Alcentra Capital was Downgraded to a Hold Rating at Oppenheimer

By Ryan Adsit

Alcentra Capital (NASDAQ: ABDC) received a Hold rating from Oppenheimer analyst Chris Kotowski today. The company’s shares opened today at $12.86, close to its 52-week high of $13.47.

According to TipRanks.com, Kotowski is a 4-star analyst with an average return of 2.0% and a 56.5% success rate. Kotowski covers the Financial sector, focusing on stocks such as Fidus Investment Corporation, Discover Financial Services, and Leucadia National Corp.

Currently, the analyst consensus on Alcentra Capital is Hold and the average price target is $12, representing a -6.7% downside.

In a report released today, Robert W. Baird also downgraded the stock to Hold with a $12 price target.

Alcentra Capital’s market cap is currently $171.7M and has a P/E ratio of 24.96. The company has a book value ratio of 0.8987.

Based on the recent corporate insider activity of 13 insiders, corporate insider sentiment is positive on the stock. This means that over the past quarter there has been an increase of insiders buying their shares of ABDC in relation to earlier this year. Most recently, in September 2016, David Scopelliti, the Senior Vice President of ABDC bought 2,000 shares for a total of $25,760.

Alcentra Capital Corp., a business development company invests in middle market companies headquartered in North America. The fund focuses on companies with EBITDA of $5 to $15 million, revenues of $10 to $100 million, experienced management team, unique competitive advantage and growth potential. It targets companies operating in the fields of healthcare and pharmaceutical services; defense, aerospace, homeland security and government services; business and outsourced services; and energy services.It provides financing in the form of senior debt, unitranche, second lien, subordinated debt and, to a lesser extent, senior debt and minority equity investments with an investment size ranging from $5 to $15 million per transaction. It also makes co-investments with partners in larger transactions.