Solar Senior Capital Ltd. is a management investment company. The Company's investment objective is to seek to maximize current income consistent with the preservation of capital.
SUNS Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for SUNS, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Solar Senior Capital Ltd ranked in the 77th percentile in terms of potential gain offered. Specifically, our DCF analysis implies the stock is trading below its fair value by an estimated 386.83%. The most interesting components of our discounted cash flow analysis for Solar Senior Capital Ltd ended up being:
The business' balance sheet reveals debt to be 37% of the company's capital (with equity being the remaining amount). Approximately 64.11% of US stocks with free cash flow have a lower reliance on debt in their capital structure.
Solar Senior Capital Ltd's effective tax rate, as measured by taxes paid relative to net income, is at 0 -- greater than just 0% of US stocks with positive free cash flow.
The company's cost of debt, derived from its interest coverage, tax rate, and market capitalization, is greater than 56.5% of stocks in its sector (Financial Services).
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
Want more companies with a valuation profile/forecast similar to that of Solar Senior Capital Ltd? See STC, CACC, BRP, GECC, and AFG.
Solar Senior Capital (SUNS) Q2 2020 Earnings Conference Call August 5, 2020 11:30 AM ET Company Participants Michael Gross - Co-Chief Executive Officer, Chairman of the Board & President Richard Peteka - Chief Financial Officer & Treasurer Bruce Spohler - Co-Chief Executive Officer & Chief Operating Officer Conference Call Participants...
Image source One sector that has seen a sizable amount of volatility, thanks to COVID-19, is middle-market lenders. These companies generally lend to smaller businesses that cannot easily access public markets for financing and tend to offer strong returns as a result. Risks are higher as well, of course, but...
Solar Senior Capital Ltd. (the “Company”) (SUNS) declared a distribution of $0.10 per share for the month of July 2020. The distribution is payable on July 31, 2020 to stockholders of record as of July 22, 2020. A specialty finance company with expertise in several niche markets, the Company generally invests directly and indirectly in leveraged, U. S. middle market companies primarily in the form of cash flow senior secured loans, including first lien loans, and asset-based loans collateralized on a first lien basis primarily by current assets.
Solar Senior Capital Ltd. (the “Company”) (SUNS) today announced that it will release its financial results for the quarter ended June 30, 2020 on Tuesday, August 4, 2020 after the close of the financial markets. The Company will host an earnings conference call and audio webcast at 11:30 a.m. (Eastern Time) on Wednesday, August 5, 2020. All interested parties may participate in the conference call by dialing (844) 889-7785 approximately 5-10 minutes prior to the call, international callers should dial (661) 378-9929.