Oaktree Specialty Lending (NASDAQ:OCSL) Hits New 12-Month Low – Here’s Why

Oaktree Specialty Lending Corp. (NASDAQ:OCSL) shares hit a new 52-week low during trading on Wednesday . The stock traded as low as $11.94 and last traded at $12.14, with a volume of 1055240 shares. The stock had previously closed at $12.24.

Wall Street Analyst Weigh In

A number of brokerages recently issued reports on OCSL. Zacks Research upgraded shares of Oaktree Specialty Lending from a “strong sell” rating to a “hold” rating in a report on Thursday, October 9th. Lucid Cap Mkts upgraded Oaktree Specialty Lending to a “hold” rating in a research note on Monday, December 15th. Weiss Ratings raised Oaktree Specialty Lending from a “sell (d+)” rating to a “hold (c-)” rating in a research note on Monday, January 26th. Finally, Wells Fargo & Company reduced their target price on Oaktree Specialty Lending from $13.00 to $12.00 and set an “equal weight” rating for the company in a report on Thursday. Seven analysts have rated the stock with a Hold rating, According to data from MarketBeat, Oaktree Specialty Lending presently has a consensus rating of “Hold” and a consensus target price of $13.75.

Oaktree Specialty Lending Price Performance

The stock has a market cap of $1.07 billion, a price-to-earnings ratio of 33.72 and a beta of 0.52. The stock has a fifty day simple moving average of $12.92 and a 200-day simple moving average of $13.34. The company has a current ratio of 0.20, a quick ratio of 0.20 and a debt-to-equity ratio of 0.64.

Oaktree Specialty Lending (NASDAQ:OCSL) last announced its earnings results on Wednesday, February 4th. The credit services provider reported $0.41 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.38 by $0.03. Oaktree Specialty Lending had a net margin of 10.58% and a return on equity of 9.69%. The business had revenue of $74.48 million for the quarter, compared to analyst estimates of $75.72 million. During the same quarter in the previous year, the firm posted $0.54 earnings per share. As a group, equities research analysts expect that Oaktree Specialty Lending Corp. will post 2.06 EPS for the current year.

Oaktree Specialty Lending Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Tuesday, March 31st. Investors of record on Monday, March 16th will be given a $0.40 dividend. This represents a $1.60 annualized dividend and a yield of 13.2%. The ex-dividend date of this dividend is Monday, March 16th. Oaktree Specialty Lending’s dividend payout ratio (DPR) is 444.44%.

Hedge Funds Weigh In On Oaktree Specialty Lending

A number of hedge funds and other institutional investors have recently made changes to their positions in OCSL. Private Management Group Inc. increased its stake in Oaktree Specialty Lending by 25.2% in the third quarter. Private Management Group Inc. now owns 3,014,163 shares of the credit services provider’s stock valued at $39,335,000 after acquiring an additional 607,493 shares during the period. Bruni J V & Co. Co. boosted its holdings in Oaktree Specialty Lending by 12.4% during the third quarter. Bruni J V & Co. Co. now owns 2,487,019 shares of the credit services provider’s stock valued at $32,456,000 after purchasing an additional 274,667 shares in the last quarter. Van ECK Associates Corp boosted its holdings in Oaktree Specialty Lending by 6.6% during the third quarter. Van ECK Associates Corp now owns 2,173,257 shares of the credit services provider’s stock valued at $28,361,000 after purchasing an additional 134,557 shares in the last quarter. Generali Asset Management SPA SGR grew its stake in shares of Oaktree Specialty Lending by 10.6% in the 3rd quarter. Generali Asset Management SPA SGR now owns 2,087,981 shares of the credit services provider’s stock valued at $27,248,000 after purchasing an additional 199,415 shares during the period. Finally, Claret Asset Management Corp raised its holdings in shares of Oaktree Specialty Lending by 11.8% in the 2nd quarter. Claret Asset Management Corp now owns 1,700,738 shares of the credit services provider’s stock worth $23,232,000 after buying an additional 179,563 shares in the last quarter. 36.79% of the stock is owned by institutional investors.

Oaktree Specialty Lending Company Profile

Oaktree Specialty Lending Corporation (NASDAQ: OCSL) is a closed-end, externally managed specialty finance company structured as a business development company (BDC). Launched in 2014, Oaktree Specialty Lending provides customized debt solutions to U.S. middle-market companies, with a focus on senior secured loans, second-lien financings, mezzanine debt and select equity co-investments. The company’s investment strategy centers on floating-rate instruments designed to offer downside protection and income potential in varying interest rate environments.

The firm’s portfolio spans a diverse array of industries, including healthcare, technology, energy, business services and consumer products.