Oaktree Specialty Lending: Buy The Panic And Lock In An 11% Yield

On the Pulse
14.56K Followers

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.

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The stock price of Oaktree Specialty Lending Corporation (NASDAQ:OCSL) is down 8% as I am writing this, in response to the business development company reporting fourth quarter results.

The earnings snapshot showed a large increase in the BDC’s

This article was written by

14.56K Followers
A financial researcher and avid investor with a keen eye for innovation and disruption, as well as growth buy-outs and value stocks. Keeping an eye on the pace of high tech and early growth companies, I write about current events and the biggest news surrounding the industry, and strive to provide readers with ample research and investment opportunities.

Analyst’s Disclosure:I/we have a beneficial long position in the shares of OCSL either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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