FS KKR Capital Corp. (NYSE:FSK) Receives Average Rating of “Reduce” from Analysts

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

A number of equities analysts recently commented on the company. Wells Fargo & Company reduced their price target on 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. Weiss Ratings restated a “sell (d+)” rating on shares of FS KKR Capital in a research note on Tuesday, June 2nd. Keefe, Bruyette & Woods cut their price objective on FS KKR Capital from $15.00 to $11.00 and set a “market perform” rating for the company in a research report on Thursday, April 16th. JPMorgan Chase & Co. reduced their target price on FS KKR Capital from $13.00 to $9.50 and set a “neutral” rating for the company in a research note on Friday, March 13th. Finally, Royal Bank Of Canada reissued a “sector perform” rating and set a $11.00 target price on shares of FS KKR Capital in a report on Tuesday, May 12th.

FS KKR Capital Stock Performance

NYSE FSK opened at $10.44 on Wednesday. The firm has a market capitalization of $2.93 billion, a P/E ratio of -5.30 and a beta of 0.82. The company has a current ratio of 2.00, a quick ratio of 2.00 and a debt-to-equity ratio of 1.38. The firm’s fifty day moving average price is $10.72 and its two-hundred day moving average price is $11.84. FS KKR Capital has a 1 year low of $9.72 and a 1 year high of $22.68.

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 analysts’ consensus estimates of $0.44 by ($0.03). The firm had revenue of $304.00 million during the quarter, compared to the consensus estimate of $316.81 million. FS KKR Capital had a negative net margin of 38.65% and a positive return on equity of 4.34%. The business’s revenue was down 24.0% on a year-over-year basis. During the same period last year, the business earned $0.65 EPS. As a group, research analysts anticipate that FS KKR Capital will post 1.64 EPS for the current year.

FS KKR Capital Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Thursday, July 2nd. Shareholders of record on Wednesday, June 17th were given a dividend of $0.42 per share. This represents a $1.68 dividend on an annualized basis and a yield of 16.1%. The ex-dividend date of this dividend was Wednesday, June 17th. FS KKR Capital’s payout ratio is -85.28%.

Institutional Trading of FS KKR Capital

A number of hedge funds have recently modified their holdings of FSK. Bison Wealth LLC grew its stake in FS KKR Capital by 3.4% in the 4th quarter. Bison Wealth LLC now owns 21,935 shares of the company’s stock valued at $476,000 after buying an additional 720 shares during the last quarter. Goldman Sachs Group Inc. lifted its position in FS KKR Capital by 13.7% during the first quarter. Goldman Sachs Group Inc. now owns 267,890 shares of the company’s stock worth $5,612,000 after acquiring an additional 32,258 shares during the last quarter. Empowered Funds LLC boosted its holdings in shares of FS KKR Capital by 139.9% during the first quarter. Empowered Funds LLC now owns 26,744 shares of the company’s stock worth $560,000 after acquiring an additional 15,596 shares during the period. Marshall Wace LLP acquired a new position in shares of FS KKR Capital in the second quarter valued at approximately $1,806,000. Finally, Nebula Research & Development LLC increased its stake in shares of FS KKR Capital by 83.1% during the second quarter. Nebula Research & Development LLC now owns 20,236 shares of the company’s stock worth $420,000 after purchasing an additional 9,183 shares during the period. Institutional investors and hedge funds own 36.26% of the company’s stock.

About FS KKR Capital

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.