Palmer Square Capital BDC Inc.

Palmer Square Capital BDC Inc.

PSBD·NYSE

$10.67

-1.0%
Financial ServicesAsset Management

Palmer Square Capital BDC, Inc. engages in the provision of investment funds. It lends and invests in corporate debt securities of companies. The company was founded in 2019 and is headquartered in Mission Woods, KS.

At a Glance

Live Snapshot
Market Cap$332.06M
EPS-0.0986
P/E Ratio-108.22
Earnings Date08/05/2026

Intrinsic Alpha Methodology

Thesis Lenses

Signal · Driver · Risk

Signal

Medium confidence

Valuation multiple is compressed (P/E -108.2).

Valuation inputs: P/E -108.2, earnings yield N/A, momentum -1.0%.

If multiples stay elevated while momentum fades, downside repricing risk rises.

Driver

High confidence

Return profile is soft (ROE 0.0%, ROIC +0.4%).

Profitability stack: net margin -2.9%, ROE 0.0%, ROIC +0.4%.

Quality deterioration often appears in margins before it shows up in headline EPS.

Risk

High confidence

Risk profile is balanced but has notable pressure points to monitor.

Risk factors: liabilities/assets +61.9%, momentum -1.0%, net margin -2.9%.

Higher leverage with weak momentum and thin margins can amplify drawdown severity.

psbd

Palmer Square Capital BDC Inc. Market vs Earnings Trajectory

PSBD · NYSE

Loading price and EPS data...

Palmer Square Capital BDC Inc.

Palmer Square Capital BDC Inc. Fair Value Envelope

PSBD · NYSE

Our analysis suggests that PSBD has a fair value of HIDDEN per share in the Base Case projection. With shares currently trading at $10.67, this represents a potential HIDDEN relative to our calculated worth for Palmer Square Capital BDC Inc..

Intrinsic Value
Current Price: $10.67
3Y-96.0%
5Y-112.0%
10Y+2495.0%
3Y-325.0%
5Y+355.0%
10Y-
3Y-96.0%
5Y-112.0%
10Y+2465.0%
3Y-509.0%
5Y+892.0%
10Y+892.0%
3Y-509.0%
5Y+892.0%
10Y+892.0%
3Y+15.0%
5Y+83.0%
10Y+242927.0%
Palmer Square Capital BDC Inc.

Palmer Square Capital BDC Inc. Profit Bridge

PSBD · NYSE
Revenue111.20M
Cost of Goods Sold (16.54M)
Gross Profit94.66M
Operating Expenses (47.77M)
Operating Income46.89M
Interest Expense (50.06B)
Other Income/Expense-50.06M
Pretax Income-3.17M
Income Tax (0.00)
Net Income-3.17M
Net Income
-3.17M

Profitability Analysis

Gross Margin

85.1%

Exceptional pricing power and cost management. The company retains over half of revenue after direct costs.

Operating Margin

42.2%

Outstanding operational efficiency. The company generates substantial profit from core operations.

Net Profit Margin

-2.9%

Net losses indicate the company is burning cash. Sustainability depends on path to profitability.

Profitability Insight

Interest or tax burden: Strong operational performance but thin net margins indicate high interest expenses or unfavorable tax position eating into profits.

85.13%
Gross Profit Margin
80%
3Y-42.0%
5Y+7.0%
10Y-
42.17%
Operating Profit Margin
-2%
3Y-72.0%
5Y-67.0%
10Y-
-2.85%
Net Profit Margin
-107%
3Y-102.0%
5Y-103.0%
10Y-
-0.00%
Return on Equity
-100%
3Y-100.0%
5Y-100.0%
10Y-100.0%
-0.00%
Return on Assets
-100%
3Y-100.0%
5Y-100.0%
10Y-100.0%
0.36%
Return on Invested Capital
-90%
3Y-105.0%
5Y-93.0%
10Y-101.0%
PSBD

Palmer Square Capital BDC Inc. Cash Conversion Engine

PSBD · NYSE
Net Income-3.17M
Depreciation & Amortization0.00
Stock-Based Compensation0.00
Change in Working Capital-41.40M
Others205.22M
Capital Expenditures0.00
Free Cash Flow160.66M

Cash Flow Quality Analysis

FCF Conversion Rate

-5068.5%

Negative free cash flow despite positive earnings raises concerns about cash generation ability or heavy capital requirements.

FCF Growth Trend

+50.5%

Strong FCF growth demonstrates improving cash generation and business momentum. Positive signal for sustainability.

Working Capital Impact

-$41.40M

Moderate working capital outflow. Typical for growing businesses, but ensure it's supporting revenue growth, not inefficiency.

psbd

Palmer Square Capital BDC Inc. Funding & Solvency Profile

PSBD · NYSE
Cash & Cash Equivalents1.49B
Net Receivables8.50B
Inventory0.00
Other Current Assets0.00
Total Current Assets10 B
Property, Plant & Equipment0.00
Goodwill & Intangible Assets0.00
Long-Term Investments0.00
Other Non-Current Assets0.00
Total Non-Current Assets0
Total Assets
1166.13B

Financial Health Analysis

Debt-to-Equity Ratio

1.82x

Elevated leverage. Debt exceeds equity, which amplifies both gains and risks. Monitor debt servicing ability.

Working Capital

10 B

Strong working capital position provides significant operational flexibility and financial cushion.

Asset Composition

1% Current

Capital-intensive business with significant long-term investments in property, equipment, or intangibles.

psbd

Palmer Square Capital BDC Inc. Street Expectations Map

PSBD · NYSE

Wall Street analysts project that PSBD stock may experience modest gains over the coming 12 months. The consensus 1-year price target stands at 11.00, with estimates ranging from a low of 11.00 to a high of 11.00.

Lowest Target
11.00
3.09%
Consensus Target
11.00
3.09%
Highest Target
11.00
3.09%

The consensus 1-year price target stands at 11.00, with estimates ranging from a low of 11.00 to a high of 11.00.

Analyst Consensus Analysis

Upside Potential

+3.1%

Fair value territory. Stock trading near consensus target suggests limited near-term catalysts. Focus on fundamental developments.

Analyst Agreement

0.0% spread

High analyst agreement. Narrow target range indicates strong consensus on valuation, suggesting clear investment thesis and predictable outlook.

Analyst Conviction

Moderate

Neutral sentiment. Fair value pricing with moderate agreement suggests wait-and-see approach or catalyst-driven opportunity.

Market Sentiment Insight

Efficient pricing: Stock trading at fair value with strong consensus suggests market has priced in expectations. Look for fundamental inflection points or new catalysts to drive meaningful moves.

psbd

Palmer Square Capital BDC Inc. Insider Positioning

PSBD · NYSE

During the last 12 months, insiders have sold $7.05M worth of PSBD shares, with no buying activity reported.

3 Months

Bought

0

0.00

Sold

0

0.00

Net Activity

+0

+$0

3-6 Months

Bought

0

0.00

Sold

0

0.00

Net Activity

+0

+$0

6-9 Months

Bought

0

0.00

Sold

562.4K

7.05M

Net Activity

-7.0M

-$7.05M

9-12 Months

Bought

0

0.00

Sold

0

0.00

Net Activity

+0

+$0

Top Buyers

No buying activity

Top Sellers

1
AMFL

Alaris Master Fund Lp

10 Percent Owner

562.4K shares2 transactions

$7.05M

Insider Activity Analysis

Net Insider Sentiment

Bearish

Strong bearish signal with $7.05M net selling. Heavy insider selling may indicate concerns about valuation or near-term prospects.

Buy/Sell Ratio

0.00:1

Very poor ratio. Heavy selling with minimal buying suggests insiders may be concerned about valuation or outlook.

Insider Participation

High Selling

1 insider sellers vs. 0 buyers. Widespread selling across multiple insiders may signal concerns.

63.12%
Dividend Yield
1744%
3Y+3520.0%
5Y+20254.0%
10Y-
 

psbd Dividend History

PSBD
10Y CAGR 4%
Latest $0.36
Annual $2
Stable dividend payments
Last Period: 3%