FS KKR Capital (NYSE:FSK) Hits New 1-Year High Following Strong Earnings

FS KKR Capital Corp. (NYSE:FSK) reached a new 52-week high during trading on Thursday following a stronger than expected earnings report. The stock traded as high as $21.07 and last traded at $21.07, with a volume of 240463 shares. The stock had previously closed at $20.81.

The company reported $0.74 earnings per share for the quarter, topping the consensus estimate of $0.70 by $0.04. FS KKR Capital had a return on equity of 12.39% and a net margin of 35.46%. The firm had revenue of $441.00 million for the quarter, compared to analyst estimates of $423.58 million. During the same period last year, the company earned $0.80 earnings per share.

FS KKR Capital Increases Dividend

The firm also recently disclosed a None dividend, which will be paid on Wednesday, December 18th. Investors of record on Wednesday, December 4th will be issued a $0.70 dividend. This represents a yield of 12.7%. This is a positive change from FS KKR Capital’s previous None dividend of $0.64. The ex-dividend date of this dividend is Wednesday, December 4th. FS KKR Capital’s dividend payout ratio is 113.27%.

Analysts Set New Price Targets

Several research analysts have recently issued reports on FSK shares. Royal Bank of Canada reissued a “sector perform” rating and issued a $20.00 price target on shares of FS KKR Capital in a research note on Wednesday, August 14th. Wells Fargo & Company reduced their price objective on shares of FS KKR Capital from $21.00 to $20.00 and set an “overweight” rating for the company in a report on Tuesday, October 29th. Six equities research analysts have rated the stock with a hold rating and two have issued a buy rating to the company. According to MarketBeat, the stock has an average rating of “Hold” and a consensus price target of $19.94.

Insider Activity

In other news, CEO Michael C. Forman sold 195,139 shares of FS KKR Capital stock in a transaction that occurred on Thursday, August 15th. The shares were sold at an average price of $19.56, for a total value of $3,816,918.84. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Insiders own 0.25% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds have recently bought and sold shares of the company. International Assets Investment Management LLC grew its position in FS KKR Capital by 1,967.7% in the 3rd quarter. International Assets Investment Management LLC now owns 3,165,817 shares of the company’s stock worth $62,462,000 after purchasing an additional 3,012,711 shares during the last quarter. Sanctuary Advisors LLC acquired a new stake in shares of FS KKR Capital during the 2nd quarter worth about $19,544,000. Cetera Investment Advisers lifted its holdings in FS KKR Capital by 368.3% during the 1st quarter. Cetera Investment Advisers now owns 886,811 shares of the company’s stock valued at $16,911,000 after purchasing an additional 697,453 shares during the last quarter. Maia Wealth LLC acquired a new position in FS KKR Capital in the second quarter valued at about $10,560,000. Finally, 1832 Asset Management L.P. grew its stake in FS KKR Capital by 529.7% during the first quarter. 1832 Asset Management L.P. now owns 610,140 shares of the company’s stock worth $11,635,000 after buying an additional 513,239 shares during the last quarter. 36.26% of the stock is owned by institutional investors and hedge funds.

FS KKR Capital Stock Up 0.6 %

The company has a market cap of $5.86 billion, a P/E ratio of 9.27 and a beta of 1.25. The company has a debt-to-equity ratio of 1.19, a current ratio of 2.34 and a quick ratio of 2.34. The business’s 50 day moving average price is $20.10 and its 200-day moving average price is $19.94.

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.