Bank of America Corp DE Lowers Position in Golub Capital BDC, Inc. $GBDC

Key Points

• Bank of America reduced its Golub Capital BDC stake by 7% in the first quarter, selling 245,629 shares and retaining 3.27 million shares worth approximately $41.4 million. Institutional investors collectively own 42.38% of GBDC.
• GBDC shares recently traded at $13.40, up 2.4%, while the company reported quarterly EPS of $0.34, slightly above analyst expectations of $0.33. Analysts maintain a “Moderate Buy” consensus with a $13.90 average price target.
• Golub Capital BDC declared a quarterly dividend of $0.33, equivalent to $1.32 annually and a 9.9% yield; its payout ratio is 203.08%. Director Lawrence E. Golub separately sold 1.68 million shares for about $21.9 million.

Bank of America Corp DE reduced its position in shares of Golub Capital BDC, Inc. (NASDAQ:GBDC - Free Report) by 7.0% during the first quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 3,269,917 shares of the investment management company's stock after selling 245,629 shares during the period. Bank of America Corp DE owned 1.26% of Golub Capital BDC worth $41,397,000 at the end of the most recent quarter.

Several other hedge funds and other institutional investors have also added to or reduced their stakes in GBDC. Sunbelt Securities Inc. purchased a new position in Golub Capital BDC in the first quarter worth $139,000. Royal Bank of Canada increased its position in shares of Golub Capital BDC by 2.4% during the 1st quarter. Royal Bank of Canada now owns 100,967 shares of the investment management company's stock valued at $1,278,000 after purchasing an additional 2,401 shares during the last quarter. Empowered Funds LLC raised its stake in shares of Golub Capital BDC by 19.2% during the 1st quarter. Empowered Funds LLC now owns 34,828 shares of the investment management company's stock worth $441,000 after purchasing an additional 5,619 shares during the period. Evercore Wealth Management LLC raised its stake in shares of Golub Capital BDC by 10.2% during the 1st quarter. Evercore Wealth Management LLC now owns 62,814 shares of the investment management company's stock worth $795,000 after purchasing an additional 5,838 shares during the period. Finally, Family Manage LLC raised its stake in shares of Golub Capital BDC by 133.5% during the 1st quarter. Family Manage LLC now owns 228,526 shares of the investment management company's stock worth $2,893,000 after purchasing an additional 130,648 shares during the period. 42.38% of the stock is currently owned by hedge funds and other institutional investors.

Golub Capital BDC Trading Up 2.4%

Shares of Golub Capital BDC stock opened at $13.40 on Friday. Golub Capital BDC, Inc. has a 1 year low of $11.77 and a 1 year high of $14.93. The firm has a market cap of $3.48 billion, a PE ratio of 20.62 and a beta of 0.39. The company has a debt-to-equity ratio of 1.22, a current ratio of 1.33 and a quick ratio of 1.33. The company has a 50 day simple moving average of $12.89 and a two-hundred day simple moving average of $12.84.

Golub Capital BDC (NASDAQ:GBDC - Get Free Report) last issued its earnings results on Monday, August 3rd. The investment management company reported $0.34 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.33 by $0.01. Golub Capital BDC had a return on equity of 9.91% and a net margin of 21.45%.The business had revenue of $98.53 million during the quarter, compared to analyst estimates of $189.91 million. During the same quarter in the prior year, the firm earned $0.39 earnings per share. Analysts expect that Golub Capital BDC, Inc. will post 1.36 earnings per share for the current fiscal year.

Golub Capital BDC Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, September 29th. Investors of record on Monday, September 14th will be paid a $0.33 dividend. The ex-dividend date of this dividend is Monday, September 14th. This represents a $1.32 dividend on an annualized basis and a yield of 9.9%. Golub Capital BDC's dividend payout ratio (DPR) is presently 203.08%.

Insiders Place Their Bets

In other news, Director Lawrence E. Golub sold 1,676,387 shares of the firm's stock in a transaction dated Friday, August 7th. The shares were sold at an average price of $13.06, for a total value of $21,893,614.22. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. 1.40% of the stock is currently owned by company insiders.

Analyst Upgrades and Downgrades

Several brokerages have issued reports on GBDC. Keefe, Bruyette & Woods lowered their target price on Golub Capital BDC from $14.00 to $13.50 and set an "outperform" rating on the stock in a research note on Wednesday, August 5th. Zacks Research upgraded Golub Capital BDC from a "strong sell" rating to a "hold" rating in a research note on Monday, July 6th. Wall Street Zen raised Golub Capital BDC from a "sell" rating to a "hold" rating in a report on Saturday, August 8th. Royal Bank Of Canada lowered their price objective on Golub Capital BDC from $15.00 to $14.00 and set an "outperform" rating on the stock in a research note on Thursday, May 7th. Finally, Weiss Ratings reaffirmed a "hold (c)" rating on shares of Golub Capital BDC in a report on Wednesday, June 24th. One research analyst has rated the stock with a Strong Buy rating, four have given a Buy rating and two have assigned a Hold rating to the company's stock. According to MarketBeat.com, Golub Capital BDC has a consensus rating of "Moderate Buy" and a consensus price target of $13.90.

Golub Capital BDC Profile

Golub Capital BDC NASDAQ: GBDC is a publicly traded business development company specializing in providing debt and equity financing solutions to middle-market companies in the United States. Externally managed by Golub Capital LLC, the firm focuses on building a diversified portfolio of senior secured loans, unitranche facilities and second-lien debt instruments designed to support growth, acquisitions and recapitalizations. As a closed-end investment vehicle, GBDC offers investors direct exposure to private credit strategies within a regulated structure.

The company's core business activities center on originating and managing bespoke financing arrangements for U.S.

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