OAKTREE SPECIALTY LENDING CO (OCSL) Stock Fundamental Analysis
USA - NASDAQ:OCSL - US67401P4054 - Common Stock
13.77 USD
+0.07 (+0.51%)
13.82 USD
+0.05 (+0.36%)
We assign a fundamental rating of 5 out of 10 to OCSL. OCSL was compared to 237 industry peers in the Capital Markets industry. Both the profitability and the financial health of OCSL get a neutral evaluation. Nothing too spectacular is happening here. OCSL is cheap, but on the other hand it scores bad on growth. With these ratings, OCSL could be worth investigating further for value investing!.
1. Profitability
1.1 Basic Checks
OCSL had positive earnings in the past year.
OCSL had a positive operating cash flow in the past year.
In the past 5 years OCSL has always been profitable.
In multiple years OCSL reported negative operating cash flow during the last 5 years.
1.2 Ratios
OCSL's Return On Assets of 1.56% is in line compared to the rest of the industry. OCSL outperforms 40.51% of its industry peers.
OCSL's Return On Equity of 3.13% is on the low side compared to the rest of the industry. OCSL is outperformed by 68.35% of its industry peers.
OCSL has a better Return On Invested Capital (7.63%) than 80.59% of its industry peers.
OCSL had an Average Return On Invested Capital over the past 3 years of 7.27%. This is in line with the industry average of 7.63%.
The 3 year average ROIC (7.27%) for OCSL is below the current ROIC(7.63%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.56% | ||
| ROE | 3.13% | ||
| ROIC | 7.63% |
ROA(3y)2.19%
ROA(5y)3.59%
ROE(3y)4.66%
ROE(5y)7.27%
ROIC(3y)7.27%
ROIC(5y)6.11%
1.3 Margins
OCSL's Profit Margin of 13.84% is in line compared to the rest of the industry. OCSL outperforms 48.95% of its industry peers.
In the last couple of years the Profit Margin of OCSL has declined.
The Operating Margin of OCSL (85.05%) is better than 99.16% of its industry peers.
In the last couple of years the Operating Margin of OCSL has grown nicely.
OCSL has a better Gross Margin (80.46%) than 84.81% of its industry peers.
In the last couple of years the Gross Margin of OCSL has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 85.05% | ||
| PM (TTM) | 13.84% | ||
| GM | 80.46% |
OM growth 3Y8.51%
OM growth 5Y3.22%
PM growth 3Y-48.84%
PM growth 5Y-29.23%
GM growth 3Y7.03%
GM growth 5Y3.49%
2. Health
2.1 Basic Checks
OCSL has more shares outstanding than it did 1 year ago.
The number of shares outstanding for OCSL has been increased compared to 5 years ago.
Compared to 1 year ago, OCSL has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.53, we must say that OCSL is in the distress zone and has some risk of bankruptcy.
OCSL's Altman-Z score of 0.53 is on the low side compared to the rest of the industry. OCSL is outperformed by 63.29% of its industry peers.
The Debt to FCF ratio of OCSL is 4.49, which is a neutral value as it means it would take OCSL, 4.49 years of fcf income to pay off all of its debts.
OCSL has a Debt to FCF ratio of 4.49. This is in the better half of the industry: OCSL outperforms 74.26% of its industry peers.
A Debt/Equity ratio of 0.98 indicates that OCSL is somewhat dependend on debt financing.
OCSL's Debt to Equity ratio of 0.98 is in line compared to the rest of the industry. OCSL outperforms 50.63% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.98 | ||
| Debt/FCF | 4.49 | ||
| Altman-Z | 0.53 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 4.61 indicates that OCSL has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 4.61, OCSL belongs to the top of the industry, outperforming 87.76% of the companies in the same industry.
OCSL has a Quick Ratio of 4.61. This indicates that OCSL is financially healthy and has no problem in meeting its short term obligations.
OCSL's Quick ratio of 4.61 is amongst the best of the industry. OCSL outperforms 87.76% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.61 | ||
| Quick Ratio | 4.61 |
3. Growth
3.1 Past
The earnings per share for OCSL have decreased strongly by -16.96% in the last year.
Measured over the past years, OCSL shows a very strong growth in Earnings Per Share. The EPS has been growing by 35.40% on average per year.
Looking at the last year, OCSL shows a very negative growth in Revenue. The Revenue has decreased by -14.07% in the last year.
OCSL shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 20.91% yearly.
EPS 1Y (TTM)-16.96%
EPS 3Y32.9%
EPS 5Y35.4%
EPS Q2Q%-32.73%
Revenue 1Y (TTM)-14.07%
Revenue growth 3Y22.15%
Revenue growth 5Y20.91%
Sales Q2Q%-20.74%
3.2 Future
The Earnings Per Share is expected to decrease by -10.26% on average over the next years. This is quite bad
OCSL is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -6.94% yearly.
EPS Next Y-29.73%
EPS Next 2Y-15.23%
EPS Next 3Y-10.26%
EPS Next 5YN/A
Revenue Next Year-18%
Revenue Next 2Y-10.95%
Revenue Next 3Y-6.94%
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
The Price/Earnings ratio is 7.21, which indicates a rather cheap valuation of OCSL.
85.65% of the companies in the same industry are more expensive than OCSL, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 26.13. OCSL is valued rather cheaply when compared to this.
With a Price/Forward Earnings ratio of 8.59, the valuation of OCSL can be described as very reasonable.
Based on the Price/Forward Earnings ratio, OCSL is valued cheaper than 80.59% of the companies in the same industry.
OCSL is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.35, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.21 | ||
| Fwd PE | 8.59 |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, OCSL is valued cheaply inside the industry as 86.92% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.76 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
OCSL has a very decent profitability rating, which may justify a higher PE ratio.
A cheap valuation may be justified as OCSL's earnings are expected to decrease with -10.26% in the coming years.
PEG (NY)N/A
PEG (5Y)0.2
EPS Next 2Y-15.23%
EPS Next 3Y-10.26%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 12.65%, OCSL is a good candidate for dividend investing.
OCSL's Dividend Yield is a higher than the industry average which is at 8.57.
Compared to an average S&P500 Dividend Yield of 2.39, OCSL pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 12.65% |
5.2 History
The dividend of OCSL is nicely growing with an annual growth rate of 14.84%!
OCSL has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)14.84%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
OCSL pays out 341.20% of its income as dividend. This is not a sustainable payout ratio.
The Dividend Rate of OCSL has been growing, while earnings will be declining. This means the dividend growth is most likely not sustainable.
DP341.2%
EPS Next 2Y-15.23%
EPS Next 3Y-10.26%
13.77
+0.07 (+0.51%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners37.9%
Inst Owner Change0.48%
Ins Owners0.31%
Ins Owner Change0.19%
Market Cap1.21B
Revenue(TTM)334.17M
Net Income(TTM)46.26M
Analysts73.33
Price Target14.03 (1.89%)
Short Float %1.92%
Short Ratio2.2
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 12.65% |
Yearly Dividend2.22
Dividend Growth(5Y)14.84%
DP341.2%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-13.97%
Min EPS beat(2)-18.79%
Max EPS beat(2)-9.15%
EPS beat(4)0
Avg EPS beat(4)-7.95%
Min EPS beat(4)-18.79%
Max EPS beat(4)-0.73%
EPS beat(8)0
Avg EPS beat(8)-6.62%
EPS beat(12)1
Avg EPS beat(12)-5.22%
EPS beat(16)4
Avg EPS beat(16)-3.82%
Revenue beat(2)0
Avg Revenue beat(2)-8.46%
Min Revenue beat(2)-10.33%
Max Revenue beat(2)-6.59%
Revenue beat(4)0
Avg Revenue beat(4)-7.43%
Min Revenue beat(4)-10.33%
Max Revenue beat(4)-4.2%
Revenue beat(8)0
Avg Revenue beat(8)-9.06%
Revenue beat(12)3
Avg Revenue beat(12)-4.82%
Revenue beat(16)6
Avg Revenue beat(16)-0.97%
PT rev (1m)0%
PT rev (3m)-3.85%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-8.02%
EPS NY rev (1m)-12.38%
EPS NY rev (3m)-17.72%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-4.09%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-2.09%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.21 | ||
| Fwd PE | 8.59 | ||
| P/S | 3.63 | ||
| P/FCF | 3.76 | ||
| P/OCF | 3.76 | ||
| P/B | 0.82 | ||
| P/tB | 0.82 | ||
| EV/EBITDA | N/A |
EPS(TTM)1.91
EY13.87%
EPS(NY)1.6
Fwd EY11.64%
FCF(TTM)3.66
FCFY26.59%
OCF(TTM)3.66
OCFY26.59%
SpS3.79
BVpS16.76
TBVpS16.76
PEG (NY)N/A
PEG (5Y)0.2
Graham Number26.84
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.56% | ||
| ROE | 3.13% | ||
| ROCE | 9.66% | ||
| ROIC | 7.63% | ||
| ROICexc | 7.85% | ||
| ROICexgc | 7.89% | ||
| OM | 85.05% | ||
| PM (TTM) | 13.84% | ||
| GM | 80.46% | ||
| FCFM | 96.52% |
ROA(3y)2.19%
ROA(5y)3.59%
ROE(3y)4.66%
ROE(5y)7.27%
ROIC(3y)7.27%
ROIC(5y)6.11%
ROICexc(3y)7.46%
ROICexc(5y)6.26%
ROICexgc(3y)7.47%
ROICexgc(5y)6.27%
ROCE(3y)9.2%
ROCE(5y)7.74%
ROICexgc growth 3Y28.81%
ROICexgc growth 5Y8.6%
ROICexc growth 3Y28.87%
ROICexc growth 5Y8.64%
OM growth 3Y8.51%
OM growth 5Y3.22%
PM growth 3Y-48.84%
PM growth 5Y-29.23%
GM growth 3Y7.03%
GM growth 5Y3.49%
F-Score6
Asset Turnover0.11
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.98 | ||
| Debt/FCF | 4.49 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 2.39 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 697.32% | ||
| Current Ratio | 4.61 | ||
| Quick Ratio | 4.61 | ||
| Altman-Z | 0.53 |
F-Score6
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)101.57%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-16.96%
EPS 3Y32.9%
EPS 5Y35.4%
EPS Q2Q%-32.73%
EPS Next Y-29.73%
EPS Next 2Y-15.23%
EPS Next 3Y-10.26%
EPS Next 5YN/A
Revenue 1Y (TTM)-14.07%
Revenue growth 3Y22.15%
Revenue growth 5Y20.91%
Sales Q2Q%-20.74%
Revenue Next Year-18%
Revenue Next 2Y-10.95%
Revenue Next 3Y-6.94%
Revenue Next 5YN/A
EBIT growth 1Y-7.27%
EBIT growth 3Y32.55%
EBIT growth 5Y24.8%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y529.98%
FCF growth 3YN/A
FCF growth 5Y-38.44%
OCF growth 1Y529.98%
OCF growth 3YN/A
OCF growth 5Y-38.44%
OAKTREE SPECIALTY LENDING CO / OCSL FAQ
Can you provide the ChartMill fundamental rating for OAKTREE SPECIALTY LENDING CO?
ChartMill assigns a fundamental rating of 5 / 10 to OCSL.
Can you provide the valuation status for OAKTREE SPECIALTY LENDING CO?
ChartMill assigns a valuation rating of 7 / 10 to OAKTREE SPECIALTY LENDING CO (OCSL). This can be considered as Undervalued.
Can you provide the profitability details for OAKTREE SPECIALTY LENDING CO?
OAKTREE SPECIALTY LENDING CO (OCSL) has a profitability rating of 6 / 10.
Can you provide the expected EPS growth for OCSL stock?
The Earnings per Share (EPS) of OAKTREE SPECIALTY LENDING CO (OCSL) is expected to decline by -29.73% in the next year.
Can you provide the dividend sustainability for OCSL stock?
The dividend rating of OAKTREE SPECIALTY LENDING CO (OCSL) is 5 / 10 and the dividend payout ratio is 341.2%.