OFS Capital Co. (NASDAQ:OFS) Declares Dividend Increase – $0.34 Per Share

OFS Capital Co. (NASDAQ:OFS) declared a quarterly dividend on Tuesday, August 1st, Zacks reports. Shareholders of record on Friday, September 22nd will be paid a dividend of 0.34 per share by the investment management company on Friday, September 29th. This represents a $1.36 annualized dividend and a yield of 11.33%. The ex-dividend date of this dividend is Thursday, September 21st. This is a positive change from OFS Capital’s previous quarterly dividend of $0.33.

OFS Capital has decreased its dividend payment by an average of 5.2% annually over the last three years and has increased its dividend annually for the last 3 consecutive years. OFS Capital has a payout ratio of 96.5% indicating that its dividend is currently covered by earnings, but may not be in the future if the company’s earnings fall. Analysts expect OFS Capital to earn $1.41 per share next year, which means the company should continue to be able to cover its $1.36 annual dividend with an expected future payout ratio of 96.5%.

OFS Capital Price Performance

OFS opened at $12.00 on Tuesday. The business’s fifty day moving average is $10.55 and its 200-day moving average is $10.14. OFS Capital has a 52-week low of $7.54 and a 52-week high of $12.00. The company has a debt-to-equity ratio of 0.85, a current ratio of 0.05 and a quick ratio of 0.05.

OFS Capital (NASDAQ:OFS) last posted its quarterly earnings results on Thursday, August 3rd. The investment management company reported $0.38 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.35 by $0.03. OFS Capital had a negative net margin of 9.40% and a positive return on equity of 10.71%. The business had revenue of $14.53 million for the quarter, compared to analyst estimates of $14.20 million. Sell-side analysts forecast that OFS Capital will post 1.52 earnings per share for the current fiscal year.

Analysts Set New Price Targets

Separately, StockNews.com began coverage on OFS Capital in a research report on Thursday, August 17th. They set a “hold” rating for the company.

Institutional Investors Weigh In On OFS Capital

Hedge funds have recently made changes to their positions in the stock. Advisor Group Holdings Inc. lifted its stake in shares of OFS Capital by 122.4% in the 1st quarter. Advisor Group Holdings Inc. now owns 8,405 shares of the investment management company’s stock valued at $110,000 after acquiring an additional 4,625 shares during the last quarter. PNC Financial Services Group Inc. bought a new position in OFS Capital in the first quarter valued at about $522,000. International Assets Investment Management LLC boosted its stake in shares of OFS Capital by 30.1% during the first quarter. International Assets Investment Management LLC now owns 66,144 shares of the investment management company’s stock valued at $860,000 after purchasing an additional 15,300 shares in the last quarter. Advisors Asset Management Inc. grew its holdings in shares of OFS Capital by 173.8% during the first quarter. Advisors Asset Management Inc. now owns 70,141 shares of the investment management company’s stock worth $912,000 after purchasing an additional 44,520 shares during the last quarter. Finally, Envestnet Asset Management Inc. acquired a new position in shares of OFS Capital in the second quarter valued at approximately $135,000. 13.25% of the stock is currently owned by institutional investors and hedge funds.

About OFS Capital

OFS Capital Corporation is a business development company specializing in direct and fund investments as well as add-on acquisitions. It provides flexible capital solutions primarily through debt capital and to a lesser extent, minority equity investments serving the needs of U.S.-based middle-market companies across a broad array of industries.