Great Elm Capital (NASDAQ:GECC) Raised to Buy at Zacks Investment Research

Great Elm Capital (NASDAQ:GECC) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a research report issued on Thursday, Zacks.com reports. The firm presently has a $9.00 price target on the financial services provider’s stock. Zacks Investment Research‘s target price would indicate a potential upside of 11.66% from the stock’s current price.

According to Zacks, “Great Elm Capital Corp. is a diversified investment company. Its business line consists of investment management, financial products and merchant banking. Great Elm Capital Corp. is based in Baltimore, Maryland. “

Separately, ValuEngine lowered shares of Great Elm Capital from a “hold” rating to a “sell” rating in a research report on Thursday, August 1st.

GECC stock traded up $0.02 during trading on Thursday, hitting $8.06. 61,853 shares of the company’s stock traded hands, compared to its average volume of 60,174. Great Elm Capital has a 52 week low of $7.47 and a 52 week high of $10.07. The company has a debt-to-equity ratio of 0.67, a quick ratio of 0.09 and a current ratio of 0.09. The business has a fifty day simple moving average of $8.60 and a 200 day simple moving average of $8.49. The stock has a market capitalization of $83.34 million, a price-to-earnings ratio of 5.60 and a beta of 0.71.

Great Elm Capital (NASDAQ:GECC) last released its quarterly earnings data on Tuesday, August 13th. The financial services provider reported $0.29 EPS for the quarter, beating the Thomson Reuters’ consensus estimate of $0.26 by $0.03. Great Elm Capital had a net margin of 11.68% and a return on equity of 11.94%. The business had revenue of $6.71 million during the quarter, compared to analyst estimates of $6.25 million. Research analysts forecast that Great Elm Capital will post 1 earnings per share for the current fiscal year.

In other Great Elm Capital news, insider Peter A. Reed acquired 3,143 shares of the stock in a transaction on Thursday, June 6th. The stock was acquired at an average price of $8.50 per share, for a total transaction of $26,715.50. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, major shareholder Mast Capital Management, Llc sold 274,000 shares of the stock in a transaction on Friday, May 24th. The shares were sold at an average price of $8.62, for a total transaction of $2,361,880.00. The disclosure for this sale can be found here. In the last quarter, insiders have acquired 15,143 shares of company stock valued at $128,876 and have sold 384,900 shares valued at $3,323,987. 1.40% of the stock is owned by company insiders.

A number of hedge funds have recently added to or reduced their stakes in the business. Punch & Associates Investment Management Inc. lifted its position in Great Elm Capital by 35.0% during the first quarter. Punch & Associates Investment Management Inc. now owns 476,495 shares of the financial services provider’s stock valued at $3,936,000 after purchasing an additional 123,595 shares during the last quarter. Quantum Capital Management lifted its holdings in shares of Great Elm Capital by 1.3% in the 1st quarter. Quantum Capital Management now owns 297,753 shares of the financial services provider’s stock worth $2,459,000 after acquiring an additional 3,939 shares during the last quarter. Thomas J. Herzfeld Advisors Inc. bought a new stake in shares of Great Elm Capital in the 1st quarter worth about $1,247,000. Morgan Stanley lifted its holdings in shares of Great Elm Capital by 4.5% in the 2nd quarter. Morgan Stanley now owns 66,649 shares of the financial services provider’s stock worth $580,000 after acquiring an additional 2,861 shares during the last quarter. Finally, Monarch Partners Asset Management LLC lifted its holdings in shares of Great Elm Capital by 2.9% in the 2nd quarter. Monarch Partners Asset Management LLC now owns 60,751 shares of the financial services provider’s stock worth $529,000 after acquiring an additional 1,724 shares during the last quarter. Institutional investors and hedge funds own 15.00% of the company’s stock.

About Great Elm Capital

Great Elm Capital Corporation is a business development company which specializes in loan and mezzanine, middle market investments. The fund prefers to invest in media, commercial services and supplies, healthcare, telecommunication services, communications equipment. It typically makes equity investments between $3 million and $10 million in companies with revenues between $3 million and $75 million.

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