OFS Capital Corporation is a business development company specializing in direct and fund investments as well as add-on acquisitions. It does not invest in operational turnarounds or start-up businesses. For direct, it specializes in debt and structured equity investments, recapitalizations and refinancing, management and leveraged buyouts, acquisition financings, shareholder liquidity events, growth capital, independent sponsor transactions, ESOPs, and minority investments in the lower middle market companies. It invests in the aerospace and defense, business services, consumer products and services, food and beverage, health care services, specialty chemicals, transportation and logistics, distribution, franchising, and industrial and niche manufacturing sectors. The fund invests in companies based in United States. It seeks to invest between $3 million and $20 million in companies with revenues between $10 million and $200 million, Annual EBITDA between $3 million and $30 million, and Enterprise value between $10 million and $500 million. The fund seeks to invest in companies with debt values between $5 million and $25 million. The fund uses senior secured, unitranche loans, first-lien, second-lien, mezzanine loans, warrants, and preferred equity securities and common equity securities. It prefers to take a minority stake in the investments made. It also co-invests with its partners for additional capital.
Industry, Sector and Symbol
Stock Exchange NASDAQ
Industry Investors, not elsewhere classified
Sub-IndustryAsset Management & Custody Banks
SectorFinance
SymbolNASDAQ:OFS
CUSIP67103B10
Phone847-734-2000
Debt
Debt-to-Equity Ratio0.85
Current Ratio5.00
Quick Ratio5.00
Price-To-Earnings
Trailing P/E Ratio8.80
Forward P/E Ratio8.60
P/E GrowthN/A
Sales & Book Value
Annual Sales$33.43 million
Price / Sales4.50
Cash Flow$1.1395 per share
Price / Cash9.89
Book Value$14.12 per share
Price / Book0.80
Profitability
EPS (Most Recent Fiscal Year)$1.28
Net Income$7.90 million
Net Margins37.64%
Return on Equity9.17%
Return on Assets4.60%
Miscellaneous
Employees45
Outstanding Shares13,350,000
Market Cap$150.33 million
OFS Capital (NASDAQ:OFS) Frequently Asked Questions
What is OFS Capital's stock symbol?
OFS Capital trades on the NASDAQ under the ticker symbol "OFS."
How often does OFS Capital pay dividends? What is the dividend yield for OFS Capital?
OFS Capital declared a quarterly dividend on Tuesday, July 31st. Shareholders of record on Friday, September 14th will be paid a dividend of $0.34 per share on Friday, September 28th. This represents a $1.36 annualized dividend and a yield of 12.07%. The ex-dividend date of this dividend is Thursday, September 13th. View OFS Capital's Dividend History.
How were OFS Capital's earnings last quarter?
OFS Capital Corp (NASDAQ:OFS) posted its quarterly earnings results on Friday, August, 3rd. The investment management company reported $0.34 EPS for the quarter, beating the Thomson Reuters' consensus estimate of $0.33 by $0.01. The investment management company had revenue of $10.28 million for the quarter, compared to analyst estimates of $10.13 million. OFS Capital had a net margin of 37.64% and a return on equity of 9.17%. View OFS Capital's Earnings History.
When is OFS Capital's next earnings date?
What price target have analysts set for OFS?
1 brokers have issued 12 month price targets for OFS Capital's shares. Their forecasts range from $15.00 to $15.00. On average, they expect OFS Capital's stock price to reach $15.00 in the next twelve months. This suggests a possible upside of 33.1% from the stock's current price. View Analyst Price Targets for OFS Capital.
What is the consensus analysts' recommendation for OFS Capital?
1 Wall Street analysts have issued "buy," "hold," and "sell" ratings for OFS Capital in the last year. There are currently 1 buy rating for the stock, resulting in a consensus recommendation of "Buy." View Analyst Ratings for OFS Capital.
What are Wall Street analysts saying about OFS Capital stock?
Here are some recent quotes from research analysts about OFS Capital stock:
- 1. National Securities analysts commented, " OFS offered $43.5 million of unsecured notes due 2025 with a 6.50% coupon. The overallotment option, which we anticipate will be taken up in full by the underwriters, is $6.5 million. Including the overallotment, net proceeds to OFS after underwriting costs should be $48.1 million.
OFS stated that its revolving credit facility had a balance of $31.0 million on 10/9/18 and thus we expect that the facility will be paid down to zero with the other ~$17.0 million in net proceeds being deployed into new originations. Thus, we do not expect the offering to induce any noticeable drag on earnings.
The notes will be pari passu with the other unsecured notes OFS offered in 2Q18 although previously the notes priced at 6.375%. We do not read too much into this regarding OFS as an issuer and we think the delta in coupon rates is largely a function of bad timing. Equity markets have recently experienced more pronounced volatility and BDCs in particular have also been hit with the recent selloff. As we see it, the slightly higher coupon on these notes is actually very modest given the recent volatility.
Pro-forma for the notes offering, we think the debt mix will be 60% SBA debentures, 20% 6.50% notes, and 20% 6.375% notes. The SBA debentures, which are the lowest cost of funds with a blended rate of 3.18%, should become an increasingly smaller composition of the debt capital stack.
As a result, we think the effective cost of funds (which includes amortization and commitment fees) will be 4.09% in 2018 and 4.87% in 2019, compared with 3.47% in 2017.
We are revising our 2018 adjusted NII/share estimate to $1.32 from $1.34 and our 2019 adjusted NII/share estimate to $1.45 from $1.47 and are maintaining our BUY rating and $15 price target." (10/15/2018)
- 2. According to Zacks Investment Research, "OFS Capital Corporation is a closed-end, non-diversified management investment company. It is engaged in providing capital to North American middle market companies. Its investment objective is to provide its stockholders with both current income and capital appreciation primarily through debt investments and equity investments in asset classes including senior secured, unitranche, second-lien and mezzanine loans. " (10/9/2018)
Who are some of OFS Capital's key competitors?
Some companies that are related to OFS Capital include PennantPark Investment (PNNT), Pennantpark Floating Rate Capital (PFLT), Gladstone Investment (GAIN), Capital Southwest (CSWC), THL Credit (TCRD), Oaktree Strategic Income (OCSI), Arlington Asset Investment (AI), Triplepoint Venture Growth BDC (TPVG), Stellus Capital Investment (SCM), Safeguard Scientifics (SFE), Capitala Finance (CPTA), Garrison Capital (GARS), Amern Cap Sr Fl/COM (ACSF), Firsthand Technology Value Fund (SVVC) and KCAP Financial (KCAP).
Who are OFS Capital's key executives?
OFS Capital's management team includes the folowing people:
- Mr. Bilal Rashid, Chairman & CEO (Age 47)
- Mr. Jeffrey A. Cerny J.D., Treasurer & CFO (Age 55)
- Mr. Jeffery S. Owen, Chief Accounting Officer (Age 54)
- Mr. Stephen Altebrando, VP of Investor Relations
- Ms. Mukya S. Porter, Chief Compliance Officer (Age 44)
How do I buy shares of OFS Capital?
Shares of OFS can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include Vanguard Brokerage Services, TD Ameritrade, E*TRADE, Scottrade, Fidelity and Charles Schwab.
What is OFS Capital's stock price today?
One share of OFS stock can currently be purchased for approximately $11.27.
How big of a company is OFS Capital?
OFS Capital has a market capitalization of $150.33 million and generates $33.43 million in revenue each year. The investment management company earns $7.90 million in net income (profit) each year or $1.28 on an earnings per share basis. OFS Capital employs 45 workers across the globe.
What is OFS Capital's official website?
How can I contact OFS Capital?
OFS Capital's mailing address is 10 SOUTH WACKER DRIVE SUITE 2500, CHICAGO IL, 60606. The investment management company can be reached via phone at 847-734-2000 or via email at [email protected]
MarketBeat Community Rating for OFS Capital (NASDAQ OFS)
MarketBeat's community ratings are surveys of what our community members think about OFS Capital and other stocks. Vote "Outperform" if you believe OFS will outperform the S&P 500 over the long term. Vote "Underperform" if you believe OFS will underperform the S&P 500 over the long term. You may vote once every thirty days.
