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

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) declared a quarterly dividend on Wednesday, August 6th, Wall Street Journal reports. Investors of record on Monday, September 15th will be given a dividend of 0.40 per share by the credit services provider on Tuesday, September 30th. This represents a c) annualized dividend and a yield of 11.9%. The ex-dividend date of this dividend 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 fall. Equities research 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 Price Performance

OCSL traded up $0.11 during trading on Friday, hitting $13.40. 648,111 shares of the company traded hands, compared to its average volume of 635,328. The company has a market cap of $1.18 billion, a PE ratio of 23.93 and a beta of 0.69. The stock's 50-day simple moving average is $14.02 and its two-hundred day simple moving average is $14.63. Oaktree Specialty Lending has a 1 year low of $12.50 and a 1 year high of $17.16. The company has a current ratio of 0.21, a quick ratio of 0.21 and a debt-to-equity ratio of 0.63.

Oaktree Specialty Lending (NASDAQ:OCSL - Get Free Report) last posted its earnings results on Tuesday, August 5th. The credit services provider reported $0.37 earnings per share for the quarter, missing the consensus estimate of $0.45 by ($0.08). The company had revenue of $75.27 million for the quarter, compared to analysts' expectations of $79.14 million. Oaktree Specialty Lending had a net margin of 13.84% and a return on equity of 10.94%. During the same period in the previous year, the business posted $0.55 earnings per share. As a group, sell-side analysts anticipate that Oaktree Specialty Lending will post 2.06 earnings per share for the current fiscal year.

Insider Activity at Oaktree Specialty Lending

In other Oaktree Specialty Lending news, insider Armen Panossian acquired 8,000 shares of the company's stock in a transaction on Thursday, May 15th. The stock was acquired at an average cost of $14.13 per share, with a total value of $113,040.00. Following the purchase, the insider directly owned 20,789 shares of the company's stock, valued at approximately $293,748.57. This represents a 62.55% increase in their position. The purchase was disclosed in a document filed with the SEC, which is available through this hyperlink. 0.28% of the stock is owned by insiders.

Institutional Investors Weigh In On Oaktree Specialty Lending

Institutional investors have recently made changes to their positions in the company. National Bank of Canada FI lifted its holdings in shares of Oaktree Specialty Lending by 259.0% in the 1st quarter. National Bank of Canada FI now owns 1,691 shares of the credit services provider's stock worth $26,000 after acquiring an additional 1,220 shares during the last quarter. SVB Wealth LLC bought a new stake in shares of Oaktree Specialty Lending in the 1st quarter worth about $26,000. MTM Investment Management LLC bought a new stake in shares of Oaktree Specialty Lending in the 2nd quarter worth about $34,000. Abound Wealth Management bought a new stake in shares of Oaktree Specialty Lending in the 2nd quarter worth about $35,000. Finally, PNC Financial Services Group Inc. bought a new stake in shares of Oaktree Specialty Lending in the 1st quarter worth about $47,000. Institutional investors own 36.79% of the company's stock.

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.