Oaktree Specialty Lending (NASDAQ:OCSL) Reaches New 12-Month Low – Time to Sell?

Oaktree Specialty Lending Corp. (NASDAQ:OCSL) shares reached a new 52-week low during trading on Thursday . The stock traded as low as $11.92 and last traded at $11.9140, with a volume of 224285 shares changing hands. The stock had previously closed at $12.03.

Wall Street Analyst Weigh In

Several research analysts recently weighed in on OCSL shares. Wells Fargo & Company dropped their price objective on shares of Oaktree Specialty Lending from $13.00 to $12.00 and set an “equal weight” rating for the company in a research report on Thursday, February 5th. Lucid Cap Mkts raised Oaktree Specialty Lending to a “hold” rating in a research note on Monday, December 15th. Wall Street Zen downgraded Oaktree Specialty Lending from a “hold” rating to a “sell” rating in a research report on Saturday, February 7th. Weiss Ratings cut Oaktree Specialty Lending from a “hold (c-)” rating to a “sell (d+)” rating in a report on Monday, February 9th. Finally, Zacks Research cut Oaktree Specialty Lending from a “hold” rating to a “strong sell” rating in a report on Monday, February 9th. Five research analysts have rated the stock with a Hold rating and two have assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock has an average rating of “Reduce” and a consensus target price of $13.75.

Oaktree Specialty Lending Trading Down 1.9%

The company has a market capitalization of $1.04 billion, a P/E ratio of 32.79 and a beta of 0.52. The business has a 50 day moving average price of $12.65 and a 200 day moving average price of $13.21. The company has a current ratio of 0.16, a quick ratio of 0.16 and a debt-to-equity ratio of 0.66.

Oaktree Specialty Lending (NASDAQ:OCSL) last issued its quarterly earnings data on Wednesday, February 4th. The credit services provider reported $0.41 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.38 by $0.03. Oaktree Specialty Lending had a net margin of 10.58% and a return on equity of 9.75%. The firm had revenue of $74.48 million during the quarter, compared to analysts’ expectations of $75.72 million. During the same quarter in the previous year, the company earned $0.54 earnings per share. Analysts anticipate that Oaktree Specialty Lending Corp. will post 2.06 EPS for the current year.

Oaktree Specialty Lending Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, March 31st. Investors of record on Monday, March 16th will be given a $0.40 dividend. The ex-dividend date is Monday, March 16th. This represents a $1.60 dividend on an annualized basis and a dividend yield of 13.6%. Oaktree Specialty Lending’s dividend payout ratio is currently 444.44%.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in OCSL. MTM Investment Management LLC bought a new position in shares of Oaktree Specialty Lending during the 2nd quarter valued at about $34,000. Garner Asset Management Corp acquired a new stake in Oaktree Specialty Lending during the 4th quarter worth approximately $38,000. Sound Income Strategies LLC bought a new position in Oaktree Specialty Lending in the third quarter valued at approximately $42,000. Northwestern Mutual Wealth Management Co. acquired a new position in shares of Oaktree Specialty Lending in the fourth quarter valued at approximately $42,000. Finally, Nomura Asset Management Co. Ltd. acquired a new position in shares of Oaktree Specialty Lending in the second quarter valued at approximately $46,000. 36.79% of the stock is owned by institutional investors and hedge funds.

Oaktree Specialty Lending Company Profile

Oaktree Specialty Lending Corporation (NASDAQ: OCSL) is a closed-end, externally managed specialty finance company structured as a business development company (BDC). Launched in 2014, Oaktree Specialty Lending provides customized debt solutions to U.S. middle-market companies, with a focus on senior secured loans, second-lien financings, mezzanine debt and select equity co-investments. The company’s investment strategy centers on floating-rate instruments designed to offer downside protection and income potential in varying interest rate environments.

The firm’s portfolio spans a diverse array of industries, including healthcare, technology, energy, business services and consumer products.