OFS Capital (NASDAQ:OFS) Stock Price Passes Below Two Hundred Day Moving Average – Time to Sell?

OFS Capital Corporation (NASDAQ:OFS) shares passed below its two hundred day moving average during trading on Thursday . The stock has a two hundred day moving average of $4.21 and traded as low as $3.35. OFS Capital shares last traded at $3.52, with a volume of 131,356 shares traded.

Analyst Upgrades and Downgrades

Separately, Wall Street Zen raised OFS Capital from a “sell” rating to a “hold” rating in a report on Sunday, May 17th. One investment analyst has rated the stock with a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, OFS Capital has a consensus rating of “Reduce” and a consensus price target of $7.00.

OFS Capital Stock Performance

The firm has a market cap of $47.17 million, a price-to-earnings ratio of -1.26 and a beta of 0.86. The company has a quick ratio of 0.04, a current ratio of 0.04 and a debt-to-equity ratio of 0.49. The stock has a fifty day moving average price of $3.64 and a 200-day moving average price of $4.21.

OFS Capital (NASDAQ:OFS) last released its earnings results on Thursday, April 30th. The investment management company reported $0.18 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.21 by ($0.03). The company had revenue of $3.57 million during the quarter, compared to analyst estimates of $9.45 million. OFS Capital had a negative net margin of 95.15% and a positive return on equity of 8.74%.

OFS Capital Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Monday, July 6th. Stockholders of record on Friday, June 19th will be issued a $0.17 dividend. The ex-dividend date of this dividend is Thursday, June 18th. This represents a $0.68 dividend on an annualized basis and a dividend yield of 19.3%. OFS Capital’s payout ratio is presently -24.37%.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the business. Two Sigma Investments LP grew its holdings in OFS Capital by 5.8% during the third quarter. Two Sigma Investments LP now owns 120,908 shares of the investment management company’s stock worth $930,000 after acquiring an additional 6,636 shares during the period. Virtus Investment Advisers LLC grew its holdings in OFS Capital by 24.0% during the fourth quarter. Virtus Investment Advisers LLC now owns 82,221 shares of the investment management company’s stock worth $391,000 after acquiring an additional 15,935 shares during the period. Marshall Wace LLP acquired a new position in OFS Capital during the fourth quarter worth $377,000. Squarepoint Ops LLC acquired a new position in OFS Capital during the fourth quarter worth $202,000. Finally, Jane Street Group LLC acquired a new position in OFS Capital during the fourth quarter worth $66,000. Institutional investors and hedge funds own 10.81% of the company’s stock.

About OFS Capital

OFS Capital Corporation (NASDAQ: OFS) is a business development company (BDC) that provides customized debt and equity financing solutions to U.S. middle-market companies. As an externally managed BDC, OFS Capital focuses on sponsoring capital structures that support growth initiatives, recapitalizations, acquisitions and other strategic transactions. The firm targets companies that demonstrate strong cash flow potential and scalable business models across a range of industries.

The company’s investment portfolio typically includes senior secured loans, unitranche facilities, mezzanine debt and equity co-investments.