Van ECK Associates Corp. Increases Stake in FS KKR Capital Corp.

Van ECK Associates Corp has recently announced a 6.6% increase in its holdings of FS KKR Capital Corp. (NYSE:FSK) during the third quarter. This increase has been documented in the institutional investor's latest filing with the Securities and Exchange Commission (SEC). After purchasing an additional 356,704 shares, Van ECK Associates Corp now owns a total of 5,747,770 shares of FS KKR Capital.

As of the latest filing, these shares represent approximately 2.05% of FS KKR Capital, valued at about $117,886,000.

Many other institutional investors and hedge funds have also been active with FS KKR Capital stock. For example, Norden Group LLC bought a new stake in the company in the first quarter, investing around $1,362,000. Similarly, Diversify Advisory Services LLC made a new investment valued at approximately $662,000 during the same period. Janney Montgomery Scott LLC increased its holdings by 30% in the first quarter, owning 64,859 shares worth $1,237,000 after acquiring an additional 14,977 shares. Additionally, Choreo LLC raised its position by 3.1%, now holding 30,116 shares worth $574,000 after adding 897 shares. Lastly, BI Asset Management Fondsmaeglerselskab A S saw its holdings grow by 38.3%, now having 146,100 shares valued at $2,786,000 following an acquisition of 40,460 shares. Collectively, institutional investors and hedge funds hold approximately 36.26% of FS KKR Capital's stock.

Insider Activity

In recent insider trading, CEO Michael C. Forman sold 195,139 shares on August 15 at an average price of $19.56, totaling about $3,816,918.84. This transaction was disclosed in a filing with the SEC. Furthermore, on August 8, insider Daniel Pietrzak purchased 5,000 shares at an average price of $19.21 for $96,050.00. Following this transaction, Pietrzak now directly holds 44,800 shares valued at approximately $860,608.

Currently, company insiders own around 0.25% of the stock.

Current Stock Performance

On Friday, shares of FS KKR Capital traded down by 0.5%, hitting a price of $20.14. A total of 1,241,255 shares changed hands, surpassing its average trading volume of 1,055,415. FS KKR Capital has a market capitalization of $5.64 billion with a price-to-earnings ratio of 8.91 and a beta of 1.25. The company maintains a quick ratio of 2.34 and a current ratio of 2.34, with a debt-to-equity ratio of 1.19. The 50-day moving average stands at $20.07, while the 200-day moving average is $19.91. Over the year, FS KKR Capital has seen a low of $18.31 and a high of $20.99.

On August 6, FS KKR Capital announced its earnings results, reporting earnings per share (EPS) of $0.75, exceeding the consensus estimate of $0.71. The company also displayed a return on equity of 12.39% and a net margin of 35.46%, with reported revenues of $439 million during the quarter, surpassing expectations of $426.41 million.

Dividend Announcement

FS KKR Capital recently announced a dividend of $0.70 per share, which will be paid on December 18 to investors of record on December 4. This marks an increase from the previous dividend of $0.64, yielding an attractive 12.7%. However, the company’s dividend payout ratio stands high at 113.27%.

Analyst Insights

Various analysts have issued their evaluations of FS KKR Capital. Wells Fargo lowered its price target from $21.00 to $20.00, assigning an "overweight" rating. Meanwhile, the Royal Bank of Canada maintained a “sector perform” rating, also with a price target of $20.00. Currently, analysts categorize the stock with an average rating of “Hold” and a consensus target price of $19.94. There are six hold ratings and two buy ratings among analyst reports.

About FS KKR Capital Corp.

FS KKR Capital Corp. is a business development company focused on investing in debt securities. Its primary goal is to provide tailored credit solutions to private middle-market companies in the U.S., primarily investing in senior secured debt, along with some subordinated debt.

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