FS KKR Capital Corp. $FSK is Legacy Capital Group California Inc.'s 10th Largest Position

Key Points

• Legacy Capital Group California increased its stake in FS KKR by 48.8% in Q4 to 313,615 shares (worth $4.645M), making it the fund's 10th-largest holding and 1.1% of its portfolio.
• Several analysts have cut price targets and ratings (Truist, B. Riley, Keefe, RBC among them), and MarketBeat shows a consensus rating of "Reduce" with a $12.50 target price.
• FS KKR missed Q4 estimates (EPS $0.52 vs. $0.55; revenue $348M vs. $361.6M), while insider Daniel Pietrzak purchased 5,000 shares at $11.25, modestly raising his stake.

Legacy Capital Group California Inc. grew its position in shares of FS KKR Capital Corp. (NYSE:FSK - Free Report) by 48.8% during the fourth quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The fund owned 313,615 shares of the company's stock after buying an additional 102,864 shares during the quarter. FS KKR Capital accounts for 1.1% of Legacy Capital Group California Inc.'s portfolio, making the stock its 10th largest position. Legacy Capital Group California Inc.'s holdings in FS KKR Capital were worth $4,645,000 at the end of the most recent quarter.

Several other institutional investors also recently modified their holdings of the business. Bulldog Investors LLP purchased a new position in FS KKR Capital in the third quarter worth about $3,600,000. Alpine Global Management LLC bought a new stake in FS KKR Capital during the 3rd quarter valued at approximately $1,477,000. Corient Private Wealth LLC lifted its holdings in FS KKR Capital by 291.1% in the 2nd quarter. Corient Private Wealth LLC now owns 48,324 shares of the company's stock worth $1,003,000 after purchasing an additional 35,968 shares in the last quarter. Dynamic Technology Lab Private Ltd bought a new position in FS KKR Capital in the 3rd quarter worth approximately $1,135,000. Finally, DNB Asset Management AS raised its position in shares of FS KKR Capital by 37.7% during the third quarter. DNB Asset Management AS now owns 183,144 shares of the company's stock valued at $2,734,000 after buying an additional 50,102 shares during the last quarter. 36.26% of the stock is owned by hedge funds and other institutional investors.

Insider Activity at FS KKR Capital

In related news, insider Daniel Pietrzak acquired 5,000 shares of the stock in a transaction on Friday, February 27th. The shares were acquired at an average price of $11.25 per share, for a total transaction of $56,250.00. Following the transaction, the insider owned 64,800 shares in the company, valued at approximately $729,000. This trade represents a 8.36% increase in their position. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. 0.18% of the stock is owned by insiders.

Analyst Ratings Changes

A number of research analysts have recently commented on the company. Truist Financial lowered their target price on FS KKR Capital from $17.00 to $11.00 and set a "hold" rating for the company in a research report on Wednesday, March 4th. Zacks Research cut FS KKR Capital from a "hold" rating to a "strong sell" rating in a research note on Monday, March 2nd. B. Riley Financial reduced their price target on FS KKR Capital from $17.50 to $11.00 and set a "neutral" rating on the stock in a report on Tuesday, March 3rd. Royal Bank Of Canada decreased their price target on FS KKR Capital from $15.00 to $13.00 and set a "sector perform" rating for the company in a research note on Monday, April 6th. Finally, Keefe, Bruyette & Woods reduced their target price on FS KKR Capital from $15.00 to $11.00 and set a "market perform" rating on the stock in a research note on Thursday, April 16th. Seven investment analysts have rated the stock with a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat.com, FS KKR Capital has a consensus rating of "Reduce" and a consensus target price of $12.50.

FS KKR Capital Price Performance

Shares of FSK opened at $11.02 on Thursday. The company has a 50 day moving average of $11.07 and a two-hundred day moving average of $13.52. The company has a market cap of $3.09 billion, a price-to-earnings ratio of 367.27 and a beta of 0.83. The company has a quick ratio of 3.05, a current ratio of 3.05 and a debt-to-equity ratio of 1.31. FS KKR Capital Corp. has a twelve month low of $9.72 and a twelve month high of $22.68.

FS KKR Capital (NYSE:FSK - Get Free Report) last announced its earnings results on Wednesday, February 25th. The company reported $0.52 earnings per share for the quarter, missing the consensus estimate of $0.55 by ($0.03). FS KKR Capital had a return on equity of 5.21% and a net margin of 0.72%.The business had revenue of $348.00 million for the quarter, compared to analysts' expectations of $361.59 million. During the same quarter last year, the firm earned $0.66 earnings per share. As a group, analysts predict that FS KKR Capital Corp. will post 1.7 earnings per share for the current fiscal year.

FS KKR Capital Dividend Announcement

The business also recently declared a special dividend, which was paid on Thursday, April 2nd. Shareholders of record on Wednesday, March 18th were given a dividend of $0.03 per share. This represents a yield of 118.0%. The ex-dividend date of this dividend was Wednesday, March 18th. FS KKR Capital's dividend payout ratio (DPR) is currently 6,000.00%.

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.

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