Contrasting Innventure (NASDAQ:INV) and Kayne Anderson BDC (NYSE:KBDC)

Kayne Anderson BDC (NYSE:KBDC) and Innventure (NASDAQ:INV) are both small-cap finance companies, but which is the superior business? We will compare the two companies based on the strength of their profitability, valuation, institutional ownership, dividends, analyst recommendations, risk and earnings.

Analyst Recommendations

This is a summary of current ratings and target prices for Kayne Anderson BDC and Innventure, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Kayne Anderson BDC	0	2	2	1	2.80
Innventure	0	0	1	1	3.50

Kayne Anderson BDC presently has a consensus target price of $17.30, suggesting a potential upside of 2.83%. Innventure has a consensus target price of $16.00, suggesting a potential upside of 28.72%. Given Innventure’s stronger consensus rating and higher probable upside, analysts clearly believe Innventure is more favorable than Kayne Anderson BDC.

Insider & Institutional Ownership

56.0% of Innventure shares are owned by institutional investors. 3.2% of Kayne Anderson BDC shares are owned by company insiders. Comparatively, 3.3% of Innventure shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares Kayne Anderson BDC and Innventure’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Kayne Anderson BDC	59.80%	12.65%	6.77%
Innventure	N/A	-10.36%	3.21%

Earnings & Valuation

This table compares Kayne Anderson BDC and Innventure”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Kayne Anderson BDC	$161.00 million	7.42	$77.07 million	N/A	N/A
Innventure	N/A	N/A	$3.91 million	N/A	N/A

Kayne Anderson BDC has higher revenue and earnings than Innventure.

Summary

Kayne Anderson BDC beats Innventure on 6 of the 10 factors compared between the two stocks.

About Kayne Anderson BDC

Kayne Anderson BDC Inc. is a business development company which invests primarily in first lien senior secured loans, with a secondary focus on unitranche and split-lien loans to middle market companies. Kayne Anderson BDC Inc. is based in CHICAGO.

About Innventure

Innventure Inc. founds, funds and operates companies with a focus on transformative, sustainable technology solutions acquired or licensed from multinational corporations. Innventure Inc., formerly known as Learn CW Investment Corporation, is based in ORLANDO, Fla.