Oaktree Specialty Lending (NASDAQ:OCSL) Lowered to Sell at Zacks Investment Research

Zacks Investment Research lowered shares of Oaktree Specialty Lending (NASDAQ:OCSL) from a hold rating to a sell rating in a research note issued to investors on Friday morning, Zacks.com reports.

According to Zacks, “Oaktree Specialty Lending Corporation is a specialty finance company. It provides customized, one-stop credit solutions to companies with limited access to public or syndicated capital markets. The company generates current income and capital appreciation by providing companies with flexible and innovative financing solutions including first and second lien loans, unsecured and mezzanine loans and preferred equity. Oaktree Specialty Lending Corporation, formerly known as Fifth Street Finance Corp., is based in CA, United States. “

Several other brokerages have also recently commented on OCSL. Janney Montgomery Scott initiated coverage on shares of Oaktree Specialty Lending in a research report on Monday, July 29th. They set a neutral rating for the company. TheStreet upgraded shares of Oaktree Specialty Lending from a c rating to a b rating in a research report on Monday, August 12th. Finally, National Securities reiterated a buy rating and set a $7.00 target price on shares of Oaktree Specialty Lending in a research report on Monday, May 13th. One equities research analyst has rated the stock with a sell rating, two have given a hold rating and three have given a buy rating to the company. Oaktree Specialty Lending currently has an average rating of Hold and an average price target of $6.25.

Shares of Oaktree Specialty Lending stock opened at $5.20 on Friday. The firm has a fifty day moving average of $5.28 and a two-hundred day moving average of $5.30. The stock has a market capitalization of $726.65 million, a price-to-earnings ratio of 12.09, a PEG ratio of 5.28 and a beta of 0.52. Oaktree Specialty Lending has a 52 week low of $4.08 and a 52 week high of $5.75. The company has a debt-to-equity ratio of 0.18, a quick ratio of 0.06 and a current ratio of 0.05.

Oaktree Specialty Lending (NASDAQ:OCSL) last issued its earnings results on Wednesday, August 7th. The credit services provider reported $0.12 EPS for the quarter, meeting the consensus estimate of $0.12. The company had revenue of $36.67 million during the quarter, compared to analysts’ expectations of $39.57 million. Oaktree Specialty Lending had a net margin of 96.11% and a return on equity of 7.66%. As a group, research analysts forecast that Oaktree Specialty Lending will post 0.49 EPS for the current fiscal year.

The company also recently disclosed a quarterly dividend, which will be paid on Monday, September 30th. Investors of record on Friday, September 13th will be given a $0.095 dividend. This represents a $0.38 dividend on an annualized basis and a dividend yield of 7.31%. The ex-dividend date is Thursday, September 12th. Oaktree Specialty Lending’s dividend payout ratio is currently 88.37%.

In related news, major shareholder Leonard M. Tannenbaum sold 98,032 shares of the company’s stock in a transaction on Friday, June 14th. The shares were sold at an average price of $5.43, for a total value of $532,313.76. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. Also, major shareholder Leonard M. Tannenbaum sold 59,284 shares of the company’s stock in a transaction on Monday, July 8th. The shares were sold at an average price of $5.43, for a total transaction of $321,912.12. The disclosure for this sale can be found here. In the last 90 days, insiders purchased 7,000 shares of company stock valued at $37,500 and sold 556,331 shares valued at $3,025,467. 0.16% of the stock is owned by corporate insiders.

Several institutional investors and hedge funds have recently added to or reduced their stakes in OCSL. Quantamental Technologies LLC bought a new stake in shares of Oaktree Specialty Lending in the 1st quarter valued at $28,000. Legacy Bridge LLC acquired a new position in Oaktree Specialty Lending in the 1st quarter worth $28,000. Fox Run Management L.L.C. acquired a new position in Oaktree Specialty Lending in the 2nd quarter worth $58,000. Group One Trading L.P. boosted its stake in Oaktree Specialty Lending by 125.8% in the 1st quarter. Group One Trading L.P. now owns 12,025 shares of the credit services provider’s stock worth $62,000 after purchasing an additional 6,700 shares during the period. Finally, Raymond James Trust N.A. acquired a new position in Oaktree Specialty Lending in the 2nd quarter worth $62,000. Institutional investors and hedge funds own 48.85% of the company’s stock.

Oaktree Specialty Lending Company Profile

Oaktree Specialty Lending Corporation is a business development company specializing in investments in middle market, bridge financing, first and second lien debt financing, mezzanine debt, senior and junior secured debt, expansions, sponsor-led acquisitions, and management buyouts in small and mid-sized companies.

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