Goldman Sachs BDC (NYSE:GSBD) vs. Abrdn Japan Equity Fund (NYSE:JEQ) Head to Head Comparison

Goldman Sachs BDC (NYSE:GSBD) and Abrdn Japan Equity Fund (NYSE:JEQ) are both small-cap finance companies, but which is the superior business? We will contrast the two businesses based on the strength of their dividends, earnings, profitability, institutional ownership, analyst recommendations, valuation and risk.

Risk & Volatility

Goldman Sachs BDC has a beta of 1.07, suggesting that its share price is 7% more volatile than the S&P 500. Comparatively, Abrdn Japan Equity Fund has a beta of 0.91, suggesting that its share price is 9% less volatile than the S&P 500.

Insider & Institutional Ownership

28.7% of Goldman Sachs BDC shares are owned by institutional investors. Comparatively, 62.7% of Abrdn Japan Equity Fund shares are owned by institutional investors. 0.1% of Goldman Sachs BDC shares are owned by insiders. Comparatively, 52.1% of Abrdn Japan Equity Fund shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Earnings and Valuation

This table compares Goldman Sachs BDC and Abrdn Japan Equity Fund”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Goldman Sachs BDC	$454.91 million	3.33	$195.87 million	$0.70	18.51
Abrdn Japan Equity Fund	N/A	N/A	N/A	N/A	N/A

Goldman Sachs BDC has higher revenue and earnings than Abrdn Japan Equity Fund.

Profitability

This table compares Goldman Sachs BDC and Abrdn Japan Equity Fund’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Goldman Sachs BDC	17.01%	15.67%	7.07%
Abrdn Japan Equity Fund	N/A	N/A	N/A

Analyst Ratings

This is a breakdown of current recommendations and price targets for Goldman Sachs BDC and Abrdn Japan Equity Fund, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Goldman Sachs BDC	0	2	0	0	2.00
Abrdn Japan Equity Fund	0	0	0	0	0.00

Goldman Sachs BDC presently has a consensus target price of $13.00, indicating a potential upside of 0.35%. Given Goldman Sachs BDC’s stronger consensus rating and higher possible upside, analysts clearly believe Goldman Sachs BDC is more favorable than Abrdn Japan Equity Fund.

Dividends

Goldman Sachs BDC pays an annual dividend of $1.80 per share and has a dividend yield of 13.9%. Abrdn Japan Equity Fund pays an annual dividend of $0.45 per share and has a dividend yield of 7.5%. Goldman Sachs BDC pays out 257.1% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Summary

Goldman Sachs BDC beats Abrdn Japan Equity Fund on 8 of the 11 factors compared between the two stocks.

About Goldman Sachs BDC

Goldman Sachs BDC, Inc. is a business development company specializing in middle market and mezzanine investment in private companies. It seeks to make capital appreciation through direct originations of secured debt, senior secured debt, junior secured debt, including first lien, first lien/last-out unitranche and second lien debt, unsecured debt, including mezzanine debt and, to a lesser extent, investments in equities. The fund primarily invests in United States. It seeks to invest between $10 million and $75 million in companies with EBITDA between $5 million and $75 million annually.

About Abrdn Japan Equity Fund

Abrdn Japan Equity Fund Inc is a close ended equity mutual fund launched and managed by Aberdeen Standard Investments (Asia) Limited. It invests in the public equity markets of Japan. The fund invests in stocks of companies operating across diversified sectors. It employs quantitative analysis to build its portfolio. The fund employs a quantitative analysis to create its portfolio. It benchmarks the performance of its portfolio against the TOPIX Index. The fund was previously known as Japan Equity Fund, Inc. Abrdn Japan Equity Fund Inc was formed on July 12, 1990 and is domiciled in the United States.