Analyzing Eightco (NASDAQ:OCTO) & Palmer Square Capital BDC (NYSE:PSBD)

Palmer Square Capital BDC (NYSE:PSBD) and Eightco (NASDAQ:OCTO) are both small-cap finance companies, but which is the better stock? We will compare the two companies based on the strength of their profitability, analyst recommendations, dividends, institutional ownership, earnings, risk and valuation.

Analyst Recommendations

This is a breakdown of current ratings for Palmer Square Capital BDC and Eightco, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Palmer Square Capital BDC	0	3	4	0	2.57
Eightco	0	0	0	0	N/A

Palmer Square Capital BDC currently has a consensus target price of $16.93, indicating a potential upside of 0.59%. Given Palmer Square Capital BDC’s higher possible upside, equities analysts clearly believe Palmer Square Capital BDC is more favorable than Eightco.

Institutional & Insider Ownership

6.5% of Palmer Square Capital BDC shares are held by institutional investors. Comparatively, 12.9% of Eightco shares are held by institutional investors. 0.5% of Eightco shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Profitability

This table compares Palmer Square Capital BDC and Eightco’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Palmer Square Capital BDC	96.09%	23.31%	9.23%
Eightco	-90.73%	-512.05%	-35.63%

Valuation and Earnings

This table compares Palmer Square Capital BDC and Eightco’s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Palmer Square Capital BDC	$112.22 million	4.88	$107.84 million	N/A	N/A
Eightco	$75.30 million	0.07	-$68.32 million	N/A	N/A

Palmer Square Capital BDC has higher revenue and earnings than Eightco.

Summary

Palmer Square Capital BDC beats Eightco on 8 of the 10 factors compared between the two stocks.

About Palmer Square Capital BDC

Palmer Square Capital BDC Inc. is an externally managed, non-diversified closed-end management investment company which primarily lends to and invests in corporate debt securities, including small to large private U.S. companies and has elected to be regulated as a business development company. Palmer Square Capital BDC Inc. is based in MISSION WOODS, Kan.

About Eightco

Eightco Holdings Inc. provides inventory management and corrugated custom packaging solutions in North America and Europe. It manufactures and sells custom packaging solutions for a various product; and provides and resells bitcoin mining equipment and co-location services. The company was formerly known as Cryptyde, Inc. and changed its name to Eightco Holdings Inc. in April 2023. Eightco Holdings Inc. was incorporated in 1966 and is headquartered in Easton, Pennsylvania.