Goldman Sachs BDC (NYSE:GSBD) Sets New 1-Year Low After Analyst Downgrade

Shares of Goldman Sachs BDC, Inc. (NYSE:GSBD) reached a new 52-week low during mid-day trading on Tuesday after Zacks Research downgraded the stock from a hold rating to a strong sell rating. The stock traded as low as $8.65 and last traded at $8.7850, with a volume of 279785 shares. The stock had previously closed at $8.75.

Other equities research analysts have also recently issued research reports about the company. Truist Financial decreased their price objective on Goldman Sachs BDC from $10.00 to $9.00 and set a “hold” rating on the stock in a report on Tuesday. Wall Street Zen cut Goldman Sachs BDC from a “hold” rating to a “sell” rating in a report on Saturday, May 16th. Weiss Ratings upgraded Goldman Sachs BDC from a “sell (d+)” rating to a “hold (c-)” rating in a report on Thursday, March 5th. Finally, Wells Fargo & Company decreased their price objective on Goldman Sachs BDC from $9.00 to $8.00 and set an “underweight” rating on the stock in a report on Monday, March 2nd. Four equities research analysts have rated the stock with a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat.com, Goldman Sachs BDC currently has a consensus rating of “Reduce” and a consensus price target of $9.17.

Insiders Place Their Bets

In other news, Director Carlos E. Evans bought 50,000 shares of Goldman Sachs BDC stock in a transaction that occurred on Thursday, April 2nd. The shares were purchased at an average price of $9.02 per share, for a total transaction of $451,000.00. Following the completion of the acquisition, the director owned 64,446 shares of the company’s stock, valued at $581,302.92. The trade was a 346.12% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Insiders own 0.13% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Sage Rhino Capital LLC lifted its stake in shares of Goldman Sachs BDC by 39.9% during the fourth quarter. Sage Rhino Capital LLC now owns 409,885 shares of the financial services provider’s stock worth $3,804,000 after purchasing an additional 117,000 shares in the last quarter. UBS Group AG lifted its stake in shares of Goldman Sachs BDC by 18.2% during the fourth quarter. UBS Group AG now owns 1,607,176 shares of the financial services provider’s stock worth $14,915,000 after purchasing an additional 247,163 shares in the last quarter. Argentarii LLC acquired a new position in shares of Goldman Sachs BDC during the fourth quarter worth about $585,000. TrueMark Investments LLC acquired a new position in shares of Goldman Sachs BDC during the fourth quarter worth about $902,000. Finally, Y Intercept Hong Kong Ltd acquired a new position in shares of Goldman Sachs BDC during the third quarter worth about $615,000. Institutional investors and hedge funds own 28.72% of the company’s stock.

Goldman Sachs BDC Stock Performance

The stock has a 50 day simple moving average of $9.28 and a 200 day simple moving average of $9.43. The company has a market cap of $1.01 billion, a price-to-earnings ratio of 13.75 and a beta of 0.62. The company has a quick ratio of 1.11, a current ratio of 1.11 and a debt-to-equity ratio of 1.39.

Goldman Sachs BDC (NYSE:GSBD) last issued its quarterly earnings data on Thursday, May 7th. The financial services provider reported $0.22 EPS for the quarter, missing analysts’ consensus estimates of $0.29 by ($0.07). The company had revenue of $10.35 million for the quarter, compared to analyst estimates of $83.78 million. Goldman Sachs BDC had a return on equity of 10.94% and a net margin of 21.32%. As a group, analysts predict that Goldman Sachs BDC, Inc. will post 1.23 EPS for the current year.

Goldman Sachs BDC Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, July 28th. Shareholders of record on Tuesday, June 30th will be paid a dividend of $0.32 per share. This represents a $1.28 dividend on an annualized basis and a dividend yield of 14.3%. The ex-dividend date is Tuesday, June 30th. Goldman Sachs BDC’s payout ratio is currently 196.92%.

About Goldman Sachs BDC

Goldman Sachs BDC, Inc (NYSE: GSBD) is an externally managed, closed-end, non-diversified management investment company organized as a business development company (BDC) under the U.S. Investment Company Act of 1940. The company’s primary objective is to generate current income and capital appreciation through debt and equity investments in U.S. middle-market companies. It principally invests in senior secured loans, mezzanine debt, preferred equity and, to a lesser extent, common equity, focusing on sponsor-backed transactions and special-situation financings.

The fund is advised by affiliates of Goldman Sachs Asset Management’s Private Credit Group, leveraging the firm’s global research capabilities and risk management infrastructure.