Chicago Atlantic BDC, Inc. (LIEN)
Valuation Overview•Is Chicago Atlantic BDC, Inc. Overvalued or Undervalued?
Trading at a relative discount to industry peers, suggesting a specific risk premium is applied.
Moderate quality score of 64/100, reflecting stable operating margins and manageable leverage.
Wall Street forecasts a balanced outlook with consensus price targets near the current price.
Verdict: Solid fundamental quality, though profitability presents a headwind.
Wall Street sentiment is generally neutral with steady expected earnings growth. This outlook is strongly supported by highly attractive capital returns, anchored by a strong, well-covered dividend yield.
LIEN demonstrates adequate business quality with stable profitability. This is paired with a moderately leveraged but stable balance sheet.
The company maintains stable top-line performance paired with highly explosive earnings growth (67.6% EPS 3Y CAGR). This growth is supported by elite operational efficiency, sustaining an impressive 72.3% operating margin.
| Financial Metric | Trend (12Q) | Latest Qtr | 1Y Growth | 3Y CAGR | 5Y CAGR | 10Y CAGR |
|---|---|---|---|---|---|---|
| Revenue | $16.7M | +202.2% | — | — | — | |
| EBITDA | $9.6M | — | +654.0% | — | — | |
| Net Income | $8.5M | +245.8% | +169.1% | — | — | |
| EPS (Diluted) | $0.37 | +57.0% | +67.6% | — | — | |
| Free Cash Flow | -$20.8M | -306.7% | +25.8% | — | — |
| Metric | TTM | 3Y Avg | 5Y Avg | 10Y Avg |
|---|---|---|---|---|
| Gross Margin | 90.6% | 92.4% | 95.5% | 95.5% |
| Operating Margin | 72.3% | 63.4% | -1070.3% | -1070.3% |
| Net Margin | 70.2% | 62.7% | -1072.5% | -1072.5% |
| FCF Margin | -28.3% | -2.8% | -1260.4% | -1260.4% |
| Quarter | EPS Est. | EPS Act. | Surprise | EPS | Rev |
|---|---|---|---|---|---|
| Q2'26Latest | $0.36 | $0.44 | +22.2% | ||
| Q1'26 | $0.36 | $0.36 | +0.0% | ||
| Q4'25 | $0.35 | $0.42 | +20.0% | ||
| Q3'25 | $0.36 | $0.34 | -5.6% | ||
| Q2'25 | $0.34 | $-0.34 | -200.0% | ||
| Q1'25 | $0.29 | $0.35 | +20.7% | ||
| Q4'24 | $-0.02 | $-0.03 | -50.0% | ||
| Q3'24 | $0.07 | $0.25 | +257.1% |
Total return is +15.4% (1Y), lagging the benchmark by -9.6%
| Period | Total Return | vs S&P 500 (Alpha) | Dividend Contribution |
|---|---|---|---|
| YTD | +2.2% | -7.1% | — |
| 1Y | +15.4% | -9.6% | +13.5% |
| 3YCAGR | +20.0% | -0.2% | +49.6% |
| 5YCAGR | +0.5% | -12.3% | +29.4% |
| 10YCAGR | +0.3% | -13.6% | — |
The S&P 500 is at 31.3x trailing P/E — Expensive relative to historical averages.
Quick answers to common questions about Chicago Atlantic BDC, Inc. (LIEN) valuation, health, and returns.
Based on peer relative multiples, Chicago Atlantic BDC, Inc. appears Slightly cheap versus peers compared to industry peers.
Chicago Atlantic BDC, Inc. has multiple valuation anchors: Peer Relative Fair Value: $11.61. A convergence of these signals offers higher conviction.
Chicago Atlantic BDC, Inc. displays good financial health with a composite quality score of 64/100, supported by a Piotroski F-Score of 4/9, Return on Invested Capital (ROIC) of 8.2%.
Chicago Atlantic BDC, Inc. pays a 10.0% dividend yield, covered by a 70% payout ratio with 2 years of growth, supplemented by a 0.0% buyback yield.
Chicago Atlantic BDC, Inc.'s current growth trajectory is Accelerating. The company achieved +202.2% 1Y revenue growth and +57.0% 1Y EPS growth, compared to its 3Y revenue CAGR of N/A.
Wall Street consensus is Hold based on 0 analysts, beating EPS expectations in 42% of recent quarters with a 1-quarter streak. The consensus price target represents a N/A change from current levels.
Investment risks for Chicago Atlantic BDC, Inc. include: -19.7% 1-year max drawdown. Volatility risk is characterized by a beta of 0.12x.
No. These computations are purely quantitative model outputs for informational purposes. They do not account for qualitative management shifts or macro events. Always consult a licensed RIA before buying or selling shares.
Disclaimer: This page is for informational purposes only and does not constitute financial advice. All valuation models, scores, and target estimates are automated computations under stated assumptions and should not be relied upon as the sole basis for any investment decision.