FS Credit Opportunities (NYSE:FSCO) Shares Gap Down – Should You Sell?

FS Credit Opportunities Corp. (NYSE:FSCO)’s stock price gapped down before the market opened on Friday . The stock had previously closed at $5.10, but opened at $4.51. FS Credit Opportunities shares last traded at $4.52, with a volume of 5,470,937 shares traded.

FS Credit Opportunities Stock Down 10.0%

The stock has a 50 day moving average price of $5.94 and a two-hundred day moving average price of $6.44.

FS Credit Opportunities Cuts Dividend

The company also recently announced a monthly dividend, which will be paid on Tuesday, March 31st. Shareholders of record on Tuesday, March 24th will be given a $0.0583 dividend. This represents a c) annualized dividend and a yield of 15.2%. The ex-dividend date of this dividend is Tuesday, March 24th.

Insider Transactions at FS Credit Opportunities

In other FS Credit Opportunities news, insider Michael C. Forman purchased 38,549 shares of FS Credit Opportunities stock in a transaction dated Thursday, February 26th. The shares were acquired at an average price of $5.20 per share, with a total value of $200,454.80. Following the completion of the transaction, the insider owned 44,312 shares of the company’s stock, valued at $230,422.40. This trade represents a 668.91% increase in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. 0.27% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in FSCO. Allworth Financial LP lifted its holdings in FS Credit Opportunities by 3.0% during the 2nd quarter. Allworth Financial LP now owns 50,691 shares of the company’s stock worth $368,000 after buying an additional 1,500 shares in the last quarter. Maridea Wealth Management LLC grew its stake in shares of FS Credit Opportunities by 2.2% in the fourth quarter. Maridea Wealth Management LLC now owns 74,940 shares of the company’s stock worth $472,000 after acquiring an additional 1,581 shares in the last quarter. Moors & Cabot Inc. increased its position in shares of FS Credit Opportunities by 4.4% during the third quarter. Moors & Cabot Inc. now owns 40,569 shares of the company’s stock worth $280,000 after acquiring an additional 1,720 shares during the period. Private Advisor Group LLC raised its stake in shares of FS Credit Opportunities by 0.7% in the third quarter. Private Advisor Group LLC now owns 247,429 shares of the company’s stock valued at $1,710,000 after acquiring an additional 1,829 shares in the last quarter. Finally, Certior Financial Group LLC boosted its holdings in FS Credit Opportunities by 0.7% in the fourth quarter. Certior Financial Group LLC now owns 289,753 shares of the company’s stock valued at $1,825,000 after purchasing an additional 1,965 shares during the period. Institutional investors and hedge funds own 36.37% of the company’s stock.

About FS Credit Opportunities

FS Credit Opportunities Fund Inc (NYSE: FSCO) is a diversified closed-end management investment company that seeks to provide shareholders with a high level of current income and capital appreciation. The fund pursues its objectives by investing primarily in corporate credit instruments, including high-yield bonds, leveraged loans and other credit-related securities. FSCO’s flexible mandate allows it to allocate across the credit spectrum, rotating among sectors, maturities and structures in response to changing market conditions.

Under normal market environments, the fund typically invests at least 80% of its total assets in non-investment grade corporate debt securities, with the remainder allocated to investment-grade obligations, cash and cash equivalents.