Zacks Research Downgrades Great Elm Capital Group (NASDAQ:GECC) to Hold

Great Elm Capital Group (NASDAQ:GECC) was downgraded by research analysts at Zacks Research from a “strong-buy” rating to a “hold” rating in a report released on Monday,Zacks.com reports.

Separately, Weiss Ratings reiterated a “sell (d)” rating on shares of Great Elm Capital Group in a research note on Thursday, June 4th. Three investment analysts have rated the stock with a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, Great Elm Capital Group presently has an average rating of “Reduce” and a consensus target price of $10.50.

Great Elm Capital Group Stock Performance

NASDAQ:GECC opened at $5.21 on Monday. The firm has a market capitalization of $72.37 million, a PE ratio of -2.18 and a beta of 0.76. Great Elm Capital Group has a 1 year low of $4.63 and a 1 year high of $11.45. The company has a current ratio of 0.91, a quick ratio of 0.91 and a debt-to-equity ratio of 1.57. The firm’s fifty day simple moving average is $5.75 and its 200 day simple moving average is $6.02.

Great Elm Capital Group (NASDAQ:GECC) last released its earnings results on Monday, May 4th. The financial services provider reported $0.36 earnings per share for the quarter, topping analysts’ consensus estimates of $0.32 by $0.04. Great Elm Capital Group had a negative net margin of 70.13% and a positive return on equity of 14.16%. The firm had revenue of ($1.91) million during the quarter, compared to analyst estimates of $10.74 million. On average, sell-side analysts anticipate that Great Elm Capital Group will post 1.1 EPS for the current year.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the stock. Squarepoint Ops LLC raised its position in shares of Great Elm Capital Group by 247.9% during the fourth quarter. Squarepoint Ops LLC now owns 106,079 shares of the financial services provider’s stock valued at $747,000 after buying an additional 75,588 shares during the last quarter. Jane Street Group LLC acquired a new stake in Great Elm Capital Group during the fourth quarter worth about $220,000. Papamarkou Wellner Asset Management inc. grew its position in Great Elm Capital Group by 54.9% during the fourth quarter. Papamarkou Wellner Asset Management inc. now owns 30,200 shares of the financial services provider’s stock worth $213,000 after buying an additional 10,700 shares in the last quarter. Schonfeld Strategic Advisors LLC bought a new position in Great Elm Capital Group during the third quarter valued at about $169,000. Finally, Virtu Financial LLC acquired a new position in Great Elm Capital Group in the 3rd quarter valued at approximately $160,000. Institutional investors own 38.75% of the company’s stock.

Great Elm Capital Group Company Profile

Great Elm Capital Group, Inc (NASDAQ: GECC) is a closed-end, externally managed business development company (BDC) that seeks to generate current income and capital appreciation by investing in private, middle-market companies. The firm targets senior secured loans, subordinated debt and equity securities of U.S. companies, with a focus on businesses offering stable cash flows and potential for growth. Industry sectors of interest include business services, consumer products, industrials and healthcare, among others.

GECC’s investment strategy emphasizes portfolio diversification and active management.