Head to Head Comparison: Plutus Financial Group (NASDAQ:PLUT) and Oaktree Specialty Lending (NASDAQ:OCSL)

Oaktree Specialty Lending (NASDAQ:OCSL) and Plutus Financial Group (NASDAQ:PLUT) are both small-cap finance companies, but which is the superior business? We will contrast the two businesses based on the strength of their institutional ownership, earnings, valuation, dividends, profitability, risk and analyst recommendations.

Institutional & Insider Ownership

36.8% of Oaktree Specialty Lending shares are owned by institutional investors. 0.3% of Oaktree Specialty Lending shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Earnings & Valuation

This table compares Oaktree Specialty Lending and Plutus Financial Group”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Oaktree Specialty Lending	$316.80 million	3.80	$33.92 million	$0.39	35.00
Plutus Financial Group	$1.25 million	38.76	-$710,000.00	N/A	N/A

Oaktree Specialty Lending has higher revenue and earnings than Plutus Financial Group.

Profitability

This table compares Oaktree Specialty Lending and Plutus Financial Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Oaktree Specialty Lending	10.71%	10.31%	4.99%
Plutus Financial Group	N/A	N/A	N/A

Analyst Ratings

This is a breakdown of current ratings and price targets for Oaktree Specialty Lending and Plutus Financial Group, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Oaktree Specialty Lending	1	5	0	0	1.83
Plutus Financial Group	1	0	0	0	1.00

Oaktree Specialty Lending currently has a consensus target price of $14.25, suggesting a potential upside of 4.40%. Given Oaktree Specialty Lending’s stronger consensus rating and higher possible upside, equities analysts clearly believe Oaktree Specialty Lending is more favorable than Plutus Financial Group.

Summary

Oaktree Specialty Lending beats Plutus Financial Group on 9 of the 10 factors compared between the two stocks.

About Oaktree Specialty Lending

Oaktree Specialty Lending Corporation is a business development company. The fund specializing in investments in middle market, bridge financing, first and second lien debt financing, unsecured and mezzanine loan, mezzanine debt, senior and junior secured debt, expansions, sponsor-led acquisitions, preferred equity, and management buyouts in small and mid-sized companies. It seeks to invest in education services, business services, retail and consumer, healthcare, manufacturing, food and restaurants, construction and engineering. The firm also seeks investment in media, advertising sectors, software, IT services, pharmaceuticals, biotechnology, real estate management and development, chemicals, machinery, and internet and direct marketing retail sectors. It invests between $5 million to $75 million principally in the form of one-stop, first lien, and second lien debt investments, which may include an equity co-investment component in companies. The firm invest in companies having enterprise value between $20 million and $150 million and EBITDA between $3 million and $50 million. The fund has a hold size of up to $75 million and may underwrite transactions up to $100 million. It primarily invests in North America. The fund seeks to be a lead investor in its portfolio companies.

About Plutus Financial Group

The Mission of Plutus Group “Integrity, Persistence, Professionalism, Innovation and Vitality” are the five core values of Plutus Group. The Company takes “Integrity” as the foundation of our business, “Persistence” as everything customer-oriented, and it provide customers with “Professional” products and quality services. The Company’s business strategy is to practice “Innovation” and “Vigor” in service to its customers. The Company has a development vision is to become a leading Asian financial institution. The Company believes that its greatest responsibility is to create common good with society. The Company will continue to use its influence on financial markets to create a new paradigm. Plutus Group provides financial services through its primary Hong Kong operating subsidiaries, Plutus Securities and Plutus Asset Management. Plutus Securities is licensed with the SFC to carry out Type 1 (dealing in securities) regulated activities and mainly offers (i) securities dealings and brokerage services; (ii) margin financing services; and (iii) underwriting and placing services and is also an exchange participant of the HKEx. Plutus Asset Management is licensed with the SFC to carry out Type 4 (advising on securities) and Type 9 (asset management) regulated activities in Hong Kong and mainly offers (i) asset management services and (ii) investment advisory services to our customers. Our team is familiar with the local and global financial markets and has extensive experience in investment and asset management. Through comprehensive training and our dedication to quality services, our team provides customers with comprehensive professional analysis and investment advice. The principal executive offices of the Company are located at 8/F, 80 Gloucester Road, Wan Chai, Hong Kong. The Company’s registered office in the Cayman Islands is currently located at the office of Quality Corporate Services Ltd., Suite 102, Cannon Place, P.O. Box 712, North Sound Rd., George Town, Grand Cayman, KY1-9006 Cayman Islands, which may be changed from time to time at the discretion of directors. The Company’s agent for service of process in the United States is The Crone Law Group P.C., 500 Fifth Ave, Suite 938, New York, NY.