FS Investment Corporation is a business development company specializing in investments in debt securities. It seeks to purchase interests in loans through secondary market transactions or directly from the target companies as primary market investments. It also seeks to invest in first lien senior secured loans, second lien secured loans and, to a lesser extent, subordinated loans, or mezzanine loans. In connection with the debt investments, the firm also receives equity interests such as warrants or options as additional consideration. It also seek to purchase minority interests in the form of common or preferred equity in our target companies, either in conjunction with one of the debt investments or through a co-investment with a financial sponsor. Additionally, on an opportunistic basis, the fund may also invest in corporate bonds and similar debt securities. The fund does not seek to invest in start-up companies, turnaround situations, or companies with speculative business plans. It seeks to invest in small and middle-market companies based in United States. The fund seeks to invest in firms with annual revenue between $10 million to $2.5 billion. It seeks to exit from securities by selling them in a privately negotiated over- the- counter market. For any investments that are not able to be sold within the secondary market, the firm seeks to exit such investments through repayment, an initial public offering of equity securities, merger, sale or recapitalization.
Industry, Sector and Symbol
Stock Exchange NYSE
Industry N/A
Sub-IndustryN/A
SectorFinance
Current SymbolNYSE:FSIC
Previous Symbol
CUSIPN/A
Phone215-495-1150
Debt
Debt-to-Equity Ratio0.75
Current Ratio1.94
Quick Ratio1.94
Price-To-Earnings
Trailing P/E Ratio7.46
Forward P/E Ratio7.71
P/E Growth2.59
Sales & Book Value
Annual Sales$419.31 million
Price / Sales3.52
Cash Flow$0.8487 per share
Price / Cash7.27
Book Value$9.30 per share
Price / Book0.66
Profitability
EPS (Most Recent Fiscal Year)$0.83
Net Income$181.98 million
Net Margins-3.73%
Return on Equity9.57%
Return on Assets5.31%
Miscellaneous
EmployeesN/A
Outstanding Shares239,150,000
Market Cap$1.48 billion
OptionableOptionable
FS Investment (NYSE:FSIC) Frequently Asked Questions
What is FS Investment's stock symbol?
FS Investment trades on the New York Stock Exchange (NYSE) under the ticker symbol "FSIC."
How often does FS Investment pay dividends? What is the dividend yield for FS Investment?
FS Investment declared a special dividend on Thursday, November 8th. Shareholders of record on Monday, November 19th will be paid a dividend of $0.09 per share on Monday, December 3rd. This represents a yield of 11.53%. The ex-dividend date is Friday, November 16th. View FS Investment's Dividend History.
How will FS Investment's stock buyback program work?
FS Investment declared that its Board of Directors has initiated a share buyback program on Friday, March 2nd 2018, which allows the company to buyback $50,000,000.00 in shares, according to EventVestor. This buyback authorization allows the company to purchase shares of its stock through open market purchases. Stock buyback programs are generally a sign that the company's management believes its shares are undervalued.
How were FS Investment's earnings last quarter?
FS Investment Co. (NYSE:FSIC) announced its earnings results on Wednesday, November, 7th. The financial services provider reported $0.24 EPS for the quarter, topping the consensus estimate of $0.20 by $0.04. The financial services provider had revenue of $94.52 million for the quarter, compared to analyst estimates of $96.66 million. FS Investment had a positive return on equity of 9.57% and a negative net margin of 3.73%. View FS Investment's Earnings History.
When is FS Investment's next earnings date?
What price target have analysts set for FSIC?
4 brokerages have issued 12-month target prices for FS Investment's stock. Their predictions range from $8.00 to $10.00. On average, they anticipate FS Investment's share price to reach $8.6667 in the next year. This suggests a possible upside of 40.5% from the stock's current price. View Analyst Price Targets for FS Investment.
What is the consensus analysts' recommendation for FS Investment?
4 Wall Street analysts have issued "buy," "hold," and "sell" ratings for FS Investment in the last year. There are currently 3 hold ratings and 1 buy rating for the stock, resulting in a consensus recommendation of "Hold." View Analyst Ratings for FS Investment.
What are Wall Street analysts saying about FS Investment stock?
Here are some recent quotes from research analysts about FS Investment stock:
- 1. According to Zacks Investment Research, "FS Investment Corporation is a business development company. It primarily originates and invests in senior secured loans and other securities of private U.S. companies, with the investment objective of generating current income and, to a lesser extent, long-term capital appreciation. FS Investment Corporation is based in United States. " (11/16/2018)
- 2. National Securities analysts commented, " FSIC earned adjusted NII/share of $0.23 for 3Q18 compared with our estimate of $0.21 and the quarterly dividend of $0.19/share. The incentive fee was not earned on the quarter as non-accruals at cost increased to $210.4 million or 5.7% of the portfolio from $22.7 million or 0.6% of the portfolio Q/Q.
Notably, Advanced Lighting, ThermaSys, and MC Precision Holdings were added to non-accrual with a combined cost of $187.7 million.
While this is disappointing, we note that if assume that all of Advanced Lighting’s loans go to zero and the entire subordinated loan of ThermaSys goes to zero, this would have an impact of $0.21/share for 1Q19 (using our estimate for total shares outstanding). We use this in our assumptions, as we think that given the discount to NAV this is what the market is pricing in. Assuming further negative marks in the merger quarter (4Q18) and then zeros on Advanced Lighting and ThermaSys, NAV/share would pro-forma be $8.34 at 3/31/18 by our estimates.
On a pro-forma basis for the merger, total non-accruals at cost would be $302.3 million or 3.9% of the portfolio at cost and subordinated debt would decline to 8.3% of the book at fair value from 9.5% and bonds would drop to 2.1% from 5.2%. Secured debt should decline to 70.6% from 73.4% but ABL, which we consider to be secured debt given it has lower default rates than cash flow loans, would be 5.9% of the combined portfolio. Additionally, the JV would be another 4.1% of the portfolio.
We continue to think that the market is pricing in a disaster scenario which we do not view as likely. Even when we assume Advanced Lighting and ThermaSys go to zero, this is on a much larger combined portfolio with a more muted impact on NAV/share.
We are revising 2018 adjusted NII/share estimate to $0.82 from $0.79 and our 2019 adjusted NII/share estimate to $0.82 from $0.88. We are maintaining our BUY rating and reducing our price target to $10 from $11. " (11/12/2018)
Has FS Investment been receiving favorable news coverage?
Headlines about FSIC stock have trended very positive on Monday, InfoTrie Sentiment reports. The research group identifies negative and positive media coverage by monitoring more than six thousand blog and news sources in real time. The firm ranks coverage of publicly-traded companies on a scale of negative five to positive five, with scores closest to five being the most favorable. FS Investment earned a media sentiment score of 3.1 on InfoTrie's scale. They also gave news articles about the financial services provider a news buzz of 10.0 out of 10, meaning that recent media coverage is extremely likely to have an impact on the company's share price in the immediate future.
Are investors shorting FS Investment?
FS Investment saw a increase in short interest in the month of October. As of October 15th, there was short interest totalling 1,532,808 shares, an increase of 109.9% from the September 28th total of 730,260 shares. Based on an average daily volume of 1,497,879 shares, the days-to-cover ratio is currently 1.0 days. Approximately 0.6% of the company's shares are sold short. View FS Investment's Current Options Chain.
Who are some of FS Investment's key competitors?
Some companies that are related to FS Investment include American Homes 4 Rent (AMH), Zillow Group (Z), New Residential Investment (NRZ), Euronet Worldwide (EEFT), CyrusOne (CONE), BERKELEY Grp HO/ADR (BKGFY), American Campus Communities (ACC), Apollo Global Management (APO), SBI (SBHGF), CubeSmart (CUBE), BOK Financial (BOKF), Webster Financial (WBS), Popular (BPOP), Healthcare Trust Of America (HTA) and City Developments (CDEVY).
Who are FS Investment's key executives?
FS Investment's management team includes the folowing people:
- Mr. Michael Craig Forman, Chairman and Chief Exec. Officer (Age 57)
- Mr. Todd Christopher Builione J.D., Pres & Director (Age 43)
- Mr. William Balke Goebel CFA, CPA, Chief Financial Officer and Treasurer (Age 43)
- Mr. Daniel Ryan Pietrzak, Chief Investment Officer
- Mr. Marc Yaklofsky, Sr. VP, Head of Communications & Investor Relations
Who are FS Investment's major shareholders?
FS Investment's stock is owned by a number of of retail and institutional investors. Top institutional investors include Commonwealth Equity Services LLC (4.46%), LPL Financial LLC (2.69%), Muzinich & Co. Inc. (2.15%), Private Advisor Group LLC (0.70%), BlackRock Inc. (0.48%) and Mckinley Capital Management LLC Delaware (0.38%). Company insiders that own FS Investment stock include Barry Frank, Brian Gerson, David J Adelman, Gregory P Chandler, James Francis Volk, Michael C Forman, Michael Heller, Michael J Hagan, Michael John Kelly, Pedro A Ramos, Thomas Gravina and Zachary Klehr. View Institutional Ownership Trends for FS Investment.
Which institutional investors are selling FS Investment stock?
FSIC stock was sold by a variety of institutional investors in the last quarter, including Muzinich & Co. Inc., Alliancebernstein L.P., Advisory Research Inc., Sumitomo Mitsui Asset Management Company LTD, JPMorgan Chase & Co., JPMorgan Chase & Co., Commonwealth Equity Services LLC and Bank of New York Mellon Corp. View Insider Buying and Selling for FS Investment.
Which institutional investors are buying FS Investment stock?
FSIC stock was bought by a variety of institutional investors in the last quarter, including Private Advisor Group LLC, LPL Financial LLC, Strategic Wealth Advisors Group LLC, Acadian Asset Management LLC, Pin Oak Investment Advisors Inc., Alps Advisors Inc., Cornerstone Wealth Management LLC and Mckinley Capital Management LLC Delaware. Company insiders that have bought FS Investment stock in the last two years include Barry Frank, Brian Gerson, David J Adelman, Gregory P Chandler, James Francis Volk, Michael C Forman, Michael Heller, Michael J Hagan, Michael John Kelly, Pedro A Ramos, Thomas Gravina and Zachary Klehr. View Insider Buying and Selling for FS Investment.
How do I buy shares of FS Investment?
Shares of FSIC 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 FS Investment's stock price today?
One share of FSIC stock can currently be purchased for approximately $6.17.
How big of a company is FS Investment?
FS Investment has a market capitalization of $1.48 billion and generates $419.31 million in revenue each year. The financial services provider earns $181.98 million in net income (profit) each year or $0.83 on an earnings per share basis.
What is FS Investment's official website?
How can I contact FS Investment?
FS Investment's mailing address is 201 ROUSE BOULEVARD, PHILADELPHIA PA, 19112. The financial services provider can be reached via phone at 215-495-1150.
MarketBeat Community Rating for FS Investment (NYSE FSIC)
MarketBeat's community ratings are surveys of what our community members think about FS Investment and other stocks. Vote "Outperform" if you believe FSIC will outperform the S&P 500 over the long term. Vote "Underperform" if you believe FSIC will underperform the S&P 500 over the long term. You may vote once every thirty days.
