Want to see FDUS full AI Analyst Report?
Top Page
Fidus Investment
(NASDAQ:FDUS)
Select Model
Select Model
Rating:73Outperform
Price Target:
$23.00
â–²(18.50% Upside)
Action:Reiterated
Date:08/07/26
FDUS scores well on valuation (low P/E and high dividend yield) and shows constructive technical momentum with price above key moving averages. The main limiter is financial performance quality due to recent negative operating/free cash flow despite strong profitability, while the earnings call was supportive overall but flagged near-term NII pressure and higher financing costs.
Positive Factors
High profitability and margins
Sustainably high net margins indicate durable earnings power for a BDC focused on senior secured lending and equity upside. Strong profitability supports dividend coverage, internal capital generation and resilience through credit cycles, underpinning long-term shareholder distributions.
Negative Factors
Weak operating and free cash flow
Persistent negative operating/free cash flow reduces financial flexibility and increases reliance on external funding or equity raises to support originations and dividends. Over several quarters this can pressure liquidity, limit reinvestment and force dilutive capital actions during downturns.
Read all positive and negative factors
Positive Factors
Negative Factors
High profitability and margins
Sustainably high net margins indicate durable earnings power for a BDC focused on senior secured lending and equity upside. Strong profitability supports dividend coverage, internal capital generation and resilience through credit cycles, underpinning long-term shareholder distributions.
Read all positive factors
Fidus Investment (FDUS) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$747.70M
Dividend Yield8.73%
Average Volume (3M)423.78K
Price to Earnings (P/E)9.5
Beta (1Y)0.62
Revenue Growth3.27%
EPS Growth-9.84%
CountryUS
EmployeesN/A
SectorFinancial
Sector Strength70
IndustryAsset Management
Share Statistics
EPS (TTM)2.05
Shares Outstanding37,954,365
10 Day Avg. Volume294,785
30 Day Avg. Volume423,776
Financial Highlights & Ratios
PEG Ratio-2.50
Price to Book (P/B)0.92
Price to Sales (P/S)4.30
P/FCF Ratio-4.66
Enterprise Value/Market Cap<0.01
Enterprise Value/Revenue<0.01
Enterprise Value/Gross Profit<0.01
Enterprise Value/Ebitda<0.01
Forecast
1Y Price Target
$21.33Price Target Upside9.91% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering3
EPS Forecast (FY)2.13
Revenue Forecast (FY)$179.25M
Fidus Investment Business Overview & Revenue Model
Company Description
Fidus Investment Corporation functions as a Business Development Company (BDC), offering capital solutions for diverse corporate endeavors. These encompass management buyouts, debt restructuring, ownership transitions, capital reorganizations, str...
How the Company Makes Money
FDUS makes money primarily from investment income generated by its portfolio. The largest revenue stream is interest income on debt investments (commonly senior secured loans and other structured debt), including contractual coupon interest and, w...
Fidus Investment Earnings Call Summary
Earnings Call Date:Aug 06, 2026
(Q2-2026)
| % Change Since: |
Next Earnings Date:Oct 29, 2026
Earnings Call Sentiment Positive
The call conveyed a generally positive operational and portfolio story: the company maintained adjusted NII sufficient to cover the base dividend, realized equity gains, reported a portfolio valued above cost, held ample liquidity, and eliminated nonaccruals post-quarter. However, there are near-term headwinds including a meaningful quarter-over-quarter decline in NII and adjusted NII, reduced fee income, higher interest expense from recent refinancing (60 bps increase), and an $11 million realized loss on a post-quarter exit. Management emphasized conservative underwriting, a healthy portfolio yield (12.5%), and an improving deal pipeline, suggesting confidence in future results despite short-term earnings pressure.Positive Updates
Adjusted NII Covers Base Dividend
Adjusted NII of $0.50 per share in Q2 2026, maintaining the company's track record of covering the base dividend; Board declared total dividend of $0.50 per share (base $0.43 + supplemental $0.07).
Negative Updates
Quarter-over-Quarter Decline in NII
Net investment income (NII) fell to $0.49 per share in Q2 from $0.65 in Q1, a decline of ~24.6%; adjusted NII declined to $0.50 from $0.62, down ~19.35% quarter-over-quarter.
Read all updates
Q2-2026 Updates
Positive
Negative
Adjusted NII Covers Base Dividend
Adjusted NII of $0.50 per share in Q2 2026, maintaining the company's track record of covering the base dividend; Board declared total dividend of $0.50 per share (base $0.43 + supplemental $0.07).
Read all positive updates
Company Guidance
Management guided that they expect M&A-driven deal flow and investment activity to pick up in the second half of 2026—particularly Q4—as geopolitical uncertainties abate, while continuing to adhere to strict underwriting and target risk-adjusted returns; key metrics cited include Q2 adjusted NII of $0.50 per share (Q1 $0.62) and NII of $0.49 per share (Q1 $0.65), a Q3 dividend of $0.50 per share (base $0.43 + supplemental $0.07) payable 9/29/2026 (record 9/15/2026), Q2 originations of $98.0 million and $48.1 million invested in four new companies, $39.2 million of Q2 repayments/realizations, $6.4 million of net realized gains ($0.17 per share), a $1.4 billion fair-value portfolio ($1.3 billion debt / $147.2 million equity) with NAV $738.5 million or $19.46 per share, weighted-average debt yield 12.5%, weighted-average interest on outstanding debt 5.8% (vs 5.2% in Q1), net debt outstanding $739.8 million (SBA $296m, unsecured notes $320m, LOC $112.7m, secured $11.1m) with net debt-to-equity ~1.0x (statutory leverage excl. SBA 0.6x), liquidity of ≈$170.1 million (cash $39.3m, LOC availability $112.3m, SBA availability $18.5m), weighted average LTV 41% (target ≤50%), target leverage range 0.9–1.1x (midpoint 1.0x), and the potential to use the ATM to raise equity if pipeline growth warrants.Fidus Investment Financial Statement Overview
Summary
Income Statement
78
Positive
Balance Sheet
72
Positive
Cash Flow
34
Negative
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 147.70M | 159.25M | 113.68M | 108.60M | 71.62M | 146.41M |
| Gross Profit | 108.71M | 115.62M | 91.39M | 88.00M | 55.05M | 129.47M |
| EBITDA | 102.85M | 120.30M | 82.21M | 79.83M | 65.75B | 118.67M |
| Net Income | 77.31M | 82.40M | 78.29M | 77.13M | 35.82M | 116.10M |
Balance Sheet | ||||||
| Total Assets | 1.50B | 1.43B | 1.16B | 1.09B | 935.96M | 897.18M |
| Cash, Cash Equivalents and Short-Term Investments | 182.94M | 70.00M | 57.16M | 119.13M | 62.35M | 169.42M |
| Total Debt | 288.07M | 644.08M | 474.89M | 466.51M | 410.10M | 366.04M |
| Total Liabilities | 762.64M | 684.64M | 508.45M | 501.42M | 455.62M | 409.42M |
| Stockholders Equity | 738.48M | 741.90M | 655.67M | 589.47M | 480.34M | 487.76M |
Cash Flow | ||||||
| Free Cash Flow | -198.26M | -147.00M | 62.37M | 48.41M | -105.54M | 167.90M |
| Operating Cash Flow | -198.26M | -147.00M | 62.37M | 48.41M | -105.54M | 167.90M |
| Investing Cash Flow | -45.59M | 0.00 | -117.67M | -77.87M | -139.87B | 126.05B |
| Financing Cash Flow | 162.72M | 169.45M | -6.67M | 86.24M | -1.53M | -122.79M |
Fidus Investment Technical Analysis
Positive
19.41
Price Trends
19.49
Positive
18.72
Positive
18.26
Positive
Market Momentum
0.02
Positive
49.08
Neutral
43.55
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FDUS, the sentiment is Positive. The current price of 19.41 is below the 20-day moving average (MA) of 19.92, below the 50-day MA of 19.49, and above the 200-day MA of 18.26, indicating a neutral trend. The MACD of 0.02 indicates Positive momentum. The RSI at 49.08 is Neutral, neither overbought nor oversold. The STOCH value of 43.55 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FDUS.
Fidus Investment Risk Analysis
Fidus Investment disclosed 2 risk factors in its most recent earnings report. Fidus Investment reported the most risks in the "Legal & Regulatory" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Fidus Investment Peers Comparison
UnderperformOutperform
Sector (68)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
74 Outperform | $623.72M | 7.77 | 21.39% | 6.58% | 37.63% | 47.35% | |
73 Outperform | $747.70M | 9.48 | 10.54% | 8.86% | 3.27% | -9.84% | |
72 Outperform | $607.95M | 12.93 | 5.40% | 14.73% | -11.34% | -48.35% | |
68 Neutral | $18.00B | 11.42 | 9.92% | 3.81% | 9.73% | 1.22% | |
66 Neutral | $689.03M | 9.41 | 7.45% | 11.90% | -3.92% | -16.93% | |
63 Neutral | $394.62M | -122.02 | -0.46% | 15.50% | -28.84% | -107.31% | |
60 Neutral | $338.13M | -3.21 | -17.68% | 27.85% | -141.00% | -809.18% |
* Financial Sector Average
FDUS
Fidus Investment
19.82
0.90
4.77%
SLRC
SLR Investment Corp.
12.71
-1.90
-13.02%
TCPC
BlackRock TCP Capital
4.08
-1.80
-30.64%
CCAP
Crescent Capital BDC
10.75
-2.90
-21.25%
VINP
Vinci Partners Investments
9.66
0.14
1.45%
NCDL
Nuveen Churchill Direct Lending Corp.
12.32
-1.63
-11.70%
Fidus Investment Corporate Events
DividendsFinancial Disclosures
Fidus Investment Announces Strong Second Quarter 2026 Results
Positive
Aug 6, 2026
On August 6, 2026, Fidus Investment Corporation reported its second quarter 2026 results, highlighting total investment income of $43.5 million and net investment income of $18.7 million, or $0.49 per share, with adjusted net investment income at ...
Executive/Board ChangesPrivate Placements and FinancingShareholder Meetings
Fidus Investment Shareholders Approve Key Capital Flexibility Measures
Positive
Jun 24, 2026
On June 24, 2026, Fidus Investment Corporation held its 2026 annual meeting of stockholders in Evanston, Illinois, where shareholders elected Class III directors Raymond Anstiss Jr. and Edward H. Ross to serve until the 2029 annual meeting or unti...
Shareholder Meetings
Fidus Investment Adjourns 2026 Annual Stockholders Meeting
Negative
Jun 11, 2026
On June 10, 2026, Fidus Investment Corporation convened its 2026 annual meeting of stockholders but immediately adjourned it after no business was conducted due to the absence of a quorum. The meeting’s postponement underscores the importanc...
Business Operations and StrategyPrivate Placements and Financing
Fidus Investment Issues New 2029 Notes, Redeems 2026 Debt
Positive
May 29, 2026
On May 29, 2026, Fidus Investment Corporation issued and privately placed $120 million of 6.625% senior unsecured notes due June 1, 2029, to institutional purchasers, and entered into a registration rights agreement requiring it to later exchange ...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.