Stock Traders Buy High Volume of FS KKR Capital Put Options (NYSE:FSK)

FS KKR Capital Corp. (NYSE:FSK) saw some unusual options trading activity on Friday. Stock investors bought 2,732 put options on the stock. This represents an increase of approximately 217% compared to the typical daily volume of 862 put options.

Hedge Funds Weigh In On FS KKR Capital

A number of hedge funds and other institutional investors have recently bought and sold shares of FSK. Triumph Capital Management raised its position in shares of FS KKR Capital by 98.1% during the 2nd quarter. Triumph Capital Management now owns 2,575 shares of the company’s stock valued at $27,000 after acquiring an additional 1,275 shares during the last quarter. Harborfront Financial Group LLC bought a new position in shares of FS KKR Capital in the 2nd quarter worth $30,000. Northwestern Mutual Wealth Management Co. acquired a new stake in shares of FS KKR Capital during the second quarter worth $53,000. Fifth Third Bancorp acquired a new stake in shares of FS KKR Capital during the first quarter worth $65,000. Finally, Continuum Advisory LLC bought a new stake in FS KKR Capital in the second quarter valued at about $76,000. 36.26% of the stock is owned by institutional investors.

FS KKR Capital Trading Up 0.8%

FSK traded up $0.09 during mid-day trading on Friday, reaching $10.88. The stock had a trading volume of 463,475 shares, compared to its average volume of 3,038,422. The firm’s fifty day simple moving average is $11.73 and its two-hundred day simple moving average is $11.05. The stock has a market capitalization of $3.01 billion, a P/E ratio of -8.05 and a beta of 0.86. 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 announced its quarterly earnings data on Thursday, August 6th. The company reported $0.43 EPS for the quarter, topping analysts’ consensus estimates 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 firm had revenue of $290.00 million during the quarter, compared to analyst estimates of $286.75 million. During the same period last year, the company earned ($0.75) earnings per share. On average, equities analysts predict that FS KKR Capital will post 1.64 EPS for the current year.

FS KKR Capital Dividend Announcement

The firm also recently declared a special dividend, which will be paid on Thursday, December 24th. Investors of record on Wednesday, December 16th will be paid a dividend of $0.20 per share. This represents a dividend yield of 1,633.0%. The ex-dividend date of this dividend is Wednesday, December 16th. FS KKR Capital’s payout ratio is -130.37%.

Analyst Ratings Changes

FSK has been the subject of a number of recent analyst reports. Wells Fargo & Company cut shares of FS KKR Capital from a “sector perform” rating to an “underweight” rating and set a $10.00 target price for the company. in a research report on Tuesday, September 29th. Weiss Ratings reaffirmed a “sell (d+)” rating on shares of FS KKR Capital in a report on Friday, August 28th. Capital One Financial set a $12.00 target price on shares of FS KKR Capital in a research note on Friday, August 7th. Royal Bank Of Canada restated a “sector perform” rating and set a $13.00 price target (up from $11.00) on shares of FS KKR Capital in a research report on Wednesday, August 12th. Finally, Wall Street Zen raised FS KKR Capital from a “sell” rating to a “hold” rating in a report on Saturday, August 1st. Six analysts have rated the stock with a Hold rating and two have issued a Sell rating to the stock. Based on data from MarketBeat, the company has an average rating of “Reduce” and an average target price of $11.43.

About FS KKR Capital

FS KKR Capital Corp. (NYSE: FSK) is a business development company that provides financing to privately owned middle-market companies. The company primarily invests in senior secured loans, including first-lien and second-lien debt, and may also make select equity investments. Its portfolio companies operate across a range of industries and are generally located in the United States.

FSK seeks to generate income and long-term capital appreciation by partnering with companies that require financing for acquisitions, recapitalizations, growth initiatives, refinancing and other corporate purposes.