Oaktree Specialty Lending Corp (OCSL) Soars 4.04% in Four Days

Oaktree Specialty Lending Corp (OCSL) has seen a 0.28% increase in its stock price, marking the fourth consecutive day of gains and a total rise of 4.04% over the past four days.

The strategy of buying OCSL shares after the stock reaches a recent high and selling after one week resulted in a -9.66% return, vastly underperforming the benchmark, which had a return of -100.00%. Despite this, the strategy still delivered a positive excess return of 90.34% and a CAGR of -2.08%, indicating some resilience despite the negative returns. The strategy also had a maximum drawdown of 0.00%, suggesting it managed risk effectively during downturns.

One of the key factors influencing OCSL's stock price is the recent achievement of the average analyst 12-month target price of $14.25. This milestone suggests a positive outlook from analysts and potential investor optimism, which could drive further stock appreciation.

Additionally, D. E. Shaw & Co. Inc. acquired 170,899 shares of OCSL as of May 22, 2025. This significant purchase by an institutional investor may indicate confidence in the company's future performance and growth prospects, further bolstering investor sentiment.

However, Oaktree Specialty Lending's recent financial report included three new non-accruals, with a notable 50% write-down on an investment in Pluralsight. This development could raise concerns among investors about the company's financial health and its ability to manage its investment portfolio effectively, potentially leading to a more cautious approach to investing in OCSL.