Goldman Sachs Group Inc. Purchases 32,258 Shares of FS KKR Capital Corp. $FSK

Key Points

• Goldman Sachs Group Inc. increased its stake in FS KKR Capital Corp. by 13.7%, acquiring an additional 32,258 shares valued at approximately $5.6 million.
• FS KKR Capital recently declared a quarterly dividend of $0.70, up from $0.64, resulting in an annualized dividend of $2.80 and a yield of 16.5%.
• Analysts have lowered their price targets on FS KKR Capital, with the average target now at $18.42 and recent ratings suggesting a consensus classification of "Reduce."

Goldman Sachs Group Inc. grew its position in FS KKR Capital Corp. (NYSE:FSK - Free Report) by 13.7% during the 1st quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 267,890 shares of the company's stock after purchasing an additional 32,258 shares during the quarter. Goldman Sachs Group Inc.'s holdings in FS KKR Capital were worth $5,612,000 as of its most recent SEC filing.

Other institutional investors and hedge funds also recently made changes to their positions in the company. Flaharty Asset Management LLC acquired a new position in shares of FS KKR Capital in the first quarter valued at approximately $29,000. Fourth Dimension Wealth LLC acquired a new stake in FS KKR Capital during the fourth quarter worth approximately $33,000. Caitong International Asset Management Co. Ltd acquired a new stake in FS KKR Capital during the first quarter worth approximately $34,000. Wealth Preservation Advisors LLC acquired a new stake in FS KKR Capital during the first quarter worth approximately $42,000. Finally, Compass Financial Services Inc acquired a new stake in FS KKR Capital during the first quarter worth approximately $50,000. Institutional investors and hedge funds own 36.26% of the company's stock.

FS KKR Capital Stock Performance

FS KKR Capital stock traded down $0.01 during trading hours on Friday, reaching $15.86. 7,913,804 shares of the company's stock were exchanged, compared to its average volume of 1,968,991. The company has a debt-to-equity ratio of 1.31, a quick ratio of 2.40 and a current ratio of 2.40. The firm's 50 day simple moving average is $19.06 and its 200 day simple moving average is $20.10. FS KKR Capital Corp. has a twelve month low of $15.48 and a twelve month high of $24.10.

FS KKR Capital (NYSE:FSK - Get Free Report) last issued its quarterly earnings results on Wednesday, August 6th. The company reported ($0.60) earnings per share for the quarter, missing analysts' consensus estimates of $0.63 by ($1.23). FS KKR Capital had a return on equity of 6.24% and a net margin of 13.24%.The business had revenue of $398.00 million for the quarter, compared to analyst estimates of $402.00 million. During the same quarter in the previous year, the business posted $0.75 earnings per share. As a group, sell-side analysts predict that FS KKR Capital Corp. will post 2.89 earnings per share for the current year.

FS KKR Capital Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, October 2nd. Stockholders of record on Wednesday, September 17th will be paid a $0.70 dividend. The ex-dividend date is Wednesday, September 17th. This represents a $2.80 annualized dividend and a dividend yield of 17.7%. This is a boost from FS KKR Capital's previous quarterly dividend of $0.64. FS KKR Capital's dividend payout ratio (DPR) is 328.21%.

Wall Street Analyst Weigh In

A number of brokerages recently issued reports on FSK. Wells Fargo & Company reduced their price target on FS KKR Capital from $18.00 to $15.00 and set an "underweight" rating on the stock in a research report on Friday, August 8th. Royal Bank Of Canada reduced their price target on FS KKR Capital from $21.00 to $18.00 and set a "sector perform" rating on the stock in a research report on Tuesday, August 26th. Zacks Research upgraded FS KKR Capital to a "strong sell" rating in a research note on Friday, August 8th. Wall Street Zen cut FS KKR Capital from a "hold" rating to a "sell" rating in a research note on Saturday, August 9th. Finally, Keefe, Bruyette & Woods cut their target price on FS KKR Capital from $19.00 to $18.50 and set a "market perform" rating for the company in a research note on Tuesday, August 12th. Five research analysts have rated the stock with a Hold rating and two have given a Sell rating to the stock. According to MarketBeat, the company has a consensus rating of "Reduce" and an average target price of $18.42.

About FS KKR Capital

FS KKR Capital Corp. is a business development company specializing in investments in debt securities. It provides customized credit solutions to private middle market U.S. companies. It invest primarily in the senior secured debt and, to a lesser extent, the subordinated debt of private middle market U.S.