Investing in Burford Capital: Is Now the Time?

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Is investing in Burford Capital ($NYSE:BUR) Limited an attractive proposition? As a leading global finance and investment company, Burford Capital has established itself as a pioneer in the legal finance industry, providing innovative financial solutions to litigation and arbitration cases. It is one of the world’s largest providers of litigation finance and has an impressive portfolio of investments and finance projects. The company operates across multiple jurisdictions and offers a broad range of services, including providing capital to support legal proceedings and to fund corporate activity. Burford Capital also offers a comprehensive suite of legal financing and capital services, designed to meet the needs of clients from all sectors, including companies, law firms, and individual investors. At present, Burford Capital’s stock is trading at an attractive price, making it an interesting investment opportunity for those looking to diversify their portfolios. The company is well-positioned to benefit from the growing demand for legal finance solutions as courts become increasingly accommodating of third-party financing.

Additionally, its recent acquisition of Quindell Legal Services has further strengthened its competitive advantage. For those looking to capitalize on the opportunities that Burford Capital presents, now could be the ideal time to invest in the company. Its attractive stock price, combined with its impressive portfolio of investments and comprehensive range of services, make it an enticing option for investors with a long-term outlook.

Price History

In recent news, Burford Capital‘s stock opened at $13.8 on Tuesday, and closed the day at $13.6, down 2.2% from last closing price of 13.9. This could be a sign that investors are concerned with Burford Capital’s financial performance and risk profile. It remains to be seen whether investing in Burford Capital is a good move at this time. Investors should carefully consider the current market conditions, Burford Capital’s stock performance, and their own risk tolerance before making any decisions. Live Quote…

About the Company

Income Snapshot

Below shows the total revenue, net income and net margin for Burford Capital. More…

Cash Flow Snapshot

Below shows the cash from operations, investing and financing for Burford Capital. More…

Balance Sheet Snapshot

Below shows the total assets, liabilities and book value per share for Burford Capital. More…

Key Ratios Snapshot

Some of the financial key ratios for Burford Capital are shown below. More…

Analysis

At GoodWhale, we conducted an analysis of BURFORD CAPITAL‘s wellbeing. According to our Star Chart, BURFORD CAPITAL scored poorly overall, with a health score of 2/10 in regards to cashflows and debt. This indicates that they are less likely to be able to pay off debt and fund future operations. While BURFORD CAPITAL is strong in terms of growth, they are only medium in dividend and weak in asset and profitability. This means that while they may have high revenue or earnings growth, the lack of profitability puts them at a disadvantage compared to other companies. Based on this, we have classified BURFORD CAPITAL as a ‘cheetah’, a type of company that is considered less stable due to lower profitability. Given their high growth potential but lower profitability, investors who are comfortable taking on more risk may be interested in BURFORD CAPITAL as an investment opportunity. Such investors typically seek growth opportunities in companies that have the potential to become more profitable over time. More…

Peers

The company has a strong market position and is well-positioned to compete against its competitors: Prime Financial Group Ltd, Legal & General Group PLC, Blue Owl Capital Inc.

– Prime Financial Group Ltd ($ASX:PFG)

Since its establishment in 1992, Prime Financial Group has been providing a range of financial services to clients in Australia and New Zealand. These services include home loans, personal loans, credit cards, and investment products. The company has a market capitalization of $47.27 million and a return on equity of 8.53%. Prime Financial Group is a publicly listed company on the Australian Securities Exchange and has a strong presence in the Australian financial services industry.

– Legal & General Group PLC ($LSE:LGEN)

As of 2022, Legal & General Group PLC has a market capitalization of 13.66 billion and a return on equity of 15.54%. The company is a financial services provider that offers a range of products and services, including life insurance, annuities, investments, and retirement products. It has operations in the United Kingdom, the United States, and Europe.

– Blue Owl Capital Inc ($NYSE:OWL)

Blue Owl Capital Inc. is a publicly traded company with a market capitalization of $3.95 billion as of 2022. The company has a negative return on equity of -10.74%. Blue Owl Capital is a leading provider of financial services and products to individuals, businesses, and institutions. The company offers a wide range of services, including investment banking, asset management, capital markets, and advisory services.

Summary

Burford Capital Limited is a publicly traded investment firm that offers a unique investment opportunity for investors. It has a strong track record of providing financial returns through investments in litigation and dispute resolutions. Its portfolio is diversified across various industries, including healthcare, energy, real estate, and financial services. Its financial performance has been strong, with consistent growth and solid returns. Investors should consider Burford Capital when making long-term investments as it has the potential to generate steady income and capital appreciation over the long term.

Additionally, it has a sound risk management framework, which helps ensure that capital is used efficiently and risks are managed effectively.