According to a report by Bloomberg.com, Oaktree Specialty Lending Co. (NASDAQ:OCSL) has received an average rating of “Moderate Buy” from five research firms currently covering the firm. This rating is based on analysis and evaluations conducted by these firms. Out of the five research analysts, one rated the stock as a hold, while four issued a buy rating on the company.
In terms of price projections, brokerages that have provided ratings on Oaktree Specialty Lending over the past year have set an average 12-month price objective of $21.90. This provides investors with an indication of where they believe the stock’s value may head in the next year.
Furthermore, various hedge funds and institutional investors have recently made adjustments to their positions in Oaktree Specialty Lending. Envestnet Asset Management Inc., for example, increased its stake by 2.7% in the first quarter, now owning 51,863 shares worth $382,000 after purchasing an additional 1,371 shares in recent months. Raymond James Financial Services Advisors Inc. also saw growth in its holdings by 115.3% during the same period, now owning 99,623 shares valued at $734,000 after acquiring an additional 53,343 shares.
Other notable increases were seen in US Bancorp DE’s position who purchased an additional 5,500 shares resulting in them now owning 17,571 shares worth $129,000. In addition to this Cambridge Investment Research Advisors Inc., which raised its stake by 29.6% and now owns approximately 100,992 shares valued at $744,000 after buying an additional 23,081 shares.
Overall it is evident that hedge funds and institutional investors hold a significant portion of Oaktree Specialty Lending’s stock with approximately 39.25% ownership.
It is important to note that Oaktree Specialty Lending has recently declared a quarterly dividend that will be paid on September 29th. Shareholders who held shares as of September 15th were eligible to receive a dividend of $0.55 per share. This represents an annualized dividend of $2.20 and a dividend yield of 11.08%. The ex-dividend date was set for September 14th.
As all these factors come into play, it is crucial for potential investors to consider the financial performance and ratings provided by research firms when evaluating whether or not to invest in Oaktree Specialty Lending Co. (NASDAQ:OSCL).
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Mixed Analyst Views on Oaktree Specialty Lending’s Stock Performance in 2023
On September 27, 2023, several analysts provided their opinions on the stock performance of Oaktree Specialty Lending. Hovde Group, a leading financial firm, downgraded the company’s shares from an “outperform” rating to a “market perform” rating. They also assigned a price objective of $21.00 for the company. This downgrade reflects a shift in their outlook for the stock.
Another market research firm, StockNews.com, began covering Oaktree Specialty Lending and issued a “hold” rating for the company on August 17th. These recent analyses shed some light on the current state of affairs surrounding Oaktree Specialty Lending.
As of Wednesday, NASDAQ OCSL opened at $19.86. The stock has been relatively stable with a 50-day moving average price of $20.05 and a 200-day moving average price of $19.27. Oaktree Specialty Lending’s market capitalization stands at $1.53 billion, making it a significant player in its industry.
The company has a relatively healthy financial position with a debt-to-equity ratio of 0.40 and current and quick ratios sitting at 0.12 each. These figures suggest that Oaktree Specialty Lending is well-positioned to meet its financial obligations.
Oaktree Specialty Lending’s performance over the past year has shown some fluctuations in its stock value. Its shares reached a low point of $17.59 and hit a high point of $21.69 during this period, signaling some volatility in investor sentiment towards the company.
Looking at its quarterly earnings results released on August 3rd, Oaktree Specialty Lending reported an earnings per share (EPS) of $0.62 for the quarter which fell short of consensus estimates by ($0.01). However, despite this slight miss, the company displayed a return on equity rate of 11.97% and a solid net margin of 25.00%. Furthermore, Oaktree Specialty Lending recorded a revenue of $101.06 million for the quarter, demonstrating an impressive 39.7% growth compared to the same period last year.
Industry analysts anticipate that Oaktree Specialty Lending will post an EPS of 2.47 for the current fiscal year. This forecast provides some insight into what investors can expect in terms of future performance.
In conclusion, recent analyst commentary on Oaktree Specialty Lending’s stock has been somewhat mixed. Downgrades in ratings and price targets by Hovde Group hint at a more cautious sentiment towards the company, while StockNews.com’s “hold” rating maintains a wait-and-see approach. As always, investors should carefully consider these analyses along with their own research before making any investment decisions in this particular stock.
