Main Street Capital (NYSE:MAIN) Downgraded by Zacks Investment Research to Hold

Zacks Investment Research downgraded shares of Main Street Capital (NYSE:MAIN) from a buy rating to a hold rating in a report released on Wednesday, Zacks.com reports.

According to Zacks, “Main Street Capital Corporation is a specialty investment company providing customized financing solutions to lower middle market companies which operate in diverse industry sectors. Main Street seeks to partner with entrepreneurs, business owners and management teams and generally provides one stop financing alternatives to its portfolio companies. “

A number of other equities analysts also recently commented on the company. Raymond James increased their price objective on Main Street Capital from $43.50 to $44.00 and gave the stock an outperform rating in a report on Monday, August 9th. Oppenheimer initiated coverage on Main Street Capital in a report on Tuesday, October 5th. They issued a market perform rating and a $39.00 price objective on the stock. Two equities research analysts have rated the stock with a hold rating and two have assigned a buy rating to the company’s stock. Based on data from MarketBeat.com, the stock has a consensus rating of Buy and an average target price of $41.20.

NYSE:MAIN opened at $42.45 on Wednesday. The stock’s 50 day moving average price is $41.69 and its 200 day moving average price is $41.52. Main Street Capital has a 52 week low of $26.68 and a 52 week high of $43.56. The company has a market capitalization of $2.91 billion, a P/E ratio of 9.23 and a beta of 1.51. The company has a debt-to-equity ratio of 0.20, a quick ratio of 0.10 and a current ratio of 0.10.

Main Street Capital (NYSE:MAIN) last released its quarterly earnings data on Thursday, August 5th. The financial services provider reported $0.62 EPS for the quarter, topping analysts’ consensus estimates of $0.56 by $0.06. Main Street Capital had a return on equity of 10.01% and a net margin of 126.72%. The firm had revenue of $67.29 million for the quarter, compared to the consensus estimate of $62.56 million. As a group, sell-side analysts forecast that Main Street Capital will post 2.44 earnings per share for the current fiscal year.

The business also recently declared a monthly dividend, which will be paid on Wednesday, December 15th. Shareholders of record on Wednesday, November 24th will be issued a dividend of $0.21 per share. The ex-dividend date is Tuesday, November 23rd. This represents a $2.52 annualized dividend and a yield of 5.94%. Main Street Capital’s dividend payout ratio (DPR) is presently 120.00%.

Hedge funds have recently made changes to their positions in the business. Marshall Wace North America L.P. acquired a new position in Main Street Capital during the first quarter valued at approximately $30,000. Evermay Wealth Management LLC acquired a new stake in shares of Main Street Capital in the second quarter worth $48,000. FNY Investment Advisers LLC acquired a new stake in shares of Main Street Capital in the third quarter worth $51,000. Koshinski Asset Management Inc. acquired a new stake in shares of Main Street Capital in the third quarter worth $74,000. Finally, Gradient Investments LLC grew its stake in shares of Main Street Capital by 24.1% in the second quarter. Gradient Investments LLC now owns 1,979 shares of the financial services provider’s stock worth $81,000 after acquiring an additional 384 shares during the last quarter. Institutional investors own 17.42% of the company’s stock.

About Main Street Capital

Main Street Capital is a principal investment firm that provides long-term debt and equity capital to lower middle market companies. Main Street’s investments are primarily made to support management buyouts, recapitalizations, growth financings and acquisitions of companies that operate in diverse industry sectors and generally have annual revenues ranging from $10 million to $100 million.

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