FSK - The Prospects Of FS KKR Beating Ares Capital Have Increased After Q4
2024-03-05 18:13:06 ET
Summary
- Before entering 2024, I wrote an article comparing FSK with ARCC, where I made a solid case for both BDCs, yet with a stronger bias towards FSK.
- The thesis was playing out nicely until FSK circulated its Q4 earnings report, which sent the Stock price lower, destroying all of the accumulated alpha over ARCC.
- Market's reaction was totally understandable, but unfair in the context of FSK's underlying fundamentals.
- In this article, I assess the key data points within ARCC and FSK Q4 earnings package and provide my view on why FSK has become more enticing.
Going into 2024, I issued an article comparing two largest BDCs: Ares Capital (NASDAQ: ARCC ) vs FS KKR Capital ( FSK ). The bottom line was that both BDCs are attractive and positioned to deliver solid long-term returns....
The Prospects Of FS KKR Beating Ares Capital Have Increased After Q4