Ofs Capital Corp 5.95% Notes Due 2026 (OFSSI) Stock Analysis
For informational purposes only. Not financial advice. Analysis by Sedat ANAK, Founder & Editor-in-Chief | AI-powered analysis. Data sourced from SEC filings and institutional-grade financial providers. Editorially reviewed. Not financial advice.
Ofs Capital Corp 5.95% Notes Due 2026 (OFSSI) trades at $25.09. OFS Capital Corporation is a business development company (BDC) focused on providing debt and minority equity investments to middle-market companies in the United States. Sector: Financial services.
Price as of Aug 21, 2026 · Last analyzed: Mar 17, 2026Analyst Coverage for OFSSI: OFSSI does not currently have published analyst price targets in our coverage universe. This is common for smaller-cap names with limited Wall Street coverage. In the absence of analyst consensus, our AI model evaluates OFSSI against Financial Services peers across nine fundamental dimensions and assigns an underweight signal based on the underlying data.
Not enough scored data yet to form a council read on OFSSI.
How is this calculated? →Ofs Capital Corp 5.95% Notes Due 2026 (OFSSI) Financial Services Profile
OFS Capital Corporation is a BDC specializing in flexible capital solutions for U.S. middle-market companies, offering debt and minority equity investments across various sectors. With investments ranging from $5 million to $35 million, OFS Capital focuses on established businesses with revenues between $10 million and $200 million.
What Is the Investment Thesis for OFSSI?
OFS Capital Corporation presents a high-yield opportunity with a dividend yield of 38.32%. The company's focus on providing flexible capital solutions to middle-market companies positions it to capitalize on the demand for financing in this segment. However, the negative profit margin of -100.3% and a negative P/E ratio of -1.06 raise concerns about profitability. Growth catalysts include the company's ability to expand its investment portfolio and increase its assets under management. The high beta of 1.83 indicates significant volatility, which could lead to both gains and losses. Investors should carefully weigh the potential risks and rewards associated with OFS Capital, considering its financial performance and market conditions.
Based on FMP financials and quantitative analysis
OFSSI Key Highlights
Dividend Yield: 38.32% indicates a high potential income stream for investors, but also warrants scrutiny of the company's financial stability.
- P/E Ratio: -1.06 suggests the company is currently not profitable, requiring further investigation into the reasons for negative earnings.
- Profit Margin: -100.3% highlights significant challenges in generating profit from revenue, indicating high operating costs or other financial strains.
- Beta: 1.83 indicates higher volatility compared to the market, suggesting potentially larger price swings.
- Gross Margin: 4.9% reflects a low percentage of revenue remaining after deducting the cost of goods sold, signaling potential issues with pricing or production costs.
Who Are OFSSI's Competitors?
OFSSI is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.
| Company | Price | Change | Market Cap | AI Score |
|---|---|---|---|---|
| INBKZ First Internet Bancorp - Fixed- | $25.21 | -0.29% | $255M | 42 |
| OXSQZ Oxford Square Capital Corp. - 6 | $25.20 | +0.04% | $181M | — |
| RILYN B. Riley Financial, Inc. - 6.50 | $25.00 | +0.03% | $293M | 86 |
| ABALX American Funds American Balanced Fund Class A | $41.00 | +0.37% | $292B | 72 |
| BX Blackstone Inc. | $141.41 | -2.54% | $171B | 81 |
| AMFCX American Funds American Mutual Fund | $63.80 | -0.72% | $77.4B | 71 |
| RNNEX American Funds The New Economy Fund Class R-2E | $80.46 | -0.29% | $52.9B | 91 |
| AMP Ameriprise Financial, Inc. | $554.06 | -1.02% | $49.8B | 70 |
AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance
What Are OFSSI's Key Strengths?
Flexible capital solutions for middle-market companies.
- Diversified investment portfolio across various sectors.
- Experienced management team.
- Focus on established businesses with strong cash flow.
What Are OFSSI's Weaknesses?
Negative profit margin and P/E ratio.
- High beta indicating significant volatility.
- Reliance on debt financing.
- Small number of employees (51).
What Could Drive OFSSI Stock Higher?
Strategic deployment of capital into promising middle-market companies to expand the investment portfolio.
- Cultivation of relationships and exploration of potential collaborations with other investment firms and institutional investors.
- Continuous efforts to monitor and adapt to regulatory changes impacting the financial services industry.
What Are the Key Risks for OFSSI?
Economic downturn affecting the financial performance of portfolio companies.
- Increased competition from other BDCs and lenders in the middle-market space.
- Interest rate fluctuations affecting borrowing costs and investment returns.
- Credit risk associated with lending to middle-market companies.
What Are the Growth Opportunities for OFSSI?
- Expansion of Investment Portfolio: OFS Capital can grow by expanding its investment portfolio through strategic deployment of capital into promising middle-market companies. The middle market represents a significant opportunity, with numerous companies seeking capital for growth, acquisitions, and recapitalizations. By carefully selecting investments and providing tailored financing solutions, OFS Capital can increase its assets under management and generate higher returns. This expansion can be achieved through targeted marketing efforts, industry partnerships, and a strong track record of successful investments.
- Strategic Partnerships and Co-Investments: OFS Capital can leverage strategic partnerships and co-investment opportunities to expand its reach and access additional capital. By collaborating with other investment firms, private equity funds, and institutional investors, OFS Capital can participate in larger deals and diversify its investment portfolio. These partnerships can also provide access to new markets, industry expertise, and deal flow, enhancing the company's ability to identify and capitalize on attractive investment opportunities. The timeline for developing these partnerships is ongoing, with continuous efforts to cultivate relationships and explore potential collaborations.
- Focus on Specific Industry Verticals: OFS Capital can enhance its competitive advantage by focusing on specific industry verticals where it has expertise and a strong track record. By concentrating its resources and knowledge in sectors such as aerospace and defense, healthcare services, or industrial manufacturing, OFS Capital can develop a deeper understanding of the market dynamics and identify unique investment opportunities. This specialization allows the company to provide more tailored financing solutions and add value to its portfolio companies. This strategy can be implemented over the next 1-2 years.
- Development of New Financial Products: OFS Capital can drive growth by developing and offering new financial products and services that cater to the evolving needs of middle-market companies. This could include specialized lending programs, structured finance solutions, or advisory services. By expanding its product offerings, OFS Capital can attract a wider range of clients and generate additional revenue streams. The development of new financial products requires market research, product development, and regulatory compliance, with a potential timeline of 2-3 years for implementation.
- Geographic Expansion within the United States: While OFS Capital focuses on U.S.-based companies, it can explore geographic expansion within the country to tap into new markets and investment opportunities. By establishing a presence in regions with strong economic growth and a vibrant middle-market sector, OFS Capital can increase its deal flow and diversify its portfolio. This expansion requires careful planning, market analysis, and the establishment of local networks and partnerships. The timeline for geographic expansion can vary depending on the target region and the company's resources, but typically ranges from 1-3 years.
What Are OFSSI's Competitive Advantages?
- Specialized focus on middle-market companies.
- Flexible capital solutions tailored to specific needs.
- Experienced management team with industry expertise.
- Diversified investment portfolio across various sectors.
What Does OFSSI Do?
OFS Capital Corporation is a business development company (BDC) founded to provide tailored capital solutions to middle-market companies across the United States. The company specializes in direct and fund investments, along with add-on acquisitions, offering flexible capital primarily through debt and, to a lesser extent, minority equity investments. OFS Capital does not invest in operational turnarounds or start-up businesses, focusing instead on established companies requiring capital for growth, acquisitions, or recapitalizations. OFS Capital's investment strategy targets U.S.-based middle-market companies across a broad array of industries, including aerospace and defense, business services, consumer products and services, food and beverage, healthcare services, specialty chemicals, transportation and logistics, value-added distribution, franchising, and industrial and niche manufacturing. The firm seeks to invest between $5 million and $35 million, targeting companies with revenues between $10 million and $200 million, annual EBITDA exceeding $5 million, and enterprise values between $10 million and $500 million. The company's debt investments typically range from $5 million to $25 million. OFS Capital employs a variety of investment instruments, including senior secured loans, unitranche loans, first-lien loans, second-lien loans, subordinated/mezzanine loans, warrants, preferred equity securities, and common equity securities. The firm prefers to take both minority and majority stakes in its investments and often co-invests with partners to provide additional capital. This approach allows OFS Capital to offer customized financing solutions that meet the specific needs of its portfolio companies, supporting their growth and strategic objectives.
What Products and Services Does OFSSI Offer?
- Provides debt capital to U.S.-based middle-market companies.
- Offers minority equity investments to support growth and acquisitions.
- Specializes in direct and fund investments.
- Facilitates add-on acquisitions for portfolio companies.
- Invests in companies with revenues between $10 million and $200 million.
- Targets companies with annual EBITDA exceeding $5 million.
- Employs senior secured, unitranche, and subordinated/mezzanine loans.
- Invests in diverse sectors, including aerospace, healthcare, and manufacturing.
How Does OFSSI Make Money?
- Generates revenue through interest income from debt investments.
- Earns capital gains from equity investments.
- Manages assets and collects management fees.
- Co-invests with partners for additional capital deployment.
What Industry Does OFSSI Operate In?
OFS Capital Corporation operates within the asset management industry, which is characterized by intense competition and evolving market dynamics. The industry is influenced by factors such as interest rates, regulatory changes, and economic conditions. OFS Capital competes with other business development companies, private equity firms, and traditional lenders in providing capital to middle-market companies. The company's ability to differentiate itself through its flexible capital solutions and industry expertise is crucial for success in this competitive landscape.
Who Are OFSSI's Key Customers?
- Middle-market companies seeking capital for growth.
- Companies requiring financing for acquisitions and recapitalizations.
- Businesses in various sectors, including aerospace, healthcare, and manufacturing.
- Companies with revenues between $10 million and $200 million.
Company Profile
Ofs Capital Corp 5.95% Notes Due 2026 operates in the Asset Management industry within the Financial Services sector. It is headquartered in Chicago, US. The company is led by CEO Bilal Rashid. OFSSI has traded publicly since 2019.
OFSSI Financials
Bull Case vs Bear Case
Bull Case
- Flexible capital solutions for middle-market companies.
- Diversified investment portfolio across various sectors.
- Experienced management team.
- Focus on established businesses with strong cash flow.
Bear Case
- Negative profit margin and P/E ratio.
- High beta indicating significant volatility.
- Reliance on debt financing.
- Small number of employees (51).
AI-generated arguments based on insider flow, news sentiment and technicals — not financial advice · August 2026
OFSSI Latest News
No recent news available for OFSSI.
OFSSI Analyst Consensus
Consensus Rating
Aggregated Buy/Hold/Sell recommendations from Benzinga, Yahoo Finance, and Finnhub for OFSSI.
Price Targets
Wall Street price target analysis for OFSSI.
OFSSI MoonshotScore
What does this score mean?
The MoonshotScore rates OFSSI 0-100 on quantitative fundamentals — growth, financial health, valuation, momentum, and risk.
Leadership: Bilal Rashid
Unknown
Bilal Rashid manages 51 employees at OFS Capital Corporation. Further details regarding his career history, education, and previous roles are not available in the provided data. Without additional information, a comprehensive background profile cannot be constructed.
Track Record: Due to the limited information available, it is not possible to assess Bilal Rashid's track record, key achievements, strategic decisions, or company milestones under his leadership.
Common Questions About OFSSI (Financial Services)
What does Ofs Capital Corp 5.95% Notes Due 2026 do?
OFS Capital Corporation is a business development company that provides debt and minority equity investments to middle-market companies in the United States. It focuses on companies with revenues between $10 million and $200 million, offering flexible capital solutions for growth, acquisitions, and recapitalizations. The company invests in diverse sectors, excluding operational turnarounds and start-up businesses.
What are the main risks for OFSSI?
OFS Capital faces several risks, including economic downturns that could negatively impact its portfolio companies, increased competition from other BDCs and lenders, and interest rate fluctuations affecting borrowing costs and investment returns. The company's negative profit margin and P/E ratio also raise concerns about its financial performance.
What regulatory challenges does Ofs Capital Corp 5.95% Notes Due 2026 face?
As a business development company, OFS Capital Corporation is subject to regulatory oversight by the Securities and Exchange Commission (SEC) under the Investment Company Act of 1940. These regulations govern the company's capital structure, investment activities, and reporting requirements. OFS Capital must adhere to specific rules regarding leverage, asset diversification, and related-party transactions.
How is Ofs Capital Corp 5.95% Notes Due 2026 adapting to fintech disruption?
While specific details on OFS Capital's fintech initiatives are not available, the company can adapt to fintech disruption by leveraging technology to improve its investment processes, enhance its portfolio management capabilities, and streamline its operations.
What are the key factors to evaluate for OFSSI?
Evaluate OFSSI on fundamentals, analyst consensus, and risk factors. OFS Capital Corporation presents a high-yield opportunity with a dividend yield of 38.32%. Not financial advice.
How frequently does OFSSI data refresh on this page?
OFSSI's price was last updated on Aug 21, 2026 and refreshes on page view during U.S. market hours — it is not a real-time exchange feed. Fundamentals update after quarterly filings; the MoonshotScore recalculates nightly; news aggregates continuously.
What has driven OFSSI's recent stock price performance?
Ofs Capital Corp 5.95% Notes Due 2026 (OFSSI) moves on earnings results, analyst revisions, sector rotation, and market sentiment. Notable catalyst: Flexible capital solutions for middle-market companies. See the News tab for the latest drivers. Past performance does not predict future results.
Should investors consider OFSSI overvalued or undervalued right now?
Ofs Capital Corp 5.95% Notes Due 2026 (OFSSI) has no trailing P/E available here, so lean on price-to-sales and cash flow in the Financials tab. Compare P/E, P/S, and EV/EBITDA against sector peers for a full view.
Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.
Official Resources
Data provided for informational purposes only.
- AI analysis pending for OFSSI, limiting the depth of insights.
- Limited information available on CEO Bilal Rashid's background and track record.