Golub Capital BDC, Inc. (GBDC) is a business development company and operates as an externally managed closed-end non-diversified management investment company.
Golub Capital BDC, Inc. (GBDC) is a business development company and operates as an externally managed closed-end non-diversified management investment company. It invests in debt and minority equity investments in middle-market companies that are, in most cases, sponsored by private equity investors. It typically invests in diversified consumer services, automobiles, healthcare technology, insurance, health care equipment and supplies, hotels, restaurants and leisure, healthcare providers and services, IT services and specialty retails.
Golub Capital BDC Fundamentals Summary
How do Golub Capital BDC's earnings and revenue compare to its market cap?
Is Golub Capital BDC undervalued compared to its fair value and its price relative to the market?
Valuation Score
4/6
Valuation Score 4/6
Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PEG Ratio
PB vs Industry
24.4%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: GBDC ($13.94) is trading below our estimate of fair value ($18.44)
Significantly Below Fair Value: GBDC is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: GBDC is good value based on its Price-To-Earnings Ratio (8.4x) compared to the US Capital Markets industry average (29.6x).
PE vs Market: GBDC is good value based on its Price-To-Earnings Ratio (8.4x) compared to the US market (14.9x).
Price to Earnings Growth Ratio
PEG Ratio: GBDC's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: GBDC is overvalued based on its Price-To-Book Ratio (0.9x) compared to the US Capital Markets industry average (-18.8x).
Future Growth
How is Golub Capital BDC 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
-14.5%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: GBDC's earnings are forecast to decline over the next 3 years (-14.5% per year).
Earnings vs Market: GBDC's earnings are forecast to decline over the next 3 years (-14.5% per year).
High Growth Earnings: GBDC's earnings are forecast to decline over the next 3 years.
Revenue vs Market: GBDC's revenue (17.8% per year) is forecast to grow faster than the US market (7.7% per year).
High Growth Revenue: GBDC's revenue (17.8% 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 GBDC's Return on Equity is forecast to be high in 3 years time
Past Performance
How has Golub Capital BDC performed over the past 5 years?
Past Performance Score
1/6
Past Performance Score 1/6
Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE
31.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: GBDC has a high level of non-cash earnings.
Growing Profit Margin: GBDC's current net profit margins (86.4%) are lower than last year .
Past Earnings Growth Analysis
Earnings Trend: GBDC's earnings have grown significantly by 31.9% per year over the past 5 years.
Accelerating Growth: GBDC's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: GBDC had negative earnings growth (-32.7%) over the past year, making it difficult to compare to the Capital Markets industry average (96.7%).
Return on Equity
High ROE: GBDC's Return on Equity (10.8%) is considered low.
Financial Health
How is Golub Capital BDC's financial position?
Financial Health Score
2/6
Financial Health Score 2/6
Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage
Financial Position Analysis
Short Term Liabilities: GBDC's short term assets ($197.8M) exceed its short term liabilities ($41.2M).
Long Term Liabilities: GBDC's short term assets ($197.8M) do not cover its long term liabilities ($3.0B).
Debt to Equity History and Analysis
Debt Level: GBDC's net debt to equity ratio (107.6%) is considered high.
Reducing Debt: GBDC's debt to equity ratio has increased from 94.7% to 112.8% over the past 5 years.
Debt Coverage: GBDC's operating cash flow is negative, therefore debt is not well covered.
Interest Coverage: GBDC's interest payments on its debt are well covered by EBIT (3.6x coverage).
Balance Sheet
Dividend
What is Golub Capital BDC current dividend yield, its reliability and sustainability?
Dividend Score
3/6
Dividend Score 3/6
Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage
8.61%
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: GBDC's dividend (8.61%) is higher than the bottom 25% of dividend payers in the US market (1.57%).
High Dividend: GBDC's dividend (8.61%) is in the top 25% of dividend payers in the US market (4.06%)
Stability and Growth of Payments
Stable Dividend: GBDC's dividend payments have been volatile in the past 10 years.
Growing Dividend: GBDC's dividend payments have fallen over the past 10 years.
Earnings Payout to Shareholders
Earnings Coverage: With its reasonable payout ratio (70.3%), GBDC's dividend payments are covered by earnings.
Cash Payout to Shareholders
Cash Flow Coverage: GBDC is paying a dividend but the company has no free cash flows.
Management
How experienced are the management team and are they aligned to shareholders interests?
10.8yrs
Average management tenure
CEO
David Golub (59 yo)
12.5yrs
Tenure
Mr. David B. Golub is President, Chief Executive Officer and Director at Golub Capital BDC 4 LLC. He serves as President, CEO & Director at Golub Capital Direct Lending Unlevered LLC. Mr. Golub is Presiden...
Leadership Team
Experienced Management: GBDC's management team is seasoned and experienced (10.8 years average tenure).
Board Members
Experienced Board: GBDC's board of directors are seasoned and experienced ( 12.3 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: GBDC insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Golub Capital BDC, Inc.'s employee growth, exchange listings and data sources
All financial data provided by Standard & Poor's Capital IQ.
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
2021/09/30
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.