Solar Capital (SLRC) Rating Lowered to Sell at Zacks Investment Research
Zacks Investment Research cut shares of Solar Capital (NASDAQ:SLRC) from a hold rating to a sell rating in a research report sent to investors on Thursday.
According to Zacks, “Solar Capital Ltd. is a closed-end investment company that invests primarily in leveraged companies, including middle market companies, in the form of senior secured loans, mezzanine loans, and equity securities. “
SLRC has been the topic of several other research reports. Wells Fargo & Co lowered Solar Capital from an outperform rating to a market perform rating in a research note on Thursday, October 4th. BidaskClub raised Solar Capital from a hold rating to a buy rating in a research note on Tuesday, November 13th. National Securities reissued a buy rating and set a $25.00 price target on shares of Solar Capital in a research note on Tuesday, November 6th. Oppenheimer began coverage on Solar Capital in a research note on Wednesday, November 28th. They set a buy rating and a $23.00 price target on the stock. Finally, ValuEngine lowered Solar Capital from a hold rating to a sell rating in a research note on Monday, October 8th. Two analysts have rated the stock with a sell rating, one has issued a hold rating, three have issued a buy rating and one has assigned a strong buy rating to the stock. The company has a consensus rating of Hold and an average target price of $23.67.
Solar Capital (NASDAQ:SLRC) last announced its quarterly earnings results on Monday, November 5th. The financial services provider reported $0.42 EPS for the quarter, missing the Thomson Reuters’ consensus estimate of $0.45 by ($0.03). The firm had revenue of $37.01 million for the quarter, compared to analysts’ expectations of $39.59 million. Solar Capital had a return on equity of 8.12% and a net margin of 48.83%. Analysts expect that Solar Capital will post 1.77 EPS for the current fiscal year.
The business also recently announced a quarterly dividend, which was paid on Friday, January 4th. Investors of record on Thursday, December 20th were paid a $0.41 dividend. This represents a $1.64 dividend on an annualized basis and a yield of 8.19%. The ex-dividend date was Wednesday, December 19th. Solar Capital’s payout ratio is currently 101.23%.
In related news, Director Steven Hochberg bought 5,000 shares of Solar Capital stock in a transaction that occurred on Friday, December 14th. The shares were purchased at an average price of $20.35 per share, with a total value of $101,750.00. Following the purchase, the director now owns 25,000 shares in the company, valued at $508,750. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. 5.90% of the stock is currently owned by corporate insiders.
A number of institutional investors and hedge funds have recently modified their holdings of the business. Mirae Asset Global Investments Co. Ltd. acquired a new stake in shares of Solar Capital during the 3rd quarter worth $274,000. California Public Employees Retirement System acquired a new stake in Solar Capital in the 2nd quarter valued at $356,000. Coe Capital Management LLC increased its holdings in Solar Capital by 6.6% in the 3rd quarter. Coe Capital Management LLC now owns 47,120 shares of the financial services provider’s stock valued at $1,007,000 after purchasing an additional 2,900 shares in the last quarter. Chicago Partners Investment Group LLC increased its holdings in Solar Capital by 14.2% in the 3rd quarter. Chicago Partners Investment Group LLC now owns 95,165 shares of the financial services provider’s stock valued at $1,931,000 after purchasing an additional 11,867 shares in the last quarter. Finally, Pekin Singer Strauss Asset Management IL increased its holdings in Solar Capital by 15.8% in the 3rd quarter. Pekin Singer Strauss Asset Management IL now owns 118,285 shares of the financial services provider’s stock valued at $2,529,000 after purchasing an additional 16,150 shares in the last quarter. Institutional investors own 59.14% of the company’s stock.
About Solar Capital
Solar Capital Ltd. is a business development company specializing in secured debt (first lien unitranche and second lien), subordinated (unsecured) debt, minority equity, and strategic income-oriented control equity investments in leveraged middle market companies. The fund invests in aerospace and defense; air freight & logistics; asset management; automotive; banking; beverage, food and tobacco; building products; buildings and real estate; broadcasting and entertainment; cargo transport; commercial services and supplies; communications equipment; chemicals, plastics and rubber; containers, packaging and glass; construction & engineering; diversified/conglomerate manufacturing; consumer Finance; distributors; diversified/conglomerate services; diversified financial services; diversified real estate sctivities; food products; Footwear; Education Services; diversified telecommunications services; electronics; farming and agriculture; finance; grocery; health care equipment and supplies; health care facilities; education and childcare; home and office furnishing, durable consumer products; hotels, motels, inns and gaming; insurance; restaurants, leisure, amusement, and entertainment; leisure equipment tolls and services, media, multiline retail, multi sector holdings; paper and forest products; personal products; professional services, research and consulting services, software; specialty retail; textiles apparel and luxury goods, thrifts and mortgage finance, trading companies and distributors, utilities, and wireless telecommunication services; industrial conglomerates; internet software and services, IT services, machinery; mining, steel, iron, and non precious metals; oil and gas; personal, food and miscellaneous services; printing and publishing; retail stores; telecommunications; textiles and leather; and utilities.
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