Goldman Sachs BDC, Inc. (NYSE:GSBD) Plans $0.03 Dividend

Key Points

• Goldman Sachs BDC declared a $0.03-per-share dividend, payable September 15 to shareholders of record August 31; the ex-dividend date is also August 31.
• The dividend may face coverage pressure: the current payout ratio is 92.1%, while projected next-year earnings imply a payout ratio of 119.6% against the company’s $1.28 annualized dividend.
• Goldman Sachs BDC reported quarterly EPS of $0.37, beating estimates of $0.31. Its shares opened at $9.07, up 2.7%, with institutional investors owning 28.72% of the stock.

Goldman Sachs BDC, Inc. (NYSE:GSBD - Get Free Report) announced a dividend on Thursday, August 6th. Investors of record on Monday, August 31st will be given a dividend of 0.03 per share by the financial services provider on Tuesday, September 15th. The ex-dividend date is Monday, August 31st.

Goldman Sachs BDC has raised its dividend payment by an average of 0.0%annually over the last three years. Goldman Sachs BDC has a dividend payout ratio of 92.1% meaning its dividend is currently covered by earnings, but may not be in the future if the company's earnings fall. Equities analysts expect Goldman Sachs BDC to earn $1.07 per share next year, which means the company may not be able to cover its $1.28 annual dividend with an expected future payout ratio of 119.6%.

Goldman Sachs BDC Trading Up 2.7%

NYSE GSBD opened at $9.07 on Friday. The firm has a market capitalization of $1.02 billion, a price-to-earnings ratio of 13.95 and a beta of 0.57. The company has a debt-to-equity ratio of 1.39, a quick ratio of 1.11 and a current ratio of 1.11. Goldman Sachs BDC has a one year low of $8.35 and a one year high of $11.62. The company's 50 day moving average price is $9.06 and its 200 day moving average price is $9.19.

Goldman Sachs BDC (NYSE:GSBD - Get Free Report) last released its quarterly earnings data on Thursday, August 6th. The financial services provider reported $0.37 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.31 by $0.06. Goldman Sachs BDC had a net margin of 21.32% and a return on equity of 10.94%. The company had revenue of $35.08 million during the quarter, compared to the consensus estimate of $78.89 million. On average, sell-side analysts predict that Goldman Sachs BDC will post 1.15 EPS for the current year.

Institutional Trading of Goldman Sachs BDC

Large investors have recently modified their holdings of the business. Saxon Interests Inc. grew its stake in shares of Goldman Sachs BDC by 0.8% in the first quarter. Saxon Interests Inc. now owns 122,912 shares of the financial services provider's stock worth $1,091,000 after acquiring an additional 1,032 shares during the last quarter. IHT Wealth Management LLC raised its stake in Goldman Sachs BDC by 5.7% during the 2nd quarter. IHT Wealth Management LLC now owns 21,647 shares of the financial services provider's stock valued at $244,000 after purchasing an additional 1,173 shares during the last quarter. Ameriprise Financial Inc. raised its stake in Goldman Sachs BDC by 1.4% during the 3rd quarter. Ameriprise Financial Inc. now owns 100,190 shares of the financial services provider's stock valued at $1,019,000 after purchasing an additional 1,397 shares during the last quarter. Founders Financial Alliance LLC boosted its holdings in Goldman Sachs BDC by 3.2% in the 4th quarter. Founders Financial Alliance LLC now owns 46,643 shares of the financial services provider's stock valued at $433,000 after purchasing an additional 1,444 shares during the period. Finally, MML Investors Services LLC grew its position in Goldman Sachs BDC by 3.0% in the 2nd quarter. MML Investors Services LLC now owns 55,554 shares of the financial services provider's stock worth $625,000 after purchasing an additional 1,599 shares during the last quarter. 28.72% of the stock is currently owned by institutional investors and hedge funds.

About Goldman Sachs BDC

Goldman Sachs BDC, Inc NYSE: GSBD is an externally managed, closed-end, non-diversified management investment company organized as a business development company (BDC) under the U.S. Investment Company Act of 1940. The company's primary objective is to generate current income and capital appreciation through debt and equity investments in U.S. middle-market companies. It principally invests in senior secured loans, mezzanine debt, preferred equity and, to a lesser extent, common equity, focusing on sponsor-backed transactions and special-situation financings.

The fund is advised by affiliates of Goldman Sachs Asset Management's Private Credit Group, leveraging the firm's global research capabilities and risk management infrastructure.

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