British Smaller Companies VCT2 (BSC) Competitors

SDCL Energy Efficiency Income Trust (LON:SEIT) and British Smaller Companies VCT2 (LON:BSC) are both small-cap financial services companies, but which is the superior stock? We will compare the two businesses based on the strength of their institutional ownership, analyst recommendations, dividends, profitability, earnings, media sentiment, valuation and risk.

Is SEIT or BSC more profitable?

SDCL Energy Efficiency Income Trust has a net margin of 125.95% compared to British Smaller Companies VCT2's net margin of 63.40%. British Smaller Companies VCT2's return on equity of 4.00% beat SDCL Energy Efficiency Income Trust's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
SDCL Energy Efficiency Income Trust	125.95%	-5.73%	-6.21%
British Smaller Companies VCT2	63.40%	4.00%	2.73%

Which has preferable valuation & earnings, SEIT or BSC?

British Smaller Companies VCT2 has higher revenue and earnings than SDCL Energy Efficiency Income Trust. SDCL Energy Efficiency Income Trust is trading at a lower price-to-earnings ratio than British Smaller Companies VCT2, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SDCL Energy Efficiency Income Trust	-£45.07M	-14.12	-£56.77M	-£5.17	-11.24
British Smaller Companies VCT2	£10.71M	14.80	£6.79M	£2.27	23.35

Do insiders & institutionals have more ownership in SEIT or BSC?

65.9% of SDCL Energy Efficiency Income Trust shares are owned by institutional investors. 12.4% of SDCL Energy Efficiency Income Trust shares are owned by company insiders. Comparatively, 0.6% of British Smaller Companies VCT2 shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Does the media refer more to SEIT or BSC?

In the previous week, SDCL Energy Efficiency Income Trust's average media sentiment score of 0.72 beat British Smaller Companies VCT2's score of 0.00 indicating that SDCL Energy Efficiency Income Trust is being referred to more favorably in the media.

Company	Overall Sentiment
SDCL Energy Efficiency Income Trust	Positive
British Smaller Companies VCT2	Neutral

Is SEIT or BSC a better dividend stock?

SDCL Energy Efficiency Income Trust pays an annual dividend of GBX 6 per share and has a dividend yield of 10.3%. British Smaller Companies VCT2 pays an annual dividend of GBX 4 per share and has a dividend yield of 7.5%. SDCL Energy Efficiency Income Trust pays out -116.0% of its earnings in the form of a dividend. British Smaller Companies VCT2 pays out 176.2% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. SDCL Energy Efficiency Income Trust is clearly the better dividend stock, given its higher yield and lower payout ratio.

Which has more risk & volatility, SEIT or BSC?

SDCL Energy Efficiency Income Trust has a beta of 0.48, meaning that its share price is 52% less volatile than the S&P 500. Comparatively, British Smaller Companies VCT2 has a beta of -0.01, meaning that its share price is 101% less volatile than the S&P 500.

Summary

SDCL Energy Efficiency Income Trust and British Smaller Companies VCT2 tied by winning 7 of the 14 factors compared between the two stocks.