FS KKR Capital Corp Down 6.60% To $18.67 After Earnings Meet

FS KKR Capital Corp (FSK) reported less than expected earnings this afternoon for Q4 2023.

Wall Street earnings per share (EPS) projections for FS KKR Capital Corp were at $0.75. The company missed those estimates with an EPS of $0.75. The earnings per share of $0.75 (which represents a -0% EPS surprise) led to the company's profits falling 7% compared to last year when the firm reported an EPS of $0.81. The decline in FS KKR Capital Corp's annual growth rate represents how the business isn't performing well amid current economic conditions.

Revenues were downbeat at $447 million. That represents a 0.45% decrease in revenues from the year-ago report and is 1.39% lower than consensus estimates set at $453.3 million.

The stock is down 6.60% to $18.67 after the report.

The firm's higher revenue growth to earnings signals that the firm has not been able to reduce costs and has seen its profit margin decrease.

The average recommendation from Wall Street analysts was a Hold which may get revised based on this new data.

Trading in the five days leading up to the report earned FS KKR Capital Corp a Bearish Sentiment Rank from InvestorsObserver.

Prior to the report, InvestorsObserver gave the stock an overall score of 48. Meanwhile, the average Wall Street analyst rated the stock a Hold.

FS KKR Capital Corp is a business development company based in the United States. Its portfolio is comprised primarily of investments in senior secured loans and second lien secured loans of private middle market U.S. companies and, to a lesser extent, subordinated loans and certain asset-based financing loans of private U.S. companies. It is focused on providing customized credit solutions to private upper middle-market companies, which it generally define as companies with annual EBITDA of at least $50 million at the time of investment.