GICS Sector : Financial Services
Crescent Capital BDC, Inc.is as a business development company private equity / buyouts and loan fund.It specializes in directly investing.
Crescent Capital BDC, Inc. reported net investment income of $0.46 per share for the third quarter of 2025, unchanged from the prior quarter, and translating into an annualized NII yield of 9.5%. The earnings per share (EPS) came in slightly below estimates of $0.4617. The company's net asset value (NAV) per share was $19.28 as of September 30, down from $19.55 at the end of the second quarter. The investment portfolio at fair value totaled $1.6 billion, consistent with the prior quarter.
Publication Date: Nov -19
The company's private credit platform continues to maintain lead roles in the majority of its transactions, focusing on the core and lower middle markets. This approach has driven better structural protections and allowed the company to be proactive in portfolio management. As of September 30, 2025, the weighted average portfolio risk rating was 2.1, with 87% of investments rated 1 or 2, indicating that they are performing at or above underwriting expectations. As Henry Sahn Chung mentioned, "We have seen stability in the fundamental performance of our portfolio, resulting in consistency in our risk ratings."
Looking ahead, the company anticipates that a lower base rate environment may gradually reduce portfolio yields and place some pressure on net investment income. Analysts estimate next year's revenue growth at -6.2%. With a current P/E Ratio of 11.18 and a Dividend Yield of 14.25%, the stock appears to be priced with a reasonable valuation multiple. The P/B Ratio stands at 0.68, indicating that the stock is trading below its book value.
The company remains focused on delivering a stable NAV profile and attractive total economic return. In the context of recent rate cuts and potential further easing in 2026, Crescent Capital BDC is well-positioned to address base rate-driven earnings headwinds due to its largely floating-rate direct lending portfolio. As Jason Breaux noted, "We believe several factors position CCAP well to address base rate-driven earnings headwinds."
The company's financial performance is characterized by a stable net investment income and a consistent investment portfolio valuation. The ROE stands at 6.01%, and the Net Debt / EBITDA ratio is 9.69, indicating a relatively high level of debt. Overall, the company's financials and investment strategy suggest a reasonable valuation, but investors should be cautious about the potential impact of a lower base rate environment on the company's earnings.
Crescent Capital BDC: Attractive BDC, But More Downside Could Be Likely
Nov -28
Crescent Capital BDC: 13% Yield And 31% Discount Make It A Buy
Nov -19
WhiteHorse Finance (NASDAQ:WHF) versus Crescent Capital BDC (NASDAQ:CCAP) Critical Comparison
Nov -17
Crescent Capital BDC (NASDAQ:CCAP) Sets New 12-Month Low on Analyst Downgrade
Nov -15
Crescent Capital BDC, Inc. (CCAP) Q3 2025 Earnings Call Transcript
Nov -13
Crescent Capital BDC (CCAP) Misses Q3 Earnings and Revenue Estimates
Nov -12
Analysts Estimate Crescent Capital BDC (CCAP) to Report a Decline in Earnings: What to Look Out for
Nov -05
KBRA Assigns Rating to Crescent Capital BDC, Inc.'s $185 Million Senior Unsecured Notes due in 2029 and 2031
Nov -04
Crescent Capital BDC's debt financing solutions to middle-market companies drive growth, fueled by increasing demand for alternative lending sources and a rising need for capital among mid-sized businesses.
Crescent Capital BDC, Inc. provides senior secured loans to middle-market companies, offering a flexible and customized financing solution to support their growth and operations.
Crescent Capital BDC, Inc. offers unitranche loans, which combine the benefits of senior and subordinated debt into a single loan facility, providing a simplified and efficient financing solution.
Crescent Capital BDC, Inc. provides second lien loans, which offer a flexible and customized financing solution for middle-market companies, providing access to capital while minimizing dilution.
Crescent Capital BDC, Inc. makes equity co-investments alongside its debt investments, providing a comprehensive financing solution for middle-market companies.
Crescent Capital BDC, Inc. operates in a niche market, providing financing solutions to middle-market companies. While there are some substitutes available, the company's specialized services and strong relationships with clients mitigate the threat of substitutes.
Crescent Capital BDC, Inc.'s customers are typically middle-market companies that rely on the company's financing solutions. The company's strong relationships and customized services reduce the bargaining power of customers.
Crescent Capital BDC, Inc. has a diversified funding base, which reduces its reliance on any single supplier. The company's strong relationships with its funding partners also mitigate the bargaining power of suppliers.
The business development company (BDC) industry has high barriers to entry, including regulatory hurdles and the need for significant capital. These barriers limit the threat of new entrants.
The BDC industry is competitive, with several established players. However, Crescent Capital BDC, Inc.'s specialized services and strong relationships with clients help the company differentiate itself from competitors.
| Value | |
|---|---|
| Debt Weight | 53.22% |
| Debt Cost | 6.52% |
| Equity Weight | 46.78% |
| Equity Cost | 8.30% |
| WACC | 7.35% |
| Leverage | 113.76% |
Value: 2.6
Growth: 4.6
Quality: 8.8
Yield: 10.0
Momentum: 8.0
Volatility: 9.7
1-Year Total Return ->
Value: 5.3
Growth: 2.8
Quality: 8.9
Yield: 9.0
Momentum: 7.0
Volatility: 10.0
1-Year Total Return ->
Value: 5.2
Growth: 4.3
Quality: 6.5
Yield: 10.0
Momentum: 6.0
Volatility: 9.7
1-Year Total Return ->
Value: 6.3
Growth: 7.4
Quality: 6.3
Yield: 10.0
Momentum: 1.5
Volatility: 9.3
1-Year Total Return ->
Value: 5.7
Growth: 7.1
Quality: 6.1
Yield: 10.0
Momentum: 1.0
Volatility: 9.7
1-Year Total Return ->
Value: 4.4
Growth: 4.9
Quality: 4.7
Yield: 10.0
Momentum: 2.0
Volatility: 9.0
1-Year Total Return ->