FS KKR CAPITAL CORP (FSK) Stock Fundamental Analysis
NYSE:FSK - New York Stock Exchange, Inc. - US3026352068 - Common Stock - Currency: USD
FSK gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 225 industry peers in the Capital Markets industry. Both the profitability and the financial health of FSK get a neutral evaluation. Nothing too spectacular is happening here. FSK has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year FSK was profitable.
In the past year FSK had a positive cash flow from operations.
FSK had positive earnings in 4 of the past 5 years.
The reported operating cash flow has been mixed in the past 5 years: FSK reported negative operating cash flow in multiple years.
1.2 Ratios
The Return On Assets of FSK (3.49%) is comparable to the rest of the industry.
FSK has a Return On Equity of 7.91%. This is comparable to the rest of the industry: FSK outperforms 42.47% of its industry peers.
FSK has a better Return On Invested Capital (5.27%) than 68.95% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for FSK is below the industry average of 6.82%.
The last Return On Invested Capital (5.27%) for FSK is above the 3 year average (4.57%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.49% | ||
| ROE | 7.91% | ||
| ROIC | 5.27% |
ROA(3y)4.62%
ROA(5y)2.25%
ROE(3y)10.36%
ROE(5y)4.87%
ROIC(3y)4.57%
ROIC(5y)4.54%
1.3 Margins
FSK's Profit Margin of 29.98% is fine compared to the rest of the industry. FSK outperforms 69.41% of its industry peers.
FSK's Profit Margin has declined in the last couple of years.
With an excellent Operating Margin value of 49.06%, FSK belongs to the best of the industry, outperforming 85.84% of the companies in the same industry.
In the last couple of years the Operating Margin of FSK has remained more or less at the same level.
FSK's Gross Margin of 51.22% is in line compared to the rest of the industry. FSK outperforms 53.42% of its industry peers.
FSK's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 49.06% | ||
| PM (TTM) | 29.98% | ||
| GM | 51.22% |
OM growth 3Y-2.18%
OM growth 5Y-1.48%
PM growth 3YN/A
PM growth 5Y-23.42%
GM growth 3Y-2.76%
GM growth 5Y-1.41%
2. Health
2.1 Basic Checks
Compared to 1 year ago, FSK has less shares outstanding
FSK has more shares outstanding than it did 5 years ago.
FSK has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.58, we must say that FSK is in the distress zone and has some risk of bankruptcy.
FSK has a Altman-Z score of 0.58. This is in the lower half of the industry: FSK underperforms 65.75% of its industry peers.
FSK has a debt to FCF ratio of 7.63. This is a slightly negative value and a sign of low solvency as FSK would need 7.63 years to pay back of all of its debts.
With a Debt to FCF ratio value of 7.63, FSK perfoms like the industry average, outperforming 56.16% of the companies in the same industry.
A Debt/Equity ratio of 1.21 is on the high side and indicates that FSK has dependencies on debt financing.
FSK's Debt to Equity ratio of 1.21 is on the low side compared to the rest of the industry. FSK is outperformed by 63.01% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.21 | ||
| Debt/FCF | 7.63 | ||
| Altman-Z | 0.58 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 2.88 indicates that FSK has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 2.88, FSK is in the better half of the industry, outperforming 77.63% of the companies in the same industry.
A Quick Ratio of 2.88 indicates that FSK has no problem at all paying its short term obligations.
The Quick ratio of FSK (2.88) is better than 77.63% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.88 | ||
| Quick Ratio | 2.88 |
3. Growth
3.1 Past
The earnings per share for FSK have decreased by -6.31% in the last year.
The Earnings Per Share has been growing slightly by 2.42% on average over the past years.
FSK shows a decrease in Revenue. In the last year, the revenue decreased by -3.88%.
The Revenue has been growing by 35.95% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-6.31%
EPS 3Y5.88%
EPS 5Y2.42%
EPS Q2Q%-7.5%
Revenue 1Y (TTM)-3.88%
Revenue growth 3Y42.01%
Revenue growth 5Y35.95%
Sales Q2Q%-5.16%
3.2 Future
Based on estimates for the next years, FSK will show a decrease in Earnings Per Share. The EPS will decrease by -6.11% on average per year.
The Revenue is expected to decrease by -4.45% on average over the next years.
EPS Next Y-6.39%
EPS Next 2Y-8.41%
EPS Next 3Y-6.11%
EPS Next 5YN/A
Revenue Next Year-5.92%
Revenue Next 2Y-6.48%
Revenue Next 3Y-4.45%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 7.91 indicates a rather cheap valuation of FSK.
FSK's Price/Earnings ratio is rather cheap when compared to the industry. FSK is cheaper than 84.47% of the companies in the same industry.
FSK's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 29.62.
FSK is valuated reasonably with a Price/Forward Earnings ratio of 9.01.
75.34% of the companies in the same industry are more expensive than FSK, based on the Price/Forward Earnings ratio.
FSK is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.70, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.91 | ||
| Fwd PE | 9.01 |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, FSK is valued a bit cheaper than the industry average as 79.91% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.23 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
A cheap valuation may be justified as FSK's earnings are expected to decrease with -6.11% in the coming years.
PEG (NY)N/A
PEG (5Y)3.27
EPS Next 2Y-8.41%
EPS Next 3Y-6.11%
5. Dividend
5.1 Amount
FSK has a Yearly Dividend Yield of 10.78%, which is a nice return.
FSK's Dividend Yield is a higher than the industry average which is at 10.21.
Compared to an average S&P500 Dividend Yield of 2.27, FSK pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 10.78% |
5.2 History
The dividend of FSK is nicely growing with an annual growth rate of 6.53%!
FSK has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of FSK decreased in the last 3 years.
Dividend Growth(5Y)6.53%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
156.63% of the earnings are spent on dividend by FSK. This is not a sustainable payout ratio.
The Dividend Rate of FSK has been growing, while earnings will be declining. This means the dividend growth is most likely not sustainable.
DP156.63%
EPS Next 2Y-8.41%
EPS Next 3Y-6.11%
NYSE:FSK (2/24/2025, 2:13:07 PM)
23.495
-0.21 (-0.91%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners29.66%
Inst Owner Change-77%
Ins Owners0.23%
Ins Owner Change-13.6%
Market Cap6.58B
Analysts68.57
Price Target21.9 (-6.79%)
Short Float %1.38%
Short Ratio2.95
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 10.78% |
Yearly Dividend2.93
Dividend Growth(5Y)6.53%
DP156.63%
Div Incr Years2
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.57%
Min EPS beat(2)4.12%
Max EPS beat(2)5.03%
EPS beat(4)3
Avg EPS beat(4)2.3%
Min EPS beat(4)-1.23%
Max EPS beat(4)5.03%
EPS beat(8)7
Avg EPS beat(8)3.52%
EPS beat(12)9
Avg EPS beat(12)3.72%
EPS beat(16)13
Avg EPS beat(16)5.19%
Revenue beat(2)2
Avg Revenue beat(2)2.44%
Min Revenue beat(2)1.86%
Max Revenue beat(2)3.02%
Revenue beat(4)3
Avg Revenue beat(4)0.7%
Min Revenue beat(4)-2.34%
Max Revenue beat(4)3.02%
Revenue beat(8)7
Avg Revenue beat(8)1.5%
Revenue beat(12)11
Avg Revenue beat(12)2.36%
Revenue beat(16)15
Avg Revenue beat(16)4.41%
PT rev (1m)0.77%
PT rev (3m)1.29%
EPS NQ rev (1m)0.3%
EPS NQ rev (3m)0.3%
EPS NY rev (1m)-0.26%
EPS NY rev (3m)0.79%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.75%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.91 | ||
| Fwd PE | 9.01 | ||
| P/S | 3.74 | ||
| P/FCF | 6.23 | ||
| P/OCF | 6.23 | ||
| P/B | 0.99 | ||
| P/tB | 0.99 | ||
| EV/EBITDA | N/A |
EPS(TTM)2.97
EY12.64%
EPS(NY)2.61
Fwd EY11.1%
FCF(TTM)3.77
FCFY16.06%
OCF(TTM)3.77
OCFY16.06%
SpS6.29
BVpS23.82
TBVpS23.82
PEG (NY)N/A
PEG (5Y)3.27
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.49% | ||
| ROE | 7.91% | ||
| ROCE | 5.86% | ||
| ROIC | 5.27% | ||
| ROICexc | 5.4% | ||
| ROICexgc | 5.4% | ||
| OM | 49.06% | ||
| PM (TTM) | 29.98% | ||
| GM | 51.22% | ||
| FCFM | 60.02% |
ROA(3y)4.62%
ROA(5y)2.25%
ROE(3y)10.36%
ROE(5y)4.87%
ROIC(3y)4.57%
ROIC(5y)4.54%
ROICexc(3y)4.64%
ROICexc(5y)4.61%
ROICexgc(3y)4.64%
ROICexgc(5y)4.62%
ROCE(3y)5.08%
ROCE(5y)5.05%
ROICexcg growth 3Y7.77%
ROICexcg growth 5Y16.82%
ROICexc growth 3Y7.74%
ROICexc growth 5Y16.8%
OM growth 3Y-2.18%
OM growth 5Y-1.48%
PM growth 3YN/A
PM growth 5Y-23.42%
GM growth 3Y-2.76%
GM growth 5Y-1.41%
F-Score4
Asset Turnover0.12
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.21 | ||
| Debt/FCF | 7.63 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 200.19% | ||
| Current Ratio | 2.88 | ||
| Quick Ratio | 2.88 | ||
| Altman-Z | 0.58 |
F-Score4
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-6.31%
EPS 3Y5.88%
EPS 5Y2.42%
EPS Q2Q%-7.5%
EPS Next Y-6.39%
EPS Next 2Y-8.41%
EPS Next 3Y-6.11%
EPS Next 5YN/A
Revenue 1Y (TTM)-3.88%
Revenue growth 3Y42.01%
Revenue growth 5Y35.95%
Sales Q2Q%-5.16%
Revenue Next Year-5.92%
Revenue Next 2Y-6.48%
Revenue Next 3Y-4.45%
Revenue Next 5YN/A
EBIT growth 1Y-7.69%
EBIT growth 3Y38.91%
EBIT growth 5Y33.94%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y1255.13%
FCF growth 3Y27.04%
FCF growth 5Y37.66%
OCF growth 1Y1255.13%
OCF growth 3Y27.04%
OCF growth 5Y37.66%