OFS Capital Corporation (NASDAQ:OFS) Sees Large Increase in Short Interest

OFS Capital Corporation (NASDAQ:OFS) was the target of a large growth in short interest in March. As of March 13th, there was short interest totaling 230,913 shares, a growth of 26.9% from the February 26th total of 182,001 shares. Based on an average daily volume of 100,315 shares, the short-interest ratio is presently 2.3 days.

Analysts Set New Price Targets

Separately, Weiss Ratings lowered OFS Capital from a “hold (c-)” rating to a “sell (d+)” rating in a report on Wednesday, January 7th. One analyst has rated the stock with a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat, OFS Capital presently has a consensus rating of “Reduce” and a consensus target price of $7.00.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of OFS. Marshall Wace LLP bought a new position in shares of OFS Capital in the fourth quarter worth $377,000. Virtus Investment Advisers LLC raised its stake in shares of OFS Capital by 24.0% during the 4th quarter. Virtus Investment Advisers LLC now owns 82,221 shares of the investment management company’s stock valued at $391,000 after purchasing an additional 15,935 shares during the period. Two Sigma Investments LP lifted its holdings in OFS Capital by 5.8% during the 3rd quarter. Two Sigma Investments LP now owns 120,908 shares of the investment management company’s stock worth $930,000 after purchasing an additional 6,636 shares in the last quarter. Squarepoint Ops LLC bought a new position in OFS Capital in the 4th quarter worth about $202,000. Finally, Jane Street Group LLC purchased a new position in OFS Capital during the 4th quarter valued at about $66,000. 10.81% of the stock is currently owned by hedge funds and other institutional investors.

OFS Capital Stock Performance

NASDAQ:OFS opened at $3.55 on Wednesday. The company has a market capitalization of $47.56 million, a P/E ratio of -1.44 and a beta of 0.86. The business has a fifty day simple moving average of $4.02 and a two-hundred day simple moving average of $5.26. The company has a debt-to-equity ratio of 0.45, a current ratio of 0.02 and a quick ratio of 0.02. OFS Capital has a 1 year low of $2.72 and a 1 year high of $9.52.

OFS Capital (NASDAQ:OFS) last issued its quarterly earnings results on Monday, March 2nd. The investment management company reported $0.20 EPS for the quarter, missing analysts’ consensus estimates of $0.23 by ($0.03). OFS Capital had a negative net margin of 81.33% and a positive return on equity of 8.75%. The firm had revenue of ($9.10) million for the quarter, compared to analysts’ expectations of $10.50 million. On average, analysts expect that OFS Capital will post 1.17 earnings per share for the current year.

OFS Capital Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Tuesday, March 31st. Shareholders of record on Friday, March 20th were issued a dividend of $0.17 per share. The ex-dividend date of this dividend was Friday, March 20th. This represents a $0.68 annualized dividend and a yield of 19.2%. OFS Capital’s dividend payout ratio is -27.53%.

OFS Capital Company Profile

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.