Palliser Capital UK Ltd Makes New Investment in FS KKR Capital Corp. $FSK

Palliser Capital UK Ltd acquired a new stake in FS KKR Capital Corp. (NYSE:FSK) in the second quarter, according to the company in its most recent 13F filing with the SEC. The institutional investor acquired 527,840 shares of the company’s stock, valued at approximately $5,542,000. FS KKR Capital accounts for approximately 3.0% of Palliser Capital UK Ltd’s investment portfolio, making the stock its 8th biggest position. Palliser Capital UK Ltd owned 0.19% of FS KKR Capital as of its most recent filing with the SEC.

Other large investors have also recently made changes to their positions in the company. Titan Investment Management LLC bought a new position in FS KKR Capital during the fourth quarter valued at about $1,863,000. UBS Group AG increased its holdings in FS KKR Capital by 15.3% during the fourth quarter. UBS Group AG now owns 3,806,076 shares of the company’s stock worth $56,368,000 after buying an additional 505,982 shares during the last quarter. Marble Wealth LLC purchased a new stake in FS KKR Capital during the fourth quarter worth about $1,567,000. Legal & General Group Plc raised its position in FS KKR Capital by 15.3% in the fourth quarter. Legal & General Group Plc now owns 2,296,070 shares of the company’s stock worth $33,993,000 after acquiring an additional 304,556 shares during the period. Finally, Lido Advisors LLC raised its position in FS KKR Capital by 452.0% in the fourth quarter. Lido Advisors LLC now owns 589,139 shares of the company’s stock worth $8,725,000 after acquiring an additional 482,412 shares during the period. 36.26% of the stock is owned by hedge funds and other institutional investors.

FS KKR Capital Stock Up 1.3%

FSK opened at $12.06 on Tuesday. The company has a 50 day moving average of $11.03 and a 200 day moving average of $11.09. The company has a market cap of $3.33 billion, a PE ratio of -8.94 and a beta of 0.83. FS KKR Capital Corp. has a 12 month low of $9.72 and a 12 month high of $18.25. The company has a current ratio of 2.28, a quick ratio of 2.28 and a debt-to-equity ratio of 1.26.

FS KKR Capital (NYSE:FSK) last posted its quarterly earnings results on Thursday, August 6th. The company reported $0.43 EPS for the quarter, topping analysts’ consensus estimates of $0.42 by $0.01. The firm had revenue of $290.00 million during the quarter, compared to analyst estimates of $286.75 million. FS KKR Capital had a positive return on equity of 9.70% and a negative net margin of 28.52%.During the same period last year, the company earned ($0.75) earnings per share. On average, sell-side analysts expect that FS KKR Capital Corp. will post 1.64 EPS for the current year.

FS KKR Capital Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, October 2nd. Investors of record on Wednesday, September 16th will be issued a dividend of $0.44 per share. This is a positive change from FS KKR Capital’s previous quarterly dividend of $0.42. The ex-dividend date of this dividend is Wednesday, September 16th. This represents a $1.76 dividend on an annualized basis and a yield of 14.6%. FS KKR Capital’s payout ratio is currently -124.44%.

Wall Street Analyst Weigh In

A number of research analysts have recently weighed in on the stock. Zacks Research raised shares of FS KKR Capital from a “strong sell” rating to a “hold” rating in a research report on Tuesday, August 11th. Wells Fargo & Company lowered their price target on shares of FS KKR Capital from $11.00 to $10.00 and set an “equal weight” rating on the stock in a report on Tuesday, May 12th. Wall Street Zen upgraded FS KKR Capital from a “sell” rating to a “hold” rating in a research note on Saturday, August 1st. Royal Bank Of Canada reiterated a “sector perform” rating and issued a $13.00 price objective (up from $11.00) on shares of FS KKR Capital in a research note on Wednesday, August 12th. Finally, Capital One Financial set a $12.00 price objective on FS KKR Capital in a report on Friday, August 7th. Seven investment analysts have rated the stock with a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of “Reduce” and a consensus price target of $11.43.

About FS KKR Capital

FS KKR Capital Corp (NYSE:FSK) is a closed-end, externally managed business development company that primarily invests in private middle-market U.S. companies. The firm seeks to generate current income and capital appreciation by structuring investments in floating-rate senior secured loans, unitranche financings, second lien debt and mezzanine instruments. As a business development company, FSK provides financing solutions designed to support growth initiatives, acquisitions, leveraged buyouts and recapitalizations for privately held enterprises.

Established in 2018 through a strategic partnership between FS Investment Corporation and KKR Credit Advisors, a division of global investment firm KKR & Co Inc, FSK combines the credit underwriting capabilities of KKR’s global platform with FS’s expertise in private credit markets.