Investcorp Credit Management BDC (ICMB) AI Stock Analysis

• Market Cap: N/A
• Dividend Yield: 19.05%
• Average Volume (3M): 43.78K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.10
• Revenue Growth: 29.71%
• EPS Growth: -1786.79%
• Country: US
• Employees: 2
• Sector: Financial
• Sector Strength: 70
• Industry: Asset Management
• EPS (TTM): N/A
• Shares Outstanding: 14,419,762
• 10 Day Avg. Volume: 28,162
• 30 Day Avg. Volume: 43,783
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.56
• Price to Sales (P/S): 1.88
• P/FCF Ratio: -3.23
• Enterprise Value/Market Cap: 10.00T>
• Enterprise Value/Revenue: 9.12
• Enterprise Value/Gross Profit: 11.75
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 0.15
• Revenue Forecast (FY): $18.32M

• Rating: 50 Neutral
• Price Target: $3.00 ▲(8.70% Upside)
• Action: Reiterated Date: 12/30/25
• Date: Action: Reiterated 12/30/25

The score is held back primarily by negative TTM operating/free cash flow and a slightly declining top line, despite positive net income and only moderate recent leverage. Technicals show weak momentum (RSI < 50 and slightly negative MACD). A very high dividend yield provides support, while the negative P/E and limited impact from the governance event temper the outlook.

Positive Factors

Focused private-credit business model

A concentrated middle-market private credit model generates recurring interest and fee income from senior secured loans, creating a durable income engine tied to underwriting, fee capture and loan structures rather than transactional market trading. This supports stable cash yields over months if credit holds.

Interest-driven revenue mix

Revenue tied primarily to interest, OID and fees aligns cash receipts with loan contracts and floating-rate structures, offering resilience as a long-lived income source. Strong origination/structuring capabilities can sustain yield generation and fee capture over multiple quarters.

Moderate recent leverage

Current moderate leverage reduces near-term refinancing strain and provides capacity to absorb portfolio volatility. A debt-to-equity below prior peaks improves funding flexibility and buffers credit losses, making the balance sheet more serviceable across the next several quarters.

Negative Factors

Negative operating and free cash flow

Negative operating and free cash flow mean reported earnings are not converting to cash, pressuring liquidity for new originations, debt service or distributions without external capital. Persistent negative cash flow raises structural funding and sustainability concerns over months.

Softening top line

A declining TTM revenue trend signals waning interest and fee income or deployment, reducing future earning power. If the top-line contraction continues, it will limit reinvestment capacity and margin recovery, increasing reliance on balance sheet adjustments or capital actions.

Historical leverage and earnings volatility

Past swings in leverage and returns indicate the firm’s earnings and solvency profile can change materially across cycles. That historical volatility undermines predictability of distributable income and heightens risk of capital or leverage fixes during stress over the medium term.

Investcorp Credit Management BDC Business Overview & Revenue Model

Company Description

Investcorp 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 Money

Investcorp 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

Mixed fundamentals: revenue is down (TTM -2.7%) and cash generation is weak with negative TTM operating/free cash flow (~-$6.6M), despite positive TTM net income (~$1.8M). Balance sheet leverage is moderate recently (debt-to-equity ~0.86) but historical volatility in leverage/returns and earnings reduces confidence.

Income Statement

TTM (Trailing-Twelve-Months) revenue declined (-2.7%), signaling a softening top line versus the prior annual periods. Profitability is currently positive with TTM net income of ~$1.8M and strong reported gross/EBIT margins, but earnings have been volatile across years (including a loss in 2021 and large swings in reported margins), which reduces confidence in consistency.

Balance Sheet

Leverage looks moderate for the recent period, with TTM debt-to-equity at ~0.86 and equity of ~$72.7M supporting ~$210.6M of assets. However, prior periods show higher leverage (debt-to-equity often ~1.4–1.7) and returns on equity have fluctuated (including negative in some periods), pointing to a balance sheet that is serviceable but not particularly conservative or consistently productive.

Cash Flow

Cash generation is the key weakness: TTM operating cash flow and free cash flow are both negative (about -$6.6M), implying earnings are not translating into cash in the most recent period. This contrasts with several earlier years that showed strong positive operating/free cash flow, highlighting meaningful volatility and raising near-term funding and sustainability questions if negative cash flow persists.

Breakdown	TTM	Jun 2025	Jun 2024	Jun 2023	Jun 2022	Jun 2021
Income Statement
Total Revenue	17.35M	23.25M	23.25M	26.68M	24.43M	26.69M
Gross Profit	13.46M	23.25M	23.25M	26.68M	24.43M	26.69M
EBITDA	0.00	0.00	0.00	0.00	0.00	0.00
Net Income	1.85M	12.08M	12.08M	3.23M	2.59M	-2.31M
Balance Sheet
Total Assets	210.64M	206.85M	206.85M	231.81M	246.39M	267.68M
Cash, Cash Equivalents and Short-Term Investments	11.63M	771.48K	771.48K	1.09M	2.55M	5.85M
Total Debt	127.56M	122.04M	122.04M	135.48M	146.82M	165.43M
Total Liabilities	137.93M	129.25M	129.25M	144.11M	152.88M	171.33M
Stockholders Equity	72.70M	77.60M	77.60M	87.70M	93.51M	96.36M
Cash Flow
Free Cash Flow	-6.63M	-13.52M	7.28M	20.71M	21.21M	20.21M
Operating Cash Flow	-6.63M	-13.52M	7.28M	20.71M	21.21M	20.21M
Investing Cash Flow	-5.58M	0.00	29.78M	10.66M	9.13M	19.09M
Financing Cash Flow	17.85M	27.52M	-41.10M	-20.71M	-24.66M	-27.90M

Investcorp Credit Management BDC Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2.76
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ICMB, the sentiment is Positive. The current price of 2.76 is below the 20-day moving average (MA) of 2.96, below the 50-day MA of 2.85, and above the 200-day MA of 2.69, indicating a neutral trend. The MACD of 0.03 indicates Positive momentum. The RSI at 50.32 is Neutral, neither overbought nor oversold. The STOCH value of 16.74 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ICMB.

Investcorp Credit Management BDC Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NEWT	71 Outperform	$359.65M	5.71	17.44%	6.55%	6.38%	25.69%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
PNNT	59 Neutral	$325.17M	12.70	5.38%	16.61%	-3.09%	200.66%
MRCC	55 Neutral	$127.61M	-31.95	-2.25%	14.03%	-34.92%	-132.22%
OFS	54 Neutral	$53.86M	16.67	2.25%	25.87%	-14.76%	―
PSBD	52 Neutral	$343.75M	25.14	2.72%	14.10%	-2.38%	-75.49%
ICMB	50 Neutral	―	-29.30	2.88%	19.05%	29.71%	-1786.79%

Investcorp Credit Management BDC Corporate Events

Investcorp Credit Management BDC Reelects Director at Annual Meeting

On December 18, 2025, Investcorp Credit Management BDC, Inc. held its Annual Meeting of Stockholders, at which one proposal was submitted to shareholders for a vote. Out of 14,419,762 eligible common shares as of the October 15, 2025 record date, 8,091,818 shares were represented in person or by proxy, and stockholders elected Michael C. Mauer to the board of directors for a three-year term expiring in 2028, with 7,322,124 votes cast in favor and 769,694 votes withheld, reinforcing continuity in the company’s board leadership and corporate governance.