OFS Capital (NASDAQ:OFS) Releases Quarterly Earnings Results, Beats Expectations By $0.28 EPS

OFS Capital (NASDAQ:OFS) issued its quarterly earnings data on Thursday. The investment management company reported $0.42 EPS for the quarter, topping the consensus estimate of $0.14 by $0.28, FiscalAI reports. The company had revenue of $10.95 million during the quarter, compared to analyst estimates of $7.87 million. OFS Capital had a positive return on equity of 8.74% and a negative net margin of 95.15%.

OFS Capital Price Performance

Shares of OFS stock traded down $0.16 on Thursday, hitting $3.29. 136,618 shares of the stock traded hands, compared to its average volume of 39,301. The company has a debt-to-equity ratio of 0.49, a current ratio of 0.04 and a quick ratio of 0.04. OFS Capital has a 52 week low of $2.72 and a 52 week high of $8.99. The firm has a 50 day simple moving average of $3.53 and a two-hundred day simple moving average of $3.83. The firm has a market cap of $44.09 million, a price-to-earnings ratio of -1.18 and a beta of 0.84.

Analyst Ratings Changes

Several research analysts have issued reports on OFS shares. Wall Street Zen raised OFS Capital from a “sell” rating to a “hold” rating in a research report on Sunday, May 17th. Weiss Ratings reaffirmed a “sell (d)” rating on shares of OFS Capital in a research report on Thursday, June 4th. One investment analyst has rated the stock with a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, the stock currently has an average rating of “Reduce” and a consensus price target of $7.00.

Hedge Funds Weigh In On OFS Capital

Hedge funds and other institutional investors have recently modified their holdings of the stock. Royal Bank of Canada grew its stake in OFS Capital by 53.3% during the fourth quarter. Royal Bank of Canada now owns 11,500 shares of the investment management company’s stock valued at $55,000 after acquiring an additional 4,000 shares in the last quarter. Bank of America Corp DE boosted its holdings in shares of OFS Capital by 245.3% during the 4th quarter. Bank of America Corp DE now owns 7,079 shares of the investment management company’s stock valued at $57,000 after purchasing an additional 5,029 shares during the last quarter. Two Sigma Investments LP boosted its holdings in shares of 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 valued at $930,000 after purchasing an additional 6,636 shares during the last quarter. Jane Street Group LLC purchased a new position in shares of OFS Capital during the fourth quarter valued at about $66,000. Finally, Virtus Investment Advisers LLC increased its holdings in shares of OFS Capital by 24.0% in the fourth quarter. Virtus Investment Advisers LLC now owns 82,221 shares of the investment management company’s stock worth $391,000 after purchasing an additional 15,935 shares during the last quarter. Institutional investors 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.