Main Street Capital (MAIN) Upgraded by Zacks Investment Research to Buy

Zacks Investment Research upgraded shares of Main Street Capital (NYSE:MAIN) from a hold rating to a buy rating in a report issued on Wednesday. They currently have $43.00 target price on the financial services provider’s stock.

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. “

Several other equities analysts have also recently weighed in on the stock. National Securities lifted their price objective on shares of Main Street Capital from $35.00 to $38.00 and gave the stock a neutral rating in a research report on Wednesday, August 8th. SunTrust Banks reiterated a hold rating and set a $40.00 price objective on shares of Main Street Capital in a research report on Friday, August 3rd. Raymond James upgraded shares of Main Street Capital from a market perform rating to an outperform rating and set a $41.00 price objective on the stock in a research report on Monday. They noted that the move was a valuation call. Finally, Janney Montgomery Scott set a $35.00 price objective on shares of Main Street Capital and gave the stock a hold rating in a research report on Friday, November 2nd. Four equities research analysts have rated the stock with a hold rating and three have given a buy rating to the company. Main Street Capital presently has a consensus rating of Hold and an average target price of $39.50.

NYSE MAIN traded up $0.03 on Wednesday, hitting $38.90. 8,413 shares of the stock were exchanged, compared to its average volume of 289,302. Main Street Capital has a 52-week low of $34.37 and a 52-week high of $41.70. The company has a debt-to-equity ratio of 0.22, a quick ratio of 0.11 and a current ratio of 0.13. The stock has a market cap of $2.38 billion, a price-to-earnings ratio of 16.31 and a beta of 0.83.

Main Street Capital (NYSE:MAIN) last posted its quarterly earnings data on Thursday, November 1st. The financial services provider reported $0.63 earnings per share for the quarter, topping the consensus estimate of $0.62 by $0.01. Main Street Capital had a net margin of 95.77% and a return on equity of 10.61%. The firm had revenue of $58.26 million for the quarter, compared to analysts’ expectations of $59.19 million. During the same period in the previous year, the company posted $0.60 EPS. The company’s quarterly revenue was up 12.5% compared to the same quarter last year. On average, research analysts forecast that Main Street Capital will post 2.54 EPS for the current fiscal year.

The business also recently declared a monthly dividend, which will be paid on Tuesday, January 15th. Stockholders of record on Monday, December 31st will be issued a dividend of $0.195 per share. This represents a $2.34 annualized dividend and a dividend yield of 6.02%. The ex-dividend date is Friday, December 28th. Main Street Capital’s dividend payout ratio is currently 97.91%.

Several institutional investors have recently bought and sold shares of MAIN. Northern Trust Corp grew its holdings in shares of Main Street Capital by 5.8% during the 1st quarter. Northern Trust Corp now owns 31,741 shares of the financial services provider’s stock valued at $1,171,000 after acquiring an additional 1,729 shares in the last quarter. JPMorgan Chase & Co. lifted its stake in shares of Main Street Capital by 1,604.9% in the 1st quarter. JPMorgan Chase & Co. now owns 44,584 shares of the financial services provider’s stock valued at $1,644,000 after purchasing an additional 41,969 shares during the last quarter. Millennium Management LLC acquired a new stake in shares of Main Street Capital in the 1st quarter valued at $5,193,000. Royal Bank of Canada lifted its stake in shares of Main Street Capital by 145.9% in the 1st quarter. Royal Bank of Canada now owns 59,343 shares of the financial services provider’s stock valued at $2,190,000 after purchasing an additional 35,211 shares during the last quarter. Finally, Accurate Investment Solutions Inc. lifted its stake in shares of Main Street Capital by 9.1% in the 2nd quarter. Accurate Investment Solutions Inc. now owns 108,730 shares of the financial services provider’s stock valued at $4,138,000 after purchasing an additional 9,025 shares during the last quarter. Institutional investors and hedge funds own 23.94% of the company’s stock.

About Main Street Capital

Main Street Capital Corporation is a business development company specializing in long- term equity and debt investments in small and lower middle market companies. The firm focuses on investments in, subordinated loans, private equity, venture debt, mezzanine investments, mature, mid venture, industry consolidation, later stage, late venture, emerging growth, management buyouts, change of control transactions, ownership transitions, recapitalizations, strategic acquisitions, refinancing, business expansion capital, growth financings, family estate planning, and other growth initiatives primarily for later stage businesses.

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