Blackrock Tcp Capital (TCPC) Competitors

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

Is TCPC or ARCC more profitable?

Ares Capital has a net margin of 44.94% compared to Blackrock Tcp Capital's net margin of -4.98%. Blackrock Tcp Capital's return on equity of 15.12% beat Ares Capital's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Blackrock Tcp Capital	-4.98%	15.12%	6.14%
Ares Capital	44.94%	10.48%	5.00%

Do analysts recommend TCPC or ARCC?

Blackrock Tcp Capital currently has a consensus price target of $6.75, suggesting a potential upside of 11.57%. Ares Capital has a consensus price target of $22.86, suggesting a potential upside of 13.43%. Given Ares Capital's stronger consensus rating and higher probable upside, analysts plainly believe Ares Capital is more favorable than Blackrock Tcp Capital.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Blackrock Tcp Capital	2 Sell rating(s)	1 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	1.33
Ares Capital	0 Sell rating(s)	2 Hold rating(s)	8 Buy rating(s)	0 Strong Buy rating(s)	2.80

Which has more risk & volatility, TCPC or ARCC?

Blackrock Tcp Capital has a beta of 1.04, suggesting that its share price is 4% more volatile than the S&P 500. Comparatively, Ares Capital has a beta of 0.68, suggesting that its share price is 32% less volatile than the S&P 500.

Does the media prefer TCPC or ARCC?

In the previous week, Ares Capital had 11 more articles in the media than Blackrock Tcp Capital. MarketBeat recorded 12 mentions for Ares Capital and 1 mentions for Blackrock Tcp Capital. Ares Capital's average media sentiment score of 0.26 beat Blackrock Tcp Capital's score of -1.05 indicating that Ares Capital is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Blackrock Tcp Capital	0 Very Positive mention(s)	0 Positive mention(s)	0 Neutral mention(s)	0 Negative mention(s)	1 Very Negative mention(s)	Negative
Ares Capital	6 Very Positive mention(s)	0 Positive mention(s)	1 Neutral mention(s)	4 Negative mention(s)	0 Very Negative mention(s)	Neutral

Do institutionals and insiders believe in TCPC or ARCC?

27.4% of Ares Capital shares are held by institutional investors. 0.2% of Blackrock Tcp Capital shares are held by company insiders. Comparatively, 0.5% of Ares Capital shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Which has preferable earnings and valuation, TCPC or ARCC?

Ares Capital has higher revenue and earnings than Blackrock Tcp Capital. Blackrock Tcp Capital 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
Blackrock Tcp Capital	$4.10M	125.37	-$63.14M	-$0.17	-35.59
Ares Capital	$2.99B	4.75	$1.52B	$2.05	9.83

Is TCPC or ARCC a better dividend stock?

Blackrock Tcp Capital pays an annual dividend of $1.00 per share and has a dividend yield of 16.5%. Ares Capital pays an annual dividend of $1.92 per share and has a dividend yield of 9.5%. Blackrock Tcp Capital pays out -588.2% of its earnings in the form of a dividend. 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. Blackrock Tcp Capital is clearly the better dividend stock, given its higher yield and lower payout ratio.

Summary

Ares Capital beats Blackrock Tcp Capital on 12 of the 18 factors compared between the two stocks.