 96.7%.

Return on Equity

High ROE: FDUS's Return on Equity (23.9%) is considered high.

Financial Health

How is Fidus Investment's financial position?

Financial Health Score

1/6

Financial Health Score 1/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: FDUS's short term assets ($97.0M) exceed its short term liabilities ($35.5M).

Long Term Liabilities: FDUS's short term assets ($97.0M) do not cover its long term liabilities ($387.1M).

Debt to Equity History and Analysis

Debt Level: FDUS's net debt to equity ratio (61.9%) is considered high.

Reducing Debt: FDUS's debt to equity ratio has increased from 55% to 79.6% over the past 5 years.

Debt Coverage: FDUS's debt is not well covered by operating cash flow (8.7%).

Interest Coverage: FDUS's interest payments on its debt are not well covered by EBIT (2.4x coverage).

Balance Sheet

Dividend

What is Fidus Investment current dividend yield, its reliability and sustainability?

Dividend Score

4/6

Dividend Score 4/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

9.68%

Current Dividend Yield

Upcoming Dividend Payment

Dividend Yield vs Market

Notable Dividend: FDUS's dividend (9.68%) is higher than the bottom 25% of dividend payers in the US market (1.57%).

High Dividend: FDUS's dividend (9.68%) is in the top 25% of dividend payers in the US market (4.06%)

Stability and Growth of Payments

Stable Dividend: FDUS's dividend payments have been volatile in the past 10 years.

Growing Dividend: FDUS's dividend payments have increased over the past 10 years.

Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (27.5%), FDUS's dividend payments are well covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: With its high cash payout ratio (136.1%), FDUS's dividend payments are not well covered by cash flows.

Management

How experienced are the management team and are they aligned to shareholders interests?

7.9yrs

Average management tenure

CEO

Ed Ross (55 yo)

10.92yrs

Tenure

Mr. Edward H. Ross, also known as Ed, serves as the Chairman and Chief Executive Officer of Fidus Investment Corp. since June 2011. Mr. Ross serves as Partner, Chief Executive Officer and Manager at Fidus...

Leadership Team

Experienced Management: FDUS's management team is seasoned and experienced (7.9 years average tenure).

Board Members

Experienced Board: FDUS's board of directors are seasoned and experienced ( 10.9 years average tenure).

Ownership

Who are the major shareholders and have insiders been buying or selling?

Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.

Data	Last Updated (UTC time)
Company Analysis	2022/05/25 00:00
End of Day Share Price	2022/05/25 00:00
Earnings	2022/03/31
Annual Earnings	2021/12/31