Investcorp Credit Management BDC Inc. Common Stock (ICMB)

FairStock Score: 51/100 — MIXED

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

Investcorp Credit Management BDC is a lender to middle-market businesses. I start with the numbers filed with the SEC. In fiscal Q2 2026, the quarter ended 2026-06-30, net income was -$1.1 million and diluted EPS was -$0.08. In fiscal Q1 2026, the quarter ended 2026-03-31, net income was -$8.6 million and EPS was -$0.60. In fiscal year 2025, the year ended 2025-12-31, net income was -$8.8 million and EPS was -$0.61, after fiscal year 2023, the year ended 2023-06-30, net income of $3.2 million and EPS of $0.22. So the Lynch category is TURNAROUND—loss in latest year after earlier profits. That fits. The market price on 2026-10-13 was $0.69, giving a market cap near $10 million. FairStock calculations show P/B of 0.20 and negative P/E of -0.49. A 0.20 P/B is a Graham-style bargain only if book value is real and not about to be impaired. But ROE is -31.69%, D/E is 2.18, and Altman Z is -1.28, which speak to distress risk. The 58.89% dividend yield looks tempting, but a lender losing money cannot easily sustain such a payout. On the positive side, TTM free cash flow was $33.4 million, a 335.5% FCF yield, and Piotroski is 5/9. For a BDC, though, I want to know whether that cash flow reflects durable portfolio income or just balance-sheet movements. The business has no obvious wide moat; credit selection is the edge. At this price, the market is pricing severe doubt. I would need evidence that net income is turning positive and leverage is falling before calling it a true value rather than a value trap.

In plain English: Investcorp Credit Management BDC lends money to middle-market companies. The business has been losing money recently, after a profitable year earlier, and it carries a lot of debt. The stock price looks very low compared with its accounting book value, but the weak earnings make it hard to call the bargain safe.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-06-30) · FY2023 10-K (period ended 2023-06-30)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer