Main Street Capital (NYSE:MAIN) Hits New 52-Week Low – What’s Next?

Main Street Capital Corporation (NYSE:MAIN) reached a new 52-week low during mid-day trading on Friday . The stock traded as low as $49.65 and last traded at $49.3450, with a volume of 423556 shares. The stock had previously closed at $51.02.

Analyst Upgrades and Downgrades

A number of research analysts have weighed in on MAIN shares. Truist Financial reduced their target price on Main Street Capital from $60.00 to $53.00 and set a “hold” rating on the stock in a report on Tuesday. Wells Fargo & Company initiated coverage on Main Street Capital in a research report on Friday. They issued an “equal weight” rating and a $50.00 target price for the company. Citigroup reissued an “outperform” rating on shares of Main Street Capital in a research report on Tuesday, January 27th. Wall Street Zen lowered Main Street Capital from a “hold” rating to a “sell” rating in a research report on Saturday, May 16th. Finally, Weiss Ratings lowered Main Street Capital from a “buy (b)” rating to a “buy (b-)” rating in a research report on Monday, May 11th. Four investment analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the company. According to MarketBeat.com, Main Street Capital currently has a consensus rating of “Hold” and a consensus target price of $59.14.

Main Street Capital Stock Performance

The company has a debt-to-equity ratio of 0.11, a quick ratio of 0.06 and a current ratio of 0.06. The business has a 50-day moving average price of $53.92 and a 200 day moving average price of $57.88. The stock has a market capitalization of $4.59 billion, a P/E ratio of 10.39 and a beta of 0.76.

Main Street Capital (NYSE:MAIN) last issued its quarterly earnings results on Thursday, May 7th. The financial services provider reported $0.93 EPS for the quarter, missing analysts’ consensus estimates of $1.04 by ($0.11). Main Street Capital had a return on equity of 12.01% and a net margin of 74.86%.The company had revenue of $73.44 million during the quarter, compared to the consensus estimate of $145.23 million. As a group, sell-side analysts forecast that Main Street Capital Corporation will post 3.96 EPS for the current fiscal year.

Main Street Capital Announces Dividend

The business also recently declared a monthly dividend, which will be paid on Tuesday, September 15th. Stockholders of record on Tuesday, September 8th will be given a $0.265 dividend. This represents a c) dividend on an annualized basis and a dividend yield of 6.4%. The ex-dividend date of this dividend is Tuesday, September 8th. Main Street Capital’s payout ratio is currently 65.68%.

Hedge Funds Weigh In On Main Street Capital

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Garner Asset Management Corp bought a new position in Main Street Capital in the 4th quarter valued at approximately $28,000. Smartleaf Asset Management LLC raised its stake in Main Street Capital by 109.6% during the 2nd quarter. Smartleaf Asset Management LLC now owns 478 shares of the financial services provider’s stock valued at $28,000 after buying an additional 250 shares during the last quarter. Investors Research Corp purchased a new stake in Main Street Capital during the 4th quarter valued at $30,000. Assetmark Inc. increased its stake in shares of Main Street Capital by 203.0% in the 3rd quarter. Assetmark Inc. now owns 506 shares of the financial services provider’s stock worth $32,000 after purchasing an additional 339 shares in the last quarter. Finally, Sankala Group LLC purchased a new stake in shares of Main Street Capital in the 4th quarter worth $29,000. 20.31% of the stock is owned by institutional investors.

About Main Street Capital

Main Street Capital Corporation (NYSE: MAIN) is a publicly traded business development company that provides flexible debt and equity capital to lower middle market companies in the United States. Headquartered in Houston, Texas, Main Street Capital was formed in 2007 and operates under the Investment Company Act of 1940. The firm’s management services are provided by Main Street Capital Management, L.P., which focuses on identifying growing private companies with enterprise values typically between $10 million and $150 million.

Main Street Capital’s primary offerings include first-lien senior secured loans, second-lien loans, subordinated debt, and equity co-investments or minority equity positions.