Main Street Capital
MAIN

$50

0.79%

Market Cap: $4.29B

About: Main Street Capital Corp is an investment firm engaged in providing customized debt and equity financing to lower middle market companies and debt capital to middle market companies. The investment portfolio of the company is typically made to support management buyouts, recapitalizations, growth financings, refinancing's, and acquisitions of companies that operate in diverse industry sectors. The group invests in secured debt investments, equity investments, warrants, and other securities of the lower middle market and middle market companies based in the United States. Business functioned through the U.S. region and it derives the majority of its income from the source of fees, commission, and interest.

Employees: 100

0

Funds holding %

of 6,728 funds

–

Analysts bullish %

Fund manager confidence

Based on 2024 Q2 SEC filings by fund managers ($100M+ AUM)

409% more call options, than puts

Call options by funds: $11.7M | Put options by funds: $2.3M

69% more repeat investments, than reductions

Existing positions increased: 132 | Existing positions reduced: 78

39% more first-time investments, than exits

New positions opened: 43 | Existing positions closed: 31

4% more funds holding

Funds holding: 322 [Q1] → 334 (+12) [Q2]

3% more capital invested

Capital invested by funds: $842M [Q1] → $867M (+$25.3M) [Q2]

0% more funds holding in top 10

Funds holding in top 10: 4 [Q1] → 4 (+0) [Q2]

14.82% less ownership

Funds ownership: 34.91% [Q1] → 20.09% (-14.82%) [Q2]

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Research analyst outlook

2 Wall Street Analysts provided 1 year price targets over the past 3 months

Low target

$44

12%

downside

Avg. target

$48

4%

downside

High target

$52

4%

upside

2 analyst ratings

2 positive

100%

0 neutral

0%

0 negative

0%

RBC Capital Kenneth Lee 82% 1-year accuracy 47 / 57 met price target	4%upside $52	Outperform Reiterated	14 Aug 2024
Oppenheimer Mitchel Penn 57% 1-year accuracy 4 / 7 met price target	12%downside $44	Perform Maintained	13 Aug 2024

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Financial journalist opinion

Based on 20 articles about MAIN published over the past 30 days

BDC Weekly Review: Private Lenders Are Getting Into The Trading Business

We take a look at the action in business development companies through the second week of September and highlight some of the key themes we are watching. BDCs had a strong week with a nearly 2% total return; sector valuations are close to long-term averages, about 6% below recent peaks. Private lenders like Golub and Apollo are increasingly trading private loans, enhancing income and gaining informational advantages over less adept players.

BDC Weekly Review: Private Lenders Are Getting Into The Trading Business

The High Yield Desert

I frequently discuss high-yield sectors like mortgage REITs, BDCs, and preferred shares, emphasizing the importance of knowing when not to buy. Preferred shares have rallied above targets, reducing buying opportunities, while common shares offer higher risks. Some offer upside, but others mostly offer downside. I'll kick off the weekend by highlighting one with a high valuation, as investors pay top dollar for earnings that are about to melt away.

The High Yield Desert

September's 5 Dividend Growth Stocks With 5.11%+ Yields

Dividend growth stocks may not be the most exciting, but over the long term, all the dividend increases can really add up to meaningful cash flow in the later years. Every month we screen through for potential dividend growers looking for dividend safety, growth potential and consistent dividend payers. This month, we have three income favorites, one of which we haven't touched on since early 2022, and two new names to look at.

September's 5 Dividend Growth Stocks With 5.11%+ Yields

Main Street Capital Is Overvalued Despite Returning More Capital To Shareholders

Main Street Capital is overvalued, trading at a 67.62% premium to NAV and a 12.51x multiple on NII, compared to peers. Despite strong management and consistent dividend growth, MAIN's valuation makes it unattractive compared to other BDCs like Ares Capital with better metrics. MAIN's credit risk is a concern due to its focus on middle-market companies, which may struggle in a recession or high-interest-rate environment.

Main Street Capital Is Overvalued Despite Returning More Capital To Shareholders

Buy The Dip: High-Yield Stocks Getting Way Too Cheap

High-yield stocks have rebounded due to optimism over Federal Reserve rate cuts. However, there remain several high-quality high-yield stocks that have lagged the sector's recovery and remain attractive bargains. We discuss some of them in this article.

Buy The Dip: High-Yield Stocks Getting Way Too Cheap

How To Achieve $50,000 Of Sustainable Annual Portfolio Income In 10 Years

My goal is to build a portfolio generating $50,000 in annual dividend income by age 40, focusing on defensive, yield-bearing assets. Apart from the contributions, key assumptions to make this happen is to invest in assets that produce 7% yield from start, offer 2% of annual growth and, importantly carry limited risk. In this article I elaborate more on my objectives, underlying assumption base and the key cornerstones of portfolio.

How To Achieve $50,000 Of Sustainable Annual Portfolio Income In 10 Years

Main Street Capital: The Fears Of Premium Are Overblown

Despite a significant premium over NAV, Main Street Capital has consistently outperformed the broader BDC market, demonstrating strong and stable performance. By assessing the Q2 2024 data points, the case, in my opinion, has become even more attractive despite the presence of a notable premium over NAV. In this article, I elaborate on why I have remained bullish and why the premium should not scare away investors.

Main Street Capital: The Fears Of Premium Are Overblown

BDC Weekly Review: Common Shareholders Don't Always Have Claim To All Of NII

We take a look at the action in business development companies through the first week of September and highlight some of the key themes we are watching. BDCs were down around 1% this week, with lower valuation BDCs like MRCC, PSEC, and WHF outperforming. Investors should be cautious about NII figures, as preferred dividends can reduce the actual income available to common shareholders, impacting perceived dividend coverage.

BDC Weekly Review: Common Shareholders Don't Always Have Claim To All Of NII

Zacks Investment Research

Main Street Capital (MAIN) Beats Stock Market Upswing: What Investors Need to Know

The latest trading day saw Main Street Capital (MAIN) settling at $49.95, representing a +0.95% change from its previous close.

Main Street Capital (MAIN) Beats Stock Market Upswing: What Investors Need to Know

Main Street Prices Public Offering of $100 Million of 6.50% Notes due 2027

HOUSTON , Sept. 11, 2024 /PRNewswire/ -- Main Street Capital Corporation (NYSE: MAIN) ("Main Street") is pleased to announce that it has priced an underwritten public offering of an additional $100 million in aggregate principal amount of its 6.50% notes due 2027 (the "Notes").

Main Street Prices Public Offering of $100 Million of 6.50% Notes due 2027

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