Marble Wealth LLC Makes New $1.57 Million Investment in FS KKR Capital Corp. $FSK

Key Points

• Marble Wealth LLC disclosed a new position in FS KKR Capital Corp., buying 105,832 shares valued at about $1.57 million in the fourth quarter.
• FS KKR Capital recently priced a $900 million offering of 7.50% senior unsecured notes due 2031, a move that may help refinance debt and strengthen its long-term funding profile.
• The company’s latest earnings missed analyst expectations, while its dividend remains high at $0.42 per quarter for an annualized yield of about 15.4%; meanwhile, analysts largely rate the stock a Hold/Reduce.

Marble Wealth LLC bought a new position in FS KKR Capital Corp. (NYSE:FSK - Free Report) in the 4th quarter, according to its most recent disclosure with the Securities & Exchange Commission. The fund bought 105,832 shares of the company's stock, valued at approximately $1,567,000.

Several other large investors have also bought and sold shares of FSK. Thurston Springer Miller Herd & Titak Inc. purchased a new position in shares of FS KKR Capital during the fourth quarter valued at approximately $26,000. FNY Investment Advisers LLC purchased a new position in shares of FS KKR Capital during the fourth quarter valued at approximately $28,000. Halbert Hargrove Global Advisors LLC purchased a new position in shares of FS KKR Capital during the fourth quarter valued at approximately $31,000. Basepoint Wealth LLC purchased a new position in shares of FS KKR Capital during the fourth quarter valued at approximately $31,000. Finally, Strategic Advocates LLC purchased a new position in shares of FS KKR Capital during the third quarter valued at approximately $38,000. 36.26% of the stock is owned by hedge funds and other institutional investors.

More FS KKR Capital News

Here are the key news stories impacting FS KKR Capital this week:

• Positive Sentiment: FS KKR Capital priced a $900 million offering of 7.50% senior unsecured notes due 2031, which suggests it has secured long-term funding and may use part of the proceeds to refinance secured debt. KBRA assigned the notes a BBB- rating with a stable outlook, supporting the view that the financing is manageable. Article title
• Positive Sentiment: The notes received a BBB- rating from KBRA, which may help reassure investors that FS KKR Capital can access capital markets on reasonable terms despite volatility in credit markets. Article title
• Neutral Sentiment: Several law firms issued reminders about the July 3-6 lead-plaintiff deadlines in the securities class action against FS KKR Capital, keeping legal overhang in focus but not adding new allegations beyond the existing lawsuit. Article title
• Neutral Sentiment: Additional legal notices reiterated that a class action has been filed over alleged portfolio valuation misrepresentations and investor losses, underscoring uncertainty around the company’s prior disclosures. Article title
• Negative Sentiment: The repeated securities-fraud and lead-plaintiff alerts could weigh on sentiment because they highlight ongoing litigation risk and potential distraction/costs for FS KKR Capital Corp. NYSE: FSK. Article title

FS KKR Capital Stock Up 0.1%

Shares of FSK stock opened at $10.92 on Wednesday. FS KKR Capital Corp. has a 12 month low of $9.72 and a 12 month high of $22.68. The stock has a market cap of $3.06 billion, a P/E ratio of -5.54 and a beta of 0.83. The company has a current ratio of 2.00, a quick ratio of 2.00 and a debt-to-equity ratio of 1.38. The company has a 50 day simple moving average of $10.68 and a two-hundred day simple moving average of $12.75.

FS KKR Capital (NYSE:FSK - Get Free Report) last announced its earnings results on Monday, May 11th. The company reported $0.41 EPS for the quarter, missing analysts' consensus estimates of $0.44 by ($0.03). The business had revenue of $304.00 million for the quarter, compared to analysts' expectations of $316.81 million. FS KKR Capital had a negative net margin of 38.65% and a positive return on equity of 4.34%. The firm's quarterly revenue was down 24.0% on a year-over-year basis. During the same period in the prior year, the company posted $0.65 earnings per share. On average, research analysts expect that FS KKR Capital Corp. will post 1.66 earnings per share for the current year.

FS KKR Capital Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, July 2nd. Stockholders of record on Wednesday, June 17th will be paid a $0.42 dividend. The ex-dividend date of this dividend is Wednesday, June 17th. This represents a $1.68 dividend on an annualized basis and a dividend yield of 15.4%. FS KKR Capital's dividend payout ratio is -91.37%.

Analysts Set New Price Targets

FSK has been the subject of several research reports. Wall Street Zen cut shares of FS KKR Capital from a "hold" rating to a "sell" rating in a report on Saturday, February 28th. JPMorgan Chase & Co. decreased their price objective on shares of FS KKR Capital from $13.00 to $9.50 and set a "neutral" rating for the company in a report on Friday, March 13th. B. Riley Financial decreased their price objective on shares of FS KKR Capital from $17.50 to $11.00 and set a "neutral" rating for the company in a report on Tuesday, March 3rd. Weiss Ratings cut shares of FS KKR Capital from a "hold (c-)" rating to a "sell (d+)" rating in a report on Thursday, March 5th. Finally, Truist Financial decreased their price objective on shares of FS KKR Capital from $17.00 to $11.00 and set a "hold" rating for the company in a report on Wednesday, March 4th. Seven investment analysts have rated the stock with a Hold rating and one has given a Sell rating to the company's stock. Based on data from MarketBeat, the stock presently has a consensus rating of "Reduce" and an average target price of $10.58.

FS KKR Capital Company Profile

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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