Financial Survey: SURO Capital (NASDAQ:SSSS) vs. DigitalBridge Group (NYSE:DBRG)

DigitalBridge Group (NYSE:DBRG) and SURO Capital (NASDAQ:SSSS) are both finance companies, but which is the superior stock? We will compare the two companies based on the strength of their valuation, earnings, risk, dividends, institutional ownership, analyst recommendations and profitability.

Valuation & Earnings

This table compares DigitalBridge Group and SURO Capital”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
DigitalBridge Group	$374.45 million	7.77	$141.87 million	$1.54	10.35
SURO Capital	$218.95 million	1.52	$48.81 million	$6.98	1.83

DigitalBridge Group has higher revenue and earnings than SURO Capital. SURO Capital is trading at a lower price-to-earnings ratio than DigitalBridge Group, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares DigitalBridge Group and SURO Capital’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
DigitalBridge Group	49.79%	6.31%	3.03%
SURO Capital	10,695.73%	-6.61%	-5.13%

Volatility and Risk

DigitalBridge Group has a beta of 1.47, meaning that its stock price is 47% more volatile than the S&P 500. Comparatively, SURO Capital has a beta of 1.39, meaning that its stock price is 39% more volatile than the S&P 500.

Dividends

DigitalBridge Group pays an annual dividend of $0.04 per share and has a dividend yield of 0.3%. SURO Capital pays an annual dividend of $0.50 per share and has a dividend yield of 3.9%. DigitalBridge Group pays out 2.6% of its earnings in the form of a dividend. SURO Capital pays out 7.2% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for DigitalBridge Group and SURO Capital, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
DigitalBridge Group	1	6	2	0	2.11
SURO Capital	0	0	5	1	3.17

DigitalBridge Group presently has a consensus target price of $16.00, indicating a potential upside of 0.34%. SURO Capital has a consensus target price of $15.00, indicating a potential upside of 17.19%. Given SURO Capital’s stronger consensus rating and higher probable upside, analysts clearly believe SURO Capital is more favorable than DigitalBridge Group.

Institutional & Insider Ownership

92.7% of DigitalBridge Group shares are held by institutional investors. Comparatively, 12.9% of SURO Capital shares are held by institutional investors. 3.4% of DigitalBridge Group shares are held by company insiders. Comparatively, 8.3% of SURO Capital shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Summary

DigitalBridge Group beats SURO Capital on 9 of the 17 factors compared between the two stocks.

About DigitalBridge Group

DigitalBridge is an infrastructure investment firm specializing in digital infrastructure assets. They provide services to institutional investors. They primarily invest in data centers, cell towers, fiber networks, small cells, and edge infrastructure. DigitalBridge Group, Inc. was founded in 1991 and is headquartered in Boca Raton, Florida with additional offices in Los Angles, California, and New York New York.

About SURO Capital

SuRo Capital Corp. is a business development company. The firm seeks to invest in growth capital, late stage and venture capital-backed private companies. SuRo Capital Corp. was founded in 2010 and is based in San Francisco, California with additional office in New York, New York.