Goldman Sachs BDC, Inc. (NYSE:GSBD) Given Average Rating of "Reduce" by Analysts

Key Points

• Analysts hold a bearish view of GSBD: Seven brokerages assign the stock a consensus “Reduce” rating, including three sells and four holds. The average one-year price target is $8.75, below its reported $9.70 opening price.
• Goldman Sachs BDC reported quarterly EPS of $0.37, exceeding the $0.31 analyst estimate, while revenue totaled $35.08 million versus the $78.89 million consensus estimate.
• The company declared a quarterly dividend of $0.32, equivalent to $1.28 annually and a reported 13.2% yield; however, its dividend payout ratio is high at 246.15%.

Goldman Sachs BDC, Inc. (NYSE:GSBD - Get Free Report) has been assigned a consensus recommendation of "Reduce" from the seven brokerages that are covering the company, Marketbeat reports. Three equities research analysts have rated the stock with a sell rating and four have issued a hold rating on the company. The average 1-year price target among brokers that have issued ratings on the stock in the last year is $8.75.

A number of research analysts recently issued reports on the stock. Truist Financial boosted their price objective on shares of Goldman Sachs BDC from $9.00 to $10.00 and gave the company a "hold" rating in a research report on Monday, August 10th. Weiss Ratings reaffirmed a "hold (c-)" rating on shares of Goldman Sachs BDC in a report on Friday, August 28th. Wall Street Zen upgraded Goldman Sachs BDC from a "sell" rating to a "hold" rating in a research note on Saturday, August 8th. The Goldman Sachs Group cut Goldman Sachs BDC from a "neutral" rating to a "reduce" rating and set a $8.50 price target for the company. in a report on Thursday, July 9th. Finally, Bank of America restated an "underperform" rating and set a $8.50 price objective (down from $9.00) on shares of Goldman Sachs BDC in a research report on Thursday, July 9th.

Institutional Investors Weigh In On Goldman Sachs BDC

Hedge funds have recently made changes to their positions in the stock. Saxon Interests Inc. increased its position in Goldman Sachs BDC by 0.8% during the 1st quarter. Saxon Interests Inc. now owns 122,912 shares of the financial services provider's stock valued at $1,091,000 after purchasing an additional 1,032 shares during the period. Sovran Advisors LLC lifted its position in shares of Goldman Sachs BDC by 14.4% in the 1st quarter. Sovran Advisors LLC now owns 14,245 shares of the financial services provider's stock worth $140,000 after purchasing an additional 1,790 shares during the period. Southern Financial Group LLC lifted its position in shares of Goldman Sachs BDC by 11.1% in the 1st quarter. Southern Financial Group LLC now owns 18,110 shares of the financial services provider's stock worth $161,000 after purchasing an additional 1,806 shares during the period. Arkadios Wealth Advisors boosted its stake in shares of Goldman Sachs BDC by 3.9% in the 1st quarter. Arkadios Wealth Advisors now owns 54,217 shares of the financial services provider's stock valued at $481,000 after purchasing an additional 2,047 shares during the last quarter. Finally, PFG Investments LLC increased its position in shares of Goldman Sachs BDC by 3.3% during the first quarter. PFG Investments LLC now owns 72,858 shares of the financial services provider's stock worth $647,000 after buying an additional 2,319 shares during the period. 28.72% of the stock is currently owned by institutional investors and hedge funds.

Goldman Sachs BDC Stock Down 0.1%

GSBD stock opened at $9.70 on Monday. Goldman Sachs BDC has a 52 week low of $8.35 and a 52 week high of $11.31. The business has a 50-day simple moving average of $9.46 and a 200 day simple moving average of $9.31. The company has a quick ratio of 0.69, a current ratio of 0.69 and a debt-to-equity ratio of 1.36. The company has a market cap of $1.09 billion, a PE ratio of 18.64 and a beta of 0.60.

Goldman Sachs BDC (NYSE:GSBD - Get Free Report) last announced its quarterly earnings data on Thursday, August 6th. The financial services provider reported $0.37 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.31 by $0.06. The firm had revenue of $35.08 million for the quarter, compared to the consensus estimate of $78.89 million. Goldman Sachs BDC had a net margin of 17.19% and a return on equity of 11.04%. Sell-side analysts anticipate that Goldman Sachs BDC will post 1.29 EPS for the current fiscal year.

Goldman Sachs BDC Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, October 28th. Stockholders of record on Wednesday, September 30th will be issued a $0.32 dividend. The ex-dividend date of this dividend is Wednesday, September 30th. This represents a $1.28 dividend on an annualized basis and a dividend yield of 13.2%. Goldman Sachs BDC's dividend payout ratio is 246.15%.

About Goldman Sachs BDC

Goldman Sachs BDC, Inc NYSE: GSBD is a business development company that invests in privately held, middle-market businesses. The company seeks to generate income and provide long-term capital appreciation by making investments primarily in debt securities and, to a lesser extent, equity interests.

Goldman Sachs BDC's portfolio typically includes senior secured loans, unitranche loans, second-lien loans and subordinated debt, along with equity investments such as warrants or other ownership interests.

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