SLR Investment (SLRC) Competitors

SLR Investment (NASDAQ:SLRC) and Ares Capital (NASDAQ:ARCC) are both finance companies, but which is the superior stock? We will compare the two companies based on the strength of their valuation, dividends, profitability, earnings, risk, analyst recommendations, media sentiment and institutional ownership.

Does the media prefer SLRC or ARCC?

In the previous week, Ares Capital had 5 more articles in the media than SLR Investment. MarketBeat recorded 16 mentions for Ares Capital and 11 mentions for SLR Investment. Ares Capital's average media sentiment score of 1.37 beat SLR Investment's score of 0.80 indicating that Ares Capital is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
SLR Investment	0 Very Positive mention(s)	1 Positive mention(s)	3 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Ares Capital	11 Very Positive mention(s)	1 Positive mention(s)	3 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Is SLRC or ARCC more profitable?

Ares Capital has a net margin of 44.94% compared to SLR Investment's net margin of 39.93%. Ares Capital's return on equity of 10.48% beat SLR Investment's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
SLR Investment	39.93%	9.26%	3.70%
Ares Capital	44.94%	10.48%	5.00%

Which has more volatility and risk, SLRC or ARCC?

SLR Investment has a beta of 0.74, meaning that its share price is 26% less volatile than the S&P 500. Comparatively, Ares Capital has a beta of 0.7, meaning that its share price is 30% less volatile than the S&P 500.

Do analysts recommend SLRC or ARCC?

SLR Investment currently has a consensus target price of $16.25, suggesting a potential downside of 0.55%. Ares Capital has a consensus target price of $22.86, suggesting a potential upside of 0.87%. Given Ares Capital's stronger consensus rating and higher probable upside, analysts clearly believe Ares Capital is more favorable than SLR Investment.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SLR Investment	2 Sell rating(s)	2 Hold rating(s)	2 Buy rating(s)	1 Strong Buy rating(s)	2.29
Ares Capital	0 Sell rating(s)	2 Hold rating(s)	7 Buy rating(s)	0 Strong Buy rating(s)	2.78

Do insiders and institutionals hold more shares of SLRC or ARCC?

35.3% of SLR Investment shares are owned by institutional investors. Comparatively, 27.4% of Ares Capital shares are owned by institutional investors. 8.6% of SLR Investment shares are owned by company insiders. Comparatively, 0.5% of Ares Capital shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Is SLRC or ARCC a better dividend stock?

SLR Investment pays an annual dividend of $1.64 per share and has a dividend yield of 10.0%. Ares Capital pays an annual dividend of $1.92 per share and has a dividend yield of 8.5%. SLR Investment pays out 101.2% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Ares Capital pays out 93.7% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Which has stronger valuation & earnings, SLRC or ARCC?

Ares Capital has higher revenue and earnings than SLR Investment. SLR Investment is trading at a lower price-to-earnings ratio than Ares Capital, 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
SLR Investment	$232.43M	N/A	$95.76M	$1.62	10.09
Ares Capital	$2.99B	5.35	$1.52B	$2.05	11.05

Summary

Ares Capital beats SLR Investment on 13 of the 18 factors compared between the two stocks.