FS KKR Capital (NYSE:FSK) Hits New 1-Year High – Still a Buy?

Shares of FS KKR Capital Corp. (NYSE:FSK) hit a new 52-week high during mid-day trading on Monday . The stock traded as high as $21.79 and last traded at $21.79, with a volume of 1944 shares changing hands. The stock had previously closed at $21.77.

Wall Street Analyst Weigh In

Several brokerages have recently weighed in on FSK. Royal Bank of Canada upped their price objective on FS KKR Capital from $20.00 to $21.00 and gave the company a “sector perform” rating in a report on Monday, November 18th. Wells Fargo & Company reduced their price objective on shares of FS KKR Capital from $21.00 to $20.00 and set an “overweight” rating for the company in a research report on Tuesday, October 29th. Six research analysts have rated the stock with a hold rating and two have given a buy rating to the company’s stock. According to data from MarketBeat, the stock has a consensus rating of “Hold” and an average target price of $20.06.

FS KKR Capital Stock Performance

The firm’s 50-day moving average price is $20.40 and its two-hundred day moving average price is $20.11. The company has a quick ratio of 2.96, a current ratio of 2.96 and a debt-to-equity ratio of 1.21. The firm has a market capitalization of $6.18 billion, a PE ratio of 11.58 and a beta of 1.25.

FS KKR Capital (NYSE:FSK) last announced its earnings results on Wednesday, November 6th. The company reported $0.74 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.70 by $0.04. FS KKR Capital had a net margin of 29.98% and a return on equity of 12.31%. The company had revenue of $441.00 million for the quarter, compared to the consensus estimate of $423.58 million. During the same period in the previous year, the business earned $0.80 EPS. As a group, research analysts predict that FS KKR Capital Corp. will post 2.89 earnings per share for the current fiscal year.

FS KKR Capital Increases Dividend

The firm also recently announced a None dividend, which will be paid on Wednesday, December 18th. Shareholders of record on Wednesday, December 4th will be paid a dividend of $0.70 per share. This represents a yield of 12.7%. The ex-dividend date is Wednesday, December 4th. This is a boost from FS KKR Capital’s previous None dividend of $0.64. FS KKR Capital’s payout ratio is 136.17%.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the stock. World Investment Advisors LLC boosted its stake in shares of FS KKR Capital by 22.9% during the 3rd quarter. World Investment Advisors LLC now owns 17,707 shares of the company’s stock valued at $349,000 after buying an additional 3,297 shares during the period. McIlrath & Eck LLC boosted its position in FS KKR Capital by 47.5% during the third quarter. McIlrath & Eck LLC now owns 2,096 shares of the company’s stock valued at $41,000 after purchasing an additional 675 shares during the last quarter. Barclays PLC grew its stake in FS KKR Capital by 24.8% in the third quarter. Barclays PLC now owns 327,469 shares of the company’s stock valued at $6,460,000 after purchasing an additional 65,054 shares in the last quarter. Nomura Asset Management Co. Ltd. increased its position in FS KKR Capital by 164.8% in the 3rd quarter. Nomura Asset Management Co. Ltd. now owns 6,016 shares of the company’s stock worth $119,000 after purchasing an additional 3,744 shares during the last quarter. Finally, MML Investors Services LLC raised its stake in shares of FS KKR Capital by 7.8% during the 3rd quarter. MML Investors Services LLC now owns 396,575 shares of the company’s stock worth $7,824,000 after purchasing an additional 28,734 shares in the last quarter. Institutional investors and hedge funds own 36.26% of the company’s stock.

FS KKR Capital Company Profile

FS KKR Capital Corp. is a business development company specializing in investments in debt securities. It provides customized credit solutions to private middle market U.S. companies. It invest primarily in the senior secured debt and, to a lesser extent, the subordinated debt of private middle market U.S.