Oaktree Specialty Lending Corp. (NASDAQ:OCSL) Declares Quarterly Dividend of $0.40

Key Points

• Oaktree Specialty Lending Corp. has declared a quarterly dividend of $0.40 per share, with a 12.0% yield, and the ex-dividend date is set for September 15th.
• The company currently has a high payout ratio of 95.2%, indicating that its dividend is covered by earnings, but projected earnings may not be sufficient to cover future dividends.
• The stock recently traded at $13.36 and has a one-year trading range between $12.50 and $17.16, with analysts generally rating the stock as a "hold" and a consensus target price of $15.00.

Oaktree Specialty Lending Corp. (NASDAQ:OCSL - Get Free Report) announced a quarterly dividend on Wednesday, August 6th, Wall Street Journal reports. Investors of record on Monday, September 15th will be paid a dividend of 0.40 per share by the credit services provider on Tuesday, September 30th. This represents a c) dividend on an annualized basis and a yield of 12.0%. The ex-dividend date is Monday, September 15th.

Oaktree Specialty Lending has a payout ratio of 95.2% meaning its dividend is currently covered by earnings, but may not be in the future if the company's earnings decline. Equities analysts expect Oaktree Specialty Lending to earn $1.94 per share next year, which means the company may not be able to cover its $2.20 annual dividend with an expected future payout ratio of 113.4%.

Oaktree Specialty Lending Stock Performance

OCSL traded up $0.08 on Wednesday, reaching $13.36. The company had a trading volume of 717,985 shares, compared to its average volume of 723,403. Oaktree Specialty Lending has a 1 year low of $12.50 and a 1 year high of $17.16. The stock has a market capitalization of $1.18 billion, a PE ratio of 102.77 and a beta of 0.69. The company has a quick ratio of 0.23, a current ratio of 0.23 and a debt-to-equity ratio of 0.63. The stock has a 50-day moving average price of $14.09 and a 200-day moving average price of $14.68.

Oaktree Specialty Lending (NASDAQ:OCSL - Get Free Report) last announced its quarterly earnings results on Tuesday, August 5th. The credit services provider reported $0.37 earnings per share for the quarter, missing analysts' consensus estimates of $0.45 by ($0.08). Oaktree Specialty Lending had a net margin of 2.55% and a return on equity of 11.77%. The company had revenue of $75.27 million during the quarter, compared to analysts' expectations of $79.14 million. During the same period last year, the firm earned $0.55 earnings per share. As a group, research analysts forecast that Oaktree Specialty Lending will post 2.06 EPS for the current fiscal year.

Wall Street Analyst Weigh In

A number of research analysts have recently issued reports on OCSL shares. Wells Fargo & Company dropped their price target on shares of Oaktree Specialty Lending from $15.00 to $14.00 and set an "equal weight" rating on the stock in a research note on Monday, April 28th. JPMorgan Chase & Co. dropped their price target on shares of Oaktree Specialty Lending from $15.00 to $14.00 and set a "neutral" rating on the stock in a research note on Thursday, April 24th. Wall Street Zen lowered shares of Oaktree Specialty Lending from a "hold" rating to a "sell" rating in a research note on Monday, May 5th. Keefe, Bruyette & Woods lowered their target price on shares of Oaktree Specialty Lending from $16.50 to $15.00 and set a "market perform" rating on the stock in a research report on Tuesday, April 8th. Finally, B. Riley began coverage on shares of Oaktree Specialty Lending in a research report on Tuesday, May 13th. They issued a "neutral" rating and a $14.00 price target on the stock. One research analyst has rated the stock with a sell rating and seven have assigned a hold rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of "Hold" and a consensus target price of $15.00.

Oaktree Specialty Lending Company Profile

Oaktree Specialty Lending Corporation is a business development company. The fund specializing in investments in middle market, bridge financing, first and second lien debt financing, unsecured and mezzanine loan, mezzanine debt, senior and junior secured debt, expansions, sponsor-led acquisitions, preferred equity, and management buyouts in small and mid-sized companies.

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