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OFS

BEARISH
$4.1 Live
OFS Capital Corporation · NASDAQ
Target $6.0 (+46.3%)
$2.72 52W Range $9.31

At a glance

Key valuation, profitability, growth, and risk metrics.

Updated Apr 16, 2026
Market cap
$54.93M
P/E
N/A
ROE
-22.4%
Profit margin
-81.3%
Debt/Equity
1.77
Dividend yield
16.67%

AI Analysis

AI-powered fundamental assessment

Confidence
90%
OFS exhibits severe financial distress, highlighted by a weak Piotroski F-Score of 2/9 and a catastrophic Q/Q revenue decline of 136.74%. While the stock trades at a deep discount to book value (P/B 0.45), this appears to be a value trap given the negative ROE (-22.41%) and a profit margin of -81.33%. The dividend yield of 16.67% is fundamentally unsustainable with a payout ratio of 566.67%, indicating the company is returning capital it is not earning. Technical trends remain bearish despite a recent short-term bounce.

Key Strengths

Deeply discounted Price-to-Book ratio (0.45)
Strong gross margins (100%)
Positive Return on Assets (4.66%)
Single analyst target price ($6.00) suggests potential upside if turnaround occurs
High operating margin (74.33%) before net losses

Key Risks

Unsustainable dividend payout ratio (566.67%)
Severe revenue contraction (YoY -19.60%, Q/Q -136.74%)
Weak financial health (Piotroski F-Score 2/9)
Liquidity risk with a current ratio below 1.0 (0.90)
High leverage with Debt/Equity at 1.77
AI Fair Value Estimate
Based on comprehensive analysis
$3.85
-6.1% below current price

Performance Snowflake

Multi-dimensional analysis across 5 key categories

Overall
20
Weak
Value
45
Future
10
Past
20
Health
15
Dividend
10
AI Verdict
Value Trap
Key drivers: Negative net profit margins, Unsustainable dividend, Collapsing revenue growth, Poor Piotroski health score
Confidence
95%
Value
45/100

Trades well below book value, but lacks the earnings power to justify a premium.

Positives
  • P/B of 0.45 is very low
Watchpoints
  • Negative earnings make P/E irrelevant
  • Low quality of assets implied by negative ROE
Future
10/100

Growth metrics are in a state of collapse.

Positives
No standout positives identified.
Watchpoints
  • Q/Q Revenue growth -136.74%
  • YoY EPS growth -33.3%
Past
20/100

Long-term trend is sharply negative.

Positives
  • Recent 1-month recovery (+39.4%)
Watchpoints
  • 1-year return of -42.0%
  • Consistent earnings misses in recent quarters
Health
15/100

Deterministic health scores indicate high risk of instability.

Positives
No standout positives identified.
Watchpoints
  • Piotroski F-Score 2/9
  • Current Ratio 0.90
  • Debt/Equity 1.77
Dividend
10/100

Dividend is likely a return of capital rather than a return on capital.

Positives
  • High nominal yield (16.67%)
Watchpoints
  • Payout ratio 566.67%
  • Dividend strength score 40/100

Stock Price & Analyst Targets

Real-time price movements and analyst price targets

Current Price
$4.1
Analyst Target
$6.0
Upside/Downside
+46.3%

Multi-Horizon Performance vs Peers

Price momentum across 5Y → 1W horizons for OFS and closest competitors.

Updated 2026-04-15
OFS
OFS Capital Corporation
Primary
5Y
-14.5%
3Y
-36.8%
1Y
-42.0%
6M
-36.1%
1M
+39.4%
1W
+8.8%
HFB
Home Federal Bancorp, Inc. of Louisiana
Peer
5Y
+35.7%
3Y
+16.1%
1Y
+42.0%
6M
+30.8%
1M
-2.4%
1W
+4.0%
AAM
Atlantic American Corporation
Peer
5Y
-31.8%
3Y
+22.1%
1Y
+100.9%
6M
-15.6%
1M
+7.8%
1W
+5.7%
MLC
Mount Logan Capital Inc.
Peer
5Y
-43.8%
3Y
-18.2%
1Y
+15.6%
6M
-47.2%
1M
-25.1%
1W
+15.4%
MAT
Metalpha Technology Holding Limited
Peer
5Y
-17.6%
3Y
+15.8%
1Y
-23.5%
6M
-63.2%
1M
-5.7%
1W
+8.3%

Positive values indicate cumulative gains over the specified period. Comparables pulled from the same sector to highlight whether momentum is stock-specific or industry-wide.

Historical Performance Trends

Long-term financial metrics and growth patterns

Revenue & Net Income

Profit & Operating Margins

Return on Equity (ROE)

Quarterly Revenue Growth

Historical data shows last 12 quarters (3 years)

Valuation Metrics

Key valuation ratios and pricing indicators

P/E Ratio
N/A
Forward P/E
4.1
PEG Ratio
N/A
P/B Ratio
0.45
P/S Ratio
1.35
EV/Revenue
6.62
EV/EBITDA
9.29
Market Cap
$54.93M

Profitability

Profit margins and return metrics

Profit Margin -81.33%
Operating Margin 74.33%
Gross Margin 100.0%
ROE -22.41%
ROA 4.66%

Growth

Revenue and earnings growth rates

Revenue Growth -19.6%
Earnings Growth N/A
Q/Q Revenue Growth -136.74%
Q/Q Earnings Growth N/A

Financial Health

Balance sheet strength and liquidity metrics

Debt/Equity
1.77
High debt
Current Ratio
0.9
Weak
Quick Ratio
0.9
Poor
Cash/Share
$0.25

Financial Statement Flow

Interactive flow visualization showing how money moves through the company Q4 2025

Revenue
$-0.0B
Net Margin
111.1%
Total Assets
$0.3B
Liabilities
$0.2B
Equity
$0.1B
Debt/Equity
1.81x
Operating CF
$0.0B
Free Cash Flow
$0.0B
FCF Yield
100%

Quarterly Earnings History

EPS performance vs analyst estimates

2026-04-30
$N/A
2026-03-02
$0.2
-13.0% surprise
2025-10-30
$0.22
-8.3% surprise
2025-07-31
$0.25
+4.2% surprise

Financial Services Sector Comparison

Comparing OFS against 500 companies in the Financial Services sector (90 bullish, 207 neutral, 203 bearish)
Return on Equity (ROE)
-22.41%
This Stock
vs
-0.0%
Sector Avg
+522524.6% (Excellent)
Profit Margin
-81.33%
This Stock
vs
48.63%
Sector Avg
-267.2% (Weaker)
Debt to Equity
1.77
This Stock
vs
1.45
Sector Avg
+22.1% (Higher)
Revenue Growth
-19.6%
This Stock
vs
36.71%
Sector Avg
-153.4% (Slower)
Current Ratio
0.9
This Stock
vs
3.31
Sector Avg
-72.8% (Weaker)

Similar Companies

Peer comparison within the same industry

Past News Coverage

Recent headlines mentioning OFS from our newsroom.

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