Zacks Investment Research downgraded shares of Capitala Finance (NASDAQ:CPTA) from a buy rating to a hold rating in a report published on Tuesday morning, Zacks.com reports.

According to Zacks, “Capitala Finance Corp. is a business development company. The company invests primarily in traditional mezzanine, senior subordinated and unitranche debt, senior and second-lien loans and equity securities. Capitala Finance Corp. is headquartered in Charlotte, United States. “

Separately, ValuEngine lowered shares of Zumiez from a hold rating to a sell rating in a research report on Tuesday, July 2nd.

CPTA opened at $9.88 on Tuesday. The company has a market capitalization of $156.93 million, a price-to-earnings ratio of 10.26 and a beta of 1.12. Capitala Finance has a 1-year low of $6.46 and a 1-year high of $9.88. The stock has a 50 day moving average price of $9.20. The company has a current ratio of 1.13, a quick ratio of 1.13 and a debt-to-equity ratio of 1.46.

Capitala Finance (NASDAQ:CPTA) last issued its earnings results on Monday, May 6th. The investment management company reported $0.26 earnings per share for the quarter, topping the Zacks’ consensus estimate of $0.24 by $0.02. Capitala Finance had a negative net margin of 34.43% and a positive return on equity of 7.86%. The firm had revenue of $12.68 million during the quarter, compared to analyst estimates of $11.59 million. Equities research analysts expect that Capitala Finance will post 1 EPS for the current year.

The business also recently announced a monthly dividend, which will be paid on Tuesday, July 30th. Investors of record on Tuesday, July 23rd will be given a dividend of $0.083 per share. The ex-dividend date of this dividend is Monday, July 22nd. This represents a $1.00 dividend on an annualized basis and a dividend yield of 10.08%. Capitala Finance’s dividend payout ratio is 100.00%.

Large investors have recently modified their holdings of the stock. PNC Financial Services Group Inc. raised its stake in Capitala Finance by 23.0% during the fourth quarter. PNC Financial Services Group Inc. now owns 7,500 shares of the investment management company’s stock valued at $54,000 after purchasing an additional 1,400 shares in the last quarter. Franklin Street Advisors Inc. NC purchased a new stake in Capitala Finance during the first quarter valued at $108,000. Acadian Asset Management LLC raised its stake in Capitala Finance by 44.2% during the fourth quarter. Acadian Asset Management LLC now owns 20,479 shares of the investment management company’s stock valued at $146,000 after purchasing an additional 6,278 shares in the last quarter. Virtu Financial LLC purchased a new stake in Capitala Finance during the first quarter valued at $179,000. Finally, AJO LP purchased a new stake in Capitala Finance during the first quarter valued at $234,000. Hedge funds and other institutional investors own 16.46% of the company’s stock.

About Capitala Finance

Capitala Finance Corp. is a Business Development Company specializing in traditional mezzanine, senior subordinated and unitranche debt, first-lien and second-lien loans, equity investments in sponsored and non-sponsored lower and traditional middle market companies. The fund targets companies in the business services, commercial and professional services, manufacturing, consumer and retail, energy, and health-care industries.

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