Golub Capital BDC (NASDAQ:GBDC) Downgraded by Zacks Research to Strong Sell

Zacks Research lowered shares of Golub Capital BDC (NASDAQ:GBDC) from a hold rating to a strong sell rating in a research note issued to investors on Thursday,Zacks.com reports.

A number of other equities analysts also recently commented on the company. Capital One Financial set a $15.00 target price on Golub Capital BDC in a report on Thursday, January 15th. Royal Bank Of Canada decreased their target price on Golub Capital BDC from $15.00 to $14.00 and set an “outperform” rating for the company in a report on Thursday. Wells Fargo & Company decreased their price objective on Golub Capital BDC from $14.00 to $13.00 and set an “overweight” rating for the company in a report on Friday, February 6th. Weiss Ratings reiterated a “hold (c)” rating on shares of Golub Capital BDC in a report on Friday, March 27th. Finally, Lucid Cap Mkts upgraded Golub Capital BDC to a “strong-buy” rating in a report on Thursday, January 15th. One equities research analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating, one has given a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $14.25.

Golub Capital BDC Price Performance

Shares of Golub Capital BDC stock opened at $13.16 on Thursday. The company has a quick ratio of 2.24, a current ratio of 2.20 and a debt-to-equity ratio of 1.25. The company has a market cap of $3.43 billion, a PE ratio of 17.09 and a beta of 0.41. The business has a 50 day moving average of $12.73 and a 200 day moving average of $13.28. Golub Capital BDC has a 52 week low of $11.77 and a 52 week high of $15.63.

Golub Capital BDC (NASDAQ:GBDC) last announced its earnings results on Monday, May 4th. The investment management company reported $0.34 EPS for the quarter, missing analysts’ consensus estimates of $0.36 by ($0.02). The business had revenue of ($5.28) million for the quarter, compared to the consensus estimate of $201.71 million. Golub Capital BDC had a net margin of 24.64% and a return on equity of 10.20%. During the same quarter in the prior year, the company earned $0.30 EPS. As a group, equities research analysts forecast that Golub Capital BDC will post 1.38 earnings per share for the current year.

Golub Capital BDC Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Monday, June 29th. Stockholders of record on Monday, June 15th will be paid a $0.33 dividend. This represents a $1.32 dividend on an annualized basis and a dividend yield of 10.0%. The ex-dividend date of this dividend is Monday, June 15th. Golub Capital BDC’s dividend payout ratio is currently 171.43%.

Institutional Investors Weigh In On Golub Capital BDC

A number of institutional investors have recently modified their holdings of GBDC. Royal Bank of Canada grew its stake in shares of Golub Capital BDC by 41.4% in the first quarter. Royal Bank of Canada now owns 131,544 shares of the investment management company’s stock worth $1,991,000 after acquiring an additional 38,534 shares during the last quarter. NewEdge Advisors LLC boosted its position in shares of Golub Capital BDC by 19.7% during the first quarter. NewEdge Advisors LLC now owns 43,534 shares of the investment management company’s stock valued at $659,000 after buying an additional 7,178 shares during the last quarter. Empowered Funds LLC boosted its position in shares of Golub Capital BDC by 140.0% during the first quarter. Empowered Funds LLC now owns 27,411 shares of the investment management company’s stock valued at $415,000 after buying an additional 15,988 shares during the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC purchased a new stake in shares of Golub Capital BDC during the first quarter valued at $6,491,000. Finally, Focus Partners Wealth boosted its position in shares of Golub Capital BDC by 24.9% during the first quarter. Focus Partners Wealth now owns 33,355 shares of the investment management company’s stock valued at $505,000 after buying an additional 6,658 shares during the last quarter. 42.38% of the stock is owned by hedge funds and other institutional investors.

Golub Capital BDC Company Profile

Golub Capital BDC (NASDAQ: GBDC) is a publicly traded business development company specializing in providing debt and equity financing solutions to middle-market companies in the United States. Externally managed by Golub Capital LLC, the firm focuses on building a diversified portfolio of senior secured loans, unitranche facilities and second-lien debt instruments designed to support growth, acquisitions and recapitalizations. As a closed-end investment vehicle, GBDC offers investors direct exposure to private credit strategies within a regulated structure.

The company’s core business activities center on originating and managing bespoke financing arrangements for U.S.