OFS Capital (NASDAQ:OFS) Share Price Passes Below 200-Day Moving Average – Here’s What Happened

OFS Capital Corporation (NASDAQ:OFS)’s stock price crossed below its 200-day moving average during trading on Thursday . The stock has a 200-day moving average of $6.80 and traded as low as $5.01. OFS Capital shares last traded at $5.08, with a volume of 30,944 shares changing hands.

Analyst Ratings Changes

A number of equities research analysts recently commented on OFS shares. Weiss Ratings lowered OFS Capital from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Wednesday, January 7th. Wall Street Zen upgraded OFS Capital from a “sell” rating to a “hold” rating in a report on Saturday, November 8th. Loop Capital set a $7.00 price target on OFS Capital in a report on Tuesday, November 4th. Capital One Financial set a $7.00 price target on shares of OFS Capital in a research report on Tuesday, November 4th. Finally, Noble Financial initiated coverage on shares of OFS Capital in a research report on Tuesday, November 4th. They issued a “neutral” rating for the company. One analyst has rated the stock with a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Reduce” and an average price target of $7.00.

OFS Capital Stock Performance

The company has a current ratio of 0.04, a quick ratio of 0.04 and a debt-to-equity ratio of 0.43. The business’s 50-day simple moving average is $4.92 and its 200-day simple moving average is $6.80.

OFS Capital (NASDAQ:OFS) last posted its quarterly earnings results on Thursday, October 30th. The investment management company reported $0.22 earnings per share for the quarter, missing analysts’ consensus estimates of $0.24 by ($0.02). OFS Capital had a return on equity of 8.95% and a net margin of 7.52%.The business had revenue of $10.55 million for the quarter, compared to the consensus estimate of $9.80 million. On average, analysts forecast that OFS Capital Corporation will post 1.17 earnings per share for the current year.

OFS Capital Cuts Dividend

The firm also recently announced a quarterly dividend, which was paid on Wednesday, December 31st. Shareholders of record on Friday, December 19th were given a dividend of $0.17 per share. The ex-dividend date was Friday, December 19th. This represents a $0.68 annualized dividend and a dividend yield of 13.4%. OFS Capital’s payout ratio is presently 283.33%.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in the stock. Bank of America Corp DE increased its holdings in OFS Capital by 245.3% in the fourth 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. Ritholtz Wealth Management acquired a new position in shares of OFS Capital during the 2nd quarter worth about $347,000. Connor Clark & Lunn Investment Management Ltd. increased its stake in shares of OFS Capital by 5.2% in the 2nd quarter. Connor Clark & Lunn Investment Management Ltd. now owns 63,166 shares of the investment management company’s stock valued at $533,000 after acquiring an additional 3,105 shares during the last quarter. Two Sigma Investments LP raised its position in shares of OFS Capital by 5.8% in the 3rd quarter. Two Sigma Investments LP now owns 120,908 shares of the investment management company’s stock valued at $930,000 after acquiring an additional 6,636 shares during the period. Finally, International Assets Investment Management LLC boosted its stake in OFS Capital by 16.9% during the 3rd quarter. International Assets Investment Management LLC now owns 168,003 shares of the investment management company’s stock worth $1,418,000 after acquiring an additional 24,264 shares during the last quarter. 10.81% of the stock is currently owned by institutional investors.

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.