Oaktree Specialty Lending (OCSL) Aandelenoverzicht
Oaktree Specialty Lending Corporation is een bedrijf voor bedrijfsontwikkeling. Meer informatie
| Sneeuwvlok Score | |
|---|---|
| Waardering | 1/6 |
| Toekomstige groei | 3/6 |
| Prestaties in het verleden | 3/6 |
| Financiële gezondheid | 1/6 |
| Dividenden | 2/6 |
OCSL Community Fair Values
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Analyst Price Targets
Oaktree Specialty Lending Corporation Concurrenten
Prijsgeschiedenis en prestaties
| Historische aandelenkoersen | |
|---|---|
| Huidige aandelenkoers | US$12.15 |
| 52 Week Hoogtepunt | US$14.50 |
| 52 Week Laag | US$10.63 |
| Bèta | 0.57 |
| 1 maand verandering | 4.83% |
| 3 maanden verandering | -4.18% |
| 1 Jaar Verandering | -13.77% |
| 3 jaar verandering | -40.15% |
| 5 jaar verandering | -40.53% |
| Verandering sinds IPO | -66.58% |
Recent nieuws en updates
Narratiefupdate • Jun 26
OCSL: Trimmed Outlook And Distributions Will Shape Risk Reward Over Next Year
Analysts have trimmed the 12 month price target on Oaktree Specialty Lending from $13.70 to $12.43, reflecting updated assumptions around fair value, discount rate, revenue trends and profit margins that are consistent with recent recalibrations in broader research coverage. Analyst Commentary Recent research adjustments around Oaktree Specialty Lending give investors a clearer sense of where analysts see room for upside and where they are building in more caution.Seeking Alpha • Jun 11
Oaktree Specialty Lending: Getting Better
Summary Oaktree Specialty Lending is rated HOLD due to persistent NAV erosion despite a historically deep P/NAV discount. OCSL's NAV has declined 18% over six quarters, driven by software markdowns and non-accruals, not operating losses. Income coverage remains adequate, with an 11.5% yield and a more durable dividend structure tied to earnings. Patience and disciplined position sizing are warranted until NAV stabilizes and software-related risks show clear resolution. Read the full article on Seeking AlphaRecent updates
Narratiefupdate • Jun 26
OCSL: Trimmed Outlook And Distributions Will Shape Risk Reward Over Next Year
Analysts have trimmed the 12 month price target on Oaktree Specialty Lending from $13.70 to $12.43, reflecting updated assumptions around fair value, discount rate, revenue trends and profit margins that are consistent with recent recalibrations in broader research coverage. Analyst Commentary Recent research adjustments around Oaktree Specialty Lending give investors a clearer sense of where analysts see room for upside and where they are building in more caution.Seeking Alpha • Jun 11
Oaktree Specialty Lending: Getting Better
Summary Oaktree Specialty Lending is rated HOLD due to persistent NAV erosion despite a historically deep P/NAV discount. OCSL's NAV has declined 18% over six quarters, driven by software markdowns and non-accruals, not operating losses. Income coverage remains adequate, with an 11.5% yield and a more durable dividend structure tied to earnings. Patience and disciplined position sizing are warranted until NAV stabilizes and software-related risks show clear resolution. Read the full article on Seeking AlphaSeeking Alpha • Mar 17
Oaktree Specialty Lending: Solid Income Value After 27% Dividend Cut
Summary Oaktree Specialty Lending offers an attractive value proposition due to its valuation, portfolio strategy, and yield, despite having a high non-accrual percentage. OSCL cut its dividend by 27.3% last month, improving its dividend coverage profile to 1.15X in Q1 '25. The investment firm, however, has seen a shrinking portfolio due to higher net loan repayments. Oaktree Specialty Lending's non-accrual percentage remains high at 3.9%, but the dividend cut has positively impacted its coverage ratio. Priced at a 0.89X price-to-NAV ratio, Oaktree Specialty Lending could see a re-pricing catalyst if it lowers its non-accrual percentage. Read the full article on Seeking AlphaSeeking Alpha • Feb 26
Oaktree Specialty Lending: Dividend Cut, What Now?
Summary Oaktree Specialty Lending Corporation faced a decline in net asset value and net investment income due to investment write-downs and high non-accruals. The company cut its dividend by 27% to address the deteriorating dividend coverage, raising concerns about its ability to re-rate higher in 2025. Despite the dividend cut, Oaktree Specialty Lending's stock is expected to continue selling at a discount to net asset value due to ongoing credit issues. I recommend holding Oaktree Specialty Lending stock until there is significant improvement in its credit profile, as it may remain "dead money" in 2025. Read the full article on Seeking AlphaSeeking Alpha • Feb 05
Oaktree Specialty Lending: Dividend Cut As Expected, But Is This Enough?
Summary In a November 2024 article, I made a case that we will see Oaktree Specialty Lending cutting its dividend quite soon. This has now happened. The base dividend has dropped by ~27%. The base dividend coverage stands now at 136%, which implies a significant margin of safety for the FWD 10.3% yield. However, if we peel the onion back a bit, we would have to conclude that the underlying situation remains very uncertain. In this article, I explain why, in my humble opinion, investors should still avoid OCSL. Read the full article on Seeking AlphaSeeking Alpha • Jan 20
Oaktree Specialty Lending: Conditions Haven't Materially Improved Yet
Summary Oaktree Specialty Lending remains a sell due to weak dividend coverage, no major improvements to non-accrual rates, and poor net investment income growth. OCSL's portfolio is heavily concentrated in software investments, making it vulnerable to sector struggles and higher interest rates. Despite a high dividend yield of 14%, the potential for a dividend cut looms due to declining earnings and portfolio quality. OCSL's valuation discount to NAV is not attractive enough given the lack of substantial improvements in performance metrics and portfolio diversification. Read the full article on Seeking AlphaSeeking Alpha • Dec 19
Why OCSL Could Surprise Bulls
Summary OCSL’s YTD total return is -14.87%, significantly underperforming the S&P 500 (+23%) and peers like GBDC (+11.92%). Q4-24 weighted average yield fell to 9.9% from 12% in Q4-23, signaling lower-quality investments. Key loans from Astra, nThrive, and Telestream entered nonaccrual status, impacting portfolio income and credit quality. Portfolio exits generated $338M in Q4-24, up from $186M in Q3-24, improving leverage and growth potential. First-lien loans increased to 82% of the portfolio in fiscal-24, reflecting a lower-risk strategy. Read the full article on Seeking AlphaSeeking Alpha • Dec 13
Oaktree Specialty Lending: 14% Yield, Trading At 89 Cents On The Dollar
Summary Oaktree Specialty Lending reported a $0.01 per share miss in net investment income for Q4, but the BDC managed to support its dividend with NII. Despite rising non-accrual percentages, the BDC's change in management fee structure is a positive. OCSL's first-lien strategy, with 82% of funds in senior secured first liens, supports its reputation as a stable dividend payer. Trading at an 11% discount to book value, Oaktree Specialty Lending presents a favorable risk profile for investors with an above-average risk tolerance. Read the full article on Seeking AlphaSeeking Alpha • Nov 24
BlackRock TCP Vs. Oaktree Specialty: Both Are Likely To Cut, One Of Them Sooner
Summary TCPC and OCSL provide massive dividends and trade below NAV. I agree with the market that they have to be discounted below NAV. In my view, this is not the case, where investors could count on high dividends remaining unchanged. I would argue that both TCPC and OCSL will cut their dividends. In this article, I compare them side by side, and share my views on which one of them is likely to cut first. Read the full article on Seeking AlphaSeeking Alpha • Oct 08
Oaktree Specialty Lending: The Insider Buying Is Bullish
Summary Oaktree Specialty Lending insider Phyllis Caldwell added to her position last month. Other Oaktree insiders have been adding since 2022. The last insider sale was all the way back in 2021. Insider buying tends to predict positive stock moves. Oaktree's 13.5% yielding dividend is thought to be at risk of being cut, but in fact it is reasonably well covered by cash flows. Read the full article on Seeking AlphaSeeking Alpha • Oct 02
Oaktree Specialty Lending: How Good Is This 14% Yield?
Summary Oaktree Specialty Lending Corporation offers a high dividend yield of 14%, but its book value performance and risky loan portfolio are concerning. Despite a solid market cap and experienced management, OCSL has underperformed, with shares dropping 55% since its IPO and total returns lagging behind peers. Recent management fee reductions are shareholder-friendly, but declining net asset value and rising non-accrual rates indicate significant portfolio risks. I prefer higher-quality BDCs like MAIN or BXSL, which offer better track records, stronger credit quality, and still attractive dividend yields. Read the full article on Seeking AlphaSeeking Alpha • Sep 25
Oaktree Specialty Lending: Excess Software Lending May Compound 'Value Trap' Risk
Summary Business Development Companies like Oaktree Specialty Lending Corporation offer high yields but face significant economic risk due to their leverage. OCSL's management fee cuts, low price-to-book, and high dividend yield make it attractive, but its portfolio's economic risk exposure and leverage raise concerns. OCSL's underperformance may be linked to its lack of macroeconomic consideration, especially in the rapidly consolidating software and services sectors. Oaktree Specialty Lending may rise in the short term due to the recent compression of corporate debt spreads on the dovish Federal Reserve shift. However, that does not offset what I view as systematically weak portfolio investment choices. Read the full article on Seeking AlphaSeeking Alpha • Aug 26
Oaktree Specialty Lending: Risky 13% Yield
Summary Oaktree Specialty Lending Corporation's credit profile deteriorated, leading to risks to the dividend. The company barely covered its dividend with net investment income, leading to a potential dividend cut for passive income investors. Oaktree Specialty Lending's net asset value decreased, causing concern about the sustainability of the dividend. Read the full article on Seeking AlphaSeeking Alpha • Aug 20
Oaktree Specialty Lending: A Buying Opportunity With A 13% Yield
Summary Oaktree Specialty Lending is dealing with loan performance issues and a rising non-accrual percentage. Despite challenges, the BDC is focusing on a first-lien strategy to strengthen its portfolio and maintain its dividend. OCSL lowered its base management fee in order to provide a $0.15 per-share annual NII uplift. With shares priced at a P/NAV ratio of less than 1.0X, income investors may benefit from an increased safety margin in the BDC's valuation. Read the full article on Seeking AlphaSeeking Alpha • Aug 02
Oaktree Specialty Lending: Admitting My Mistake And Downgrading This BDC
Summary OCSL has been my absolute worst performing BDC pick. After the previous earnings release, I was still optimistic and recommended a buy, considering the positive net funding volumes and decreasing non-accruals. While the net funding volumes have remained strong, the build-up of non-accruals surprised to the downside, leaving the current distribution coverage without any margin of safety. Since it is inherently difficult to predict how the non-accruals will evolve and given that the current dividends are barely covered by the adjusted net investment income, I am downgrading this BDC. Read the full article on Seeking AlphaSeeking Alpha • Jul 20
Oaktree Specialty Lending: Built For Stability And Success
Summary OCSL’s portfolio includes 81% first-lien loans, providing high-priority protection and enhancing income stability and asset valuation. Non-accrual investments decreased from $120.7 million to $69.1 million in Q2 2024, indicating enhanced credit quality and portfolio stability. With $1 billion in available liquidity and a net debt-to-equity ratio of 1.02x, OCSL is well-positioned for new investments and financial obligations. OCSL's $408.91 million investment in application software shows a 1.15% fair value loss, mitigated by first lien loans ensuring priority claims on intangible assets. Read the full article on Seeking AlphaSeeking Alpha • Jul 03
Oaktree Specialty Lending: Priced Attractively, But Dividend May Be Threatened
Summary Oaktree Specialty Lending operates as a business development company that holds a focus on investing in middle market companies. Reduction in management fees to 1% is expected to increase net investment income per share by $0.15 annually. However, I believe this was done out of necessity to offset underperformance. Despite strong dividend growth history, caution is advised due to low coverage rate and lack of NAV growth, making OCSL a hold. Their debt investments are diverse in nature, but there seems to be a majority emphasis on application software companies. Read the full article on Seeking AlphaSeeking Alpha • Jun 13
Oaktree Specialty Lending: Plenty Of Reasons To Remain Bullish
Summary Oaktree Specialty Lending Corporation's share price has continued to underperform the BDC index after my updated bull thesis earlier this year. On the surface, such flat performance might seem justified. Yet, if we peel back the onion a bit, we will notice that the underlying dynamics remain strong. In this article, I explain why I remain bullish on Oaktree even against the backdrop of a slight drop in the adjusted NII and underperforming share price. Read the full article on Seeking AlphaSeeking Alpha • May 10
Oaktree Specialty Lending: Credit Issues Continue To Hold Back Performance
Summary Oaktree Specialty Lending Corporation had another disappointing quarter, but still managed a positive total NAV return. Oaktree Specialty Lending focuses on secured loans, with overweights in the software and healthcare sectors. The company reduced its base management fee and extended its merger-related fee waiver, potentially due to pressure from recent BDC IPOs and its own middling performance. Read the full article on Seeking AlphaSeeking Alpha • May 02
Oaktree Specialty Lending: Love The 11% Yield, Didn't Like The Earnings
Summary Oaktree Specialty Lending Corporation released its Q1 earnings on Tuesday. The release missed analyst estimates and showed declining investment income. The company slashed its management fee by 33% on the news. One bright spot in the earnings release was a decline in the number of non-accrual loans. There were fewer of them than there were in the December quarter. In this article, I explain why I reduced my Oaktree position by 30% after its earnings release came out. Read the full article on Seeking AlphaSeeking Alpha • Mar 24
Oaktree Specialty Lending: Trading At A Premium To NAV
Summary Oaktree Specialty Lending has seen a significant decline in share price, but total return since inception is around 170% due to high distributions. OCSL specializes in middle market financing and has diverse exposure to various sectors within their debt portfolio. The current dividend yield for OCSL is 11.4%, with a quarterly dividend of $0.55/share. Read the full article on Seeking AlphaSeeking Alpha • Mar 13
Oaktree Specialty Lending: Time To Capitalize On The Market's Overreaction
Summary While Oaktree Specialty Lending started the year strong, it has underperformed the BDC average on a YTD basis. The underperformance stems from a negative earnings surprise that is mostly linked to growing non-accruals. Yet, if we zoom out and consider the portfolio dynamics, we will notice a solid picture of healthy fundamentals that have just become cheaper due to notable share price correction. In this article, I dissect the most recent quarterly figures and explain why I think that the BDC is still an enticing buy. Read the full article on Seeking AlphaSeeking Alpha • Feb 11
Oaktree Specialty: Fear Creates 11%-Yielding Buying Opportunity (Rating Upgrade)
Summary Oaktree Specialty Lending's shares dropped due to a rise in the non-accrual percentage, creating a buying opportunity. The BDC's focus on senior secured loans and ability to work out problematic loan situations mitigate the impact of non-accruals. Oaktree Specialty Lending's actual financial performance was strong, with growth in interest income and net investment income. The 11% yield is still covered by NII and OCSL stock is now trading near its longer-term P/NAV ratio. Read the full article on Seeking AlphaSeeking Alpha • Feb 02
Oaktree Specialty Lending: Buy The Panic And Lock In An 11% Yield
Summary Oaktree Specialty Lending Corporation's stock price is down 8% after reporting fourth quarter results. The increase in non-accruals caused a panic sell-off, but the author believes investors overreacted. The stock is now classified as a Strong Buy with a solid yield above 11% and improved risk/reward relationship. Read the full article on Seeking AlphaSeeking Alpha • Jan 21
Oaktree Speciality Lending: 10% Yielder With A De-Risked Profile
Summary Oaktree Specialty Lending is one of the largest BDCs with strong fundamentals across the board carrying an exposure to public bonds, which is uncommon in the BDC space. Recently, OCSL has improved its portfolio and de-risked balance sheet, while keeping net investment income component stable. In this article I review my investment thesis that I issued back in August, 2023 and provide several reasons why I still consider OCSL a buy. Read the full article on Seeking AlphaSeeking Alpha • Jan 15
Oaktree Specialty Lending: A Sustainable 10.3% Dividend Yield
Summary Oaktree Specialty Lending is paying out a 10.3% base dividend yield that was 113% covered by adjusted net investment income from its last reported quarter. The BDC offers a broadly stable NAV per share profile and a "BBB-" investment grade credit rating. Liquidity at the end of its last reported quarter is around $1 billion as exits run ahead of newly funded investments. Read the full article on Seeking AlphaSeeking Alpha • Sep 17
BDCs: Oaktree Capital Looks Less Attractive Than Trinity Capital
Summary BDCs have thrived in difficult times and have shown the ability to become a safe asset class for dividend investors. So far in 2022, the prominent BDC Oaktree Capital has outperformed the market in terms of price volatility and dividends. However, it looks less attractive when compared to its competitors such as Trinity Capital. With blistering profitability and growth rate, Trinity Capital is well-positioned to deliver robust returns for investors. Shareholders of Oaktree Capital (OCSL) may be feeling comfortable as the business development company continues outperforming broader market trends and proving its worth as a dividend option for low-risk portfolios. It is worth holding Oaktree due to its 0% non-accrual ratio along with 87% portfolio concentration towards secured debt. Despite that, I am concerned about the company's dividend growth potential due to its conservative investment strategy, declining investment commitments, and unstable profit growth. Meanwhile, its competitor, Trinity Capital (TRIN), appears better positioned to capitalize on the growing demand for venture debt due to its aggressive investment strategy, product diversification, and potential to generate high cash returns in the years ahead. BDCs Thriving Despite Bearish Market Trends The US stock market has already lost trillions of dollars so far in 2022, but it is still difficult to predict how long the bearish trend will last. The higher-than-expected CPI data suggests the Fed may extend its tight monetary policy to tame inflation. For stock markets, higher rates combined with economic contraction will lead to a decline in profits and revenue for corporations. As a result, there may be a need for investors to rethink their portfolio preferences. Historically, buying dividend-paying stocks is the best way to beat bearish market trends. So far in 2022, companies that specialize in business development have demonstrated their ability to thrive in tough market conditions. They continue to pay substantial dividends, and their shares remain less volatile than the market as a whole. This is because high rates and slow venture capital funding have increased venture debt demand. To raise cash, capital-hungry startups are turning to venture debt rather than selling stakes at a steep discount to venture capital. PitchBook data shows that venture debt volumes in the US reached $17.1 billion in the first half of 2022, up 7.5% from the same period last year. While BDCs continue to grow in spite of bearish broader market conditions, investors should still be cautious when selecting stocks. This is because different investment approaches and different profitability and growth rates make BDCs differ from one another. Therefore, dividend investors must select the right BDC to beat the bearish market condition and earn sustainable long-term returns. Is Oaktree Capital The Solid BDC To Own? Listed on NASDAQ in 2008, Oaktree Capital is a prominent business development company with a market cap of $1.20 billion. Shareholders have received consistently strong returns from the company over the past decade, and these returns have grown substantially in the last two years. Besides cash returns, many other metrics indicate that it can be a safe investment for dividend investors. As an example, Oaktree's portfolio is highly concentrated on secured loans, thereby reducing the risk of bad debts. As of June 2022, approximately 70% of its portfolio was invested in first liens, while about 17% was in second liens. A total of 13% of the BDC's portfolio holdings were unsecured investments in equities and joint ventures. Additionally, the company has $455.0 million in undrawn credit facility and $34.3 million in unrestricted cash and cash equivalents. Portfolio Composition (Third Quarter Presentation) Since past performance is no guarantee of future success, I am concerned that Oaktree's conservative investment approach might hinder its ability to generate healthy growth in dividends. What's more concerning is that the firm's Chief Executive Officer and Chief Investment Officer Armen Panossian expressed confidence in Oaktree's conservative investment strategy in the latest conference call. He stated that they are currently exercising more conservatism than in the past. It is prudent to show discipline in asset allocation in current market conditions, but this strategy has started impacting its investment income and dividend growth. Investment Activity (Third Quarter Presentation) In the June quarter, the company's investment commitments fell to $131 million from $227 million in the previous quarter and $178 million a year earlier. The company's investment commitments have also fallen significantly from around $385 million in the September quarter of last year. Lower investment commitments mean lower net investment income for the company. In the June quarter, its adjusted net investment income came in at $0.17 per share, down from $0.18 per share in the previous quarter and $0.19 per share a year ago. Based on quant data from Seeking Alpha, the company's revision factor received an F grade, indicating Wall Street analysts are lowering their expectations. If Oaktree's investment income stagnates, it might struggle to continue raising dividends on a quarterly basis. A payout ratio of 100% based on net investment income in the latest quarter also hints at lower room for dividend increases in the following quarters. But Trinity Capital's Aggressive Strategy Paves Path For Lofty Returns A strategy of aggressively investing in growth opportunities and capitalizing on the increasing demand for venture debt puts Trinity Capital in a solid position to offer sustainable dividend growth. The company has doubled its employees in the last two years and started working closely with startups to help them achieve their objectives. Furthermore, the company doubled its investment commitments to a record $460 million in the first half of 2022 compared to the same period last year. Its portfolio assets also jumped above the $1 billion level for the first time in the June quarter.Seeking Alpha • Aug 12
Oaktree Specialty Lending: Another Dividend Increase As Conservative Marks Push The NAV 5% Lower
We discuss Q2 results from OCSL and highlight the key income dynamics of the portfolio. OCSL saw a small drop in adjusted net income due to lower OID acceleration and a temporary floating-rate mismatch between assets and liabilities. NAV fell 5% which is very likely overstated versus the sector - we saw a similar NAV underperformance in 2020 which was subsequently reversed. Portfolio quality remained good with zero non-accruals and continued realized gains. OCSL hiked its dividend to $0.17 and trades at a 9.7% yield and a 102% valuation. This article was first released to Systematic Income subscribers and free trials on Aug 5. In this article, we discuss Q2 results from the Business Development Company Oaktree Specialty Lending Corp (OCSL). OCSL is a relatively large BDC with $2.6bn in investments. Its focus lies at the higher-end of the middle-market segment with a $128m median company EBITDA. It is also relatively underweight equity, with an above-sector average allocation to secured debt. Its sector profile, as shown below, is focused on Technology and Healthcare sectors. The company features a high-quality underwriting track record and strong total NAV returns in the sector. OCSL has been in our High Income Portfolio since the end of last year and we recently added to the stock in mid-June. Given its recent run-up and valuation we have just downgraded it to a Hold from Buy. Oaktree Quarter Update GAAP net income (blue bars) was flat in Q2 while adjusted (red bars) net income (i.e. adjusted for merger-related adjustments and a portion of incentive fees) was lower by a penny to $0.17 from Q1 and flat to Q4. Systematic Income BDC Tool Dividend was increased once again by half a penny to $0.17. OCSL has been increasing dividends for a couple of years now. These increases have not been overly surprising as net income has tended to run well above the dividend level. Current dividend coverage from adjusted net income is exactly 100% however we expect net income to move higher on the back of rising short-term rates so we expect further dividend hikes over the coming quarters. Systematic Income BDC Tool As we discussed several times, we expected OCSL to underperform in Q2 and this is indeed what happened as its NAV had the second largest drop so far over Q2 in the sector. Systematic Income BDC Tool The 5% drop in the NAV is the second largest of the reporting season so far, however, in our view, it's overstated for three reasons. First, as we discuss below, OCSL tends to be fairly conservative in their NAV marks. Second, credit spreads have reversed about half of their widening over Q2. And third, the company has been adding to publicly traded loans as prices have fallen this year, some 15-20% below par, which they expect to generate significant capital gains. Loans have continued to recover since the end of the quarter which would result in a marginal increase in the NAV on a marked-to-market basis as of today, all else equal. Systematic Income BDC Tool Therefore, on an apples-to-apples and marked-to-market basis, we would expect the company's valuation to be a touch below 100% which makes it fairly-valued in our view. OCSL has a relatively conservative NAV marking process (or, more correctly phrased, in our view, the rest of the sector has a relatively aggressive NAV marking process). A common pattern for OCSL is to mark down their assets during wider credit spreads periods and then to write them back up as credit spreads tighten back. We saw this pattern in Q1-2020 when the company's NAV fell much more than the sector average. This time around we see the same pattern as the NAV sharply underperformed the broader sector over Q2. In our view, given the company's strong track record of net realized gains and a continued zero/low level of non-accruals, investors should look past the high NAV volatility to some extent. In other words, OCSL will tend to feature a higher level of NAV volatility than the broader sector however this volatility will carry less signal and more noise than the average BDC. Systematic Income BDC Tool Income Dynamics In this section we highlight some of the key factors that will drive net income over the medium term. One takeaway from the management discussion was that the first half of 2022 was not unusually appealing to them. In other words, loan documentation did not "tighten" and spreads did not widen out significantly. This seems to be due to the combination of a large amount of capital that was raised over the last few years dedicated to the direct lending space as well as a drop in the level of deal flow, both in M&A / LBO volumes as well as less interest from private business owners to sell their business in the face of lower multiples. This view also explains why OCSL didn't aggressively expand their asset base - net new investments were essentially flat over Q2 as the chart shows below. This view is not totally aligned with other BDCs, specifically ARCC which commented that it was seeing stronger documentation and wider spreads and which also had a large increase in net new investments. Systematic Income BDC Tool OCSL raised its leverage target range from 0.85-1.00x to 0.90-1.25x. This obviously gives the company some additional capacity to pursue attractive assets since it was already operating above the upper level of their previous range. It also mitigates the risk the company is forced to shed assets i.e. deleverage. This is because a drop in asset marks mechanically raises its leverage level. The company said its current leverage level appears appropriate and doesn't expect to move up to the upper level of the range. The current leverage level is slightly above the BDC average. Systematic Income BDC Tool The company said that most of the portfolio resets on 30-June which means that the full rise in short-term rates over the quarter was not captured in its Q2 income. For example, a 3-month Libor linked loan that reset at the end of March would have accrued at a level of Libor of 0.96% for the entire Q2 whereas Libor finished Q2 at 2.3% (and is now even higher at 2.8%). In other words, the same position would have seen an increase in its coupon of 1.3%, assuming a Libor floor of 1% or below, if it accrued Libor at the Q2-end level. OCSL estimate that if the entire portfolio accrued at its Q2-end level of short-term rates net income would have been $0.18 vs $0.17. What this suggests is that we should continue to expect an uptick in net income over the rest of the year, all else equal, on the back of rising short-term rates. It also means that further dividend hikes are not out of the question. Systematic Income BDC Tool The weighted-average yield on its debt securities (blue bars) increased by 0.5% to 9.3% while its debt interest expense (red bars) increased by 0.7% to 3.2%. Debt interest expense increased at a faster pace because of the lack of Libor floors on liabilities however this velocity will now even out with the asset-side going forward. OCSL also saw a larger than average increase in debt costs because of its above-average level of floating-rate debt of 53% vs. 40%. Its strong credit profile, however, means its debt interest expense remains below the sector average by around 0.3-0.5%. Systematic Income BDC Tool The company continues to carry about $100m of lower-yielding assets earning less than Libor + 4.5% which it plans to opportunistically rotate from into higher-yielding assets. Portfolio Quality Management did not indicate any portfolio concerns on the call. They indicated they were happy with the average level of interest coverage in the portfolio which was around 3x as well as the average leverage profile which was 4.9x. Non-accruals continue to run at zero. Systematic Income BDC Tool Net realized gains/losses have been uniformly positive over the last few years. Significant realized losses could be an indication the company was managing its non-accruals lower by selling off underperforming assets. Systematic Income BDC Tool PIK income ticker higher and stands around 3% above the sector average which is worth keeping an eye on. Systematic Income BDC Tool The allocation profile has not changed a whole lot. The company continues to run a light-equity allocation portfolio at about 5% (across warrants/common/preferred) versus about 10% for the sector average.Seeking Alpha • Aug 04
Oaktree Specialty Lending raises dividend by 3% to $0.17/share
Oaktree Specialty Lending (NASDAQ:OCSL) declares $0.17/share quarterly dividend, 3% increase from prior dividend of $0.17. Forward yield 9.7% Payable Sept. 30; for shareholders of record Sept. 15; ex-div Sept. 14. See OCSL Dividend Scorecard, Yield Chart, & Dividend Growth.Seeking Alpha • Jul 01
Oaktree Specialty Lending's Recession-Safe 10.2% Yield Is On Sale
Oaktree Specialty Lending has a very convincing dividend growth record. Diversified, safety-first debt portfolio produces downside protection. Valuation discount creates margin of safety. Oaktree Specialty Lending Corporation (OCSL) is currently selling a safe, recession-proof dividend. The business development company ("BDC") has a truly impressive dividend growth record, and the stock has begun to trade at a discount to book value as a result of recession fears. The financial results of Oaktree Specialty Lending indicate that the business development company's stock should trade at a premium to book value. OCSL Is A True Gem In The BDC Market Oaktree Specialty Lending deserves a lot more attention, primarily because of its impressive dividend growth, which I will discuss in more detail later. Oaktree Specialty Lending is spread across 146 portfolio companies, with a fair value of $2.6 billion as of March 31, 2022. The portfolio was to be 86% invested in secured debt (first and second liens), with unsecured debt accounting for 2% of investments, equity accounting for 4%, and joint ventures accounting for 7% of investment assets. Portfolio Composition (Oaktree Specialty Lending Corp) Oaktree Specialty Lending places a high priority on investing in industries with little or no earnings volatility, which could jeopardize the BDC's portfolio income and dividend payments to shareholders. With 15.9%, the software industry is Oaktree Specialty Lending's most exposed industry. A quick scan of the BDC's overall industry exposure reveals that the top ten industries are all companies in low-volatility industries such as healthcare, pharmaceuticals, chemicals, and IT services. Portfolio By Industry (Oaktree Specialty Lending Corp) New Investments Have A First Lien Focus Oaktree Specialty Lending's new originations and investment commitments are not slowing. The BDC committed $228 million in new investments in the first quarter, with the vast majority of new investments in first and second lien secured debt. Approximately 72% of Oaktree Specialty Lending's new investments in 1Q-22 were in first liens and 7% in second liens. The first lien focus is beneficial to the BDC because the sector must potentially absorb a recession in 2022, which raises the BDC's and the sector's credit risks. New Investment Composition (Oaktree Specialty Lending Corp) Interest Rate Exposure The management of Oaktree Specialty Lending saw the writing on the wall and invested heavily in floating rate assets. This implies the possibility of income growth as the central bank raises benchmark interest rates. Floating rates apply to 89% of Oaktree Specialty Lending's loan base, positioning the BDC for net investment income tailwinds if the central bank becomes more aggressive with its interest rate policy. Portfolio Income Covers Pay-Out Total dividends of $0.59 per share over the last year compared to adjusted net investment income of $0.70 per share. As a result, Oaktree Specialty Lending had a pay-out ratio of only 84%. Because of the low pay-out ratio, I anticipate that the BDC's management will continue to increase the quarterly dividend pay-out. Because Oaktree Specialty Lending is also exposed to interest rates, an increase in benchmark interest rates could help the BDC's dividend growth. Portfolio Income (Oaktree Specialty Lending Corp) Strong Dividend Growth Oaktree Specialty Lending has delivered truly impressive results in one particular metric: dividend growth. The business development company recently declared a quarterly cash distribution of $0.165 per share, representing a 27% increase in dividend growth YoY. It was Oaktree Specialty Lending's eighth consecutive quarterly dividend increase. The BDC increased its dividend by 74% in two years, from $0.095 per share to $0.165 per share. I am not aware of any other business development company that has been able to increase its pay-out at such an impressive rate for nearly the entire pandemic period. Data by YCharts 11% Discount To Book Value For A Top-Rated BDC Top-rated business development firms with an exemplary track record of consistency and dividend growth should not be trading at a discount to book value. When they do, dividend investors should act quickly and buy as many shares as they can. The total assets of Oaktree Specialty Lending are valued at 0.89x book value, implying an 9% discount to book value. As I mentioned in previous articles on business development companies, many BDCs, including the top tier ones, began trading at discounts to book value in June. The time to double down on quality BDCs is now.Seeking Alpha • May 13
Oaktree Specialty Lending: Investment Grade Dividend Grower Yielding 9.1%
OCSL has impressive dividend growth momentum. The company recently reported strong Q2 results. We offer our take on the latest quarter and the current valuation.Seeking Alpha • Feb 14
Oaktree Specialty Lending: An 8.4% Yielding BDC With Another Strong Quarter
OCSL has continued its run of strong quarterly results with rises in adjusted NII, NAV and the dividend. OCSL trades at an 8.4% yield - well above the average regular dividend yield in the sector as well as at a below sector valuation. Coverage remains above 100% with no non-accruals, modest leverage and a number of income tailwinds. 3Y total NAV returns are sector-beating on an average and median basis. We would consider adding to our current position around $7.40-7.50 or at a valuation closer to 100% based on Q4 NAV.Seeking Alpha • Jan 10
Oaktree Specialty Lending: A Rare Combination Of Compelling Valuation And Dividend Growth
Founded in 1995, Oaktree was involved in substantial M&A activity in recent years, including partnering with Brookfield and consolidating two BDCs into one. Oaktree's $158 billion in AUM is among the largest in its peer group. Immense AUM doesn't guarantee great results for investors, however, and we invest with our eyes wide open. Oaktree is a member of our elite "Tier 1" BDC category. Let's evaluate how this leading BDC is performing and how close it trades to an optimal entry point. Oaktree's BDC has among the fastest-growing dividends, favorable risk metrics, and a very reasonable valuation.Seeking Alpha • Nov 23
OCSL: OK Q3 Results But Internals Look Better
BDC OCSL delivered OK Q3 results with adjusted NII flat to its trailing twelve-month average and a 0.8% rise in the NAV. The internals of the portfolio are quite a bit stronger than the headline results with significant income tailwinds. OCSL features a below-average valuation while having delivered well above-sector average total NAV returns, particularly impressive given its very low common equity allocation.Seeking Alpha • Oct 14
A Rare 8% Yield BDC Offering Dividend Growth, Equity Upside: Oaktree Specialty Lending
BDC - Oaktree Specialty Lending Corporation - offers a rare combination of growing dividends and equity upside. Thanks to its strong management team, strong balance sheet liquidity and strong investment portfolio, we believe Oaktree Specialty Lending Corporation can outperform some of the top BDCs over the long term. In this report, we review the health of the business, the highly-experienced management team, the balance sheet, liquidity, dividend safety, valuation and risks. We conclude with our opinion on investing.Seeking Alpha • Sep 30
8.2% Yield: Buy The Turnaround At Oaktree Specialty Lending
Oaktree Specialty Lending has seen a transformation of sorts, with a NAV/share that's on the uptrend. It's raised its dividend for 5 consecutive quarters, and maintains a well-funded balance sheet. Meanwhile, OCSL maintains a strong borrower base, with no investments on non-accrual.Seeking Alpha • Aug 29
Buy This Dividend Growth Stock Currently Yielding 8.0%: Oaktree
This is part of a series of articles discussing 'Level 1' dividend coverage BDCs with higher potential for dividend growth and/or supplemental and special dividends. Oaktree Specialty Lending remains a 'Level 1' for the reasons discussed in this article, and I have included dividend projections that are likely conservative. So far in 2021, there have been at least 10 BDCs that have announced dividend increases and/or supplemental dividends most of which were considered 'Level 1'. Upcoming articles will discuss additional 'Level 1' BDCs as the fundamentals for the sector remain strong thanks to rebuilt balance sheets during the pandemic.Seeking Alpha • Jul 01
Oaktree Specialty Lending: Improving Portfolio Quality Supports A Bullish Thesis
OCSL's portfolio transformation, diversity, and current composition set the foundation for further sustainable NAV growth and dividend maintenance. The complete elimination of non-accruals, the increased secured debt to an all-time high of 86.5%, and low leverage levels of just 0.84x position the company to further expand its RoE. Following the merger with OCSI and the support by the Oaktree family, the company is positioned to benefit from economies of scale, lower operating expenses, and synergies creation.Rendement voor aandeelhouders
| OCSL | US Capital Markets | US Markt | |
|---|---|---|---|
| 7D | 1.0% | 0.6% | -1.4% |
| 1Y | -13.8% | 2.0% | 17.4% |
Rendement versus industrie: OCSL presteerde slechter dan de US Capital Markets -sector, die het afgelopen jaar een rendement van 2 % opleverde.
Rendement versus markt: OCSL presteerde slechter dan US Market, dat het afgelopen jaar een rendement van 17.4 % opleverde.
Prijsvolatiliteit
| OCSL volatility | |
|---|---|
| OCSL Average Weekly Movement | 3.8% |
| Capital Markets Industry Average Movement | 3.9% |
| Market Average Movement | 7.2% |
| 10% most volatile stocks in US Market | 16.4% |
| 10% least volatile stocks in US Market | 3.2% |
Stabiele aandelenkoers: OCSL heeft de afgelopen 3 maanden geen significante prijsvolatiliteit gekend vergeleken met de US markt.
Volatiliteit in de loop van de tijd: De wekelijkse volatiliteit ( 4% ) van OCSL is het afgelopen jaar stabiel geweest.
Over het bedrijf
| Opgericht | Werknemers | CEO | Website |
|---|---|---|---|
| 2007 | n/a | Armen Panossian | www.oaktreespecialtylending.com |
Oaktree Specialty Lending Corporation is een business development bedrijf. Het fonds is gespecialiseerd in investeringen in de middenmarkt, overbruggingsfinanciering, eerste- en tweedegraads schuldfinanciering, ongedekte en mezzanine leningen, senior en junior gedekte schulden, uitbreidingen, door sponsors geleide overnames, preferent aandelenkapitaal en management buy-outs in kleine en middelgrote bedrijven. Het bedrijf wil investeren in onderwijsdiensten, zakelijke dienstverlening, detailhandel en consumenten, gezondheidszorg, productie, voeding en restaurants, bouw en techniek.
Oaktree Specialty Lending Corporation Samenvatting
| OCSL fundamentele statistieken | |
|---|---|
| Marktkapitalisatie | US$1.07b |
| Inkomsten(TTM) | US$49.65m |
| Inkomsten(TTM) | US$298.07m |
21.6x
Koers/Winstverhouding3.6x
P/S-verhoudingIs OCSL overgewaardeerd?
Zie Reële waarde en waarderingsanalyseInkomsten en omzet
| OCSL resultatenrekening (TTM) | |
|---|---|
| Inkomsten | US$298.07m |
| Kosten van inkomsten | US$0 |
| Brutowinst | US$298.07m |
| Overige uitgaven | US$248.42m |
| Inkomsten | US$49.65m |
Laatst gerapporteerde inkomsten
Mar 31, 2026
Volgende inkomensdatum
Aug 05, 2026
| Winst per aandeel (EPS) | 0.56 |
| Brutomarge | 100.00% |
| Nettowinstmarge | 16.66% |
| Schuld/Eigen Vermogen Verhouding | 107.6% |
Hoe presteerde OCSL op de lange termijn?
Bekijk historische prestaties en vergelijkingDividenden
13.2%
Huidig dividendrendement284%
UitbetalingsratioBedrijfsanalyse en status van financiële gegevens
| Gegevens | Laatst bijgewerkt (UTC-tijd) |
|---|---|
| Bedrijfsanalyse | 2026/07/20 06:49 |
| Aandelenkoers aan het einde van de dag | 2026/07/17 00:00 |
| Inkomsten | 2026/03/31 |
| Jaarlijkse inkomsten | 2025/09/30 |
Gegevensbronnen
De gegevens die gebruikt zijn in onze bedrijfsanalyse zijn afkomstig van S&P Global Market Intelligence LLC. De volgende gegevens worden gebruikt in ons analysemodel om dit rapport te genereren. De gegevens zijn genormaliseerd, waardoor er een vertraging kan optreden voordat de bron beschikbaar is.
| Pakket | Gegevens | Tijdframe | Voorbeeld Amerikaanse bron * |
|---|---|---|---|
| Financiële gegevens bedrijf | 10 jaar |
| |
| Consensus schattingen analisten | +3 jaar |
|
|
| Marktprijzen | 30 jaar |
| |
| Eigendom | 10 jaar |
| |
| Beheer | 10 jaar |
| |
| Belangrijkste ontwikkelingen | 10 jaar |
|
* Voorbeeld voor effecten uit de VS, voor niet-Amerikaanse effecten worden gelijkwaardige formulieren en bronnen gebruikt.
Tenzij anders vermeld zijn alle financiële gegevens gebaseerd op een jaarperiode, maar worden ze elk kwartaal bijgewerkt. Dit staat bekend als Trailing Twelve Month (TTM) of Last Twelve Month (LTM) gegevens. Meer informatie.
Analysemodel en Snowflake
Details van het analysamodel dat is gebruikt om dit rapport te genereren zijn beschikbaar op onze Github-pagina, we hebben ook handleidingen over hoe u onze rapporten kunt gebruiken en tutorials op YouTube.
Leer meer over het team van wereldklasse dat het Simply Wall St-analysemodel heeft ontworpen en gebouwd.
Industrie en sector
Onze industrie- en sectormetrics worden elke 6 uur berekend door Simply Wall St, details van ons proces zijn beschikbaar op Github.
Bronnen van analisten
Oaktree Specialty Lending Corporation wordt gevolgd door 20 analisten. 6 van deze analisten hebben de schattingen van de omzet of winst ingediend die zijn gebruikt als input voor ons rapport. Inzendingen van analisten worden de hele dag door bijgewerkt.
| Analist | Instelling |
|---|---|
| Kannan Venkateshwar | Barclays |
| James Fotheringham | BMO Capital Markets Equity Research |
| Mitchel Penn | Brean Capital Historical (Janney Montgomery) |