FS KKR Capital (NYSE:FSK) Shares Gap Down – Time to Sell?

Shares of FS KKR Capital Corp. (NYSE:FSK) gapped down before the market opened on Wednesday . The stock had previously closed at $12.00, but opened at $11.56. FS KKR Capital shares last traded at $11.5350, with a volume of 149,944 shares.

Analyst Upgrades and Downgrades

A number of equities research analysts have commented on the company. Capital One Financial set a $12.00 price target on FS KKR Capital in a research note on Friday, August 7th. Wall Street Zen upgraded FS KKR Capital from a “sell” rating to a “hold” rating in a research note on Saturday, August 1st. Royal Bank Of Canada restated a “sector perform” rating and set a $13.00 price objective (up from $11.00) on shares of FS KKR Capital in a report on Wednesday, August 12th. Truist Financial lifted their target price on shares of FS KKR Capital from $11.00 to $12.00 and gave the stock a “hold” rating in a research note on Friday, August 7th. Finally, Zacks Research raised shares of FS KKR Capital from a “strong sell” rating to a “hold” rating in a research report on Tuesday, August 11th. Seven equities research analysts have rated the stock with a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, the stock has a consensus rating of “Reduce” and a consensus price target of $11.43.

FS KKR Capital Stock Performance

The business’s 50-day simple moving average is $11.65 and its two-hundred day simple moving average is $10.98. The firm has a market cap of $3.24 billion, a price-to-earnings ratio of -8.69 and a beta of 0.83. The company has a quick ratio of 2.28, a current ratio of 2.28 and a debt-to-equity ratio of 1.26.

FS KKR Capital (NYSE:FSK) last announced its earnings results on Thursday, August 6th. The company reported $0.43 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.42 by $0.01. FS KKR Capital had a negative net margin of 28.52% and a positive return on equity of 9.70%. The business had revenue of $290.00 million for the quarter, compared to analyst estimates of $286.75 million. During the same quarter last year, the business earned ($0.75) earnings per share. As a group, sell-side analysts expect that FS KKR Capital Corp. will post 1.64 earnings per share for the current fiscal year.

FS KKR Capital Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, October 2nd. Investors of record on Wednesday, September 16th will be given a dividend of $0.44 per share. The ex-dividend date is Wednesday, September 16th. This is a positive change from FS KKR Capital’s previous quarterly dividend of $0.42. This represents a $1.76 dividend on an annualized basis and a yield of 15.0%. FS KKR Capital’s dividend payout ratio (DPR) is -130.37%.

Hedge Funds Weigh In On FS KKR Capital

Several institutional investors and hedge funds have recently bought and sold shares of FSK. Triumph Capital Management grew its stake in shares of FS KKR Capital by 98.1% in the 2nd quarter. Triumph Capital Management now owns 2,575 shares of the company’s stock valued at $27,000 after purchasing an additional 1,275 shares during the last quarter. Harborfront Financial Group LLC acquired a new position in FS KKR Capital in the 2nd quarter valued at $30,000. Basepoint Wealth LLC purchased a new position in FS KKR Capital during the 4th quarter worth $31,000. Kingdom Financial Group LLC. purchased a new position in FS KKR Capital during the 4th quarter worth $50,000. Finally, Northwestern Mutual Wealth Management Co. acquired a new stake in shares of FS KKR Capital in the 2nd quarter worth $53,000. 36.26% of the stock is currently owned by institutional investors and hedge funds.

FS KKR Capital Company Profile

FS KKR Capital Corp. (NYSE: FSK) is a business development company that provides financing to private middle-market companies, primarily in the United States. The company seeks to support businesses across a range of industries by investing in senior secured loans, subordinated debt and, to a lesser extent, equity securities.

FSK’s portfolio is generally focused on established companies with annual revenues and earnings that may require capital for acquisitions, recapitalizations, growth initiatives, refinancings and other corporate purposes.