FDUS combines an elite Rule of 40 score, a 3-of-4 earnings beat streak, and continued attractive valuation with a breakout technical setup, though it has already reached its price target — causing a negative asymmetry gate failure — and options markets show elevated put/call skew.
Thesis pillars
- Attractive Valuation Support→Stable
- Earnings Beat Streak With Elite Rule Of 40↓Deteriorating
- Target Reached Negative Asymmetry↓Deteriorating
- +2 more pillars — see the Why tab for full reasoning
Fidus Investment Corporation (FDUS) Stock Analysis
Range Bound setup · Inst Constrain edge
Financial Services · Asset Management
Sell if holding. Analyst target reached at $19.70 — A.R:R is negative (-1.0) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Weak growth.
Fidus Investment Corporation is an externally managed business development company (BDC) that provides customized debt (first lien, second lien, subordinated) and equity financing to U.S. lower middle-market companies with $10-150 million in revenue and $5-30 million in EBITDA,... Read more
Sell if holding. Analyst target reached at $19.70 — A.R:R is negative (-1.0) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Weak growth. Chart setup: RSI 41 mid-range, Bollinger mid-band. Score 5.5/10, moderate confidence.
Passes 7/9 gates (positive momentum, clean insider activity, no SEC red flags, news events none recent, earnings proximity 76d clear, semi cycle peak clear, materials cycle peak clear). Fails on favorable risk/reward ratio. Suitability: aggressive.
About Fidus Investment Corporation
About Fidus Investment Corporation
Fidus Investment Corporation, an externally managed BDC, held debt and equity investments in 103 lower middle-market portfolio companies worth $1.3 billion in aggregate fair value as of December 31, 2025, up from $1.1 billion across 91 companies a year earlier. Information Technology Services made up 35.7% of the portfolio's fair value, the largest of nineteen industry segments, while the Southeast U.S. accounted for 29.1% of fair value, the largest of six geographic regions; the weighted average yield on debt investments was 12.6%.
Fidus invests primarily in first lien, second lien, and subordinated debt to U.S. companies with $10 million to $150 million in revenue and $5 million to $30 million in EBITDA, typically committing $5 million to $35 million per portfolio company, often paired with warrants or minority equity stakes. Two wholly owned subsidiaries, Fidus Mezzanine Capital III and IV, hold SBA-guaranteed SBIC licenses that let Fidus borrow low-cost, long-term fixed-rate SBA debentures, capped at $350 million in aggregate for commonly controlled SBICs, subsidizing returns relative to competitors funded solely with bank or public debt. Fidus Investment Advisors, LLC manages the portfolio under an Investment Advisory Agreement, earning a 1.75% annual base management fee on total assets plus a two-part incentive fee — 20% of pre-incentive-fee net investment income above a 2% quarterly hurdle, and 20% of cumulative realized capital gains net of losses. The portfolio spans nineteen industry segments and six geographic regions, with Information Technology Services (35.7% of fair value) and the Southeast U.S. (29.1%) as the largest single concentrations in an otherwise diversified book.
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Fidus has no employees of its own; the entire investment process — sourcing, underwriting, structuring, and monitoring — sits with Fidus Investment Advisors under an Investment Advisory Agreement the 10-K describes as something the company's relationship with its advisor is governed by and dependent on, with fee terms and conflicts of interest that the independent directors must review annually. That external-management dependency sits alongside a portfolio that, while diversified across 103 companies, has more than a third of its fair value concentrated in Information Technology Services and nearly 30% concentrated in the Southeast U.S. — so a downturn specific to either that sector or that region would weigh on results more than a proportionate diversified allocation would suggest.
See also: Financial Services · Asset Management
From Fidus Investment Corporation's most recent 10-K filing, extracted July 6, 2026.
Recent developments
updated 2026-08-22Recent Developments — Fidus Investment Corporation
Latest news
- NEWS FDUS Q1 2026 Earnings: EPS Surges Past Estimates by 20.4% Despite Modest Stock Pullback - Revenue Guidance Range - dars. — dars.gov.et positive
- NEWS FDUS Q1 2026 Earnings: EPS Surges Past Estimates by 20.4% Despite Modest Stock Pullback - Forward EPS Estimate - dars.go — dars.gov.et positive
- NEWS Fidus Investment Corporation (FDUS) Holds Steady Near Support Amid Flat Trading Session - Money Flow - dars.gov.et — dars.gov.et neutral
- NEWS Fidus Investment Corporation (FDUS) Holds Steady Near Support Amid Flat Trading Session - Dividend Arbitrage - dars.gov. — dars.gov.et neutral
- NEWS Fidus Investment Corp (FDUS) Institutional Confidence - TradingKey — TradingKey neutral
Generated 2026-08-23T00:51:55Z.
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Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.
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Rating Breakdown
1 floor-breaker
Growth below the gate floor. Component breakdown shows what dragged the score down.static
Price Targets
Position Sizing
Risk Alerts
Earnings
Verdict History
Frequently Asked Questions
Sell if holding. Analyst target reached at $19.70 — A.R:R is negative (-1.0) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Weak growth. Chart setup: RSI 41 mid-range, Bollinger mid-band. Prior stop was $18.94. Score 5.5/10, moderate confidence.
Take-profit target: $20.36 (-5.1% upside). Prior stop was $18.94. Stop-loss: $18.94.
Analyst target reached - limited upside remaining; Weak growth.
Fidus Investment Corporation trades at a P/E of 9.6 (forward 10.0). TrendMatrix value score: 7.3/10. Verdict: Sell.
12 analysts cover FDUS with a consensus score of 4.2/5. Average price target: $22.
What does Fidus Investment Corporation do?Fidus Investment Corporation is an externally managed business development company (BDC) that provides customized debt...
Fidus Investment Corporation is an externally managed business development company (BDC) that provides customized debt (first lien, second lien, subordinated) and equity financing to U.S. lower middle-market companies with $10-150 million in revenue and $5-30 million in EBITDA, investing through two SBIC-licensed subsidiaries that access SBA-guaranteed debenture leverage capped at $350 million. As of December 31, 2025, the company held debt and equity investments in 103 portfolio companies with an aggregate fair value of $1.3 billion, a 12.6% weighted average debt yield, and a portfolio concen