OFS Credit Company, Inc. (NASDAQ:OCCI) Announces Monthly Dividend of $0.05

Key Points

• OFS Credit announced a $0.05-per-share monthly dividend, payable September 30 to shareholders of record on September 15. The dividend carries a reported annualized yield of 24.3%.
• The company’s 127.9% dividend payout ratio indicates earnings alone do not currently cover the distribution, so OFS Credit is relying on its balance sheet to fund dividend payments.
• OFS Credit shares opened at $2.47, near their 12-month low of $2.15 and below their 50-day and 200-day moving averages; institutional investors own 23.77% of the stock.

OFS Credit Company, Inc. (NASDAQ:OCCI - Get Free Report) announced a monthly dividend on Monday, August 17th. Investors of record on Tuesday, September 15th will be paid a dividend of 0.05 per share on Wednesday, September 30th. This represents a c) annualized dividend and a yield of 24.3%. The ex-dividend date of this dividend is Tuesday, September 15th.

OFS Credit has a dividend payout ratio of 127.9% indicating that the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments.

OFS Credit Price Performance

NASDAQ OCCI opened at $2.47 on Tuesday. The firm's 50-day moving average is $2.56 and its two-hundred day moving average is $3.03. OFS Credit has a 12 month low of $2.15 and a 12 month high of $6.14. The stock has a market capitalization of $72.55 million, a P/E ratio of -2.02 and a beta of 0.72.

OFS Credit (NASDAQ:OCCI - Get Free Report) last announced its earnings results on Tuesday, June 9th. The company reported $0.19 earnings per share for the quarter. The company had revenue of $9.20 million for the quarter.

Institutional Investors Weigh In On OFS Credit

Institutional investors and hedge funds have recently modified their holdings of the company. NewEdge Advisors LLC boosted its holdings in OFS Credit by 21.6% during the 1st quarter. NewEdge Advisors LLC now owns 17,696 shares of the company's stock valued at $108,000 after acquiring an additional 3,138 shares during the period. Virtus Investment Advisers LLC increased its stake in OFS Credit by 0.9% during the fourth quarter. Virtus Investment Advisers LLC now owns 421,233 shares of the company's stock worth $2,039,000 after purchasing an additional 3,796 shares during the period. Osaic Holdings Inc. increased its stake in OFS Credit by 61.3% during the second quarter. Osaic Holdings Inc. now owns 10,783 shares of the company's stock worth $67,000 after purchasing an additional 4,100 shares during the period. Raymond James Financial Inc. acquired a new stake in shares of OFS Credit during the second quarter worth about $26,000. Finally, Kestra Advisory Services LLC lifted its position in shares of OFS Credit by 12.1% during the first quarter. Kestra Advisory Services LLC now owns 92,856 shares of the company's stock worth $268,000 after purchasing an additional 10,000 shares in the last quarter. Hedge funds and other institutional investors own 23.77% of the company's stock.

About OFS Credit

OFS Credit Company, Inc NASDAQ: OCCI is a closed-end, externally managed business development company that primarily invests in senior secured loans to U.S. middle-market companies. As a registered investment company under the Investment Company Act of 1940, OFS Credit seeks to generate current income and capital appreciation by providing first-lien and second-lien debt financing to privately held and sponsor-backed businesses. The company targets borrowers with stable cash flows and defensible market positions across diverse industries, including business services, healthcare, manufacturing and technology.

The company's investment portfolio is weighted toward floating-rate loan instruments and subordinated debt, complemented by selective equity and equity-related securities.

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