Crescent Capital BDC (NASDAQ:CCAP) Cut to “Strong Sell” at Zacks Research

Zacks Research downgraded shares of Crescent Capital BDC (NASDAQ:CCAP) from a hold rating to a strong sell rating in a research report released on Monday,Zacks.com reports.

Several other research firms have also issued reports on CCAP. Oppenheimer dropped their price objective on Crescent Capital BDC from $20.00 to $19.00 and set an “outperform” rating for the company in a research note on Friday, November 14th. Keefe, Bruyette & Woods lowered their price target on Crescent Capital BDC from $17.00 to $15.50 and set an “outperform” rating on the stock in a report on Friday, November 14th. Wall Street Zen upgraded Crescent Capital BDC from a “sell” rating to a “hold” rating in a research report on Saturday, January 10th. Finally, Wells Fargo & Company cut their price objective on Crescent Capital BDC from $15.00 to $14.00 and set an “equal weight” rating for the company in a report on Friday, November 14th. One research analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating, one has given a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus price target of $16.38.

Crescent Capital BDC Stock Performance

Crescent Capital BDC stock opened at $14.74 on Monday. The firm’s 50 day simple moving average is $14.33 and its 200 day simple moving average is $14.58. The company has a current ratio of 1.20, a quick ratio of 1.20 and a debt-to-equity ratio of 1.23. The firm has a market capitalization of $545.23 million, a PE ratio of 15.04 and a beta of 0.54. Crescent Capital BDC has a 1-year low of $13.03 and a 1-year high of $20.19.

Crescent Capital BDC (NASDAQ:CCAP) last announced its quarterly earnings results on Wednesday, November 12th. The company reported $0.46 EPS for the quarter, missing the consensus estimate of $0.47 by ($0.01). The firm had revenue of $41.35 million during the quarter, compared to the consensus estimate of $42.35 million. Crescent Capital BDC had a net margin of 20.84% and a return on equity of 9.76%. As a group, analysts expect that Crescent Capital BDC will post 2.09 earnings per share for the current fiscal year.

Crescent Capital BDC Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, January 15th. Stockholders of record on Wednesday, December 31st will be issued a $0.42 dividend. This represents a $1.68 dividend on an annualized basis and a dividend yield of 11.4%. The ex-dividend date is Wednesday, December 31st. Crescent Capital BDC’s dividend payout ratio is presently 171.43%.

Hedge Funds Weigh In On Crescent Capital BDC

A number of large investors have recently modified their holdings of CCAP. Royal Bank of Canada lifted its position in Crescent Capital BDC by 3.6% in the 1st quarter. Royal Bank of Canada now owns 61,707 shares of the company’s stock worth $1,056,000 after buying an additional 2,128 shares during the last quarter. Catalina Capital Group LLC purchased a new position in shares of Crescent Capital BDC during the second quarter worth approximately $174,000. Apollon Wealth Management LLC lifted its holdings in shares of Crescent Capital BDC by 57.2% in the 2nd quarter. Apollon Wealth Management LLC now owns 36,479 shares of the company’s stock worth $514,000 after acquiring an additional 13,267 shares during the last quarter. Catalyst Capital Advisors LLC bought a new stake in shares of Crescent Capital BDC in the 2nd quarter worth approximately $69,000. Finally, Sumitomo Mitsui Trust Group Inc. boosted its stake in shares of Crescent Capital BDC by 36.7% in the 2nd quarter. Sumitomo Mitsui Trust Group Inc. now owns 110,423 shares of the company’s stock valued at $1,557,000 after purchasing an additional 29,657 shares in the last quarter. 49.46% of the stock is owned by hedge funds and other institutional investors.

About Crescent Capital BDC

Crescent Capital BDC, Inc is a closed-end, externally managed business development company that provides flexible financing solutions to middle market companies in the United States. Trading on the Nasdaq under the ticker CCAP, the firm offers investors exposure to a diversified portfolio of debt and equity instruments, targeting businesses with attractive risk-adjusted return profiles. Its primary objective is to generate current income through interest payments and potential capital appreciation via selective equity co-investments.

The company’s investment strategy emphasizes senior secured loans, unsecured second-lien loans, mezzanine debt, as well as preferred and common equity co-investments.