Sovereign Financial Group Inc. Buys New Position in FS KKR Capital Corp. (NYSE:FSK)

Sovereign Financial Group Inc. purchased a new position in shares of FS KKR Capital Corp. (NYSE:FSK) during the 1st quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The fund purchased 26,855 shares of the company’s stock, valued at approximately $512,000.

A number of other institutional investors and hedge funds have also recently bought and sold shares of FSK. Mather Group LLC. purchased a new stake in shares of FS KKR Capital during the first quarter worth about $39,000. Planned Solutions Inc. purchased a new stake in FS KKR Capital during the 4th quarter worth approximately $40,000. Citigroup Inc. raised its position in shares of FS KKR Capital by 587.2% in the 3rd quarter. Citigroup Inc. now owns 2,474 shares of the company’s stock valued at $49,000 after purchasing an additional 2,114 shares in the last quarter. Raleigh Capital Management Inc. boosted its stake in shares of FS KKR Capital by 20.8% during the 3rd quarter. Raleigh Capital Management Inc. now owns 3,337 shares of the company’s stock valued at $66,000 after buying an additional 575 shares during the last quarter. Finally, Fortis Group Advisors LLC purchased a new position in shares of FS KKR Capital during the 3rd quarter valued at approximately $69,000. Hedge funds and other institutional investors own 36.26% of the company’s stock.

Analyst Upgrades and Downgrades

A number of brokerages recently issued reports on FSK. Wells Fargo & Company upgraded shares of FS KKR Capital from an “equal weight” rating to an “overweight” rating and lifted their price target for the stock from $19.00 to $21.00 in a research note on Wednesday, May 29th. B. Riley restated a “buy” rating and issued a $21.00 target price (up previously from $20.00) on shares of FS KKR Capital in a research note on Friday, May 10th. JPMorgan Chase & Co. increased their price target on shares of FS KKR Capital from $18.00 to $19.00 and gave the stock a “neutral” rating in a research report on Friday, April 12th. Finally, Keefe, Bruyette & Woods lowered their price objective on FS KKR Capital from $22.00 to $20.00 and set a “market perform” rating for the company in a report on Tuesday, April 16th. Seven analysts have rated the stock with a hold rating and two have issued a buy rating to the stock. According to data from MarketBeat, FS KKR Capital currently has a consensus rating of “Hold” and a consensus target price of $20.28.

FS KKR Capital Price Performance

FSK opened at $19.70 on Friday. The company has a quick ratio of 2.26, a current ratio of 2.26 and a debt-to-equity ratio of 1.16. The company’s 50-day moving average price is $19.81 and its 200 day moving average price is $19.75. FS KKR Capital Corp. has a fifty-two week low of $18.31 and a fifty-two week high of $20.99. The firm has a market cap of $5.52 billion, a price-to-earnings ratio of 8.21 and a beta of 1.24.

FS KKR Capital (NYSE:FSK) last announced its quarterly earnings results on Wednesday, May 8th. The company reported $0.73 earnings per share for the quarter, topping analysts’ consensus estimates of $0.71 by $0.02. FS KKR Capital had a return on equity of 12.42% and a net margin of 37.06%. The business had revenue of $434.00 million for the quarter, compared to analysts’ expectations of $429.46 million. As a group, sell-side analysts expect that FS KKR Capital Corp. will post 2.83 earnings per share for the current year.

FS KKR Capital Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Tuesday, July 2nd. Shareholders of record on Wednesday, June 12th will be paid a $0.70 dividend. This represents a $2.80 dividend on an annualized basis and a yield of 14.21%. This is a boost from FS KKR Capital’s previous quarterly dividend of $0.64. The ex-dividend date of this dividend is Wednesday, June 12th. FS KKR Capital’s dividend payout ratio (DPR) is presently 106.67%.

Insider Activity

In other news, Director Barbara Adams acquired 3,381 shares of the business’s stock in a transaction that occurred on Wednesday, May 15th. The shares were purchased at an average cost of $20.10 per share, for a total transaction of $67,958.10. Following the transaction, the director now directly owns 22,082 shares in the company, valued at approximately $443,848.20. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Corporate insiders own 0.25% of the company’s stock.

About FS KKR Capital

FS KKR Capital Corp. is a business development company specializing in investments in debt securities. It provides customized credit solutions to private middle market U.S. companies. It invest primarily in the senior secured debt and, to a lesser extent, the subordinated debt of private middle market U.S.