Great Elm Capital (NASDAQ:GECC) Upgraded to Buy at Zacks Investment Research

Zacks Investment Research upgraded shares of Great Elm Capital (NASDAQ:GECC) from a hold rating to a buy rating in a report published on Thursday morning, Zacks.com reports. They currently have $9.00 price objective on the financial services provider’s stock.

According to Zacks, “Great Elm Capital Corp. is a diversified investment company. Its business line consists of investment management, financial products and merchant banking. Great Elm Capital Corp. is based in Baltimore, Maryland. “

Separately, ValuEngine cut shares of Great Elm Capital from a hold rating to a sell rating in a research note on Thursday, August 1st.

Shares of Great Elm Capital stock traded up $0.13 during trading on Thursday, reaching $8.19. The company’s stock had a trading volume of 5,255 shares, compared to its average volume of 50,796. Great Elm Capital has a 52-week low of $7.47 and a 52-week high of $10.07. The company has a market cap of $83.34 million, a price-to-earnings ratio of 5.69 and a beta of 0.71. The firm’s 50-day moving average is $8.60 and its two-hundred day moving average is $8.49. The company has a quick ratio of 0.09, a current ratio of 0.09 and a debt-to-equity ratio of 0.67.

Great Elm Capital (NASDAQ:GECC) last announced its quarterly earnings data on Tuesday, August 13th. The financial services provider reported $0.29 earnings per share (EPS) for the quarter, beating the Zacks’ consensus estimate of $0.26 by $0.03. Great Elm Capital had a negative net margin of 15.02% and a positive return on equity of 9.52%. The company had revenue of $6.71 million during the quarter, compared to analysts’ expectations of $6.25 million. On average, equities research analysts anticipate that Great Elm Capital will post 1.03 EPS for the current year.

The firm also recently disclosed a monthly dividend, which was paid on Thursday, August 15th. Stockholders of record on Wednesday, July 31st were paid a $0.083 dividend. The ex-dividend date of this dividend was Tuesday, July 30th. This represents a $1.00 dividend on an annualized basis and a dividend yield of 12.16%. Great Elm Capital’s dividend payout ratio (DPR) is 69.44%.

In other news, major shareholder Mast Capital Management, Llc sold 274,000 shares of the company’s stock in a transaction on Friday, May 24th. The shares were sold at an average price of $8.62, for a total value of $2,361,880.00. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Peter A. Reed acquired 3,143 shares of the business’s stock in a transaction dated Thursday, June 6th. The stock was acquired at an average cost of $8.50 per share, with a total value of $26,715.50. The disclosure for this purchase can be found here. In the last ninety days, insiders bought 15,143 shares of company stock valued at $128,876 and sold 384,900 shares valued at $3,323,987. 1.40% of the stock is currently owned by corporate insiders.

Large investors have recently bought and sold shares of the stock. Punch & Associates Investment Management Inc. raised its holdings in Great Elm Capital by 35.0% during the 1st quarter. Punch & Associates Investment Management Inc. now owns 476,495 shares of the financial services provider’s stock valued at $3,936,000 after buying an additional 123,595 shares during the last quarter. Monarch Partners Asset Management LLC raised its holdings in Great Elm Capital by 27.0% during the 1st quarter. Monarch Partners Asset Management LLC now owns 59,027 shares of the financial services provider’s stock valued at $488,000 after buying an additional 12,541 shares during the last quarter. Quantum Capital Management raised its holdings in Great Elm Capital by 1.3% during the 1st quarter. Quantum Capital Management now owns 297,753 shares of the financial services provider’s stock valued at $2,459,000 after buying an additional 3,939 shares during the last quarter. Thomas J. Herzfeld Advisors Inc. bought a new stake in Great Elm Capital during the 1st quarter valued at $1,247,000. Finally, Marshall Wace LLP bought a new stake in Great Elm Capital during the 2nd quarter valued at $100,000. Institutional investors own 15.00% of the company’s stock.

Great Elm Capital Company Profile

Great Elm Capital Corporation is a business development company which specializes in loan and mezzanine, middle market investments. The fund prefers to invest in media, commercial services and supplies, healthcare, telecommunication services, communications equipment. It typically makes equity investments between $3 million and $10 million in companies with revenues between $3 million and $75 million.

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