Main Street Capital (NYSE:MAIN) Share Price Breaks Above 200 Day Moving Average – Time to Sell?

Main Street Capital Corporation (NYSE:MAIN) crossed above its 200-day moving average during trading on Thursday. The stock has a 200-day moving average of $55.59 and traded as high as $55.95. Main Street Capital shares last traded at $55.8480, with a volume of 496,729 shares.

Analyst Ratings Changes

A number of brokerages recently commented on MAIN. Truist Financial raised their price objective on shares of Main Street Capital from $53.00 to $57.00 and gave the company a “hold” rating in a research report on Monday, August 10th. Weiss Ratings upgraded Main Street Capital from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Thursday, September 3rd. Wall Street Zen downgraded Main Street Capital from a “hold” rating to a “sell” rating in a research note on Sunday, October 11th. Citigroup reissued a “market outperform” rating on shares of Main Street Capital in a research note on Monday, August 10th. Finally, Zacks Research raised Main Street Capital from a “strong sell” rating to a “hold” rating in a report on Monday, July 20th. Five analysts have rated the stock with a Buy rating and six have given a Hold rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of “Hold” and an average price target of $61.00.

Main Street Capital Trading Up 2.3%

The company has a debt-to-equity ratio of 0.11, a quick ratio of 0.05 and a current ratio of 0.05. The business has a fifty day simple moving average of $55.77 and a 200 day simple moving average of $55.59. The stock has a market cap of $5.22 billion, a price-to-earnings ratio of 11.26 and a beta of 0.74.

Main Street Capital (NYSE:MAIN) last released its quarterly earnings results on Thursday, August 6th. The financial services provider reported $0.97 earnings per share for the quarter, topping analysts’ consensus estimates of $0.96 by $0.01. Main Street Capital had a return on equity of 11.80% and a net margin of 78.49%. The company had revenue of $327.56 million during the quarter, compared to analysts’ expectations of $144.59 million. As a group, equities analysts anticipate that Main Street Capital Corporation will post 3.75 EPS for the current year.

Main Street Capital Announces Dividend

The business also recently disclosed a monthly dividend, which will be paid on Tuesday, December 15th. Investors of record on Tuesday, December 8th will be paid a dividend of $0.2650 per share. The ex-dividend date of this dividend is Tuesday, December 8th. This represents a $3.18 dividend on an annualized basis and a dividend yield of 5.7%. Main Street Capital’s dividend payout ratio (DPR) is presently 64.11%.

Insider Buying and Selling

In related news, CAO Ryan Mchugh acquired 2,550 shares of the company’s stock in a transaction that occurred on Thursday, August 13th. The stock was purchased at an average price of $59.05 per share, for a total transaction of $150,577.50. Following the transaction, the chief accounting officer owned 22,647 shares in the company, valued at $1,337,305.35. This trade represents a 12.69% increase in their position. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Corporate insiders own 3.83% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. Legal & General Group Plc purchased a new stake in shares of Main Street Capital during the second quarter worth about $43,323,000. Adell Harriman & Carpenter Inc. raised its position in shares of Main Street Capital by 1.3% in the first quarter. Adell Harriman & Carpenter Inc. now owns 484,584 shares of the financial services provider’s stock valued at $25,664,000 after buying an additional 6,149 shares during the last quarter. BlackRock Inc. purchased a new position in shares of Main Street Capital during the second quarter valued at approximately $20,940,000. Sumitomo Mitsui Trust Group Inc. lifted its stake in shares of Main Street Capital by 4.2% during the first quarter. Sumitomo Mitsui Trust Group Inc. now owns 370,509 shares of the financial services provider’s stock valued at $19,622,000 after buying an additional 14,962 shares during the period. Finally, Tectonic Advisors LLC lifted its stake in shares of Main Street Capital by 9.6% during the third quarter. Tectonic Advisors LLC now owns 159,437 shares of the financial services provider’s stock valued at $8,777,000 after buying an additional 13,992 shares during the period. 20.31% of the stock is currently owned by hedge funds and other institutional investors.

About Main Street Capital

Main Street Capital Corporation is a business development company that provides customized debt and equity financing to privately held businesses. The company primarily invests in lower middle-market companies and also makes private loan investments in larger middle-market businesses.

Its investment activities include first-lien, second-lien and subordinated debt, as well as equity investments and other securities. Main Street seeks to provide flexible, long-term capital to support acquisitions, recapitalizations, growth initiatives and other corporate financing needs.