FS KKR Capital Corp. (NYSE:FSK) Stock Now Rated “Reduce” by Sell-Side Analysts

FS KKR Capital Corp. (NYSE:FSK) has been assigned a consensus recommendation of “Reduce” from the eight analysts that are covering the stock, Marketbeat Ratings reports. One equities research analyst has rated the stock with a sell recommendation and seven have assigned a hold recommendation to the company. The average 12-month price target among brokers that have issued ratings on the stock in the last year is $11.43.

FSK has been the topic of several analyst reports. Wall Street Zen raised FS KKR Capital from a “sell” rating to a “hold” rating in a research note on Saturday, August 1st. Zacks Research raised FS KKR Capital from a “strong sell” rating to a “hold” rating in a research note on Tuesday, August 11th. Royal Bank Of Canada reissued a “sector perform” rating and set a $13.00 price objective (up from $11.00) on shares of FS KKR Capital in a research note on Wednesday, August 12th. Weiss Ratings restated a “sell (d+)” rating on shares of FS KKR Capital in a report on Friday, August 28th. Finally, JPMorgan Chase & Co. upped their target price on shares of FS KKR Capital from $9.50 to $11.00 and gave the company a “neutral” rating in a research note on Wednesday, August 19th.

Institutional Trading of FS KKR Capital

Several hedge funds have recently added to or reduced their stakes in the business. Saba Capital Management L.P. bought a new stake in shares of FS KKR Capital in the first quarter worth about $35,729,000. Legal & General Group Plc bought a new position in shares of FS KKR Capital during the 2nd quarter valued at about $28,742,000. Silver Point Capital L.P. bought a new position in shares of FS KKR Capital during the 2nd quarter valued at about $28,602,000. Cura Wealth Advisors LLC acquired a new position in shares of FS KKR Capital in the 2nd quarter valued at approximately $22,391,000. Finally, Rivernorth Capital Management LLC grew its position in shares of FS KKR Capital by 580.7% in the 1st quarter. Rivernorth Capital Management LLC now owns 2,097,170 shares of the company’s stock valued at $21,349,000 after purchasing an additional 1,789,090 shares during the period. Institutional investors and hedge funds own 36.26% of the company’s stock.

FS KKR Capital Stock Performance

Shares of FS KKR Capital stock opened at $11.24 on Monday. The firm has a fifty day moving average of $11.70 and a two-hundred day moving average of $11.00. The stock has a market capitalization of $3.11 billion, a price-to-earnings ratio of -8.33 and a beta of 0.83. FS KKR Capital has a 52 week low of $9.72 and a 52 week high of $16.31. The company has a debt-to-equity ratio of 1.26, a quick ratio of 2.28 and a current ratio of 2.28.

FS KKR Capital (NYSE:FSK) last posted its quarterly earnings results on Thursday, August 6th. The company reported $0.43 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.42 by $0.01. FS KKR Capital had a positive return on equity of 9.70% and a negative net margin of 28.52%.The business had revenue of $290.00 million for the quarter, compared to analyst estimates of $286.75 million. During the same period last year, the company earned ($0.75) EPS. As a group, equities research analysts predict that FS KKR Capital will post 1.64 EPS for the current year.

FS KKR Capital Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, October 2nd. Investors of record on Wednesday, September 16th will be given a $0.44 dividend. The ex-dividend date is Wednesday, September 16th. This represents a $1.76 dividend on an annualized basis and a dividend yield of 15.7%. This is an increase from FS KKR Capital’s previous quarterly dividend of $0.42. FS KKR Capital’s dividend payout ratio is currently -130.37%.

FS KKR Capital Company Profile

FS KKR Capital Corp. (NYSE: FSK) is a business development company that provides financing to private middle-market companies, primarily in the United States. The company seeks to support businesses across a range of industries by investing in senior secured loans, subordinated debt and, to a lesser extent, equity securities.

FSK’s portfolio is generally focused on established companies with annual revenues and earnings that may require capital for acquisitions, recapitalizations, growth initiatives, refinancings and other corporate purposes.