Gladstone Capital (NASDAQ:GLAD) Cut to "Strong Sell" at Zacks Research

Key Points

• Gladstone Capital has been downgraded by Zacks Research from a "hold" to a "strong sell" rating, indicating a significant shift in analyst sentiment regarding the stock.
• The company reported $0.50 earnings per share for the last quarter, matching analysts' expectations, but missed revenue forecasts with $21.66 million against a projected $21.93 million.
• Despite a recent downgrade, other analysts have assigned varying ratings, leading to an average rating of "Hold" with a target price of $24.50 for Gladstone Capital shares.

Gladstone Capital (NASDAQ:GLAD - Get Free Report) was downgraded by investment analysts at Zacks Research from a "hold" rating to a "strong sell" rating in a note issued to investors on Monday,Zacks.com reports.

Several other analysts also recently weighed in on GLAD. B. Riley raised Gladstone Capital to a "hold" rating in a report on Monday, June 16th. Weiss Ratings reissued a "buy (b-)" rating on shares of Gladstone Capital in a report on Tuesday. LADENBURG THALM/SH SH raised Gladstone Capital to a "hold" rating in a report on Wednesday, August 6th. Finally, Oppenheimer boosted their target price on Gladstone Capital from $24.00 to $26.00 and gave the company a "market perform" rating in a report on Wednesday, August 6th. One equities research analyst has rated the stock with a Buy rating, three have assigned a Hold rating and one has given a Sell rating to the stock. According to MarketBeat, the company presently has an average rating of "Hold" and an average target price of $24.50.

Gladstone Capital Stock Down 0.2%

Shares of NASDAQ GLAD opened at $20.12 on Monday. The company has a market capitalization of $449.28 million, a price-to-earnings ratio of 5.94 and a beta of 0.99. The company has a debt-to-equity ratio of 0.06, a current ratio of 0.08 and a quick ratio of 0.08. The business has a 50-day moving average of $24.26 and a two-hundred day moving average of $25.71. Gladstone Capital has a 1 year low of $19.29 and a 1 year high of $30.43.

Gladstone Capital (NASDAQ:GLAD - Get Free Report) last announced its quarterly earnings results on Monday, August 4th. The investment management company reported $0.50 earnings per share (EPS) for the quarter, hitting analysts' consensus estimates of $0.50. Gladstone Capital had a return on equity of 9.43% and a net margin of 84.60%.The company had revenue of $21.66 million during the quarter, compared to the consensus estimate of $21.93 million. On average, analysts forecast that Gladstone Capital will post 2.03 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Gladstone Capital

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. CWM LLC acquired a new position in Gladstone Capital during the 2nd quarter worth approximately $32,000. Steward Partners Investment Advisory LLC purchased a new stake in shares of Gladstone Capital during the 2nd quarter worth approximately $37,000. WFA of San Diego LLC purchased a new stake in shares of Gladstone Capital during the 2nd quarter worth approximately $42,000. First Horizon Advisors Inc. purchased a new stake in shares of Gladstone Capital during the 2nd quarter worth approximately $44,000. Finally, Allworth Financial LP purchased a new stake in shares of Gladstone Capital during the 2nd quarter worth approximately $46,000. Institutional investors and hedge funds own 10.72% of the company's stock.

Gladstone Capital Company Profile

Gladstone Capital Corporation is a business development company specializing in lower middle market, growth capital, add on acquisitions, change of control, buy & build strategies, debt refinancing, debt investments in senior term loans, revolving loans, secured first and second lien term loans, senior subordinated loans, unitranche loans, junior subordinated loans, and mezzanine loans and equity investments in the form of common stock, preferred stock, limited liability company interests, or warrants.

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