OFS Capital (NASDAQ:OFS) Releases Earnings Results, Misses Estimates By $1.04 EPS

OFS Capital (NASDAQ:OFS) released its quarterly earnings data on Monday. The investment management company reported ($0.81) EPS for the quarter, missing the consensus estimate of $0.23 by ($1.04), FiscalAI reports. OFS Capital had a return on equity of 8.95% and a net margin of 7.52%.The company had revenue of $4.58 million during the quarter, compared to analysts’ expectations of $10.50 million.

OFS Capital Price Performance

Shares of OFS stock remained flat at $4.20 during midday trading on Monday. The company’s stock had a trading volume of 43,069 shares, compared to its average volume of 77,392. OFS Capital has a 1 year low of $3.98 and a 1 year high of $9.80. The company has a 50-day simple moving average of $4.61 and a 200 day simple moving average of $6.04. The company has a debt-to-equity ratio of 0.43, a quick ratio of 0.04 and a current ratio of 0.04.

Analysts Set New Price Targets

OFS has been the subject of a number of analyst reports. Wall Street Zen raised OFS Capital from a “sell” rating to a “hold” rating in a research note on Saturday, November 8th. Capital One Financial set a $7.00 price target on shares of OFS Capital in a report on Tuesday, November 4th. Loop Capital set a $7.00 price target on shares of OFS Capital in a report on Tuesday, November 4th. Weiss Ratings cut shares of OFS Capital from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Wednesday, January 7th. Finally, Noble Financial initiated coverage on shares of OFS Capital in a report on Tuesday, November 4th. They set a “neutral” rating for the company. One investment analyst has rated the stock with a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of “Reduce” and a consensus target price of $7.00.

Institutional Investors Weigh In On OFS Capital

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Bank of America Corp DE increased its stake in OFS Capital by 245.3% during the 4th quarter. Bank of America Corp DE now owns 7,079 shares of the investment management company’s stock valued at $57,000 after purchasing an additional 5,029 shares in the last quarter. Two Sigma Investments LP grew its holdings in shares of OFS Capital by 5.8% during the third quarter. Two Sigma Investments LP now owns 120,908 shares of the investment management company’s stock valued at $930,000 after buying an additional 6,636 shares during the last quarter. Jane Street Group LLC bought a new stake in shares of OFS Capital during the fourth quarter valued at approximately $66,000. Marshall Wace LLP purchased a new position in OFS Capital in the 4th quarter worth approximately $377,000. Finally, Squarepoint Ops LLC bought a new position in OFS Capital in the 4th quarter valued at approximately $202,000. 10.81% of the stock is owned by hedge funds and other institutional investors.

OFS Capital Company Profile

OFS Capital Corporation (NASDAQ: OFS) is a business development company (BDC) that provides customized debt and equity financing solutions to U.S. middle-market companies. As an externally managed BDC, OFS Capital focuses on sponsoring capital structures that support growth initiatives, recapitalizations, acquisitions and other strategic transactions. The firm targets companies that demonstrate strong cash flow potential and scalable business models across a range of industries.

The company’s investment portfolio typically includes senior secured loans, unitranche facilities, mezzanine debt and equity co-investments.