FS KKR Capital (NYSE:FSK) Hits New 52-Week Low – Here’s Why

FS KKR Capital Corp. (NYSE:FSK)’s share price reached a new 52-week low during trading on Wednesday . The company traded as low as $9.72 and last traded at $10.0250, with a volume of 616510 shares. The stock had previously closed at $10.26.

Analysts Set New Price Targets

FSK has been the topic of a number of research analyst reports. Wall Street Zen downgraded FS KKR Capital from a “hold” rating to a “sell” rating in a report on Saturday, February 28th. Wells Fargo & Company decreased their target price on FS KKR Capital from $15.00 to $11.00 and set an “equal weight” rating for the company in a research report on Friday, February 27th. Weiss Ratings cut shares of FS KKR Capital from a “hold (c-)” rating to a “sell (d+)” rating in a research note on Thursday, March 5th. Royal Bank Of Canada dropped their price target on shares of FS KKR Capital from $17.00 to $15.00 and set a “sector perform” rating on the stock in a report on Friday, February 27th. Finally, Zacks Research lowered shares of FS KKR Capital from a “hold” rating to a “strong sell” rating in a research note on Monday, March 2nd. Seven equities research analysts have rated the stock with a Hold rating and two have given a Sell rating to the company. According to MarketBeat.com, FS KKR Capital has an average rating of “Reduce” and an average target price of $13.36.

FS KKR Capital Price Performance

The company has a quick ratio of 3.05, a current ratio of 3.05 and a debt-to-equity ratio of 1.31. The company has a fifty day moving average of $12.75 and a 200 day moving average of $14.54.

FS KKR Capital (NYSE:FSK) last posted its earnings results on Wednesday, February 25th. The company reported $0.52 earnings per share for the quarter, missing analysts’ consensus estimates of $0.55 by ($0.03). The firm had revenue of $348.00 million during the quarter, compared to the consensus estimate of $361.59 million. FS KKR Capital had a net margin of 0.72% and a return on equity of 5.21%. During the same period in the prior year, the company posted $0.66 EPS. Equities research analysts predict that FS KKR Capital Corp. will post 2.89 EPS for the current fiscal year.

FS KKR Capital Dividend Announcement

The firm also recently disclosed a special dividend, which will be paid on Thursday, April 2nd. Stockholders of record on Wednesday, March 18th will be paid a $0.03 dividend. This represents a dividend yield of 118.0%. The ex-dividend date is Wednesday, March 18th. FS KKR Capital’s dividend payout ratio is 6,000.00%.

Insider Activity

In other FS KKR Capital news, insider Daniel Pietrzak acquired 5,000 shares of the company’s stock in a transaction that occurred on Friday, February 27th. The shares were bought at an average price of $11.25 per share, with a total value of $56,250.00. Following the completion of the acquisition, the insider owned 64,800 shares in the company, valued at $729,000. This represents a 8.36% increase in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Insiders own 0.18% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in FSK. Transce3nd LLC increased its holdings in shares of FS KKR Capital by 3.5% in the 2nd quarter. Transce3nd LLC now owns 17,426 shares of the company’s stock worth $362,000 after buying an additional 591 shares during the last quarter. Aries Wealth Management raised its position in shares of FS KKR Capital by 3.1% during the 3rd quarter. Aries Wealth Management now owns 23,565 shares of the company’s stock valued at $352,000 after buying an additional 700 shares in the last quarter. Bison Wealth LLC lifted its holdings in shares of FS KKR Capital by 3.4% in the 4th quarter. Bison Wealth LLC now owns 21,935 shares of the company’s stock valued at $476,000 after acquiring an additional 720 shares during the last quarter. Kathmere Capital Management LLC grew its position in FS KKR Capital by 2.5% in the fourth quarter. Kathmere Capital Management LLC now owns 37,305 shares of the company’s stock worth $552,000 after acquiring an additional 900 shares in the last quarter. Finally, Acorn Wealth Advisors LLC grew its position in FS KKR Capital by 1.4% in the fourth quarter. Acorn Wealth Advisors LLC now owns 65,079 shares of the company’s stock worth $964,000 after acquiring an additional 914 shares in the last quarter. 36.26% of the stock is currently owned by institutional investors.

About FS KKR Capital

FS KKR Capital Corp (NYSE:FSK) is a closed-end, externally managed business development company that primarily invests in private middle-market U.S. companies. The firm seeks to generate current income and capital appreciation by structuring investments in floating-rate senior secured loans, unitranche financings, second lien debt and mezzanine instruments. As a business development company, FSK provides financing solutions designed to support growth initiatives, acquisitions, leveraged buyouts and recapitalizations for privately held enterprises.

Established in 2018 through a strategic partnership between FS Investment Corporation and KKR Credit Advisors, a division of global investment firm KKR & Co Inc, FSK combines the credit underwriting capabilities of KKR’s global platform with FS’s expertise in private credit markets.