Latest Ratios: P/E Ratio 8.9x · EV/EBITDA 11.9x · ROE 8.7%. (2004–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $907M | $965M | $1.0B | $918M | $839M | $720M | $447M | $516M | $450M | $441M | $668M |
| Enterprise Value | $2.3B | $2.3B | $2.4B | $2.3B | $2.1B | $2.0B | $1.3B | $1.2B | $1.6B | $815M | $1.1B |
| P/E Ratio → | 8.93 | 9.46 | 9.20 | 7.15 | 179.12 | 9.26 | 54.12 | 8.86 | — | — | 19.51 |
| P/S Ratio | 5.54 | 5.90 | 8.19 | 4.49 | 5.17 | 8.29 | 26.04 | 10.41 | 7.98 | 4.71 | 7.68 |
| P/B Ratio | 0.78 | 0.83 | 0.85 | 0.77 | 0.70 | 0.97 | 0.62 | 0.90 | 0.80 | 0.69 | 1.09 |
| P/FCF | 5.65 | 6.01 | 8.58 | 11.94 | 9.72 | — | — | — | — | 55.67 | — |
| P/OCF | 5.65 | 6.01 | 8.58 | 11.94 | 9.72 | — | — | — | — | 55.39 | — |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 14.22 | 19.29 | 11.19 | 13.23 | 23.14 | 75.87 | 23.47 | 28.00 | 8.70 | 12.60 |
| EV / EBITDA | 11.89 | 12.20 | 20.96 | 10.67 | 7.28 | 25.85 | 0.16 | 20.53 | 30.65 | 8.03 | 11.82 |
| EV / EBIT | 10.71 | 12.20 | 20.96 | 10.67 | 12.40 | 25.85 | 158.21 | 20.53 | 30.67 | 8.03 | 11.83 |
| EV / FCF | — | 14.51 | 20.23 | 29.74 | 24.89 | — | — | — | — | 102.85 | — |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 74.0% | 74.0% | 59.1% | 100.0% | 100.0% | 72.4% | 46.4% | 100.0% | 100.0% | 100.0% | 100.0% |
| Operating Margin | 85.2% | 85.2% | 54.4% | 74.2% | 79.0% | 64.9% | 22.3% | 74.9% | 64.1% | 82.5% | 81.5% |
| Net Profit Margin | 41.0% | 41.0% | 52.7% | 44.3% | 2.1% | 64.8% | 22.1% | 76.9% | -142.5% | -23.3% | 30.1% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 8.7% | 8.7% | 9.2% | 10.7% | 0.5% | 10.6% | 1.3% | 10.3% | -19.0% | -4.6% | 6.1% |
| ROA | 3.8% | 3.8% | 4.1% | 4.8% | 0.2% | 4.0% | 0.6% | 4.8% | -9.6% | -2.4% | 3.1% |
| ROIC | 6.1% | 6.1% | 3.2% | 6.1% | 5.5% | 3.1% | 0.4% | 2.9% | 2.7% | 6.5% | 6.4% |
| ROCE | 8.1% | 8.1% | 4.3% | 8.0% | 7.2% | 4.1% | 0.6% | 6.3% | 5.8% | 8.6% | 8.5% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 1.23 | 1.23 | 1.22 | 1.20 | 1.21 | 1.85 | 1.32 | 1.17 | 2.02 | 0.88 | 0.88 |
| Debt / EBITDA | 7.49 | 7.49 | 12.75 | 6.71 | 4.91 | 17.67 | 0.11 | 11.81 | 22.16 | 5.57 | 5.78 |
| Net Debt / Equity | — | 1.17 | 1.15 | 1.14 | 1.10 | 1.74 | 1.19 | 1.13 | 2.00 | 0.58 | 0.70 |
| Net Debt / EBITDA | 7.14 | 7.14 | 12.07 | 6.39 | 4.44 | 16.58 | 0.10 | 11.42 | 21.91 | 3.68 | 4.62 |
| Debt / FCF | — | 8.49 | 11.65 | 17.80 | 15.17 | — | — | — | — | 47.18 | — |
| Interest Coverage | 2.24 | 2.24 | 1.33 | 2.53 | 3.04 | 2.35 | 0.42 | 2.17 | 2.15 | 3.47 | 3.47 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 3.91 | 3.91 | 4.60 | 10.15 | 4.60 | 9.79 | 16.31 | 8.26 | 0.08 | 12.61 | 11.02 |
| Quick Ratio | 3.91 | 3.91 | 4.60 | 10.15 | 4.60 | 9.79 | 16.31 | 8.26 | 0.08 | 12.61 | 11.02 |
| Cash Ratio | 1.59 | 1.59 | 2.67 | 5.64 | 3.16 | 2.42 | 9.07 | 2.47 | 0.02 | 12.00 | 9.92 |
| Asset Turnover | — | 0.09 | 0.08 | 0.11 | 0.08 | 0.06 | 0.02 | 0.06 | 0.07 | 0.10 | 0.10 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 13.8% | 13.0% | 10.9% | 11.9% | 11.2% | 7.4% | 7.0% | 5.2% | 4.7% | 17.5% | 10.0% |
| Payout Ratio | 122.9% | 122.9% | 99.8% | 85.2% | 2002.3% | 68.9% | 383.1% | 46.3% | — | — | 194.1% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 11.2% | 10.6% | 10.9% | 14.0% | 0.6% | 10.8% | 1.8% | 11.3% | — | — | 5.1% |
| FCF Yield | 17.7% | 16.6% | 11.6% | 8.4% | 10.3% | — | — | — | — | 1.8% | — |
| Buyback Yield | 0.7% | 0.7% | 0.6% | 1.6% | 3.8% | 0.0% | 1.6% | 4.5% | 11.3% | 0.5% | 0.7% |
| Total Shareholder Yield | 14.5% | 13.6% | 11.5% | 13.5% | 15.0% | 7.4% | 8.6% | 9.7% | 16.0% | 18.0% | 10.6% |
| Shares Outstanding | — | $105M | $106M | $107M | $103M | $65M | $49M | $50M | $50M | $46M | $36M |
Includes 30+ ratios · 22 years · Updated daily
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Quick answers to the most common questions about buying BBDC stock.
Barings BDC, Inc.'s current P/E ratio is 8.9x. The historical average is 24.3x. This places it at the 18th percentile of its historical range.
Barings BDC, Inc.'s current EV/EBITDA is 11.9x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 13.6x.
Barings BDC, Inc.'s return on equity (ROE) is 8.7%. The historical average is 6.8%.
Based on historical data, Barings BDC, Inc. is trading at a P/E of 8.9x. This is at the 18th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Barings BDC, Inc.'s current dividend yield is 13.75% with a payout ratio of 122.9%.
Barings BDC, Inc. has 74.0% gross margin and 85.2% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
Barings BDC, Inc.'s Debt/EBITDA ratio is 7.5x, indicating high leverage. A ratio above 4x may signal elevated financial risk.
Key Metrics
Top Statement Risk
Fee waiver expiration overhang
Metrics are mathematically derived from official filings.
Discount Pricing for Legacy Risks
BBDC trades at 0.84x book value, a discount to ARCC's 0.97x, implying the market prices in legacy asset quality concerns despite a 12.8% dividend yield, per recent market data.
The P/B discount relative to peers like ARCC and GBDC suggests investors are applying a haircut to the reported NAV, likely due to the acquired Sierra and MVC portfolios. At 9.6x trailing earnings, the market is paying a modest multiple for earnings that may be temporarily boosted by fee waivers. The implied ROTCE from the current price appears to be in the high single digits, which is below the cost of equity for a BDC with this risk profile.
ROE Stability Masks Fee Waiver Dependence
ROE has hovered between 1.6% and 2.7% over the past year, but the efficiency ratio's collapse to 2.9% in 2026Q1 suggests temporary fee waivers are inflating profitability, per reported figures.
The DuPont decomposition shows that ROE is driven by a thin NIM (averaging around 1.2%) and high leverage (equity-to-assets of 0.44), but the efficiency ratio's volatility indicates that operating expenses are not a reliable indicator of run-rate costs. The negative NIM in 2026Q2 (-0.8%) is a red flag, suggesting that the cost of funds exceeded asset yields in that quarter, possibly due to mark-to-market adjustments or non-recurring items. Investors should adjust for fee waivers to assess the sustainable ROE, which may be closer to 1.5%.
NIM Volatility and Fee Waiver Distortions
NIM swung from 1.5% in 2026Q1 to -0.8% in 2026Q2, a 230 basis point drop, while the efficiency ratio fell to 2.9% in 2026Q1, per financial statements, indicating extreme sensitivity to rate movements and fee waivers.
The negative NIM in 2026Q2 is unusual and may reflect non-cash adjustments or a temporary mismatch between floating-rate assets and fixed-rate liabilities. The efficiency ratio's collapse to 2.9% is not sustainable; it likely results from temporary fee waivers that will expire, potentially reverting to a more normal level of 30-40%. The core NIM, excluding one-time items, appears to be around 1.2-1.5%, which is thin for a BDC and highlights the importance of fee waivers in supporting current profitability.
Leverage Within Target, But Headroom Limited
Equity-to-assets held at 0.44 in 2026Q2, with net leverage at 1.23x, per reported figures, suggesting BBDC is near the middle of its target range, limiting aggressive growth without new equity.
The leverage ratio of 1.23x debt-to-equity is below the regulatory maximum of 2.0x for BDCs, but it is not low enough to provide significant dry powder for new investments without raising additional capital. The stable equity-to-assets ratio indicates that the balance sheet is not being aggressively expanded, which is prudent given the uncertain credit environment. However, if fee waivers expire and NII declines, the dividend coverage could become strained, potentially forcing a reduction in distributions or a need for external capital.
Credit Recoveries Mask Underlying Stress
Loan loss provisions were negative in 2026Q2 (-$7.0M) and 2026Q1 (-$5.9M), indicating recoveries that boosted earnings, as reported in quarterly filings, but this may not reflect the true credit quality of the portfolio.
The negative provisions suggest that credit conditions are improving, but they also raise questions about the adequacy of reserves. The non-accrual rate, while not directly provided, is a key metric to monitor; any uptick would signal deterioration. The reliance on recoveries to boost earnings is a temporary benefit that may not be repeatable. Investors should focus on the underlying portfolio's performance, particularly in the business services and technology sectors, which are core verticals.
P/E Misleads Due to Provision Volatility
The P/E ratio of 9.6x is distorted by volatile provisions and fee waivers, making it an unreliable valuation metric for BBDC; P/B and P/TBV are more appropriate, per industry practice.
For BDCs, earnings can swing significantly due to credit loss provisions and non-cash items like PIK income, making P/E less meaningful. BBDC's P/E is artificially low due to provision recoveries and fee waivers, which may not persist. The P/B of 0.84x is a more stable indicator of value, but it too is based on a NAV that includes Level 3 assets valued at management's discretion. Investors should adjust NAV for potential credit losses and the expiration of fee waivers to derive a more accurate tangible book value.