On August 11, 2023, Daniel Pietrzak, Co-President and Chief Investment Officer of FS KKR Capital Corp (FSK, Financial), purchased 5000 shares of the company. This move is significant as insider buying often signals confidence in the company's future prospects.
Daniel Pietrzak is a seasoned financial executive with extensive experience in the investment industry. As Co-President and CIO of FS KKR Capital Corp, he plays a crucial role in the company's strategic decision-making and investment operations. His recent purchase of FSK shares underscores his belief in the company's potential for growth and profitability.
FS KKR Capital Corp is a leading investment firm that provides customized credit solutions to private middle market U.S. companies. The firm seeks to generate attractive, risk-adjusted returns through its large-scale, diversified platform and strategic partnerships with leading institutional investors.
Over the past year, Daniel Pietrzak has purchased a total of 11,000 shares and sold none, indicating a strong bullish sentiment towards the company. This trend aligns with the overall insider transaction history for FS KKR Capital Corp, which shows 10 insider buys and only 1 insider sell over the past year.
On the day of Pietrzak's recent buy, shares of FS KKR Capital Corp were trading at $20.12, giving the company a market cap of $5.67 billion. Despite the relatively high price-earnings ratio of 20.25, which is above the industry median of 14.14 and the company's historical median, the stock appears to be significantly undervalued based on its GuruFocus Value.
With a price of $20.12 and a GuruFocus Value of $32.49, FS KKR Capital Corp has a price-to-GF-Value ratio of 0.62. This suggests that the stock is significantly undervalued. The GF Value is an intrinsic value estimate developed by GuruFocus, calculated based on historical multiples, a GuruFocus adjustment factor, and future estimates of business performance from Morningstar analysts.
In conclusion, the recent insider buying activity by Daniel Pietrzak, coupled with the company's strong fundamentals and undervalued status, presents a compelling case for potential investors. As always, investors are advised to conduct their own comprehensive research before making investment decisions.
