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BUR vs PAX

BUR
Burford Capital Limited
BEARISH
Price
$9.75
Market Cap
$2.13B
Sector
Financial Services
AI Confidence
78%
PAX
Patria Investments Limited
NEUTRAL
Price
$13.10
Market Cap
$2.09B
Sector
Financial Services
AI Confidence
75%

Valuation

P/E Ratio
BUR
25.0
PAX
19.26
Forward P/E
BUR
6.15
PAX
7.64
P/B Ratio
BUR
0.85
PAX
3.35
P/S Ratio
BUR
4.58
PAX
5.47
EV/EBITDA
BUR
--
PAX
12.87

Profitability

Gross Margin
BUR
97.76%
PAX
55.72%
Operating Margin
BUR
30.4%
PAX
36.06%
Profit Margin
BUR
18.69%
PAX
22.43%
ROE
BUR
4.19%
PAX
16.02%
ROA
BUR
2.8%
PAX
5.99%

Growth

Revenue Growth
BUR
-73.6%
PAX
-15.4%
Earnings Growth
BUR
--
PAX
-37.6%

Financial Health

Debt/Equity
BUR
0.68
PAX
0.27
Current Ratio
BUR
5.52
PAX
1.03
Quick Ratio
BUR
5.52
PAX
0.54

Dividends

Dividend Yield
BUR
1.27%
PAX
4.58%
Payout Ratio
BUR
31.25%
PAX
88.8%

AI Verdict

BUR BEARISH

The deterministic health scores paint a concerning picture, with a Piotroski F-Score of just 3/9 indicating weak financial health, and the absence of an Altman Z-Score prevents a full distress risk assessment. Despite strong profitability margins and a low Price/Book ratio, the company faces severe revenue contraction (YoY growth of -73.60%) and deeply negative earnings surprises, with 11 of the last 12 quarters missing or drastically underperforming estimates. While the stock trades below the Graham Number of $10.01, suggesting slight undervaluation, the weak fundamentals, deteriorating growth, and lack of insider support undermine this. The strong_buy analyst consensus appears overly optimistic given the deteriorating operational performance and bearish technical trend.

Strengths
Exceptionally high gross margin (97.76%) indicating strong pricing power or low cost structure
Low Price/Book ratio of 0.85, suggesting asset-based undervaluation
Healthy operating and profit margins despite revenue decline
Risks
Piotroski F-Score of 3/9 indicates severe financial weakness and high risk of continued underperformance
Catastrophic revenue growth decline of -73.60% YoY, far below sector average of +31.80%
Extreme earnings volatility with 11 of 12 quarters missing estimates, including multiple negative EPS surprises
PAX NEUTRAL

PAX presents a dichotomy between poor deterministic value metrics and strong forward-looking analyst sentiment. With a Piotroski F-Score of 5/9, the company's financial health is stable, but it trades at a significant premium to its Graham Number ($7.74) and Intrinsic Value ($4.76). While YoY revenue and earnings growth are sharply negative, the attractive forward P/E of 7.64 and positive Q/Q revenue growth suggest a potential turnaround. The high dividend payout ratio remains a primary concern for long-term sustainability.

Strengths
Strong operating margins (36.06%) and gross margins (55.72%)
Low leverage with a Debt/Equity ratio of 0.27
Attractive Forward P/E (7.64) suggesting expected earnings recovery
Risks
Significant negative YoY earnings growth (-37.60%)
Unsustainable dividend payout ratio (88.80%)
Trading at a steep premium to both Graham and Intrinsic value estimates

Compare Another Pair

BUR vs PAX: Head-to-Head Comparison

This page compares Burford Capital Limited (BUR) and Patria Investments Limited (PAX) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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