Goldman Sachs BDC, Inc. (NYSE:GSBD) Stock Has Consensus Target Price of $8.75 According to Brokerages

Key Points

• Analyst sentiment is mostly negative: Seven brokerages give Goldman Sachs BDC a consensus “Reduce” rating, with four sells, two holds and one strong buy. Their average 12-month price target is $8.75.
• Quarterly results missed expectations: GSBD reported earnings of $0.32 per share versus $0.35 expected, and revenue of $74.99 million versus $80.13 million expected.
• The dividend offers a high stated yield: The company announced a quarterly dividend of $0.32 per share, equivalent to $1.28 annually and a reported 14.9% yield.

Shares of Goldman Sachs BDC, Inc. (NYSE:GSBD - Get Free Report) have been given a consensus rating of "Reduce" by the seven ratings firms that are covering the stock, Marketbeat reports. Four research analysts have rated the stock with a sell rating, two have given a hold rating and one has issued a strong buy rating on the company. The average 1-year price objective among brokerages that have updated their coverage on the stock in the last year is $8.75.

Several equities research analysts recently weighed in on the company. Weiss Ratings cut Goldman Sachs BDC from a "hold (c-)" rating to a "sell (d+)" rating in a research note on Wednesday, November 4th. Zacks Research raised Goldman Sachs BDC from a "hold" rating to a "strong-buy" rating in a report on Tuesday, September 29th. Truist Financial raised their target price on shares of Goldman Sachs BDC from $9.00 to $10.00 and gave the stock a "hold" rating in a research report on Monday, August 10th. Finally, Wall Street Zen upgraded shares of Goldman Sachs BDC from a "sell" rating to a "hold" rating in a research note on Saturday, August 8th.

Goldman Sachs BDC Price Performance

GSBD opened at $8.60 on Tuesday. The stock's 50-day moving average price is $9.20 and its 200 day moving average price is $9.24. Goldman Sachs BDC has a 12-month low of $8.35 and a 12-month high of $10.38. The company has a current ratio of 0.69, a quick ratio of 0.69 and a debt-to-equity ratio of 1.36. The firm has a market cap of $967.65 million, a price-to-earnings ratio of 33.06 and a beta of 0.62.

Goldman Sachs BDC (NYSE:GSBD - Get Free Report) last posted its quarterly earnings results on Thursday, November 5th. The financial services provider reported $0.32 EPS for the quarter, missing the consensus estimate of $0.35 by ($0.03). Goldman Sachs BDC had a return on equity of 11.04% and a net margin of 17.19%. The business had revenue of $74.99 million during the quarter, compared to analyst estimates of $80.13 million. As a group, sell-side analysts expect that Goldman Sachs BDC will post 1.30 earnings per share for the current year.

Goldman Sachs BDC Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, January 27th. Shareholders of record on Thursday, December 31st will be paid a dividend of $0.32 per share. The ex-dividend date of this dividend is Thursday, December 31st. This represents a $1.28 annualized dividend and a yield of 14.9%. Goldman Sachs BDC's dividend payout ratio is currently 492.31%.

Institutional Trading of Goldman Sachs BDC

A number of hedge funds have recently added to or reduced their stakes in the stock. Stiles Financial Services Inc increased its stake in Goldman Sachs BDC by 1.0% in the 3rd quarter. Stiles Financial Services Inc now owns 149,253 shares of the financial services provider's stock worth $1,357,000 after purchasing an additional 1,408 shares in the last quarter. Sovran Advisors LLC lifted its stake in Goldman Sachs BDC by 14.4% during the first quarter. Sovran Advisors LLC now owns 14,245 shares of the financial services provider's stock valued at $140,000 after buying an additional 1,790 shares in the last quarter. Southern Financial Group LLC lifted its stake in Goldman Sachs BDC by 11.1% during the first quarter. Southern Financial Group LLC now owns 18,110 shares of the financial services provider's stock valued at $161,000 after buying an additional 1,806 shares in the last quarter. Arkadios Wealth Advisors boosted its holdings in shares of Goldman Sachs BDC by 3.9% in the first quarter. Arkadios Wealth Advisors now owns 54,217 shares of the financial services provider's stock worth $481,000 after buying an additional 2,047 shares during the period. Finally, Janney Montgomery Scott LLC boosted its holdings in shares of Goldman Sachs BDC by 17.6% in the first quarter. Janney Montgomery Scott LLC now owns 17,000 shares of the financial services provider's stock worth $151,000 after buying an additional 2,545 shares during the period. 28.72% of the stock is owned by institutional investors and hedge funds.

About Goldman Sachs BDC

Goldman Sachs BDC, Inc NYSE: GSBD is a business development company that provides financing to privately owned, middle-market companies. The company seeks to generate income and long-term capital appreciation by investing primarily in debt securities and, to a lesser extent, equity interests.

GSBD's portfolio may include senior secured loans, first-lien and unitranche investments, second-lien loans, subordinated debt, and equity-related investments. Its financing supports companies across a range of industries and is generally used for acquisitions, recapitalizations, growth initiatives, refinancing, and other corporate purposes.

Goldman Sachs BDC is externally managed by an affiliate of Goldman Sachs Asset Management and benefits from the investment platform and resources of the Goldman Sachs organization.

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