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Investcorp Credit Management BDC, Inc. Registered (ICMB)
NASDAQ:ICMB
RESEARCH TOOLSreports
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Investcorp Credit Management BDC
(NASDAQ:ICMB)
64Neutral
Investcorp Credit Management BDC (ICMB) vs. S&P 500 (SPY)
Market Cap
N/A
Dividend Yield18.75%
Average Volume (3M)39.60K
Price to Earnings (P/E)5.7
Beta (1Y)0.35
Revenue GrowthN/A
EPS GrowthN/A
CountryUS
Employees2
SectorFinancial
Sector Strength86
IndustryAsset Management
Share Statistics
EPS (TTM)0.45
Shares Outstanding14,414,033
10 Day Avg. Volume74,720
30 Day Avg. Volume39,605
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)1.80
Price to Cash Flow (P/CF)23.70
P/FCF Ratio2.20
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
Investcorp Credit Management BDC Business Overview & Revenue Model
Company DescriptionInvestcorp Credit Management BDC, Inc. is a business development company specializing in loan, mezzanine, middle market, growth capital, acquisitions, market/product expansion, organic growth, refinancings and recapitalization investments. It also selectively invests in mezzanine loans/structured equity and in the equity of portfolio companies through warrants and other instruments, in most cases taking such upside participation interests as part of a broader investment relationship. The fund typically invests in United States and Europe. Within United States, the fund seeks to invest in Midatlantic, Midwest, Northeast, Southeast, and West Coast regions. The fund primarily invests in cable and satellites; consumer services; healthcare equipment and services; industrials; information technology; telecommunication services; and utilities sectors. The fund seeks to invest between $5 million to $25 million in companies that have annual revenues of at least $50 million with EBITDA at least $15 million.
How the Company Makes MoneyInvestcorp Credit Management BDC makes money primarily through interest income and capital gains. The company extends loans to middle-market businesses, earning interest on these financial products. Additionally, ICMB may invest in equity, which can lead to capital gains if the value of these investments appreciates. The company also benefits from management fees associated with overseeing and managing its investment portfolio. Partnerships with other financial institutions and strategic investors can further enhance its revenue-generating capabilities.
Investcorp Credit Management BDC Financial Statement Overview
Summary
Investcorp Credit Management BDC demonstrates a promising financial recovery with strong income statement and balance sheet metrics, particularly in the recent TTM period. However, historical revenue volatility and cash flow variations present some risks.Income Statement
The company has shown a significant improvement in net income from a loss to a profit in the TTM, indicating strong recovery. The gross profit margin and EBIT margins are robust, with a noticeable increase in revenue from the previous year. However, the volatility in annual revenues and inconsistent EBITDA results over the years indicate potential instability in income generation.65
Positive
Balance Sheet
The company's balance sheet is strong, with zero total debt in the TTM, leading to a healthy debt-to-equity ratio. The equity ratio is moderate, indicating a balanced approach to leveraging assets. Despite fluctuations in stockholders' equity over the years, the overall financial stability is maintained.75
Positive
Cash Flow
Operating cash flow has been positive, with a substantial free cash flow in the TTM. The free cash flow to net income ratio is strong, indicating efficient cash flow management. However, variations in investing and financing cash flows suggest potential volatility in financing strategies and investment activities.70
Positive
| Breakdown | |||||
| TTM | Jun 2024 | Jun 2023 | Jun 2022 | Jun 2021 | Jun 2020 |
|---|---|---|---|---|---|
| Income Statement | Total Revenue | ||||
| 8.98M | 20.28M | 7.47M | 71.11K | 3.18M | 34.46M | Gross Profit |
| 8.84M | 4.87M | 2.00M | -5.28M | -2.90M | -40.23M | EBIT |
| 7.34M | 16.11M | 3.53M | -4.29M | -2.04M | -24.51M | EBITDA |
| 333.38K | 0.00 | -205.94K | -6.85M | 11.32M | 26.83M | Net Income Common Stockholders |
| 6.50M | -4.09M | 3.23M | 2.59M | -2.31M | -24.66M |
| Balance Sheet | Cash, Cash Equivalents and Short-Term Investments | ||||
| 12.89M | 158.77K | 1.09M | 2.55M | 5.85M | 14.88M | Total Assets |
| 209.97M | 192.24M | 231.81M | 246.39M | 267.68M | 296.79M | Total Debt |
| 120.55M | 106.22M | 135.48M | 146.82M | 165.43M | 182.33M | Net Debt |
| 107.66M | 106.06M | 134.39M | 144.27M | 159.58M | 167.46M | Total Liabilities |
| 130.87M | 117.23M | 144.11M | 152.88M | 171.33M | 188.67M | Stockholders Equity |
| 79.10M | 75.01M | 87.70M | 93.51M | 96.36M | 108.12M |
| Cash Flow | Free Cash Flow | ||||
| 783.48K | 37.06M | 20.71M | 21.21M | 20.21M | -10.55M | Operating Cash Flow |
| 783.48K | 37.06M | 20.71M | 21.21M | 20.21M | -10.55M | Investing Cash Flow |
| 17.36M | 29.78M | 10.66M | 9.13M | 19.09M | 3.79M | Financing Cash Flow |
| -20.70M | -41.10M | -20.71M | -24.66M | -27.90M | 4.55M |
Investcorp Credit Management BDC Technical Analysis
Negative
2.56
Price Trends
3.13
Negative
3.09
Negative
3.04
Negative
Market Momentum
<0.01
Positive
50.16
Neutral
53.88
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ICMB, the sentiment is Negative. The current price of 2.56 is below the 20-day moving average (MA) of 3.04, below the 50-day MA of 3.13, and below the 200-day MA of 3.04, indicating a bearish trend. The MACD of <0.01 indicates Positive momentum. The RSI at 50.16 is Neutral, neither overbought nor oversold. The STOCH value of 53.88 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ICMB.
Investcorp Credit Management BDC Risk Analysis
Investcorp Credit Management BDC disclosed 80 risk factors in its most recent earnings report. Investcorp Credit Management BDC reported the most risks in the “Finance & Corporate” category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Investcorp Credit Management BDC Peers Comparison
Overall Rating
UnderperformOutperform
Sector (64)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
76 Outperform | $3.63B | 9.94 | 9.40% | 12.13% | 16.10% | -24.30% | |
75 Outperform | $13.63B | 8.16 | 12.40% | 9.64% | 19.95% | -10.57% | |
74 Outperform | $4.56B | 8.80 | 19.26% | 5.79% | 51.80% | 12.05% | |
64 Neutral | 5.67 | 8.31% | 18.75% | ― | ― | ||
64 Neutral | $13.37B | 9.30 | 9.39% | 4.85% | 16.11% | -8.85% | |
63 Neutral | $1.55B | ― | 0.78% | 18.12% | -31.63% | -0.75% | |
49 Neutral | $404.18M | 24.79 | 3.28% | 15.19% | ― | -66.59% |
* Financial Sector Average
Performance Comparison
ICMB
Investcorp Credit Management BDC
2.56
-0.20
-7.25%
GBDC
Golub Capital Bdc
13.68
-1.08
-7.32%
MAIN
Main Street Capital
51.82
8.46
19.51%
PNNT
Pennantpark Investment
6.19
0.17
2.82%
PSEC
Prospect Capital
3.56
-1.20
-25.21%
ARCC
Ares Capital
19.91
1.43
7.74%
Investcorp Credit Management BDC Earnings Call Summary
Earnings Call Date: Mar 26, 2025 | % Change Since: -20.50% | Next Earnings Date: May 12, 2025
Earnings Call Sentiment Neutral
The earnings call presented a mixed sentiment with notable achievements in credit quality improvement and successful investment realizations, as well as challenges such as decreased net investment income and net asset value. The company showed proactive measures in managing credit risks but faced increased leverage and lower portfolio yields.Highlights
New Executive Appointment
Andrew Muns was appointed as Investcorp Credit Management BDC's Chief Operating Officer, bringing vast experience to the executive team.
Improvement in Credit Quality
Portfolio's non-accrual rate improved, and there was a decrease in credit quality issues compared to the previous quarter.
Successful Investment Realizations
Realized two portfolio company investments totaling $7.6 million in proceeds with an IRR of approximately 17.2%.
High Yield on Debt Investments
Weighted average yield of debt investments made in the quarter was approximately 11.8%.
Repricing of Credit Facility
Repriced the Capital One revolving credit facility, reducing borrowing cost spread from 310 bps to 250 bps.
Lowlights
Decrease in Net Investment Income
Net investment income decreased to $0.8 million or $0.06 per share from $0.16 per share in the prior quarter.
Decline in Net Asset Value
Net asset value per share decreased by $0.16 to $5.39 compared to $5.55 as of September 30, 2024.
Increased Leverage
Weighted average net leverage increased slightly from 4.8 to 5 times over the quarter.
Lower Portfolio Yield
Weighted average yield of the debt portfolio decreased slightly from 10.5% to 10.4%.
Company Guidance
In the call, Investcorp Credit Management BDC discussed several key financial metrics and strategic updates for the fiscal quarter ending December 31, 2024. The company reported a net investment income of $0.8 million, or $0.06 per share, compared to $0.16 per share in the previous quarter. The net asset value per share decreased to $5.39 from $5.55. The portfolio's fair value increased slightly to $191.6 million from $190.1 million, with net assets totaling $77.6 million, marking a decline of $2.3 million. The weighted average yield of the debt portfolio was 10.4%, a slight decrease from 10.5% in the previous quarter. During the quarter, the company invested $9.9 million in new and existing portfolio companies, with a weighted average yield of 11.8% on new debt investments. The company also realized $7.6 million from two portfolio company exits, achieving an internal rate of return (IRR) of approximately 17.2%. Despite economic uncertainties, the company remains optimistic, focusing on strategic investments in critical sectors and maintaining strong credit quality, as demonstrated by a lower non-accrual rate and stable median EBITDA of approximately $61.76 million. The board declared a distribution of $0.12 per share for the quarter ending March 31, 2025.Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.
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.