Stock fact sheet · data as of
Bain Capital Specialty Finance, Inc. (BCSF): fair value, margin of safety and Wheel Score
Ticker symbol BCSF · Financial Services · Asset Management · United States · Value Income
Is BCSF undervalued?
At 11.24 (close of 5 Nov 2026), BCSF trades 44% below the GLS average fair value of 20.05. That average comes from 9 models run on the latest filings, and 6 of them land above the current price. Margins of safety over 30% are the exception rather than the rule across the ~7,400 stocks we value each night, so the number earns Bain Capital Specialty Finance, Inc. the full Value points in the Wheel Score - and a closer look at what the market is pricing in.
The 9 models disagree widely: GLS Growth gives 2.88 while DCF gives 54.16. A spread that wide means the average is sensitive to which methods you trust; the model table below shows where each one lands, and the Quote page lets you switch any of them off.
Ranked against every other company we cover, BCSF is clearly cheaper than it is fast-growing, so the nightly engine files it under Value (value score 75, growth score 42, out of 100). It also carries the Income tag (Income = a dividend yield of 4% or more).
Nine valuation models for BCSF
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | 54.16 | +382% | Present value of the projected free cash flows, discounted at the cost of capital |
| Graham Number | 19.22 | +71% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 15.90 | +41% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 3.94 | -65% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 2.88 | -74% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 23.99 | +113% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 22.03 | +96% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | 27.37 | +143% | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend |
| EPV | 10.95 | -3% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | -20.62 | -283% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 12.67 | +13% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
On financial health BCSF scores 7/9 (Piotroski): most of the nine tests - positive earnings and cash flow, falling debt, rising margins and turnover - are passed, which is the kind of balance sheet a wheel trader is happy to be assigned. The GLS Moat score is 5.6 out of 10: a record that is solid on some of the four parts the score weighs (returns on capital, pricing power, lasting growth, balance sheet) and weaker on others.
Returns on capital are thin or negative - ROIC 3.8%, ROE 8.8%, ROA 3.7% - with debt at 1.32 times equity and a free-cash-flow yield of 10.2%.
The dividend yield is high at 16.55% (payout ratio 192%) - a payout above 100% of earnings, which is not covered by profits. A yield this size is often the market's way of pricing a risk to the payout, so the health score and cash flow matter more than usual.
Institutional ownership scores 7/10, insider activity 10/10 and Congressional trading 5/10 on the GLS smart-money scales.
| Piotroski F-score | 7 / 9 | ROIC | 3.8% |
|---|---|---|---|
| GLS Moat | 5.6 / 10 | ROE | 8.8% |
| Debt / equity | 1.32 | ROA | 3.7% |
| Free-cash-flow yield | 10.2% | Payout ratio | 192% |
| Institutions | 7 / 10 | Insiders · Congress | 10 · 5 / 10 |
Wheel Score 51: Fair
BCSF scores 51 out of 100 on the Wheel Score (Fair band, 50-69) because it fails filter 8, big enough - market cap $729M (under $1.0B). A stock must pass all 9 Wheel Trade Filters to reach 70. Otherwise the parts read: value strong, premium strong, moat fair, health good, red flags fair, option trading fair, stability fair.
Implied volatility is 49% on the near-the-money contracts 20-60 days out - inside the 35-60% sweet spot the Wheel Score rewards most: enough premium to be worth selling, not so much that the risk is unpaid. Chain open interest is 7,880 contracts across all expiries - enough for the wheel at normal size.
Volume runs at 449k shares a day on a market cap of $729M, with a beta of 0.64 - a low beta, so day-to-day moves are smaller than the market's; the Stability part of the Wheel Score rates that fair.
| Filter | Wheel Trade Filter | Result | Detail |
|---|---|---|---|
| 1 | Options that actually trade | Passes | Listed options with 1,000+ contracts of open interest and 100+ traded a day |
| 2 | A real business, not a gamble | Passes | Profitable over the last twelve months - not a speculative stock, fund or note |
| 3 | Below fair value | Passes | Trading below the nine-model average fair value (margin of safety above 0) |
| 4 | Financially healthy | Passes | Piotroski F-score 6 or more out of 9 (a company with no score on file passes) |
| 5 | Can repay its debt | Passes | Long-term debt repaid from 3 years of operating cash flow or less (6 for real estate and utilities; banks and insurers are not judged on it) |
| 6 | No serious red flags | Passes | Red Flags score 60 or more out of 100 (earnings, margins, debt, analysts, filings and price checked the same way for every stock) |
| 7 | A premium worth selling | Passes | Implied volatility 25-80% (enough premium, not a lottery ticket) |
| 8 | Big enough | Fails | market cap $729M (under $1.0B) |
| 9 | Not a penny stock | Passes | Share price $5 or more |
| How it ranks | Rating | From | |
|---|---|---|---|
| Value | Strong | 44% below fair value | |
| Premium | Strong | implied volatility 49% | |
| Moat | Fair | moat 5.6/10 | |
| Health | Good | Piotroski 7/9 | |
| Red Flags | Fair | Red Flags score 75/100 | |
| Option trading | Fair | 1,007 contracts a day, 7,880 open interest | |
| Stability | Fair | beta 0.64, $729M company |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls: a stock must pass all 9 Wheel Trade Filters to score 70, and the score then ranks the ones that pass; the Sunday Scan is the top 10. It is updated nightly and is not a recommendation. How the Wheel Score works · the walkthrough lesson shows how it fits into a trade, start to finish.
Upcoming events
Bain Capital Specialty Finance, Inc. reports earnings on 9 Nov 2026 (after the close) - inside the 14-day window the Sunday Scan avoids, because a put sold now would carry the report's gap risk.
No analyst upgrades or downgrades were recorded in the last 30 days.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Asset Management
The 12 companies below are the closest to Bain Capital Specialty Finance, Inc. by market cap within the Asset Management industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| PWGAX PACE International Equity Investments | 21.29 | 42.24 | +50% | 29No options | $729M |
| PCIEX PACE International Equity Investments Class P | 21.05 | 40.38 | +48% | 28No options | $728M |
| CISMX Clarkston Partners Fund Institutional Class | 14.87 | 9.05 | -64% | 15No options | $727M |
| GEGGL Great Elm Group, Inc. 7.25% Notes due 2027 | 24.66 | 6.30 | -292% | 13No options | $719M |
| VLEOX Value Line Small Cap Opportunities Fund, Inc. Investor Class | 62.92 | 25.20 | -150% | 15No options | $717M |
| FTIEX Fidelity Total International Equity Fund | 16.29 | 8.69 | -88% | 14No options | $747M |
| FDUS Fidus Investment Corporation | 19.70 | 37.41 | +47% | 50Fair | $748M |
| BUI BlackRock Utilities, Infrastructure & Power Opportunities Trust | 26.65 | 113.09 | +76% | 34No options | $707M |
| CPPTL Copper Property CTL Pass Through Trust | 10.05 | 12.59 | +20% | 28No options | $754M |
| CRF Cornerstone Total Return Fund, Inc. | 5.94 | 28.00 | +79% | 25No options | $703M |
| BTO John Hancock Financial Opportunities Fund | 38.22 | 118.17 | +68% | 24No options | $757M |
| CMDT PIMCO Commodity & Bond Strategy Active ETF | 30.28 | 30.77 | +2% | 25Weak | $700M |
⚖ Compare BCSF with 7 of them All Financial Services stocks →
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Start free See the Sunday ScanQuestions about BCSF
Is BCSF undervalued right now?
By the GLS models, yes: at 11.24 the stock is 44% below the average fair value of 20.05 (data as of 5 Nov 2026). Whether the discount is deserved is the question to research next.
What is the Wheel Score of BCSF and what does it mean?
BCSF scores 51 out of 100 (Fair) - it fails Wheel Trade Filter 8. The Wheel Score ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned - in two parts: the 9 pass/fail Wheel Trade Filters (busy options, a real business, below fair value, Piotroski 6 or more, debt it can repay, a Red Flags score of 60 or more, implied volatility of 25-80%, a $1 billion company, $5 a share) and a ranking of how strongly a stock passes on value, premium, moat, health, red flags, option trading and stability. A stock that fails any filter stays under 70; 70-84 is Good, 85 and above is Prime. The Sunday Scan is the top 10 that pass, sorted by Wheel Score.
What is the GLS fair value for BCSF?
20.05 per share as of 5 Nov 2026 - the simple average of the 9 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does Bain Capital Specialty Finance, Inc. report earnings next?
The next earnings report is due on 9 Nov 2026 (after the close), 4 days from the data date of 5 Nov 2026. The Calendars page lists every upcoming report with its time of day.
Does BCSF have listed options, and how liquid are they?
Yes. The nightly snapshot found 24 listed contracts with 7,880 open interest across all expiries and implied volatility of 49% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.