FS KKR Capital Corp. (NYSE:FSK) Given Consensus Rating of “Reduce” by Analysts

Shares of FS KKR Capital Corp. (NYSE:FSK) have been assigned an average recommendation of “Reduce” from the eight research firms that are presently covering the company, MarketBeat Ratings reports. One investment analyst has rated the stock with a sell rating and seven have assigned a hold rating to the company. The average 12-month price objective among brokerages that have issued ratings on the stock in the last year is $10.5833.

Several analysts recently commented on the stock. Wall Street Zen downgraded shares of FS KKR Capital from a “hold” rating to a “sell” rating in a research report on Saturday, February 28th. Wells Fargo & Company cut their price objective on shares of FS KKR Capital from $11.00 to $10.00 and set an “equal weight” rating on the stock in a research report on Tuesday, May 12th. Zacks Research raised shares of FS KKR Capital from a “strong sell” rating to a “hold” rating in a research report on Monday, May 4th. JPMorgan Chase & Co. cut their price objective on shares of FS KKR Capital from $13.00 to $9.50 and set a “neutral” rating on the stock in a research report on Friday, March 13th. Finally, Weiss Ratings reissued a “sell (d+)” rating on shares of FS KKR Capital in a research report on Tuesday, June 2nd.

FS KKR Capital Stock Up 2.1%

Shares of NYSE:FSK opened at $11.05 on Friday. The stock has a fifty day simple moving average of $10.82 and a two-hundred day simple moving average of $12.48. The stock has a market capitalization of $3.09 billion, a price-to-earnings ratio of -5.61 and a beta of 0.83. FS KKR Capital has a 12-month low of $9.72 and a 12-month high of $22.68. The company has a current ratio of 2.00, a quick ratio of 2.00 and a debt-to-equity ratio of 1.38.

FS KKR Capital (NYSE:FSK) last announced its quarterly earnings data on Monday, May 11th. The company reported $0.41 EPS for the quarter, missing the consensus estimate of $0.44 by ($0.03). FS KKR Capital had a negative net margin of 38.65% and a positive return on equity of 4.34%. The firm had revenue of $304.00 million for the quarter, compared to analysts’ expectations of $316.81 million. During the same period last year, the company posted $0.65 earnings per share. The business’s revenue for the quarter was down 24.0% compared to the same quarter last year. On average, research analysts anticipate that FS KKR Capital will post 1.66 earnings per share for the current fiscal year.

FS KKR Capital Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Thursday, July 2nd. Stockholders of record on Wednesday, June 17th will be issued a dividend of $0.42 per share. This represents a $1.68 dividend on an annualized basis and a dividend yield of 15.2%. The ex-dividend date of this dividend is Wednesday, June 17th. FS KKR Capital’s dividend payout ratio is presently -91.37%.

More FS KKR Capital News

Here are the key news stories impacting FS KKR Capital this week:

• Negative Sentiment: Multiple law firms, including Frank R. Cruz, Rosen, Faruqi & Faruqi, Glancy Prongay Wolke & Rotter, and others, issued reminders about a pending securities class action against FS KKR Capital and the approaching lead-plaintiff deadlines, keeping legal risk in focus for shareholders. Article Title
• Negative Sentiment: Bronstein, Gewirtz & Grossman said a class action lawsuit has been filed against FS KKR Capital and certain officers, alleging violations of federal securities laws for investors who bought shares during the class period. Article Title
• Neutral Sentiment: Several firms, including Kirby McInerney and The Gross Law Firm, are simply reminding investors of deadline dates and inviting affected shareholders to seek lead-plaintiff status; this adds noise but does not, by itself, change the underlying business outlook. Article Title

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently modified their holdings of the business. Thurston Springer Miller Herd & Titak Inc. bought a new position in shares of FS KKR Capital during the fourth quarter valued at $26,000. Jessup Wealth Management Inc bought a new position in shares of FS KKR Capital during the fourth quarter valued at $26,000. FNY Investment Advisers LLC bought a new position in shares of FS KKR Capital during the fourth quarter valued at $28,000. Halbert Hargrove Global Advisors LLC bought a new position in shares of FS KKR Capital during the fourth quarter valued at $31,000. Finally, Basepoint Wealth LLC bought a new position in shares of FS KKR Capital during the fourth quarter valued at $31,000. 36.26% of the stock is owned by institutional investors.

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.