Golub Capital BDC (NASDAQ:GBDC) Sets New 52-Week Low – Should You Sell?

Golub Capital BDC, Inc. (NASDAQ:GBDC) hit a new 52-week low during trading on Tuesday . The company traded as low as $12.67 and last traded at $12.7650, with a volume of 3142425 shares changing hands. The stock had previously closed at $13.05.

Wall Street Analysts Forecast Growth

GBDC has been the subject of a number of recent analyst reports. Keefe, Bruyette & Woods decreased their target price on Golub Capital BDC from $15.50 to $15.00 and set an “outperform” rating for the company in a research report on Friday, November 21st. Wall Street Zen upgraded shares of Golub Capital BDC from a “sell” rating to a “hold” rating in a research note on Saturday, December 13th. Lucid Cap Mkts raised shares of Golub Capital BDC to a “strong-buy” rating in a report on Thursday, January 15th. Weiss Ratings reiterated a “hold (c)” rating on shares of Golub Capital BDC in a report on Monday, December 29th. Finally, Wells Fargo & Company raised shares of Golub Capital BDC from an “equal weight” rating to an “overweight” rating and set a $14.00 target price for the company in a research report on Wednesday, January 7th. One equities research analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating and one has issued a Hold rating to the stock. According to MarketBeat.com, Golub Capital BDC presently has an average rating of “Buy” and a consensus target price of $14.88.

Golub Capital BDC Stock Performance

The firm’s 50 day moving average price is $13.75 and its 200-day moving average price is $14.12. The firm has a market cap of $3.37 billion, a price-to-earnings ratio of 9.01 and a beta of 0.43. The company has a debt-to-equity ratio of 1.23, a current ratio of 1.90 and a quick ratio of 1.90.

Golub Capital BDC (NASDAQ:GBDC) last released its earnings results on Tuesday, November 18th. The investment management company reported $0.39 EPS for the quarter, meeting the consensus estimate of $0.39. The firm had revenue of $217.84 million during the quarter, compared to analysts’ expectations of $220.54 million. Golub Capital BDC had a net margin of 43.25% and a return on equity of 10.40%. The business’s quarterly revenue was down .2% compared to the same quarter last year. During the same period in the prior year, the company earned $0.36 EPS. On average, analysts anticipate that Golub Capital BDC, Inc. will post 1.6 earnings per share for the current year.

Golub Capital BDC Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Tuesday, December 30th. Investors of record on Friday, December 12th were given a dividend of $0.39 per share. The ex-dividend date of this dividend was Friday, December 12th. This represents a $1.56 dividend on an annualized basis and a yield of 12.2%. Golub Capital BDC’s dividend payout ratio (DPR) is 109.86%.

Hedge Funds Weigh In On Golub Capital BDC

Several large investors have recently added to or reduced their stakes in GBDC. Generali Asset Management SPA SGR grew its position in Golub Capital BDC by 4.7% in the third quarter. Generali Asset Management SPA SGR now owns 2,630,739 shares of the investment management company’s stock valued at $36,015,000 after acquiring an additional 118,034 shares during the period. AlphaQuest LLC lifted its holdings in shares of Golub Capital BDC by 2,542.0% during the third quarter. AlphaQuest LLC now owns 128,984 shares of the investment management company’s stock valued at $1,766,000 after acquiring an additional 124,102 shares during the period. Muzinich & Co. Inc. boosted its stake in shares of Golub Capital BDC by 32.4% in the 3rd quarter. Muzinich & Co. Inc. now owns 1,625,636 shares of the investment management company’s stock valued at $22,255,000 after purchasing an additional 397,514 shares in the last quarter. TT Capital Management LLC bought a new stake in shares of Golub Capital BDC in the 2nd quarter worth about $1,104,000. Finally, HB Wealth Management LLC increased its position in shares of Golub Capital BDC by 28.6% during the 3rd quarter. HB Wealth Management LLC now owns 249,399 shares of the investment management company’s stock worth $3,414,000 after purchasing an additional 55,524 shares in the last quarter. Institutional investors and hedge funds own 42.38% of the company’s stock.

About Golub Capital BDC

Golub Capital BDC (NASDAQ: GBDC) is a publicly traded business development company specializing in providing debt and equity financing solutions to middle-market companies in the United States. Externally managed by Golub Capital LLC, the firm focuses on building a diversified portfolio of senior secured loans, unitranche facilities and second-lien debt instruments designed to support growth, acquisitions and recapitalizations. As a closed-end investment vehicle, GBDC offers investors direct exposure to private credit strategies within a regulated structure.

The company’s core business activities center on originating and managing bespoke financing arrangements for U.S.