Golub Capital BDC Inc (NASDAQ: GBDC)’s stock price has gone rise by 1.43 in comparison to its previous close of 14.73, however, the company has experienced a 4.17% increase in its stock price over the last five trading days. seekingalpha.com reported 2024-08-19 that Golub Capital BDC out-earned its base dividend with net investment income in 3Q24, post-merger with Golub Capital BDC 3. The stock offers an attractive 11% yield, solid credit quality, and is selling at a compelling net asset value multiple. Portfolio quality remains strong post-merger, with a 5% discount to NAV making it a buy for passive income investors.
Is It Worth Investing in Golub Capital BDC Inc (NASDAQ: GBDC) Right Now?
The price-to-earnings ratio for Golub Capital BDC Inc (NASDAQ: GBDC) is above average at 9.11x. The 36-month beta value for GBDC is also noteworthy at 0.57. There are mixed opinions on the stock, with 0 analysts rating it as a “buy,” 1 rating it as “overweight,” 5 rating it as “hold,” and 0 rating it as “sell.”
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The public float for GBDC is 258.55M, and at present, short sellers hold a 0.82% of that float. The average trading volume of GBDC on August 21, 2024 was 1.49M shares.
GBDC’s Market Performance
GBDC stock saw a decrease of 4.17% in the past week, with a monthly decline of -3.20% and a quarterly a decrease of -7.70%. The volatility ratio for the week is 1.16%, and the volatility levels for the last 30 days are 1.51% for Golub Capital BDC Inc (GBDC). The simple moving average for the past 20 days is 1.31% for GBDC’s stock, with a -3.32% simple moving average for the past 200 days.
Analysts’ Opinion of GBDC
Raymond James gave a rating of “Outperform” to GBDC, setting the target price at $15.50 in the report published on August 09th of the previous year.
GBDC Trading at -2.10% from the 50-Day Moving Average
After a stumble in the market that brought GBDC to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -14.53% of loss for the given period.
Volatility was left at 1.51%, however, over the last 30 days, the volatility rate increased by 1.16%, as shares sank -3.14% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -6.64% lower at present.
During the last 5 trading sessions, GBDC rose by +3.64%, which changed the moving average for the period of 200-days by +1.46% in comparison to the 20-day moving average, which settled at $14.81. In addition, Golub Capital BDC Inc saw 0.75% in overturn over a single year, with a tendency to cut further gains.
Insider Trading
Reports are indicating that there were more than several insider trading activities at GBDC starting from Golub David, who purchase 20,000 shares at the price of $14.70 back on Aug 19 ’24. After this action, Golub David now owns 1,758,880 shares of Golub Capital BDC Inc, valued at $294,000 using the latest closing price.
Golub David, the Chief Executive Officer of Golub Capital BDC Inc, purchase 20,000 shares at $14.68 during a trade that took place back on Aug 16 ’24, which means that Golub David is holding 1,738,880 shares at $293,600 based on the most recent closing price.
Stock Fundamentals for GBDC
Current profitability levels for the company are sitting at:
- 0.68 for the present operating margin
- 0.95 for the gross margin
The net margin for Golub Capital BDC Inc stands at 0.55. The total capital return value is set at 0.04. Equity return is now at value 9.50, with 4.30 for asset returns.
Based on Golub Capital BDC Inc (GBDC), the company’s capital structure generated 0.52 points at debt to capital in total, while cash flow to debt ratio is standing at 0.11. The debt to equity ratio resting at 1.06. The interest coverage ratio of the stock is 1.9.
Currently, EBITDA for the company is 292.77 million with net debt to EBITDA at 11.13. When we switch over and look at the enterprise to sales, we see a ratio of 15.41. The receivables turnover for the company is 5.58for trailing twelve months and the total asset turnover is 0.06.
Conclusion
In summary, Golub Capital BDC Inc (GBDC) has had a mixed performance as of late. Analysts have mixed opinions on the stock, with some viewing it as a “buy” and others as a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
