FS KKR Capital (NYSE:FSK) Hits New 12-Month Low – Should You Sell?

Shares of FS KKR Capital Corp. (NYSE:FSK) hit a new 52-week low on Friday . The company traded as low as $12.65 and last traded at $12.81, with a volume of 324483 shares traded. The stock had previously closed at $12.75.

Analyst Ratings Changes

FSK has been the topic of a number of research reports. Zacks Research raised shares of FS KKR Capital from a “strong sell” rating to a “hold” rating in a report on Wednesday, December 10th. Weiss Ratings reissued a “hold (c-)” rating on shares of FS KKR Capital in a research note on Thursday, January 22nd. Royal Bank Of Canada decreased their price target on shares of FS KKR Capital from $18.00 to $17.00 and set a “sector perform” rating for the company in a research note on Friday, November 14th. Keefe, Bruyette & Woods decreased their price objective on FS KKR Capital from $18.50 to $18.00 and set a “market perform” rating for the company in a report on Monday, November 10th. Finally, Wall Street Zen downgraded shares of FS KKR Capital from a “hold” rating to a “sell” rating in a research report on Friday, November 28th. Eight analysts have rated the stock with a Hold rating, Based on data from MarketBeat.com, the company presently has an average rating of “Hold” and an average price target of $17.50.

FS KKR Capital Stock Up 0.4%

The stock’s 50-day simple moving average is $14.69 and its 200-day simple moving average is $16.11. The company has a current ratio of 1.30, a quick ratio of 1.30 and a debt-to-equity ratio of 1.19. The firm has a market capitalization of $3.58 billion, a P/E ratio of 13.19 and a beta of 0.84.

FS KKR Capital (NYSE:FSK) last released its earnings results on Wednesday, November 5th. The company reported $0.57 earnings per share (EPS) for the quarter, meeting the consensus estimate of $0.57. The company had revenue of $373.00 million during the quarter, compared to analyst estimates of $374.89 million. FS KKR Capital had a return on equity of 5.63% and a net margin of 17.24%.During the same period in the prior year, the company posted $0.74 earnings per share. As a group, research analysts predict that FS KKR Capital Corp. will post 2.89 earnings per share for the current fiscal year.

Insider Activity

In other news, CEO Michael C. Forman acquired 10,000 shares of FS KKR Capital stock in a transaction on Tuesday, November 11th. The stock was acquired at an average cost of $15.50 per share, with a total value of $155,000.00. Following the completion of the acquisition, the chief executive officer owned 24,220 shares in the company, valued at approximately $375,410. This trade represents a 70.32% increase in their ownership of the stock. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. 0.18% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in the company. Northwestern Mutual Wealth Management Co. increased its position in shares of 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 worth $114,644,000 after purchasing an additional 7,726,974 shares during the last quarter. Commonwealth Equity Services LLC grew its stake in FS KKR Capital by 0.7% in the 2nd quarter. Commonwealth Equity Services LLC now owns 4,313,907 shares of the company’s stock worth $89,514,000 after buying an additional 28,619 shares in the last quarter. Van ECK Associates Corp increased its holdings in shares of FS KKR Capital by 23.3% in the 3rd quarter. Van ECK Associates Corp now owns 3,989,678 shares of the company’s stock worth $59,566,000 after buying an additional 752,956 shares during the last quarter. UBS Group AG raised its position 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 valued at $56,368,000 after buying an additional 505,982 shares in the last quarter. Finally, Generali Asset Management SPA SGR raised its position in shares of FS KKR Capital by 2.5% during the 3rd quarter. Generali Asset Management SPA SGR now owns 2,546,371 shares of the company’s stock valued at $38,017,000 after buying an additional 61,106 shares in the last quarter. Hedge funds and other institutional investors 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.