Runway Growth Finance (RWAY) Competitors

Goldman Sachs BDC (NYSE:GSBD) and Runway Growth Finance (NASDAQ:RWAY) are both small-cap finance companies, but which is the better stock? We will compare the two businesses based on the strength of their valuation, earnings, media sentiment, profitability, analyst recommendations, risk, institutional ownership and dividends.

Is GSBD or RWAY a better dividend stock?

Goldman Sachs BDC pays an annual dividend of $1.28 per share and has a dividend yield of 13.0%. Runway Growth Finance pays an annual dividend of $1.32 per share and has a dividend yield of 13.3%. Goldman Sachs BDC pays out 101.6% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Runway Growth Finance pays out 69.5% of its earnings in the form of a dividend. Runway Growth Finance is clearly the better dividend stock, given its higher yield and lower payout ratio.

Do insiders and institutionals hold more shares of GSBD or RWAY?

28.7% of Goldman Sachs BDC shares are owned by institutional investors. Comparatively, 64.6% of Runway Growth Finance shares are owned by institutional investors. 0.1% of Goldman Sachs BDC shares are owned by company insiders. Comparatively, 1.0% of Runway Growth Finance shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Does the media refer more to GSBD or RWAY?

In the previous week, Goldman Sachs BDC had 1 more articles in the media than Runway Growth Finance. MarketBeat recorded 3 mentions for Goldman Sachs BDC and 2 mentions for Runway Growth Finance. Goldman Sachs BDC's average media sentiment score of 1.06 beat Runway Growth Finance's score of 0.69 indicating that Goldman Sachs BDC is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Goldman Sachs BDC	1 Very Positive mention(s)	2 Positive mention(s)	0 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Runway Growth Finance	1 Very Positive mention(s)	0 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Which has better valuation & earnings, GSBD or RWAY?

Runway Growth Finance has lower revenue, but higher earnings than Goldman Sachs BDC. Runway Growth Finance is trading at a lower price-to-earnings ratio than Goldman Sachs BDC, 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
Goldman Sachs BDC	$161.13M	6.97	$62.87M	$1.26	7.81
Runway Growth Finance	$144.63M	2.48	$73.61M	$1.90	5.22

Do analysts rate GSBD or RWAY?

Goldman Sachs BDC currently has a consensus target price of $10.00, suggesting a potential upside of 1.68%. Runway Growth Finance has a consensus target price of $11.20, suggesting a potential upside of 12.90%. Given Runway Growth Finance's stronger consensus rating and higher probable upside, analysts clearly believe Runway Growth Finance is more favorable than Goldman Sachs BDC.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Goldman Sachs BDC	2 Sell rating(s)	1 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	1.33
Runway Growth Finance	0 Sell rating(s)	4 Hold rating(s)	3 Buy rating(s)	0 Strong Buy rating(s)	2.43

Is GSBD or RWAY more profitable?

Runway Growth Finance has a net margin of 51.03% compared to Goldman Sachs BDC's net margin of 36.17%. Goldman Sachs BDC's return on equity of 13.95% beat Runway Growth Finance's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Goldman Sachs BDC	36.17%	13.95%	6.17%
Runway Growth Finance	51.03%	11.86%	5.66%

Which has more risk and volatility, GSBD or RWAY?

Goldman Sachs BDC has a beta of 0.73, suggesting that its stock price is 27% less volatile than the S&P 500. Comparatively, Runway Growth Finance has a beta of 0.67, suggesting that its stock price is 33% less volatile than the S&P 500.

Summary

Runway Growth Finance beats Goldman Sachs BDC on 10 of the 18 factors compared between the two stocks.