Investment group

Head-to-head analysis: Monroe Capital (NASDAQ: MRCC) and Bridge Investment Group (NYSE: BRDG)


Bridge Investment Group (NYSE:BRDG – Get Rating) and Monroe Capital (NASDAQ:MRCC – Get Rating) are both small cap finance companies, but which is the better stock? We will compare the two companies based on institutional ownership strength, dividends, earnings, risk, analyst recommendations, profitability and valuation.

Analyst Notes

This is a breakdown of current ratings and price targets for Bridge Investment Group and Monroe Capital, as provided by MarketBeat.com.

Sales Ratings Hold odds Buy reviews Strong buy odds Rating
Bridge Investment Group 0 1 4 0 2.80
Capital of Monroe 0 0 1 0 3.00

Bridge Investment Group currently has a consensus target price of $21.20, suggesting a potential upside of 25.00%. Monroe Capital has a consensus target price of $10.50, suggesting a potential upside of 4.37%. Given Bridge Investment Group’s possible higher upside, analysts clearly believe that Bridge Investment Group is more favorable than Monroe Capital.

Insider and Institutional Ownership

65.5% of Bridge Investment Group shares are held by institutional investors. By comparison, 19.1% of Monroe Capital shares are held by institutional investors. 65.9% of the shares of Bridge Investment Group are held by insiders of the company. By comparison, 3.5% of Monroe Capital shares are held by company insiders. Strong institutional ownership indicates that endowments, large fund managers, and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares the net margins, return on equity and return on assets of Bridge Investment Group and Monroe Capital.

Net margins Return on equity return on assets
Bridge Investment Group 29.40% 5.41% 3.28%
Capital of Monroe 49.43% 9.13% 3.87%

Dividends

Bridge Investment Group pays an annual dividend of $1.04 per share and has a dividend yield of 6.1%. Monroe Capital pays an annual dividend of $1.00 per share and has a dividend yield of 9.9%. Bridge Investment Group pays 21.5% of its profits as a dividend. Monroe Capital pays 81.3% of its earnings as a dividend, suggesting it may not have enough earnings to cover its dividend payment in the future.

Benefits and evaluation

This table compares the revenue, earnings per share, and valuation of Bridge Investment Group and Monroe Capital.

Gross revenue Price/sales ratio Net revenue Earnings per share Price/earnings ratio
Bridge Investment Group $330.01 million 1.50 $23.23 million $4.84 3.50
Capital of Monroe $53.83 million 4.05 $32.46 million $1.23 8.18

Monroe Capital has lower revenues, but higher profits than Bridge Investment Group. Bridge Investment Group trades at a lower price-to-earnings ratio than Monroe Capital, indicating that it is currently the more affordable of the two stocks.

Summary

Monroe Capital beats Bridge Investment Group on 8 of 15 factors compared between the two stocks.

Bridge Investment Group Company Profile (Get a rating)

Bridge Investment Group Holdings Inc. is engaged in real estate investment management business in the United States. It manages capital on behalf of around 100 global institutions and 6,500 individual investors through around 25 investment vehicles. The company was founded in 2009 and is based in Salt Lake City, Utah.

Monroe Capital Company Profile (Get a rating)

Monroe Capital Corporation is a business development company specializing in customized financing solutions in senior, unitranche and junior secured debt, subordinated debt financing and, to a lesser extent, unsecured debt and equity, including co- capital investments in preferred and common stocks and warrants. It also provides funding primarily to leveraged buyouts in lower middle market companies. He focuses on investing in the United States and Canada. The fund prefers to invest in companies with EBITDA between $3 million and $35 million. It carries out minority stakes in shares.



Receive daily news and reviews for Bridge Investment Group – Enter your email address below to receive a concise daily summary of breaking news and analyst notes for Bridge Investment Group and related companies with MarketBeat.com’s FREE daily email newsletter.