Kayne Anderson BDC (NYSE:KBDC) and AlphaTime Acquisition (NASDAQ:ATMC) Critical Review

AlphaTime Acquisition (NASDAQ:ATMC) and Kayne Anderson BDC (NYSE:KBDC) are both small-cap companies, but which is the better investment? We will compare the two companies based on the strength of their analyst recommendations, risk, profitability, dividends, valuation, institutional ownership and earnings.

Profitability

This table compares AlphaTime Acquisition and Kayne Anderson BDC’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
AlphaTime Acquisition	N/A	N/A	N/A
Kayne Anderson BDC	59.80%	12.65%	6.77%

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for AlphaTime Acquisition and Kayne Anderson BDC, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
AlphaTime Acquisition	0	0	0	0	0.00
Kayne Anderson BDC	0	2	2	1	2.80

Kayne Anderson BDC has a consensus price target of $17.30, suggesting a potential upside of 3.84%. Given Kayne Anderson BDC’s stronger consensus rating and higher probable upside, analysts clearly believe Kayne Anderson BDC is more favorable than AlphaTime Acquisition.

Valuation and Earnings

This table compares AlphaTime Acquisition and Kayne Anderson BDC”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
AlphaTime Acquisition	N/A	N/A	N/A	N/A	N/A
Kayne Anderson BDC	$122.29 million	9.68	$77.07 million	N/A	N/A

Kayne Anderson BDC has higher revenue and earnings than AlphaTime Acquisition.

Institutional & Insider Ownership

82.2% of AlphaTime Acquisition shares are held by institutional investors. 29.4% of AlphaTime Acquisition shares are held by company insiders. Comparatively, 3.2% of Kayne Anderson BDC shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Summary

Kayne Anderson BDC beats AlphaTime Acquisition on 8 of the 10 factors compared between the two stocks.

About AlphaTime Acquisition

AlphaTime Acquisition Corp does not have significant operations. It intends to effect a merger, share exchange, asset acquisition, share purchase, reorganization, or similar business combination with one or more businesses. The company was incorporated in 2021 and is based in New York, New York.

About Kayne Anderson BDC

Kayne Anderson BDC Inc. is a business development company which invests primarily in first lien senior secured loans, with a secondary focus on unitranche and split-lien loans to middle market companies. Kayne Anderson BDC Inc. is based in CHICAGO.