WallStSmart

Brookfield Asset Management Ltd. (BAM)vsProspect Capital Corporation (PSEC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Brookfield Asset Management Ltd. generates 797% more annual revenue ($5.74B vs $639.45M). BAM leads profitability with a 48.9% profit margin vs 24.0%. BAM appears more attractively valued with a PEG of 1.05. BAM earns a higher WallStSmart Score of 77/100 (B+).

BAM

Strong Buy

77

out of 100

Grade: B+

Growth: 8.7Profit: 8.0Value: 5.7Quality: 4.0
Piotroski: 2/9Altman Z: 1.97

PSEC

Buy

56

out of 100

Grade: C

Growth: 4.7Profit: 6.5Value: 4.3Quality: 4.8
Piotroski: 3/9

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BAM5 strengths · Avg: 9.4/10
Profit MarginProfitability
48.9%10/10

Keeps 49 of every $100 in revenue as profit

Operating MarginProfitability
68.7%10/10

Strong operational efficiency at 68.7%

Revenue GrowthGrowth
60.8%10/10

Revenue surging 60.8% year-over-year

Market CapQuality
$75.49B9/10

Large-cap with strong market position

EPS GrowthGrowth
47.4%8/10

Earnings expanding 47.4% YoY

PSEC3 strengths · Avg: 9.7/10
Price/BookValuation
0.4x10/10

Reasonable price relative to book value

Operating MarginProfitability
70.3%10/10

Strong operational efficiency at 70.3%

Profit MarginProfitability
24.0%9/10

Keeps 24 of every $100 in revenue as profit

Areas to Watch

BAM4 concerns · Avg: 3.8/10
P/E RatioValuation
27.2x4/10

Moderate valuation

Price/BookValuation
10.1x4/10

Trading at 10.1x book value

Altman Z-ScoreHealth
1.974/10

Grey zone — moderate risk

Return on EquityProfitability
6.0%3/10

ROE of 6.0% — below average capital efficiency

PSEC4 concerns · Avg: 3.5/10
PEG RatioValuation
1.554/10

Expensive relative to growth rate

P/E RatioValuation
36.3x4/10

Premium valuation, high expectations priced in

Market CapQuality
$1.12B3/10

Smaller company, higher risk/reward

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : BAM

The strongest argument for BAM centers on Profit Margin, Operating Margin, Revenue Growth. Profitability is solid with margins at 48.9% and operating margin at 68.7%. Revenue growth of 60.8% demonstrates continued momentum.

Bull Case : PSEC

The strongest argument for PSEC centers on Price/Book, Operating Margin, Profit Margin. Profitability is solid with margins at 24.0% and operating margin at 70.3%.

Bear Case : BAM

The primary concerns for BAM are P/E Ratio, Price/Book, Altman Z-Score. Debt-to-equity of 5.69 is elevated, increasing financial risk.

Bear Case : PSEC

The primary concerns for PSEC are PEG Ratio, P/E Ratio, Market Cap.

Key Dynamics to Monitor

BAM profiles as a growth stock while PSEC is a declining play — different risk/reward profiles.

BAM carries more volatility with a beta of 1.26 — expect wider price swings.

BAM is growing revenue faster at 60.8% — sustainability is the question.

BAM generates stronger free cash flow (393M), providing more financial flexibility.

Bottom Line

BAM scores higher overall (77/100 vs 56/100), backed by strong 48.9% margins and 60.8% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Brookfield Asset Management Ltd.

FINANCIAL SERVICES · ASSET MANAGEMENT · USA

Brookfield Asset Management is a leading global alternative asset manager and one of the largest investors in real assets.

Visit Website →

Prospect Capital Corporation

FINANCIAL SERVICES · ASSET MANAGEMENT · USA

Prospect Capital Corporation (PSEC) is a prominent publicly traded business development company that specializes in offering customized financing solutions to middle-market enterprises. Boasting a diversified investment portfolio comprising both debt and equity, PSEC concentrates on growth-oriented firms across various sectors, ensuring a strategic approach to capital allocation. The company is committed to generating attractive, risk-adjusted returns for its shareholders while adhering to sustainable investment principles and enhancing social responsibility. PSEC's emphasis on fostering the growth of its portfolio companies positions it as a key partner for business advancement, appealing particularly to socially-conscious investors seeking impactful investment opportunities.

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