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Oaktree Specialty Lending (OCSL) Gains But Lags Market: What You Should Know

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Oaktree Specialty Lending (OCSL - Free Report) closed at $20.09 in the latest trading session, marking a +0.7% move from the prior day. This move lagged the S&P 500's daily gain of 1.1%. At the same time, the Dow added 0.61%, and the tech-heavy Nasdaq gained 6.59%.

Prior to today's trading, shares of the specialty finance company had lost 2.79% over the past month. This has lagged the Finance sector's gain of 6.37% and the S&P 500's gain of 4.58% in that time.

Oaktree Specialty Lending will be looking to display strength as it nears its next earnings release, which is expected to be February 7, 2023. In that report, analysts expect Oaktree Specialty Lending to post earnings of $0.61 per share. This would mark year-over-year growth of 19.61%. Our most recent consensus estimate is calling for quarterly revenue of $72.69 million, up 11.94% from the year-ago period.

OCSL's full-year Zacks Consensus Estimates are calling for earnings of $2.42 per share and revenue of $305.31 million. These results would represent year-over-year changes of +13.62% and +16.3%, respectively.

Any recent changes to analyst estimates for Oaktree Specialty Lending should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Oaktree Specialty Lending is currently sporting a Zacks Rank of #3 (Hold).

Digging into valuation, Oaktree Specialty Lending currently has a Forward P/E ratio of 8.23. For comparison, its industry has an average Forward P/E of 9.37, which means Oaktree Specialty Lending is trading at a discount to the group.

The Financial - Miscellaneous Services industry is part of the Finance sector. This group has a Zacks Industry Rank of 144, putting it in the bottom 43% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on

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