FS KKR Capital (NYSE:FSK) Rating Increased to Hold at Zacks Research

Zacks Research upgraded shares of FS KKR Capital (NYSE:FSK) from a strong sell rating to a hold rating in a report published on Tuesday,Zacks.com reports.

Other research analysts have also issued research reports about the stock. Weiss Ratings reissued a “sell (d+)” rating on shares of FS KKR Capital in a research note on Tuesday, June 2nd. Wall Street Zen raised shares of FS KKR Capital from a “sell” rating to a “hold” rating in a research note on Saturday, August 1st. Royal Bank Of Canada reiterated a “sector perform” rating and issued a $13.00 target price (up from $11.00) on shares of FS KKR Capital in a report on Wednesday. Capital One Financial set a $12.00 price target on shares of FS KKR Capital in a research report on Friday, August 7th. Finally, Wells Fargo & Company decreased their price target on shares of FS KKR Capital from $11.00 to $10.00 and set an “equal weight” rating for the company in a report on Tuesday, May 12th. Seven equities research analysts have rated the stock with a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the stock currently has an average rating of “Reduce” and an average target price of $11.21.

FS KKR Capital Stock Down 0.5%

Shares of FS KKR Capital stock opened at $12.19 on Tuesday. The business has a fifty day simple moving average of $10.83 and a 200 day simple moving average of $11.19. The stock has a market cap of $3.37 billion, a PE ratio of -9.03 and a beta of 0.83. The company has a quick ratio of 2.00, a current ratio of 2.00 and a debt-to-equity ratio of 1.38. FS KKR Capital has a 12 month low of $9.72 and a 12 month high of $18.25.

FS KKR Capital (NYSE:FSK) last released its earnings results on Thursday, August 6th. The company reported $0.43 earnings per share for the quarter, beating the consensus estimate of $0.42 by $0.01. FS KKR Capital had a positive return on equity of 9.43% and a negative net margin of 28.52%.The firm had revenue of $290.00 million for the quarter, compared to analyst estimates of $286.75 million. During the same quarter in the prior year, the firm posted ($0.75) earnings per share. Research analysts predict that FS KKR Capital will post 1.64 EPS for the current year.

FS KKR Capital Increases Dividend

The business 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 of this dividend is Wednesday, September 16th. This represents a $1.76 annualized dividend and a yield of 14.4%. This is an increase from FS KKR Capital’s previous quarterly dividend of $0.42. FS KKR Capital’s payout ratio is presently -124.44%.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the business. Northwestern Mutual Wealth Management Co. grew its stake in FS KKR Capital by 55,074.7% in the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 7,741,004 shares of the company’s stock valued at $114,644,000 after purchasing an additional 7,726,974 shares in the last quarter. Van ECK Associates Corp raised its stake in shares of FS KKR Capital by 2.4% during the 4th quarter. Van ECK Associates Corp now owns 4,083,940 shares of the company’s stock worth $60,484,000 after purchasing an additional 94,262 shares in the last quarter. UBS Group AG raised its stake in shares of FS KKR Capital by 15.3% during the 4th quarter. UBS Group AG now owns 3,806,076 shares of the company’s stock worth $56,368,000 after purchasing an additional 505,982 shares in the last quarter. Saba Capital Management L.P. acquired a new stake in shares of FS KKR Capital in the 1st quarter valued at approximately $35,729,000. Finally, Oak Hill Advisors LP acquired a new stake in shares of FS KKR Capital in the 4th quarter valued at approximately $38,659,000. Institutional investors and hedge funds own 36.26% of the company’s stock.

FS KKR Capital Company Profile

FS KKR Capital Corp (NYSE:FSK) is a closed-end, externally managed business development company that primarily invests in private middle-market U.S. companies. The firm seeks to generate current income and capital appreciation by structuring investments in floating-rate senior secured loans, unitranche financings, second lien debt and mezzanine instruments. As a business development company, FSK provides financing solutions designed to support growth initiatives, acquisitions, leveraged buyouts and recapitalizations for privately held enterprises.

Established in 2018 through a strategic partnership between FS Investment Corporation and KKR Credit Advisors, a division of global investment firm KKR & Co Inc, FSK combines the credit underwriting capabilities of KKR’s global platform with FS’s expertise in private credit markets.